Despite considerable uncertainty in the political environment worldwide, global economic and labor market growth is projected to strengthen in 2017 and 2018, led by key fundamentals including US expansion, dollar appreciation, and higher commodity prices. While the current outlook remains positive, risks also abound, as the world waits to see how the policies of a new presidential administration in the US, the beginning of the Brexit process in the UK, the implementation of the new Five-Year Plan in China, and significant elections across Europe play out.
A puzzling labor market paradox has been the gradual decline in worker productivity in many developed economies, not only following the recession but on a long-term basis as well. This slowdown is occurring at the same time as several phenomena that traditionally have accelerated productivity, causing economists to look closely for the reasons behind the productivity paradox.
As labor markets around the globe tighten and the war for talent intensifies, organizations are increasingly looking for additional expertise when it comes to attracting and hiring talent and optimizing their workforces. As a result, companies are turning to their RPO providers for more sophisticated processes, targeted talent offerings, and innovative techniques. The benefits of these value-added and specialized RPO processes can be significant, ranging from broader talent access to lower attrition rates to greater alignment with business strategies.