In a sector rapidly losing workers, employers say talent scarcity
is top concern
ATLANTA, GA – April 2, 2019 – With longer life expectancies and an estimated 10,000 baby boomers advancing into retirement age every day, the life sciences and healthcare sector is poised for rapid growth, but 85 percent of the industry’s human capital leaders say talent scarcity is one of their greatest concerns, according to research from Randstad Sourceright.
Based on data from the 2019 Talent Trends research, which surveyed more than 800 human capital and C-suite leaders around the world, workforce challenges are expected to intensify over the next year. In response, the sector is rapidly adopting talent acquisition strategies that can replace lost talent and help meet market demand.
Global health care spending is projected to increase at an annual rate of 5.4 percent between 2017-2022, according to a study by Deloitte. With an industry-wide push toward digitization, healthcare companies will have to compete more aggressively with the technology sector for talented workers in IT, research and development, and sales and marketing. As a result, HR leaders are crafting more agile workforces by changing permanent, non-core function positions to flexible, contingent roles.
“Leaders in life sciences and healthcare see the war for STEM skills growing, and by building blended workforces of full time and gig workers, they can access talent more quickly and efficiently,” said Tania De Decker, senior vice president with Randstad. “At the same time, companies are also looking to outsource a variety of non-core activities, such as manufacturing, IT and back-office functions, creating numerous job opportunities for freelance, and other types of gig workers.”
Hiring managers are also turning to artificial intelligence (AI) and robotics to optimize the recruitment process, which most (52 percent) say is a key advantage. While employees express some skepticism about the role AI and robotics will play, about half (51 percent) say it will enable them to be more efficient, productive and innovative, and will open up new opportunities for talent.
Eighty-nine percent of human capital leaders in life sciences and healthcare believe talent acquisition should be driven by value creation rather than cost savings. In an effort to build employee engagement and camaraderie, these companies are creating strategies that integrate contingent and permanent workers. They are also collaborating more closely with external partners, developing their company brand, and initiating project-based hiring.
“In anticipation of monumental growth in the healthcare industry, companies that create more agile and focused workforces – by outsourcing non-core activities to flexible, contingent workers – will be better-positioned to deliver the innovations their current and future customers demand,” added Rebecca Henderson, CEO of Randstad Sourceright.
To get more insight into the top talent trends from the perspective of employers and working professionals, request a copy of Randstad Sourceright's 2019 Talent Trends sector report, "talent acquisition strategy is a lifeline for the life sciences & healthcare sector."