“In 2020, fewer people were willing to leave, but in 2021, more people have left, particularly women because of child care issues. People are resigning at a record pace,” Ms. Scott said.
The result is pent-up demand for hiring to replace those who left the industry, she said, adding “I have never seen a recruiting environment like this.”
The big issue for managers seeking new recruits is that “it’s been a candidate’s market for the last 12 to 18 months” as a huge surge of employee-search activity continues, Ms. Scott stressed.
In addition to offering flexible work schedules, Ms. Scott said asset management firms are playing offense, seeking new employees via a wide range of recruitment tactics including offering guaranteed and/or larger compensation packages to new recruits than in the past; tapping into and leveraging industry and personal networks to find possible hires; and defining a candidate’s career glidepath and growth opportunities within the firm.
As well as upgrading their recruitment processes by taking advantage of digital tools to use in the early stages of interviewing candidates and speeding up the hiring process, Ms. Scott said increasingly, companies have trained an aggressive focus on recruiting diverse candidates beyond gender to include race and ethnicity.
In return, candidates are asking potential employers about their diversity, equity and inclusion policies, Ms. Scott said, putting pressure on managers to explain their programs.
“I have one piece of advice” for managers, Ms. Scott said, stressing: “Challenge yourselves to change your (DEI) process. Go from checking the boxes to a more open process.”