SHRM Survey Findings: The Ongoing Impact of the Recession—Federal Government

SHRM Survey Findings: The Ongoing Impact of the
Recession—Federal Government
September 25, 2013

• These are the Federal Government survey findings about the ongoing impact of the U.S. and
global recession, which began in 2007. This is the third year that SHRM has conducted this study,
and data are reported for 2010 and 2011 where possible. The results are reported in the following
sections:
» Skill gaps.
» Recruiting challenges.
» Recruiting strategies.
• Industry-specific results will be reported separately for each of the following industries:
» Construction, mining, oil and gas.
» Finance.
» Health.
» High-tech.
» Manufacturing.
» Professional services.
» State and local government.
• Overall and California results can be found on our website at www.shrm.org/surveys.
The Ongoing Impact of the Recession—Federal Government Agencies ©SHRM 2013 2
Introduction

Skill Gaps

• What basic skills/knowledge gaps do job applicants typically have? The most common basic
skills/knowledge gaps are writing in English (46%), government/economics (38%), mathematics
(25%) and reading comprehension (in English) (24%).
• What applied skill gaps do job applicants typically have? Over one-third of respondents cited
the following applied skill gaps: critical thinking/problem solving (59%), written communications
(47%), professionalism (42%), oral communication (41%), teamwork/collaboration (38%) and
leadership (37%).
• What types of jobs are the most difficult to fill? The top five most difficult positions to fill are
scientists (92%), high-skilled technical (82%), engineers (73%), managers and executives (64%),
and skilled trades (e.g., electricians, carpenters) (56%).
Key Findings: Skill Gaps
Federal Government

In general, what basic skills/knowledge gaps do job applicants have in
your industry?
Federal Government
Note: Percentages do not total 100% due to multiple response options. Only respondents whose organizations were having a difficult time recruiting for
certain types of jobs were asked this question.
4%
4%
4%
26%
35%
0%
17%
13%
39%
39%
22%
13%
0%
4%
10%
13%
14%
20%
24%
25%
38%
46%
Other
History/geography
Humanities/arts
Foreign languages
Science
Technical (computer, engineering, mechanical, etc.)
English language (spoken)
Reading comprehension (in English)
Mathematics (computation)
Government/economics
Writing in English (grammar, spelling, etc.)
2012 (n = 108)
2011 (n = 23)

In general, what applied skill gaps do job applicants have in your
industry?
Federal Government
Note: Percentages do not total 100% due to multiple response options. Only respondents whose organizations were having a difficult time recruiting for
certain types of jobs were asked this question.
0%
28%
16%
28%
32%
20%
20%
28%
24%
36%
28%
64%
8%
17%
23%
23%
25%
31%
37%
38%
41%
42%
47%
59%
Other
Ethics/social responsibility
Lifelong learning/self-direction
Creativity/innovation
Diversity
Information technology application
Leadership
Teamwork/collaboration
Oral communications
Professionalism/work ethic
Written communications
Critical thinking/problem solving
2012 (n = 118)
2011 (n = 25)

How easy or difficult has it been to fill the following job categories for
full-time, regular positions?
Federal Government
Note: This figure represents “Somewhat difficult” and “Very difficult” responses. “Not applicable” responses were excluded from this analysis. Only respondents
whose organizations were having a difficult time recruiting for certain types of jobs were asked this question. *Data are not provided where the sample size is less
than 20.
28%
56%
65%
81%
17%
23%
39%
50%
54%
56%
64%
73%
82%
92%
*Customer service representatives
(2012 n = 24)
Administrative support staff
(2012 n = 62, 2011 n = 22)
*Hourly laborers
(2012 n = 31)
Accounting and finance professionals
(2012 n = 58, 2011 n = 23)
*HR professionals
(2012 n = 50)
*Skilled trades (e.g., electricians, carpenters)
(2012 n = 34)
Managers and executives
(2012 n = 61, 2011 n = 20)
*Engineers
(2012 n = 44)
High-skilled technical
(e.g., technicians, programmers) (2012 n =…
*Scientists
(2012 n = 25)
2012
2011

