Navigating a Shifting Landscape: Job Market Realities in Q1 & Q2 2024

The Evolving Job Market: Navigating Currents of Change in 2024

As we forge ahead into 2024, the UK job market presents a dynamic landscape, where opportunities and challenges intertwine. These are my reflections on the last two quarters.

Salary Showdown: Aligning Expectations with Reality

One persistent issue in Q1 2024 is the disconnect between some candidates’ salary expectations and the realities of the job market. Nearly half of UK employers believe applicants have unrealistic pay expectations, up from the previous year. The going rate for attracting talent often demands an additional £5,000 per annum. Consequences of such misalignments include prolonged job searches, missed opportunities, strained negotiations, and retention challenges for employers. Moreover, the trend of candidates leveraging offers for counteroffers from current employers raises concerns about long-term career satisfaction and burned bridges.

The Flexibility Paradox: Striking a Balance

While remote and hybrid work arrangements have become mainstream, a growing push from major employers is reshaping workplace expectations. London firms have been at the forefront of this movement, demanding employees return to the office more consistently. According to the Chartered Institute of Personnel and Development (CIPD), 72% of London-based companies have implemented policies requiring employees to work from the office at least three days a week. This trend is seeping into other regions, with 63% of UK employers overall expressing concerns about the impact of hybrid working on organisational culture and team cohesion. The drive for increased in-person presence challenges the “all or nothing” mindset of candidates seeking maximum flexibility and compensation, underscoring the need for a balanced approach that aligns employee preferences with organisational objectives and broader industry shifts.

Recruitment Reluctance and the Direct Hire Trend

Employers have been reluctant to recruit, often pushing recruitment back as much as possible, even into the next budget year. The effect has been a higher workload for existing staff, who are already overstretched. While this may provide short-term relief, it can lead to costly staff turnover and the need for more expensive replacement hires. Where recruitment is needed, the trend of direct hiring has gained momentum, with recruiters seen as a last resort. Many of the roles I have filled this year have been to replace poor hires, as candidates become increasingly adept at presenting the “perfect interview,” making it challenging to identify genuine fit.

The Graduate Challenge

In my experience as a recruiter, I have found an alarmingly considerable number of graduates struggle to find work, even 12 months after completing their degrees. Some have turned to hospitality jobs to raise funds for student loan payments, while others have resorted to voluntary work. The bigger concern is those with large gaps on their as the new class of 2024 graduates enters the market, coupled with employers increasingly favouring candidates with existing work experience, the challenges for recent graduates may intensify. My biggest concern is that some graduates have little or no grasp of the actualities and realities of today’s job market. A university degree is held in such high esteem that many graduates fail to grasp the fact that a degree alone does not secure a graduate role. Universities need to do more to support graduates on what to expect in the professional world, as this would increase employability post-graduation and manage unrealistic expectations.

The Quality of Applications

Candidates are becoming masterminds at navigating the interview process, but I often see a real gap between what is said and what is actual ability. I have noticed an increasing number of candidates very callously editing their CVs to match job descriptions word-for-word. Just recently, a client complained to me about being exhausted by the number of AI-generated CVs they had received. I have also seen this trend myself. The screening process is now becoming a much more skilful task, and experienced recruiters like myself are becoming more adept at spotting the imposters who try to game the system.