In the past two blogs, we’ve looked at the combination of unemployment and labor shortages in Finland. In this one, we’ll look at the other side of the coin and talk about why and how employers recruited in Finland in 2019.
We’ve talked a little bit about that before as well. We’ve talked about the importance of networks in Finland. In another blog, we summarized what recruiters in Finland say about what they pay attention to when reviewing applications and applicants.
Today, we’ll focus on Oman WhatsApp Number List what employer survey data from 2019 tells us about the reasons employers hired new people and how they reached their candidates.
We’ll be using the two Ministry of Economic Affairs and Employment reports we used in the two previous blogs. One is by Juho Peltonen, and the other by Heikki Räisänen and Minna Ylikännö.
Why employers recruited in Finland in 2019
There are three basic reasons for employers to recruit new employees. Firstly, they can replace a person that has left the workforce for one reason or another. Secondly, the employee has changed jobs and left a vacancy. Thirdly, the job is a completely new one.
These new jobs can, in turn, be jobs with a completely new job description or additions of hands to existing tasks.
In 2019, about 40 % of all surveyed employers needed completely new personnel either to do existing tasks (33 %) or to do something completely new (ca. 7 %). Just over 50 % needed replacements for someone who had switched jobs within the same company (ca. 7 %), taken a job somewhere else (ca. 26 %), or retired (ca. 7 %). About 15 % needed substitutes.
Recruiting a person to a new position is somewhat more common in smaller (less than 10 employees) establishments. In larger establishments, recruitment as a replacement of someone exiting the workforce is more common.
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Recruitment reasons by industry
Adding new employees to do existing tasks was most common in the construction industry. There, 56 % of construction employers in Finland recruited because of that reason.
In public services, education, and the health care sector in contrast only 17-18 % of establishments said they recruited because they needed more people to do existing tasks.
Completely new positions were most commonly the reason for new recruitments in the information and communication industry (20 % of establishments surveyed). It was far more seldom the case in the social services and health care sector (6 %). There, the recruitment of substitutes was the most common reason (27 %) for new recruitments.
Retirements were the main reason for 13 % of establishments in public services and education. It was quite rare in retail (2 %), information and communication industry (2 %), and transportation and warehousing (3 %).
Recruitment reasons by sector
In the private sector, 49 % of establishments recruited because they either needed new people to do existing tasks or they had completely new positions to offer. 30.6 % of them needed replacements for people that had changed jobs. This could be within the company or to another organization. 14.8 % needed new people to fill fixed-term substitute positions or replace a retiree.
For the government sector, the same percentages were 37.1 %, 27.2 %, and 29.4 % respectively.
21.4 % of recruiting municipal employers did so because they needed to add new people to already existing jobs or they had created completely new positions. 29.5 % needed replacements for those switching jobs. 42.3 % were replacements of retirees or subs.
Here the difference with the private sector is quite clear. Recruitment needs of the municipal sector are often driven by people leaving the workforce for retirement or other reasons. Municipalities need replacements for those.
In the private sector, the need is driven by the creation of brand new positions or by the need to hire more hands to do the tasks they already have.
The non-profit sector resembles the private sector in this respect. In the non-profit sector, 42 % of establishments offered new jobs, 25.2 % needed replacements for job switchers, and 23.6 % of non-profit employers recruited replacements for retirees or subs in Finland.