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5 Reasons to Invest in Your Employer Brand During a Hiring Freeze
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In unpredictable economic climates, it’s not uncommon for companies, including those in high-demand sectors like technology and healthcare, to implement a hiring freeze. While this might seem like a time to pull back on investments, particularly in areas such as employer branding, this could actually be the ideal opportunity to differentiate and strengthen your company for the future. As Harvard Business Review highlights in its 2023 Strategy Spotlight Series, “When faced with disruptions and downturns, many leaders and companies instinctively focus on cutting costs to maintain profitability. But some identify opportunities and then take thoughtful action to emerge from crisis even stronger. That means not only planning for worst-case scenarios and pressure-testing operational and financial health but also staying alert for ways to find a winning edge and making needed investments.” That winning edge just might be the strength of your employer brand. Read on for our take on why now is the time to continue, if not increase, your organization’s focus on employer branding during a hiring freeze.
Eventually, hiring freezes thaw. When they do, companies find themselves in a competitive scramble to attract the top talent that’s been idly waiting. Investing in your employer brand ensures you’re not starting from a brand awareness deficit. Rather, you’re already on the radar of high-quality candidates who are primed to see your organization as a worthy and desirable employer, not only because they’ve been exposed to your brand message, but also because they’ve witnessed your company’s sustained commitment to its most valuable asset, its people.
An often overlooked aspect of employer branding is the impact on current employees. During a hiring freeze, your workforce may feel uncertain about their future or the company’s direction. A strong, confident employer brand helps to mitigate these concerns, reinforcing your commitment to quality, growth, and resilience. It reassures your team about the health and forward momentum of the organization and can be a key factor in retaining your top performers, who are often the most at risk of being headhunted by competitors.
A hiring freeze can inadvertently amplify your company’s values, emphasizing quality over quantity and strategic growth over rapid expansion. By investing in your employer brand, you communicate these values both internally and externally, reinforcing the perception of your brand as an industry leader that’s calculative and compassionate, even in challenging times. Authenticity shines when it’s tested, and potential future stars will notice.
With active recruitment on hold, a hiring freeze presents a unique opportunity to nurture and develop your talent pipeline. Investing in employer branding through tailored communication, virtual events, and engagement initiatives keeps potential candidates warm. It provides a platform for meaningful interaction with the brand, ensuring that once hiring resumes, there’s a prequalified pool of enthusiasts ready to jump at the opportunity to join your team.
Unsurprisingly, talent acquisition budgets are often the first to be cut during a hiring freeze. However, companies that buck that trend are seizing a competitive leg up by conveying a message of stability and long-term vision while others fall silent. This strategy positions your company as a leader that invests in its people and employer brand reputation regardless of immediate hiring needs. Moreover, with fewer employer brands competing for attention, your brand can capture a larger share of voice and lower paid-media bids. In our view, that’s a rare win-win-win trifecta.
The continuity advantage
When we created our first employer brand for Johnson & Johnson more than 25 years ago, employer branding was a novel endeavor led by early adopters. Today, most companies—including the clients we’re fortunate enough to serve—know that employer brand strategy is at the heart of talent strategy, and that shrewd talent strategy is shrewd business strategy. As a result, simply having a strong employer brand isn’t enough to gain an advantage. But having a strong employer brand with sustained (or even better, increased) commitment in the face of strong business headwinds will help you accrue that advantage.
Remember, your employer brand is always on display, influencing potential candidates’ perceptions and decisions, as well as impacting your existing employees’ morale and engagement. With this in mind, it’s easy to see why strategic, thoughtful, sustained investment in your employer brand is essential, particularly when you’re not actively adding new members to the team. It sets the tone for recovery and growth, reinforces your position as a visionary leader in your industry, and most of all demonstrates your company’s belief in its own bright future.
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BNO brings 25 years of experience helping companies build and sustain award-winning employer brands—come rain, sun, freeze, or thaw!