How Online Recruitment Platforms are Changing the World
Gloomy reports of unemployment fill the news every day, and for those just entering the labour market, getting a job seems nearly impossible. But what’s really going on behind the scenes of the job market – something that neither jobseekers and employers seem unable to crack?
It’s the classic problem of a mismatch of skills:
As millions of people struggle with unemployment, employers complain about unfilled job vacancies, and those who do work feel underutilised. It’s not that there are no more jobs available because robots will take over the world; the job market has not been able to keep up with the continuous change in the global economy. Labour market dysfunction has heavy consequences and unfulfilled potential is no longer an abstract concept. Inefficiency drags down the economy and has real financials costs.
Online recruitment platforms that better match talent to jobs. Many of these sites exists, but considering the impact they can have on the labour market, they are not being used enough.
So what’s so great about online talent platforms?
A wide range of opportunities
For those looking for jobs, having the process online means that they can access a much wider range of opportunities. You are no longer restricted to your city, sector, or even country. Online recruitment means that there’s more mobility: you can explore completely different careers or jobs in other countries. Thanks to the efficiency of these sites, people will also be able to find new jobs more quickly and reduce the duration of their unemployment.
Greater labour force participation
Furthermore, the number of people in hidden unemployment will decrease as passive candidates enter the market. Official unemployment statistics only include those who are actively looking for work, not those who have given up, are dissatisfied or over skilled, or are in informal sectors. Greater labour force participation from those in hidden employment means that people will find work that more closely matches their skills, freelancers will increase their hours through better matching, and many will move from informal to formal employment.
Online recruiting is especially good for finding digital or international candidates, and online recruiting allows employers to access the global talent base. Using big data, they can also better ensure that the candidate is a good match for the job. The transaction costs will go down, as employers can screen applicants more quickly and efficiently.
Make better life choices
These platforms also show a clear demand for skills, and this can motivate young people make better decisions about their education and career. If they know that their dream job requires a certain level of schooling or training, they will be more likely to pursue these things early on. Jobs don’t have to be such a mystery anymore!
Boosting the global GDP
Putting all of those factors together, online recruitment has the potential to add an incredible $2.7 trillion to the economy by 2025! According to the research from McKinsey & Co, it’s estimated that global employment will rise by 72 million, and a total of 540 million people will benefit.
Edited image attributed to ahsan_therock.