Would You Be Willing To Take A Demotion Or Paycut To Avoid Be Laid Off?

2023 had an impact on a lot of people, especially around job security, as this recent survey suggests:

We saw a lot of downsizing of talent acquisition teams and recruiters getting laid off in 2023. The layoffs have slowed this year, but many are concerned about job security. I found this survey from Resume Builder recently. According to the survey, about one-third of employed Americans would be willing to accept a pay cut or demotion to avoid being laid off.

The survey involved 1,000 U.S. workers employed at companies with at least ten employees. Here are some of the survey results:

1.) 3 in 10 employees (30%) are willing to accept pay cuts or demotions to avoid being laid off.

2.) Among those willing to make sacrifices:

74% would accept a pay cut
60% would take a demotion
57% would work more hours without additional pay
36% would give up benefits

3.) On average, employees willing to take a pay cut would accept a 13% reduction in salary

4.) The willingness to make sacrifices varies by age group:

18-24 year olds: 46% willing
25-34 year olds: 41% willing
35-44 year olds: 32% willing
45-54 year olds: 22% willing
55+ year olds: 13% willing

5.) To prepare for potential layoffs, employees are:

Saving money (52%)
Updating their resume (43%)
Looking for new jobs (38%)
Learning new skills (35%)

The Resume Builder article does suggest that while some employees are willing to make sacrifices, companies should carefully consider the potential negative impacts of pay cuts or demotions on employee morale and productivity.

RESUME BUILDER

Why Is This A Trend On LinkedIn?

Do you ever see a LinkedIn post where someone expresses gratitude and positivity about their job loss? This happens quite a bit. Recently laid-off employees often post their appreciation for their former employers. Although this trend of positive posts doesn’t always reflect the full reality of the layoff experience, it’s true. Wouldn’t you agree?

One of the reasons for these types of LinkedIn posts is that folks fear getting blacklisted or losing referrals if they speak honestly about their layoff experience or former employers. Another reason is they signed a non-disparagement agreement tied to severance packages. On the other hand, some people desire to maintain a positive public image for future job prospects, which is probably smart.

Here is an interesting read from Slate that dives deeper into this phenomenon.

(SLATE)

Here is something interesting. In an article by Intelligent.com, Fearing an AI Takeover, 1 in 6 Gen Z’ers May Switch to Blue Collar Careers, Gen Z workers express growing concerns about how artificial intelligence (AI) might affect their job security and career prospects. They conducted a survey (I know. I know. Another survey!) of 1,000 respondents aged 16 to 26, revealing a significant shift in career aspirations among Gen Z. With growing concerns over AI’s impact on office jobs, many consider blue-collar careers a viable alternative.

Here are the findings:

Rising Interest in Blue-Collar Careers: One-third of Gen Z’ers plan to pursue blue-collar careers, with 16% considering switching from white-collar jobs due to fears of AI’s influence.
Concerns About AI: Among those aiming for white-collar careers, 62% are either ‘somewhat’ or ‘highly’ concerned about the potential impact of AI technologies like ChatGPT on the job market.
Job Market Predictions: Nearly half of the respondents believe AI will replace 20% or more of white-collar jobs within five years.
Competitive Edge in Blue-Collar Fields: 32% of Gen Z respondents intend to work in blue-collar fields, a move experts suggest could offer a competitive advantage in today’s evolving job market.

Gen Z’s adaptability and openness to diverse career paths could shape the future workforce in unexpected ways as the job market continues to evolve with AI advancements.

Move Over Talent Acquisition Here Comes Talent Access

Have you seen or heard about the emerging “talent access” trend? It’s a modern approach to workforce management that emphasizes flexibility and inclusivity, moving beyond traditional talent acquisition methods. Unlike talent acquisition, which focuses on long-term strategies for attracting, hiring, and retaining full-time employees, talent access broadens the scope to include various employment types, such as freelancers, part-time workers, and underrepresented talent pools.

In this article from consultancy-me.com explores the “talent access” trend as a flexible approach to talent acquisition, essential in today’s dynamic workforce landscape. Here’s a brief overview of the key points:

Rise of Talent Access: With changing workforce dynamics, businesses need greater agility, making talent access increasingly important.
Diverse Talent Pools: Companies are now tapping into a mix of full-time employees, contractors, gig workers, and freelancers to meet their needs.
Scalability: This approach allows organizations to scale their workforce up or down based on project demands and market conditions.
Driving Factors: Remote work, the gig economy, and a demand for specialized skills propel the shift towards talent access.
Benefits: This model’s key advantages are increased flexibility, access to a wider range of skills, and potential cost savings.

To dive deeper into this transformative approach, read the full article on (CONSULTANCY-ME.COM)

Microsoft has formed a strategic, multi-year partnership with Mercury CRM

Mercury, an award-winning software company specializing in recruitment and staffing, to revolutionize the recruitment industry. This collaboration will provide Mercury and its agency clients access to Microsoft’s Cloud and AI technologies, enabling them to significantly improve their candidate search, matching, and hiring processes.

The partnership is set to bring about major changes in the recruitment sector by:

Removing data barriers and improving collaboration across global teams
Automating and streamlining workflows
Allowing recruiters to focus more on personal interactions and relationship-building
Providing AI-powered tools to enhance consultant capacity, new business development, and fill rates

According to Chris Kendrick, Mercury’s Founder and CEO, this will be a massive digital disruption that the staffing industry hasn’t seen in decades.