Recruiting Challenges

• Is it difficult to recruit for positions requiring new and different skill sets? Over one-half (54%)
of organizations reported that it is somewhat or very difficult to recruit for completely new positions
or positions with new duties added that required new and different skill sets. Recruiting difficulty for
new and different skill sets has increased from 34% in 2010.
• Is recruiting for specific jobs difficult in the current labor market? One-half (50%) of
organizations currently hiring full-time staff indicated that they were having a difficult time recruiting
for specific job openings, an increase from 35% in 2011.
• Why are organizations experiencing difficulty hiring qualified candidates? Nearly one-half
(44%) of organizations indicated that candidates did not have the right skills for the job, and 40%
said that candidates do not have the needed credentials/certification. Thirty-seven percent of
organizations indicated that qualified candidates were not within their salary range or hourly range
rate. Three in ten reported that candidates did not have the right work experience (31%) or cited
competition from other employers (29%).
• Are organizations facing global competition for applicants for hard-to-fill jobs? About one-
quarter (22%) of organizations believe they are facing global competition for qualified applicants for
jobs they are having difficulty filling, similar to 2011 (28%).
Key Findings: Recruiting Challenges
Federal Government

For the new full-time, regular positions being created by your organization that
require new and different skill sets, how easy or difficult do you think it will be or
has it been thus far to find qualified individuals for those positions?
Federal Government
Note: Only respondents whose organizations were hiring full-time staff for positions with “new duties added to jobs lost” or “completely new positions”
that required either “a mixture of new skills and the same types of skills” or “completely new and different skills” were asked this question. Data are not
provided for 2011 due to the small sample size.
1%
33%
40%
26%
4%
50%
42%
4%
Very difficult
Somewhat difficult
Somewhat easy
Very easy
2013 (n = 52)
2010 (n = 70)

In general, in the current labor market, is your organization having a
difficult time recruiting for specific jobs that are open in your
organization? Federal Government
Note: Respondents who answered “don’t know” were excluded from this analysis. Only respondents whose organizations were currently hiring full-time
staff were asked this question.
Yes, 35%
No, 65%
2011
Yes, 50%No, 50%
2012
n = 80 n = 153

In general, in the current labor market, are you having a difficult time
recruiting for certain types of full-time, regular positions that are open in
your organization?
Note: Only statistically significant differences are shown.
Comparisons by industry
High-tech (82%)
Manufacturing (79%)
>
Federal government (50%)
Finance (66%)
Health (65%)
State or local government (52%)
Construction, mining, oil and gas (74%)
Professional services (70%)
>
Finance (66%)
Health (65%)
> State or local government (52%)
• Although there is recruiting difficulty across all industries, certain industries are experiencing more difficulty than others.
• The high-tech and manufacturing industries are more likely than the federal government, finance, health and state or
local government industries to be having difficulty recruiting for certain types of full-time, regular positions.
• The construction, mining, oil, and gas and professional services industries are more likely than the federal government
and state or local governments to be having difficulty recruiting for certain types of full-time, regular positions.
•The finance and health industries are more likely than state or local governments to be having difficulty recruiting for
certain types of full-time, regular positions.

What are the main reason(s) that your organization experiences
difficulty in hiring qualified candidates for full-time, regular positions?
Federal Government
Note: n = 75. Percentages do not total 100% due to multiple response options. Respondents who answered “don’t know” were excluded from this
analysis. Only respondents whose organizations were having a difficult time recruiting for certain types of jobs were asked this question.
44%
40%
37%
31%
29%
16%
15%
Candidates do not have the right skills for the
job
Candidates do not have the needed
credentials/certifications
Qualified candidates are not within our salary
range or hourly range rate
Candidates do not have the right work
experience
Competition from other employers
Candidates do not have high enough levels of
education/training
Low number of applicants

What are the main reason(s) that your organization experiences
difficulty in hiring qualified candidates for full-time, regular positions?
(continued) Federal Government
Note: n = 75. Percentages do not total 100% due to multiple response options. Respondents who answered “don’t know” were excluded from this
analysis. Only respondents whose organizations were having a difficult time recruiting for certain types of jobs were asked this question.
15%
13%
11%
4%
3%
3%
9%
Our organization does not provide relocation funds
Qualified candidates are not interested in moving
to our local area
Qualified candidates are not able to move to our
local area (due to mortgage or other issues)
Candidates are overqualified
Lack of interest in type of job
Local education/training system does not produce
enough work-ready/qualified job candidates
Other

