December 3, 2023

Investment Banking

Let Your Investment Banking Do The Walking

Here’s How Long It Takes for Companies to Hire in 2023

  • Landing a new job this year may take a while, a study from two HR firms suggests. 
  • It takes companies an average of 44 days to hire for an open role after posting the job.
  • Tech and retail hire the fastest, while defense and investment banking are the slowest to hire.

Applying for a new job this year? You might have to wait longer to hear back than you expected. 

A new hiring trends report from HR firms The Josh Bersin Company and AMS found that the average time-to-hire rate — the number of days between a company first posting a position to an employee accepting the offer  — has reached an all-time high. It takes companies an average of 44 days to fill an open position, a day longer than last year’s hiring cycle, the report says.

For jobs classified as “easy to fill,” the process could take 14 days, while “difficult to fill” positions may go unfilled for two or three months, according to the report.  

Experts suggest that companies are finding it difficult to fill open positions as industries seek new, emerging skills that workers may lack amid an uncertain economy, Janet Mertens, Josh Bersin Company’s senior vice president of research, said in a press release.  

“Whatever may be happening in the world economy currently, it is clear that supply and demand are not in sync in terms of the type of skills available and the gaps that need to be filled,” Josh Bersin, the CEO of the Josh Bersin Company, said in the release. 

The actual time it takes to fill a role can depend on the industry.

The energy and defense industry was found to have the longest time to hire — 67 days — followed by investment banking, in which it takes up to 60 days to fill roles, and professional services, with an average time to hire of 47 days.

Companies in the retail and consumer industry were found to take the least amount of time to fill open roles, while those in tech and media take about 20 days to hire workers. 

The research suggests that businesses may need to hire more quickly if they want to stay competitive. 

“In the current age, the large number of days it takes to hire remains unsustainable if companies are to remain competitive and keep pace with the fast-changing needs of their industry,” Bersin said in the release. 

The findings come as workers are finding it tough to secure new roles amid mass layoffs, AI-powered hiring schemes, and the rise of ghost jobs — or open roles that are posted with no intention of being filled.

To add to the difficult job search, companies are getting pickier about who they hire. Businesses in the tech, healthcare, and education sectors are actively seeking candidates ChatGPT expertise.

For their part, job candidates have started to express frustration over how long the recruitment process is taking.

Ayomi Samaraweera, a worker who went through nine rounds of interviews for a role, told CNBC that the recruitment process was “draining.” The company did not get back to her for over four weeks, and she later learned she didn’t get the job.

Megan Burr, a marketing professional, told Insider she got ghosted by a company hiring for an open marketing role after nine rounds of interviews, which she said was “excessive.” 

“I’ve easily spent 20 hours on a single interview process,” Burr first told The Wall Street Journal. “From a business perspective, I don’t understand it.”