For a number of reasons, access to skilled talent has been a struggle for the last several years. In the aftermath of the pandemic, worker preferences to remain in remote or hybrid positions limited access to some potential employees. At the same time, a deficiency of key talent in some areas also contributed to the shortage, while additional factors have included shifts in migration patterns and total workforce numbers. As a result, many firms have turned to alternative solutions such as outsourcing talent for key positions. But with changes seemingly inevitable thanks to the looming U.S. presidential election, will workforce talent access remain readily available?
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Despite being polarized and divided, partisan policies affecting future workforce talent access share some commonalities. They also have some key differences that could affect talent acquisition after the election in either positive or negative ways. Specifically, ideologies and policies related to immigration, education, and labor could each be important. Thus, depending on which party is elected, different talent acquisition strategies may be required. Planning ahead for both scenarios can save both time and resources while better positioning a firm for success. Understanding this, the following highlights possible shifts related to future workforce talent access based on the election’s outcome. The ultimate results are certainly hard to predict. But proposed policy positions can help provide some perspective.
Immigration Policy Effects on Talent
Immigration reform has been a hot topic for the U.S. for some time. Asylum seekers, refugees, and illegal immigrants have increased in number, and this can have positive and negative effects on labor talent availability. Being able to access immigrants with desirable talents and skills has the potential to lower labor costs through higher supply. But when such immigrants are illegal, hiring these workers carries serious risks. At the same time, it’s been well recognized that current and future workforce talent access is declining. This is because legal migration into the U.S. has become progressively less. Ideally, legal immigration would provide better labor supply, especially when such labor has high-level skillsets. And this is where policies could affect talent acquisition after the election.
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In evaluating immigration stances, both Democratic and Republican platforms recognize a need for aggressive action. The number of illegal immigrants at the southern U.S. border is tremendous. On the Democratic side, there is support for developing a meaningful path to citizenship for certain immigrants. There is also support for reforming existing visas and existing caps that limit the number of legal migrants to the U.S. And Democratic policies seek to protect some undocumented immigrants, such as Dreamers and those under DACA. This approach to immigration might make talent acquisition after the election easier. It might also lower labor cost as labor supply increase. But it may also shift the future workforce talent access to less skilled workers.
Republican policies, on the other hand, support mass deportation of illegal immigrants and the ban of birthright citizenship. This would immediately reduce labor pools in volume and potentially make talent acquisition after the election harder. However, they also support expanding green cards to U.S. college attendees. The latter could increase higher-skilled worker pools in the country while reducing unskilled employees. This would be the kind of future workforce talent access desired given technological advances in AI and other areas. But such approaches may also increase employee hiring costs, which are already quite high.
Labor and Education Policy Impact on Talent
While immigration policies have the potential to affect talent acquisition after the election, so do education and labor policies. Labor policies that address worker rights can affect company human resource costs. Those that restrict company labor practices can do the same. In addition, education policies determine access and support related to skills development. Adopting educational strategies that cultivate a future workforce talent access in the right areas can be highly beneficial. Both parties appreciate these needs, but how they approach them is quite different given the current candidates.
On the Republican side, the overall approach to labor is one of protectionism. In other words, there is a strong preference to award jobs to domestic workers rather than foreign ones. As a result, one proposed policy seeks to ban companies outsourcing services from federal programs. This policy would achieve greater opportunities for American workers, but it could eliminate the many outsourcing advantages for some firms. On the education side, one policy looks to get rid of the U.S. Department of Education, leaving education policies to the states. In fact, if preserved, it has been suggested that Labor and Education departments should be combined. This could better synchronize labor needs with worker skills, enhancing future workforce talent access.
Democratic policies for labor and education are significantly different. Thus, they could affect talent acquisition after the election in different ways. On the labor policy side, key supports for workers have been touted. These include equal gender pay, unionizing and collective bargaining rights, and paid family leave. While these better support workers, they also have the potential to increase labor costs over time. Understanding this, this might make talent acquisition after the election more challenging for some sectors. In terms of education policies, the Democratic platform also encourages college and advanced education. But rather than allowing states to take control, the approach is one where access is improved at a federal level. This is to be accomplished via reduced to free costs of college enrollment. Notably, this will potentially advance skills as well. But it may not necessarily be well aligned with talent market needs.
Planning for Future Workforce Talent Access
Given the differences in labor, education, and immigration policies, talent acquisition after the election may greatly vary. Both Democratic and Republican platforms recognize issues in these areas, and some policies share a common focus. However, the specific changes proposed by each differ greatly. As such, the unique talent needs of an individual company or sector will dictate which policies appear most favorable. In many cases, virtual talent and business process outsourcing will offer a better approach. This is particularly true given limited future workforce talent access and high costs in some areas. In other instances, companies may wish to seek assistance in strategy formation as it relates to talent acquisition. Regardless, having a talent acquisition plan in place contingent on the election outcome is worthwhile.
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