Employers around the world are continuing to struggle to fill open roles, and the United Kingdom is no exception, with Bloomberg reporting that almost a fifth of U.K. workers expect to leave their current roles within the next 12 months — mainly driven by the search for higher pay, more flexible working arrangements, and greater job satisfaction.
This demand for remote and flexible work is reshaping the labour market, making it harder for employers to attract and keep top talent unless they adopt this new way of working.
We aim to give U.K. employers clearer insight into the labour market upheavals, so we surveyed over 500 British employers to identify which sectors and locations are most affected by The Great Resignation, the hardest skills to source, and the approaches firms are using to tackle recruitment obstacles.
82% of employers have been impacted by The Great Resignation in the past year
We analysed which U.K. cities show the highest share of companies affected by the “great resignation,” and Sheffield in Yorkshire tops the list. Ninety-two percent of Sheffield employers we surveyed reported direct impacts from The Great Resignation.
Sheffield is closely followed by Plymouth and London, at 89% and 87% respectively.
While those three cities record the highest proportions of affected employers, the disruption is widespread across the country — from Edinburgh in Scotland down to Plymouth in England’s southwest.
The table below lists the top 10 U.K. cities with the largest share of employers impacted by The Great Resignation.
Cities with the highest % of companies impacted by The Great Resignation
Rank | City | % that said The Great Resignation has impacted their company* |
|---|---|---|
1 | Sheffield | 92% |
2 | Plymouth | 89% |
3 | London | 87% |
4 | Birmingham | 87% |
5 | Brighton | 87% |
6 | Southampton | 86% |
7 | Glasgow | 85% |
8 | Newcastle | 84% |
9 | Bristol | 80% |
10 | Edinburgh | 80% |
*Figures rounded to the nearest %.
The survey also looked at which specific roles within industries were most difficult to recruit for. Nearly every employer we polled in the U.K. logistics sector (96%) said they had trouble filling at least one role in the past year, fintech companies cited HR roles most often (42%), and healthcare organisations reported difficulty hiring for customer experience positions (25%).
Partly as a result of The Great Resignation, it has become increasingly challenging for employers attempting to recruit staff to fill internal skills gaps. With demand so high, employees hold the power and are in a strong position to be increasingly selective of which roles they accept.
Our study revealed that 92% of U.K. employers struggled to fill roles in the past year and that they used an average of nine recruiters while trying to close skills gaps within their organisations.
The areas where U.K. employers report the most difficulty are software engineering, HR, and data analytics.
Firms struggling to attract candidates with these specialist skills should rethink how they can increase the appeal of their benefit schemes and adapt existing packages to better match the expectations of the talent they seek.
The table below ranks the business areas and skills U.K. employers found hardest to hire for in the past year, from highest to lowest percentage.
The top 12 skills UK companies are struggling to recruit for
Rank | Business areas/skills | % of employers that have struggled to fill roles within these areas in the past year* |
|---|---|---|
1 | Software engineering | 27% |
2 | HR | 26% |
3 | Data analytics | 24% |
4 | Customer experience | 23% |
5 | Business operations | 23% |
6 | Executive leadership | 23% |
7 | Marketing | 20% |
8 | Sales | 19% |
9 | Product management | 18% |
10 | Finance | 17% |
11 | Design | 17% |
12 | Legal | 12% |
*Figures rounded to the nearest %.
The survey also explored which areas specific industries are struggling to recruit for the most. Almost every employer we surveyed in the U.K. logistics industry (96%) told us they’ve struggled to fill a job area in their company in the last year, with fintech businesses struggling to fill HR roles (42%) and healthcare industries struggling with customer experience roles (25%).
Industry | % that have struggled to fill any job role (past year) | Business area | % that have struggled to hire for business area |
|---|---|---|---|
Fintech | 92% | HR | 42% |
Healthcare | 90% | Customer experience | 25% |
Logistics | 96% | Data analytics | 50% |
Marketing & Advertising | 91% | Marketing | 45% |
Technology | 94% | Software engineering | 58% |
U.K. employers are adopting inventive responses to recruitment challenges. Half of those we surveyed (50%) now offer training to current staff, and more than a third run referral schemes.
