What Will the Labor Market Look Like Post-Pandemic?

The labor market has undergone significant shifts in the wake of the pandemic. People displaced, underemployed or unemployed throughout the job market grapple with what comes next. Staffing agencies are also riding this wave of uncertainty.

While the pandemic upended the traditional, office-based work model, the need to recruit skilled employees remains a critical component for businesses. The staffing industry has a unique opportunity to rethink how it attracts and markets talent. Staffing liability insurance continues to play an essential role in protecting the interests of staffing firms.

The Undercurrents

Undoubtedly, the pandemic caused a seismic event in the business world and labor market. Within months, companies had to change their operations and adapt to entirely new business platforms. While the changes were monumental, most companies succeeded in weathering the post pandemic labor market shifts. Unfortunately, one outcome businesses could not predict: resignations.

The pandemic struck fear in individuals causing reluctance to return to the workforce. The pool of qualified workers decreased dramatically. Moreover, the pandemic highlighted the concern that an aging workforce was less likely to make shifts that now demanded more technological capabilities. Hourly workers present another serious issue because available worker skill sets don’t match what companies need.

The Outlook

The result of these changes is a new normal. However, this new normal does not mean that work after COVID is an updated version of what came before. Predictions show that the broad economic impacts on families, changes in educational needs for children, and shifts in employment needs are driving permanent transformations.

Many individuals that left the workforce took gig jobs that provided greater autonomy. While job security is a factor, people are not interested in returning to business as usual. Before the pandemic, employment security was a growing issue, so many people no longer view traditional work as inherently stable.

The Strategy

The way forward is anything but clear. There will be trials and misses in the growth process. A recent survey shows that U.S. workers feel confident they can meet the challenges of new technologies, especially after moving to remote work. The keys for most workers moving forward are job personalization, diversification, education and purpose.

The Future

While the future looks different, it still looks bright. Employment in this new phase requires inclusivity, diversity and flexibility. In recent years, the job market has placed increasing demands on individuals. People are now asking more from the employment sector. This new concept of balance is a positive step toward workplace equity and a satisfied workforce with greater autonomy and input. Staffing agencies can recalibrate by being the intermediaries for this new work vision.

Staffing agencies need staffing liability insurance to protect them against risks in a dynamic labor market. Growth potential brings greater liability, so having the right insurance products and coverage matters.

About World Wide Specialty Programs

For the last 50 years, World Wide Specialty Programs has dedicated itself to providing the optimal products and solutions for the staffing industry. As the only insurance firm to be an ASA commercial liability partner, we are committed to that partnership and committed to using our knowledge of the industry to provide staffing firms with the best possible coverage. For more information about Staffing Professional Liability Insurance or any other coverage, we have available to protect your staffing business, give us a call at (877) 256-0468 to speak with one of our representatives.