Escalating skills shortages and increased competition for talent are making it much harder for many firms to recruit the staff they need.
The latest CIPD/Hays Resourcing and Talent Planning Survey finds that 78% of 520 UK HR professionals polled say they have faced recruitment difficulties in the past year.
The research shows that most firms have to look externally to meet the need for new skills. While 45% of respondents are making efforts to develop more talent in-house, 74% are recruiting externally to bring in key talent and support niche areas. Almost half the firms (44%) said they anticipate an increase in headcount in 2015.
Managers, specialists and technical staff are proving to be the most difficult vacancies to fill. A lack of specialist skills and experience are making recruitment more challenging, with 63% of those polled saying that the skills needed for jobs in their organisation are changing.
Meanwhile, a fifth of those who have difficulty recruiting administrative or manual workers say that pay is the main problem.
Jessica Cooper, CIPD research adviser, said: "Organisations are increasingly feeling the pinch when it comes to sourcing key but scarce skills. Hiring new talent is just part of the solution for addressing skills shortages. Once people are in a role, they still require ongoing development to achieve their full potential and meet ever-changing and critical skills needs. Organisations need to consider how they can align recruitment activity with an increased focus on internal talent development."
The way people recruit is also changing, according to the research. Twice as many organisations are reporting that they have formed a closer partnership with recruitment partners in the past year in order to find top talent; only a third of respondents have reduced their use of a recruitment partner.
The findings also reveal that 47% of organisations are targeting candidates who are not looking to move; in addition, 43% would consider recruiting those with potential, but without experience, and then equipping these staff with the skills needed.
Barney Ely, director of Hays Human Resources, said: "With falling unemployment and candidate confidence to move jobs increasing, staff retention is firmly back on the agenda. Improved pay and benefits is one solution, but it is those organisations which are able to invest in learning and development opportunities … that will find themselves at an advantage in a growing economy."