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3 For years, economists have warned of the growing skills gap caused by insufficient numbers of graduates in certain STEM fields. At the same time, a demographic time bomb is set to significantly curtail global growth as many industrialized nations will experience large waves of retirement in the near future. Add in the economic disruption and intensified need for digital skills brought on by the pandemic, and it's easy to see how the labor shortage can persist well into this year and beyond. Today's talent scarcity challenges are deeper, structural issues worsened by anemic past investments in skilling and the acceleration of digital workflows. Redeploying resources takes time, and many employers are under pressure to transform their workforce more quickly even as the demands of the business grow more complex and unpredictable. So how will you help your organization adapt to this volatility with your talent strategy in 2022? This year's Talent Trends research found a people-centric mindset among human capital leaders. An overwhelming majority (84%) say their organization is more focused on the talent experience than in the past. At the same time, just 45% say their talent acquisition strategy is more about value creation than about achieving savings — a 5-year low and a 22-point drop from 2021 findings. What does this mean for the state of talent acquisition? Considering the extreme difficulties witnessed in the labor market in 2021, human capital leaders were far more occupied last year with operational emergencies than with long-term and strategic planning. Fighting fires has become a full-time job. Under pressure to hire, onboard, train and build remote teams while preserving company culture and attempting to stem costs, most human capital leaders didn't have time or resources to drive greater value creation in 2021. Now, as you take on the challenges of a new year, you'll need to focus on advancing the readiness of your workforce, keeping the talent experience at the center of your business growth plans, and finding creative ways to acquire the high-demand skills your organization needs to meet its goals. This will require a strong focus on putting people first and greater investments in technology, analytics and reskilling. In fact, while 75% of those we surveyed believe reskilling is an effective way to combat the scarcity challenge, only 29% say they are investing in this area to help with the skills shortage. As Nya Patel, vice president of talent acquisition at financial services giant Prudential Financial, recently told us: Our 2022 Talent Trends research will help you understand the complex web of developments that is today's world of work. And it will give you ideas about how you can recharge, refresh and renew your talent strategy to shape your company's future. From job flexibility to remote working to an explosion in HR technology offerings, we'll celebrate the wins you and your peers are making as you adjust your human capital strategies in these unfamiliar times. Dive into this year's top 10 trends to see the data and people-centric strategies that will help you prepare for whatever surprises may be around the corner, while creating the structure you need to create long-term value. Nya Patel vice president of talent acquisition Prudential Financial "While this year has been exhausting for talent acquisition professionals, our success has truly been in rethinking what we do, how we do it and adapting to the market."

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