Reflecting on Talent Trends: 2023 Insights and Projections for 2024

It’s the time of year again when I prepare to spend several hours reflecting on the past twelve months. Once the turkey leftovers are finished and the tree is trimmed, I start eyeing my calendar for an empty afternoon. It’s always hard to justify to myself what feels like a luxurious bit of time away from the bustle with a hot drink (my preference is a chai latte).

But, every year I make (and take) the time and grab the notebook I’ve been using all year. Each January, I start the year off with a crisp, new Shinola journal embossed with the new year’s last 2 digits on the cover. And, by the time of my December reflections, it’s worn and full.

So, I sit down and begin mining my notes from the year, looking for patterns to reflect on and insights to take forward into the next year.

It’s fitting to mark the passage of time with proper reflection.

This year, this is what I’ve seen in the 2023 Talent Market and what I predict and forecast for 2024. 

From my desk–in partnering with many of you to solve the toughest talent challenges–2023 was a year of uncertainty, waiting to see where the chips will fall.

Prevailing Stories the Talent Market in 2023

Here are the clear patterns I saw as 2023 progressed.

Air of Uncertainty

After several difficult years, 2023 was marked by more uncertainty. The world waited for a looming recession, which has not materialized at the time of publishing. However, the threat remains, and organizations are remaining guarded. A look at recent news headlines belies the fact that experts, insiders, and boots-on-the-ground leaders are expressing views that span the spectrum.

The Reality of Pullback

Echoing our predictions from last year, a noticeable pullback in hiring occurred. Softening results led to a shift in workplace dynamics, especially regarding remote work. Some executives responded by trying to bring most employees back to the office. The exclusive work-from-home model saw a decline, but a full return to office hasn’t materialized either, leaving most businesses in an intermediary state.

Retention over Recruitment

If 2022 was the year of talent acquisition, 2023 pivoted towards retention. Employee retention became the number one priority for both operations (51%) and HR (66%) this year, according to the 2023 U.S. Organizational Wellbeing Report.

CEO Turnover

CEO turnover was up 50% over 2022 and the highest on record since tracking began in 2002. Part of this was due to retirements (22% of departures), but it doesn’t account for all of the turnover. It seems in some ways that the burnout lower-level employees were experiencing in 2022 finally reached the c-suite.

In addition, the uncertain market landscape exposes new challenges and opportunities to leverage. “Companies are revving up for economic changes in the coming months. With the rise of labor costs and interest rates, companies are looking to new leaders,” Andrew Challenger, of Challenger, Gray, & Christmas, said in the report.

Anticipating the 2024 Talent Market

Employer Leverage Increases

The coming year is likely to witness a significant power shift, with companies gaining more leverage. As the focus intensifies on retention, the strategies for talent acquisition will evolve.

The Rise of Development and Learning

With statistics indicating a considerable number of employees spending less than 18 months in a role, the emphasis on Learning and Development (L&D) will be paramount. This shift signifies a move towards nurturing existing talent, aligning with the broader theme of retention.

Addressing Burnout

Burnout continues to climb the ladder of corporate concerns (and into the c-suite itself). Companies must adopt proactive measures to mitigate this growing challenge, ensuring a healthy and sustainable work environment.

The Return and Rise of Relocation

As remote work becomes more structured and less available, relocations are likely to resurface. Companies seeking to enforce in-office work dynamics will likely reintroduce relocation expectations, along with the financial support to do so.

Talent Acquisition and HR Will Have to Do More with Less

When budgets are tighter and resources are leaner, the role of talent acquisition and HR will evolve. There will be an increasing need for efficient, cost-effective search strategies and partnerships. Organizations like Medallion Partners foresee the changing needs, offering strategic, thoughtful solutions that align with the evolving dynamics of talent management.

MEDALLION PARTNERS BY THE NUMBERS:

At Medallion Partners, we constantly strive to expand our abilities, efficiencies, and range of services year over year to better serve our partners. Each year, we set new benchmarks for ourselves, and this year was no exception.

Expanding Horizons 

This year, we’ve welcomed a 55% increase in new clients, a testament to the trust and value we bring to the executive search realm. Our expanding clientele reflects our commitment to excellence and our ability to adapt to the evolving needs of the market. Our footprint has truly been global, with partnerships spanning five continents. This diverse exposure has enriched our perspectives, allowing us to offer nuanced, culturally aware solutions to our clients worldwide.

Human-Centric Solutions

In 2023, we hosted executive team retreats, conducted hundreds of executive assessments, and served over 3000 individuals in their careers. These initiatives have been instrumental in shaping leadership, fostering team dynamics, and guiding career transitions. Our commitment to personalized support was evident as we facilitated the relocation of top-tier leaders and their families. From city visits and real estate support to arranging school tours and healthcare providers, we prioritize the well-being of the whole family. Notably, we even found a specialized reptile veterinarian for an executive’s son’s beloved pet snake. We know that leaders don’t get off to a good start if their families are struggling to adjust. 

Always Improving Service

In 2023, our average time to fill a role was two weeks faster than 2022. We’ve continued to add a breadth of services and experience-enhancing technology, increasing our impact with both clients and candidates.

Medallion Partners – Always Your Strategic Ally in Transformation

As we move into 2024, the challenges for Talent Acquisition and Human Resources teams are becoming more clear: achieving more with smaller teams and budgets. In this environment, partnering with an expert becomes not just helpful, but essential. Medallion Partners would love to serve your organization in 2024.

We understand the necessity of making every hiring decision count, especially when budgets are tight and teams are lean. Our approach simplifies the complex, delivering direct and impactful solutions in the talent market.

Medallion Partners is more than a search firm; we are a strategic ally. Our expertise in finding and integrating the right talent to solve your company’s challenges and meet your goals, coupled with our comprehensive post-hire support, ensures success for you and the new talent.

As we face the year ahead, let Medallion Partners do what we do best so your team can do the same. Together, we can turn any challenge in 2024 into opportunities for growth and success.