On June 24, the US Senate struck a bipartisan agreement around a historic eight-year infrastructure bill, set to create millions of well-paid American jobs. But what will it all mean for America’s hard-strapped employers, still reeling from the pandemic and stimulus checks?

At Adecco, we understand the seismic changes ahead. Below, we take a look at the bill’s likely impact on the jobs market and offer our expertise on how employers can plan ahead.

Why’s the infrastructure bill coming now?
The ongoing pandemic has stretched our country’s economy to the limit. Recent jobs reports suggest green shoots in a battered American jobs market, but unemployment remains way above pre-pandemic levels, while millions of Americans continue to live paycheck to paycheck. At the same time, the need for investment in America’s infrastructure has bipartisan agreement in a Washington nervous about the rise and rise of China and its infrastructure miracle.

What’s in the bill?
At almost $1 trillion, it’s being touted as the most dramatic investment in the country’s economic future in a generation. Although the wrangling continues in Washington, the deal looks set to create millions of well-paid jobs, particularly for blue-collar workers. That’s thanks to super-charged funding for roads and bridges, railways, public transportation, airports, the power grid, expanded broadband internet access, and much more.

And – if the Democrats get their way – it’ll be followed by a $3.5 trillion budget resolution, with further provisions for above-market salaried jobs in climate change mitigation and ‘human infrastructure’ like Medicare, family services, and free community college.

How many jobs are we talking about?
Although the number has been controversial, estimates put the figure at around 2.7 million. Most pre-pandemic job gains went to college graduates. Of these new jobs, 90% will go to workers without college degrees, precisely the types of people who are already walking out of their jobs, en masse.

What can employers do to prepare?
Without a silver bullet, employers will be facing deep competition for workers among millions of well-paid jobs. However, there’s a lot they can do and a lot that Adecco can do help. Here are three concrete steps we recommend taking right now:

1. Optimized pay and benefits, now and in the future: Wages and benefits costs are going up, but there’s a bright side. The investment needed to bolster pay and incentives might be offset by American consumers having a lot more money in their pockets to spend. Employers should also be aware that outages due to worker shortages can cost considerably more than increased wages. Tools like Adecco’s salary calculator can help you set wages at a competitive – and sustainable – rate.
2. Offer long-term, meaningful training: The government doesn’t have a monopoly on transformative, training opportunities. With Adecco, you can offer your employees flexible, industry-focused career programs at no cost. From courses in digital literacy, to welding, to becoming a frontline supervisor, the Adecco Aspire Academy, gives your workers the chance to continuously improve their skills and move higher up the pay ladder.
3. Invest in all-round engagement and retention: With or without a government stimulus package coming, your best employees will always be in-demand and vital. The good news is that the retention tactics don’t have to cost you much. From white papers to case studies, we have a wealth of resources that can help you reduce turnover and establish a resilient workforce strategy.

This is just a snapshot of the multiple tools and strategies we have to prepare you for the next big swing in this difficult labor market. Getting it right will mean getting creative, and there’s no better way to do that than consulting an innovative, expert partner who knows the market inside-out.

Why not learn more about getting tailored advice on navigating these choppy waters?

temporary staffing agencies in phoenix, az

The post The infrastructure bill edges forward. How can employers prepare? appeared first on Paragon Strategic Staffing.

If you look at the monthly data published by the Bureau of Labor Statistics, you might think that businesses have eager candidates lining up at the door to fill any job vacancy that becomes available.

The reality for most companies is very different. Despite high unemployment rates, organizations all over the U.S. are struggling to find candidates to fill jobs. So, what’s the reason for this strange phenomenon? Keep reading to discover why employers are having a hard time recruiting new employees and why this is leading to wage inflation.

Furloughed Workers

An estimated 33 million people lost their jobs at the beginning of the COVID-19 pandemic, but many believe they’ll be rehired at some point. This could partly explain why employers are having such a hard time finding candidates. Furloughed workers may be waiting to get back to their jobs, and the CARE Act and Pandemic Unemployment Assistance are clear reasons for people to hold off looking for work until they stop receiving government aid. Around 24 million Americans were receiving Unemployment Assistance in 2020, giving them a strong incentive to delay their return to the job market.

Childcare, Education, And Fear Among Workers

The Federal Reserve reports that local labor markets are slow to reactivate due to workers’ concerns over health and childcare. Low-skill workers aren’t applying for jobs over the fear of possible infection, meaning that employers are significantly raising hourly pay to get people back to work.

Childcare and education also seem to be important factors affecting the job market. 15% of working professionals are considering leaving the workforce due to homeschooling, while many others are not looking for work because their children are still attending school remotely.

How Can Employers Attract Talent?

The market is being flooded with job openings as entire industries look to recover from the pandemic and get back to pre-COVID activity. If businesses want to attract talent, they’ll have to increase pay, offer a range of non-wage benefits, and lower job requirements to expand their candidate pool.

At Adecco, we’re experts at helping businesses just like yours find top talent, even during a pandemic. To learn more about how we can benefit your company, click here!

temporary staffing agencies in phoenix, az

The post How a Lack of Workers is Causing Wage Inflation in a Time of High Unemployment appeared first on Paragon Strategic Staffing.