Half of employers offer new training to existing employees to cope with recruitment struggles
Finding and keeping top talent is a fundamental priority for any growth-focused business. Traditionally, employers focus recruitment efforts within countries where they already own a local legal entity. But now, a global employment partner like Remote makes international recruitment so much faster, easier, and safer with employer of record services.
U.K. employers are finding creative solutions to overcome recruitment barriers. Half of the employers we surveyed (50%) are offering training to their existing employees, with more than a third offering referral schemes.
Just one-third of the employers surveyed are recruiting candidates from further afield to keep recruitment struggles at bay. That means over 60% of the employers surveyed are missing out on the opportunity to cast their recruitment net wider and access an exponentially larger global talent marketplace.
The table below lists tactics employers are using to address recruitment barriers, ranked by popularity.
Ways employers have tried to overcome recruitment struggles | % that said The Great Resignation has impacted their company |
|---|---|
Offering training to existing employees | 50% |
Offering a referral scheme to current employees | 35% |
Recruiting outside of the city where you are based | 33% |
Offering an apprentice program | 33% |
Hiring external recruitment resource | 33% |
Recruiting internationally | 33% |
Proactively sourcing more diverse candidates | 33% |
Outsourcing work to freelancers and contractors | 29% |
Offering bursaries and scholarships in the underskilled areas | 26% |
*Figures rounded to the nearest %.
<a href="https://remote.com/en-ca/blog/category/united-kingdom"><span path="content.children[2].children[1].children[0].text" data-blackbird-key="blt7f96b7ffd50402eb-content.children[2].children[1].children[0].text" data-blackbird-field-type="rich-text-node">United Kingdom</span></a><span path="content.children[2].children[2].text" data-blackbird-key="blt7f96b7ffd50402eb-content.children[2].children[2].text" data-blackbird-field-type="rich-text-node"> — 5 min</span>
Hiring internationally to solve recruitment challenges is a strategy used by 33% of the employers we surveyed.
33% of employers recruit internationally to solve recruitment challenges.
The rising popularity of remote work and the technology that makes it possible means employers are now able to find high-quality candidates in all corners of the world. British employers no longer need to restrict themselves to talented professionals based in the U.K..
Huge swathes of highly skilled professionals are ready and willing to work remotely across similar time zones to the U.K. in the rest of Europe, the Middle East, and Asia. Asynchronous work practices can make it productive for U.K. employers to open up their recruitment pipeline to Asia, the Americas and the Pacific – a serious strategic asset for any organization aiming for 24-hour sales or customer support coverage.
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However, not every employer is turning to international recruitment to ease The Great Resignation. Eight percent said they avoid it because they don't sponsor work permits, and another 8% prefer staff who can travel into the office when required.
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To stay competitive and fill skills needs, nearly half of U.K. employers we surveyed said they have become more willing to negotiate salaries since The Great Resignation began.
Employers are also more open to negotiating areas such as health benefits and annual leave. hire internationally and allow their employees to work abroad legally with the help of an employer of record like Remote.
This greater readiness to offer a more comprehensive total rewards compensation package could also help retain teams and reduce further employee turnover.
When recruiting, does your company consider international candidates? | % |
|---|---|
Yes, because we have a remote working policy | 40% |
Yes, because we work with international clients | 36% |
Yes, but they are offered a wage representative of where they live | 22% |
Yes, but only if they have the right to work where we are based | 20% |
No, because we don't sponsor work permits | 8% |
No, because we want to ensure employees can come into the office when needed | 8% |
No, but it is something we are considering | 6% |
No, because we do not have a remote working policy | 5% |
*Figures rounded to the nearest %.
Almost half of employers (46%) are now open to negotiating salaries thanks to recruitment struggles
A key consideration for candidates is the benefits package and the value it adds. If hiring internationally, benefits must be appropriate for the employee’s country of residence.
Be transparent with job advert specifications
Clarity is vital throughout recruitment, especially for candidates. Vague or poorly worded adverts can confuse and put applicants off. total rewards compensation packageIt is best to state role responsibilities plainly, including required experience, specific skills, and where the role sits in the reporting structure. Rather than describing pay as ‘competitive’, we recommend specifying a salary band.could also help retain existing team members and avoid further employee churn.
