Workforce Logiq, a global provider of AI-powered workforce intelligence, technology, and services, today released its Q3 2020 Workforce Management Benchmark Report. The market analysis, which offers a predictive quarterly snapshot of U.S. talent volatility for professional and knowledge workers, reveals the total number of these employees categorized as volatile – and more likely to switch jobs – is down 7% over last quarter.
“The COVID-19 pandemic continues to have a rollercoaster impact on the labor market. Our benchmarks indicate employment sentiment is stabilizing after a highly volatile second quarter,” said Jim Burke, Workforce Logiq’s CEO. “Given recent corporate downsizing announcements, new COVID-19 spikes, and continued economic difficulty, employee volatility and retention risk may pick back up through end-of-year. Every employer needs to be equipped with data and context to make fast, accurate, and cost-effective talent decisions that help them ride out the uncertainty and plan an optimal workforce to take their organizations into 2021.”
The report, which explores employment volatility across major industries, job functions, metropolitan statistical areas (MSAs), and states, is based on Workforce Logiq’s proprietary and patent-pending workforce analytics and data science. Key findings include:
- All but three of the top 35 job categories – Doctors and Medicine (up 13%), Education (up 10%), and Investment (up 2%) – saw decreased risk of losing talent over the quarter. Public Safety (-33%) and Skilled Trade (-26%) showed the biggest volatility decreases. Of the 19 industry sectors, 13 showed quarterly score degradation compared to only five in the second quarter.
- Arts, Entertainment, and Recreation jumped to the top spot for worker volatility. At 16% above the national average, this hard-hit industry moved ahead of Finance and Insurance (60.1), Mining, Quarrying, and Gas Extraction (60.0), Utilities (56.7), and Transportation and Warehousing (55.9) with the highest average TRR ScoreSM (60.3).
- Recruiting jobs and finance roles are now tied for having the largest percentage of employees open to exploring new opportunities. Both functions are 76% above the national average for volatility. Marketing (74%), HR (66%), Investment (54%), and Engineering (52%) follow closely behind.
- The utility industry experienced the highest increase in talent retention risk. The sector’s employment volatility increased 13% over Q2. Mining, Quarrying, and Gas Extraction was one of the few industries to show improvement (-9%).
- District of Columbia (DC) is now the most volatile geographic area in the U.S., moving ahead of New York at 32% above the average for worker volatility. This shift is likely due to spikes in election and COVID-19 uncertainty, given DC’s heavy concentration of government and public service jobs and lack of operational control over federal buildings. All the top 25 MSAs, and all states except for New Hampshire, New Mexico, and New Jersey, decreased in volatility. Baltimore-Columbia-Townson, MD saw a considerable 27% improvement.
“Top workforce leaders anticipate and hedge against both retention risk and talent gaps with fast, strategic moves,” said Dr. Christy Petrosso, Chief Data Scientist and Talent Economist at Workforce Logiq. “With predictive insights, we’re helping employers identify where their biggest talent risks and opportunities lie, so they can expand their talent pools faster and more cost-efficiently than their competitors.”
Workforce Logiq uses proprietary AI models to calculate industry, company, and candidate-specific Talent Retention Risk (TRR) ScoresSM and predict the likelihood of professional and knowledge workers being receptive to unsolicited recruiting messages and job opportunities over the next 60-90 days.
The company tracks, aggregates, and analyzes more than 2,000 events, triggers, and shocks that can impact employment volatility – macroeconomic trends, company-level social media and news sentiment, employee churn indicators, industry news and events, and more – from more than 1 billion data points, 40,000 sources, and analytics on over 100 million candidates and 8 million organizations in North America.
TRR Scores range from low (less than 35) to high (above 70), with scores 35-49 considered average and 50-69 above average. High TRR Scores indicate high levels of workforce volatility.
To learn more about U.S. workforce volatility and the state of the professional and knowledge worker labor market, download the full report.
About Workforce Logiq
Workforce Logiq, a global provider of AI-powered workforce intelligence, technology, and services, enables organizations to win and retain the talent they need to grow. With clients in 50+ countries, Workforce Logiq provides expert guidance, real-time and predictive analytics, and patented and award-winning technologies. Workforce Logiq’s universal sourcing solution addresses all elements of its clients’ acquisition and retention programs, including full-time (RPO), contingent (MSP), and freelance/“gig” (FMS) workers. Backed by global investment firm The Carlyle Group, the company helps clients attain greater management, performance, and financial control over their talent supply chains.