Do you believe that your organization is facing global competition
(i.e., competition from other countries) for talent for hard-to-fill jobs?
Federal Government
Note: Respondents who answered “don’t know” were excluded from this analysis. Only respondents whose organizations were having a difficult time
recruiting for certain types of jobs were asked this question.
Yes, 28%
No, 72%
2011
Yes, 22%
No, 78%
2012
n = 25 n = 63

Do you believe that your organization is facing global competition
(i.e., competition from other countries) for talent for hard-to-fill jobs?
High-tech (33%) >
Finance (5%)
Health (6%)
Manufacturing (15%)
>
Finance (5%)
Health (6%)
Manufacturing (15%) >
Finance (5%)
Professional services (14%) > State or local government (4%)
• Organizations in the high-tech industry are more likely than those in the finance, health, manufacturing, professional services and state or
local government industries to believe that they are facing global competition for talent for hard-to-fill jobs.
• Organizations in the construction, mining, oil, and gas and federal government industries are more likely than those in the finance, health
and state or local government industries to believe that they are facing global competition for talent for hard-to-fill jobs.
• Organizations in the manufacturing industry are more likely than those in the finance and state or local government industries to believe
that they are facing global competition for talent for hard-to-fill jobs.
• Organizations in the professional services industry are more likely than those in state or local governments to believe that they are
facing global competition for talent for hard-to-fill jobs.

Recruiting Strategies

• What strategies is your organization using to deal with recruiting challenges for full-
time, regular positions? The most common strategies reported by organizations are expanding
advertising efforts (45%), offering more flexible work arrangements (39%), expanding training
programs to help improve skills of new hires (37%), collaborating with educational institutions
(35%), using social media to find passive job seekers (35%), expanding the search region (34%)
and increasing retention efforts (34%).
• Have organizations been hiring workers from outside the U.S. for jobs that have been
difficult to fill? Sixteen percent of organizations have hired workers from outside the U.S., and 3%
are considering hiring workers from outside the U.S. These results are consistent with findings in
2011.
• Have organizations been hiring U.S. veterans for jobs that have been difficult to fill? Most
organizations (87%) reported hiring U.S. veterans, and 2% are considering or have plans to hire
veterans in the next 12 months. These findings are similar to 2011 results.
Key Findings: Recruiting Strategies
Federal Government

What strategies is your organization using to deal with recruiting
challenges for full-time, regular positions?
Federal Government
Note: n = 71. Percentages do not total 100% due to multiple response options. Only respondents whose organizations were having a difficult time
45%
39%
37%
35%
35%
34%
34%
Expanding advertising efforts
Offering more flexible work arrangements
Expanding training programs to help improve skills
of new hires
Collaborating with educational institutions
Using social media to find passive job seekers
Expanding search region
Increasing retention efforts

What strategies is your organization using to deal with recruiting
challenges for full-time, regular positions? (continued)
Federal Government
Note: n = 71. Percentages do not total 100% due to multiple response options. Only respondents whose organizations were having a difficult time
31%
27%
14%
6%
4%
8%
Training existing employees to take on the hard-to-
fill positions
Providing monetary incentives to candidates
(e.g., signing bonus)
Improving compensation/benefits package
Offering new job perks
Other
None; we have not changed our recruiting strategy

Has your organization hired any workers from outside the United States
in an attempt to staff key jobs that have been difficult to fill?
Federal Government
Note: Respondents who answered “don’t know” were excluded from this analysis. Only respondents whose organizations were having a difficult time
16%
81%
3% 0%
20%
80%
0% 0%
Yes No No, but we are
considering it
No, but we have
plans to do so in the
next 12 months
2012 (n = 67) 2011 (n = 25)

Has your organization hired any workers from outside the United States in
an attempt to staff key jobs that have been difficult to fill?
High-tech (50%) >
Finance (16%)
Health (29%)
Manufacturing (24%)
Health (29%)
Manufacturing (24%)
> State or local government (11%)
• The high-tech industry is more likely than the construction, mining, oil and gas; federal government; finance; health;
manufacturing; professional services; and state or local government industries to have hired workers from outside the
U.S. in an attempt to recruit for hard-to-fill jobs.
• The construction, mining, oil and gas; health; manufacturing; and professional services industries are more likely than
state or local governments to have hired workers from outside the U.S. in an attempt to recruit for hard-to-fill jobs.