The table below shows the areas where employers have become more willing to negotiate with employees and candidates since The Great Resignation.
Area of negotiation | % that said they have been more open to negotiating in the last year |
|---|---|
Flexible working policy | 49% |
Salary | 46% |
Remote working policy | 46% |
Annual leave | 43% |
Training benefits | 43% |
Health benefits | 42% |
Home office allowance | 40% |
*Figures rounded to the nearest %.
It is unsurprising that remote working policy is a primary area for negotiation, given the significant rise of remote work since the COVID‑19 pandemic. For many businesses, flexible hours are already embedded in permanent working arrangements.
How can employers attract high-quality talent to fill the skills gaps?
Employers that still require frequent office attendance may want to rethink that approach. With remote work entrenched in many people’s routines, employees who value that flexibility are unlikely to surrender it — especially when other employers offer indefinite remote working with no strings attached.
So, where should employers start when seeking to attract the talent they need?
Be transparent with job advert specifications
Practising
It’s always best to lay out the responsibilities of the role in clear terms, including the level of experience required, any specific skills needed, and the reporting structure within the company. Instead of listing the salary as ‘competitive’, we would advise employers to clearly state a band of the salary being offered.
Our research found that 41% of employers don’t always put salary information on their job descriptions for every role and close to 50% don’t mention progression opportunities for each role.
In addition, employers can help their job ads stand out from competitors by outlining key benefits and perks for the employee. Even values-based benefits like flexible working hours, remote work provisions, and mental health support programs can separate your offer.
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41% of employers don’t always put salary information on job descriptions for every role
47% of employers don’t mention progression opportunities for each role
Inaccessible language can cause confusion and deter candidates from applying
Evaluate existing benefits plans
One of the most important factors that candidates consider when applying for new roles is the benefits plan offered, and how much value it can add to their lives. If you choose to recruit internationally, these benefits must be relevant to the country the employee is based in.
We suggest that employers craft unique benefits packages tailored to the wants and needs of their workforce, taking into account geographical factors, differences in demographics and other influences.
In addition to benefits plans, employers should regularly review salaries to ensure they are always offering fair, competitive pay. Our survey revealed that 17% of UK employers don’t do salary benchmarking at all, however, the 80% that do, review this once every five months on average.
Remote's global HR experts share practical advice for building a locally relevant and globally compliant benefits program to help you attract and keep the world's best talent.
Access the global benefits guide to attract top global talent
Access your global benefits guide to attract leading global talent
Remote's global HR experts offer actionable guidance on designing a benefits program that meets local expectations while staying compliant across jurisdictions, so you can attract and retain the world's best talent.
Reconsider return to office policies
Employers who are still requiring their staff to visit the office regularly may wish to reconsider this strict stance. With remote work now a firm staple in many people’s working lives, those who benefit from the added flexibility it brings are unlikely to be willing to give it up - especially when there are other employers who are happy to allow remote working indefinitely, with no caveats.
Adopt inclusive hiring practices
Not only is exercising inclusive hiring practices the ethical way to operate, but it also stops employers from excluding portions of the talent pool who come from diverse backgrounds.
As a starting point, we suggest educating your recruitment team on how internal biases can affect the hiring process, including overt and unconscious bias, and also reviewing your live job adverts to ensure inclusive language is used.
Our research suggests that in order to plug skills gaps, employers need to take an employee-centric approach to recruiting for 2022 and beyond, adjusting their recruitment and retention strategies to demonstrate the value they can add to the lives of existing and potential candidates. This might include offering personalized training plans to help existing staff develop their skill sets, hiring internationally to access a wider pool of talent, or offering flexible working policies to suit the lifestyles of more diverse applicants, such as people with childcare responsibilities.
To make it easier for employers to fill open roles, we have compiled specialist advice from Remote’s experts and employment professionals for every step of the remote hiring process — from checking your remote readiness to making offers and scaling your global team. Our guide to hiring remote employees includes practical tactics and strategies to help employers fill skills gaps with internationally sourced talent.