THE TRENDS DRIVING TRANSFORMATION ARE NOT NEW, BUT NEWLY URGENT
Labor markets are dynamic and change for different reasons: some cyclical, some structural and as we have seen most recently, also as a result of the pandemic. We think most of the pandemic-related anomalies are transitory, but timing of a new normal is uncertain.
• This recovery is unlike any we have ever seen - demand for skills is at record highs in many markets with unemployment levels still high while workforce participation stagnates.
• Uneven economic growth continues with some markets recovering well while others lag, hampered by Covid variants, vaccination rates and challenges to a previously hyper efficient supply chain.
• Experimentation with new work models is widespread, as hybrid and remote work (formerly ‘telecommuting’), increase flexibility and will continue to do so into 2022.
• Employers continue to seek flexible and strategic workforce solutions to meet the strong demand for their goods and services today and for long-term sustainable value creation.