Has your organization hired any U.S. veterans in an attempt to staff key
jobs that have been difficult to fill?
Federal Government
Note: Percentages may not equal 100% due to rounding. Respondents who answered “don’t know” were excluded from this analysis. Only respondents
whose organizations were having a difficult time recruiting for certain types of jobs were asked this question.
87%
10%
1% 1%
96%
4%
0% 0%
Yes No No, but we are
considering it
No, but we have
plans to do so in the
next 12 months
2012 (n = 69) 2011 (n = 25)

Has your organization hired any U.S. veterans in an attempt to staff key
jobs that have been difficult to fill?
Federal government (87%) >
Finance (40%)
Health (57%)
High-tech (47%)
Manufacturing (60%)
>
Finance (40%)
High-tech (47%)
Manufacturing (60%) >
Finance (40%)
• The federal government is more likely than the finance, health, high-tech, manufacturing and professional services
industries to have hired U.S. veterans in an attempt to recruit for hard-to-fill jobs.
• The construction, mining, oil, and gas and state or local government industries are more likely than the finance, high-
tech and professional services industries to have hired U.S. veterans in an attempt to recruit for hard-to-fill jobs.
• The manufacturing industry is more likely than the finance and professional services industries to have hired U.S.
veterans in an attempt to recruit for hard-to-fill jobs.

Demographics

Demographics: Organization Staff Size
Federal Government
n = 209
11%
21%
19%
26%
23%
1 to 99 employees
100 to 499 employees
500 to 2,499 employees
2,500 to 24,999 employees
25,000 or more employees

n = 221
Other Demographics
Federal Government
U.S.-based operations only 60%
Multinational operations 40%
Single-unit organization: An organization
in which the location and the organization
are one and the same.
20%
Multi-unit organization: An organization
that has more than one location.
80%
Multi-unit headquarters determines HR
policies and practices.
39%
Each work location determines HR policies
and practices.
3%
A combination of both the work location and
the multi-unit headquarters determines HR
policies and practices.
58%
Is your organization a single-unit organization or
a multi-unit organization?
For multi-unit organizations, are HR policies and
practices determined by the multi-unit headquarters,
by each work location or by both?
Does your organization have U.S.-
based operations (business units) only,
or does it operate multinationally?
n = 222
n = 181
Corporate (companywide) 47%
Business unit/division 32%
Facility/location 21%
n = 182
What is the HR department/function for
which you responded throughout this
survey?

• Response rate = 8%
• 234 randomly selected HR professionals from the federal government in SHRM’s membership
participated in this survey.
• With small sample sizes, the response of one participant can affect the overall results considerably;
this should be noted when making interpretations of the data, particularly when interpreting small
percentage differences.
• Survey fielded August 28-September 14, 2012
SHRM Survey Findings: The Ongoing Impact of the
Recession—Federal Government Agencies
Survey Methodology

• For more survey/poll findings, visit www.shrm.org/surveys
• For more information about SHRM’s Customized Research Services, visit
www.shrm.org/customizedresearch
• Follow us on Twitter @SHRM_Research
About SHRM Research
Project leader:
Tanya Mulvey, survey research analyst, SHRM Research
Project contributors:
Alexander Alonso, Ph.D., SPHR, vice president, SHRM Research
Evren Esen, manager, Survey Research Center, SHRM Research
Kenya Newby, coordinator, research programs, SHRM Research
Copy editor:
Katya Scanlan, SHRM Knowledge Center

The Society for Human Resource Management (SHRM) is the world’s largest association devoted to
human resource management. Representing more than 250,000 members in over 140 countries, the
Society serves the needs of HR professionals and advances the interests of the HR profession.
Founded in 1948, SHRM has more than 575 affiliated chapters within the United States and
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SHRM Survey Findings: The Ongoing Impact of the Recession—Federal Government

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