Unemployment rates are at historic lows and the economy is booming! That’s good news for business, right? Yes…and no. While low unemployment creates more demand for the goods and services offered by companies, it also means that employers will have to compete for an ever-shrinking pool of workers. This leaves employers with two options: offer workers better pay or benefits, or lower hiring standards.
The prospect of lowering hiring standards is sure to give employers heartburn since it can increase training costs and potentially decrease productivity, while increasing worker pay and benefits comes with its own costs that can hurt the bottom line. But a new service being offered to employers and their employees touts itself as providing a lower-cost solution.