Monday, September 25, 2023

Job inflation, what is it and what are its causes?

Job inflation Unemployment is the trend that many companies are following by offering and forcing lofty job titles on their employees without any real impact on career development or even compensation.

«In the past, titles such as leader, director or partner required years of experience and hard work. Now, however, that seems to be changing. It is what we can colloquially call “titulitis,” and it is becoming increasingly common among young Generation Z professionals,” says Begoña Soler, Managing Consultant at Walters People, a staffing and temporary employment company that focuses on young, Technical, management and qualified support is specialized.

According to an analysis of more than 2 million technology ads by Datapeople, Recruiters have tripled their use of the word “leader.” for positions aimed at young professionals since 2019. At the same time, the use of the word “junior” has been reduced by half.

What is the cause of job inflation?

The proliferation of these job titles comes at a time when companies have to make great efforts Efforts to adapt to the expectations of professionals of the youngest generations, like Generation Z, without necessarily having the financial means to reflect this in their compensation.

According to a Walters People survey, more than half of Generation Z expect to get a promotion every 12 to 18 months, and if they don’t get it, they will actively look for a new job.

Why do organizations allow job inflation?

By inflating jobs, organizations want to make a contribution Image of credibility towards its customers and partners. Additionally, this can compensate for limited internal advancement opportunities or below-market salaries. Therefore, the job title would become an additional tool Retain the best talent in a highly competitive job market.

“It is common for a Gen Z professional to prefer a Chief Data Officer position in a startup rather than being a data analyst in a Big 4. In addition, it is important for start-ups to present a senior organizational chart when.” “It’s about looking for financing,” analyzes Soler.

What problems can job inflation cause?

Datapeople points out that the term “Senior” If used incorrectly, the number of applicants for the job offer can decrease by 39%. Less experienced candidates may be viewed as underqualified for the job, even if they have the right skills. On the other hand, candidates with extensive experience may feel discouraged by the tasks performed and a level of responsibility below their level.

“Candidates with impressive titles that go beyond their actual skills cannot adequately justify their professional history in an interview and therefore may have difficulty getting the job they want,” explains Soler.

Nation World News Desk
Nation World News Desk
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