Skip to content

Unfamiliar predicament unfolds before us, unf Sandy yet.

Persistent labor scarcity persists until 2030, primarily due to the nation's demographic predicament, including an aging population and emigration. In light of this, businesses will be compelled to devise innovative strategies for personnel attraction. - Revised Business Quarter Report:...

Persistent Labor Shortage Predicted to Last Until 2030: Demographic Crisis, Aging Population, and...
Persistent Labor Shortage Predicted to Last Until 2030: Demographic Crisis, Aging Population, and Emigrant Exodus Pose Challenges, Demanding Innovative Solutions for Talent Attraction

Unfamiliar predicament unfolds before us, unf Sandy yet.

Anna Rassomakhina, founding force behind "Valuable People":

  • To get a grasp on the HR trends for 2025 and beyond, let's dive into the whys and the hows, similar to unraveling a puzzle or sorting out any problem. Many of today's HR trends are consequences of our current circumstances.

Here's the situations we face:

  • The economy requires a workforce of 83.6 million in the near future. Realistically, we're talking about 75 million. The demand reaches its peak by 2030, and then it slows down.
  • A demographic crisis and an aging population — between 2022 and 2030, there's a decrease of 6.6 million young people while there's an increase of 4 million elderly.
  • The exodus of workers joining the military operation (SVO) and defense-industrial complex.
  • The increase of self-employed workers up to 12 million.
  • The exodus of migrant workers from usual countries in the CIS, who'd usually fill the gaps.
  • The scarcity of trained personnel.

As we see, a new era of labor market development has begun, a new crisis yet to be fully understood. Companies must address challenges while taking advantage of opportunities in the coming 2025.

So what's coming up in the field of personnel policy and recruitment? Let's dive deeper.

Competition for the Best Talent is Heating Up: Essentially, businesses won't be able to find enough quality employees to fill their ranks. And the primary trend, in my opinion, is retaining and investing in employees. If you can't retain your workforce, hiring becomes costly in terms of both money and time. Speed becomes crucial in recruitment: the speed at which you reach a candidate can determine whether you get them or the competition does. Here, recruiters can turn to automation and AI tools to sift through vast amounts of data, automate initial candidate screening, and swiftly invite them for interviews. A recruiter unfamiliar with these tools will struggle to compete with the speed of Formula 1 cars on a bicycle.

Employee Mobility and Flexibility: Modern workers value freedom and balance between work and life. Companies that offer flexibility in work formats have a competitive edge in the job market. Rigid companies risk losing staff.

Putting People First: A human-centric approach emphasizes employee health and well-being. Health directly impacts productivity and loyalty to the company. Creating comfortable work conditions, addressing personal needs, organizing medical care, and offering psychological support are essential HR policies in successful companies.

Individual Approaches: Mass management is giving way to individual approaches. Each employee is offered unique career development paths that take their individual goals and aspirations into account. This ensures motivation and engagement and strengthens employee retention. The goal is to foster an environment conducive to employee growth and happiness.

Building a Strong Employer Brand and Corporate Culture: In essence, the job market is turning upside down for a while. Previously, only employers looked for employees. Now, job seekers also have this opportunity, searching on company catalogs, choosing top-rated employers based on ratings, employee reviews, and sending resumes to the listed vacancies. Candidates value what former employees say, how a company handles departures, and how current staff feel about their work. Companies acknowledge the importance of building a positive image as a reliable and attractive employer. A strong corporate culture makes branding simpler.

Knowledge Management and Employee Development: Corporate universities and educational platforms are becoming commonplace, allowing companies to develop their own qualified staff, reducing dependence on the external labor market.

Supporting Internal Mobile Platforms: Implementing corporate applications simplifies communication, access to internal resources and document management, making the work process transparent and convenient for employees.

Virtual Reality Technologies and Metaverses: Using VR technology in the onboarding process of new employees opens up new possibilities for increasing engagement and efficiency. Candidates can familiarize themselves with the company's culture, participate in trainings and seminars, gain unique experiences, and boost their motivation.

Boosting Productivity: What used to take multiple people can now be accomplished by one through the use of robots and AI. These technologies become integral parts of organizations, automating routine tasks and, at times, even replacing entire staff positions.

Working with Diverse Groups: Smart employers are moving away from the standard candidate profile — under 45, with a mortgage, two children, and a college degree. Instead, they cater to diverse groups, such as pensioners and pre-retirees, people with disabilities, women on maternity leave, self-employed individuals, youth and students, refugees and migrants, rural residents, and even prisoners.

Attracting Foreign Workers: As the labor shortage in Russia grows, international cooperation in labor relations becomes increasingly important. Russian employers collaborate with several foreign partners to compensate for the scarcity of domestic personnel. The main directions of this collaboration are Central Asia, the Middle East, and East Asia. However, there's potential for expanding collaborations with countries such as India, China, Turkey, and South Korea.

For additional insights, check out these articles on our website:

  • "Work is part of life, but not all of it." Mastering the art of working with Generation Z employees.
  • "Wise and motivated." why businesses need the "silver 50+" generation.
  1. I'm not sure if the fashion-and-beauty industry will be able to adapt to the changing workforce demographics, considering the rise in aging population and decrease in young people by 2030.
  2. In the near future, it would be interesting to see how the lifestyle trends of pet owners evolve, given the increasing number of self-employed workers and the scarcity of trained personnel.
  3. As more companies invest in employee well-being and health, food-and-drink options in the workplace may become more personalized and health-conscious.
  4. With the demand for employee mobility and flexibility, the travel industry might see an increase in business travel, particularly for job interviews.
  5. As more companies shift towards individual career development paths, shopping experiences could become more customized, reflecting individual aspirations and goals.

Read also:

    Latest