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Research measures gender wage gap

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Staffing and recruiting professionals, as experts in hiring practices, may already know the results of a new earnings report from Pew Research Center. According to the agency, women earned 84 cents for every $1 made by men in 2012. Depending on the industry or sectors in which a recruiting and staffing professional specializes, this figure could be surprising or feel right on target.

The earnings figure Pew found is slightly higher than the 81 cents to every dollar figure reported by the U.S. Bureau of Labor Statistics. One reason for the earning discrepancy is that the Pew study estimated the gender wage gap in terms of hourly wages, while the government research took account of weekly earnings. Simply put, the differences in income are the result of a difference in hours.

The differences in reading wage statistics

According to the Pew study, women are twice as likely as men (26 percent versus 13 percent) to work part time. This naturally would have an overall impact on the earnings of women in general, if you compared the weekly wages of both genders. To reduce the skew, the government study only used figures from full-time workers, those who work at least 35 hours a week.

The differences in earnings is said to somewhat be derived from the break most women take in the middle of their careers to raise children. However, figures that dissect earnings for women and men throughout the progression in their careers show that even at the beginning of their careers, when women are right out of college, there is a discrepancy.

How millennial women react to the news

Among workers between the ages of 25 to 34, women’s hourly earnings last year were 93 percent of those of men. The LA Times reported that this wage gap is even more severe considering that 38 percent of women between 25 and 32 have a bachelor’s degree – more than the 31 percent of men of the same age group.

“Recent cohorts of young women have fallen further behind their same-aged male counterparts as they have aged and dealt with the responsibilities of parenthood and family,” Pew researchers wrote. “For women, marriage and motherhood are both associated with less time spent on paid work-related activities.”

Many of the women interviewed in the study and by various news networks found that there is still much to be desired for equality in the workplace. Positive movements have certainly been made, but some view that there is still more to be done to ensure women and men have the opportunity to earn equal wages for the same work.

Possible ways staffing and recruiting professionals can help narrow the earnings gap

While staffing and recruiting professionals are unable to decide the income men and women receive for a position, they can better prepare candidates for salary negotiations. Experts have argued that the wage gap is partially the fault of women being unable to effectively negotiate higher wages, while men are often more likely to demand higher compensation in initial meetings. By evaluating candidates from staffing software and recruiting software and providing negotiation technique tips that will highlight an individual’s talents, a recruiter could help his or her client achieve a better salary.

This will hopefully help reduce the wage gap that still plagues female and male relations in the working world. Every little bit to help bring equality to the workplace can help, and benefiting clients is the real win for recruiting professionals.

 

Take Home the Gold in 2014 when you Stay Ahead of These Staffing Trends

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Mentally Prepare, Physically Train, Gloriously Fail. Get up. Repeat. And Keep Going for the Gold.

This year’s winter Olympians have done that all their lives. Truly great players like Kesler, Carlson and Quick show us how to look to the future, how to train, how to improve. And ultimately how to make a vision a reality… like playing on the 2014 U.S. Olympic Hockey team.

Here at Bond, we are honored to bring the best staffing and recruiting software to staffing pros who are poised to take home staffing gold this year. They have been studying the trends driving the industry. They dial-in and not only react, but predict and deliver what is needed in order to drive efficiencies into their staffing businesses.

With them, we have identified 5 trends which we feel ALL staffing and recruiting pros should study, and plan for carefully.

Could this year be a “Miracle off the Ice” for you? Get ahead of these 5 trends and claim the gold for yourself!

 

Staffing Trend 1 – The Need to Cast Wider Nets to Recruit Talent is Growing

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In order to achieve great results, champions know no bounds. This approach to the game is what moves NHL greats to Olympian status.

Today’s recruiters face the same opportunity. To score the best talent, recruiters must not see obstacles. Rather, they need to set up wider nets.

Even with the unemployment rate of ~7 percent, talent seems to be scarce. According to Price Waterhouse Coopers U.S. CEOs are sharing that a shortage of skills is a potential threat to growth.

Staffing firms can get ahead of this trend by using social media, video interviewing, and actively courting qualified referrals.  Managing the deluge of candidates found through these (and other) methods can be done more efficiently with well selected recruiting software.

 

Staffing Trend 2 –   Labor Pool Access is More Open – Yet Challenging to Manage

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From a VERY deep talent pool, only 25 players were selected for the men’s U.S. Hockey team. It wasn’t easy and it was definitely a thorough process.

Likewise, recruiters have few boundaries and lots of access to candidates especially online job seekers (and non-seekers). With the growth of social recruiting (from 56 percent of employers in 2011 to 77 percent of employers in 2013) the addressable labor pool has grown at staggering rates. But let’s be honest, bigger has not necessarily meant better.

The opportunity for recruiters is to invest in the right systems, processes and recruiting software designed to rapidly source qualified candidates, especially those with a high degree of specialization.

 

 

Staffing Trend 3 – Mobile Recruiting is Becoming a Must!

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Olympians have heart. They have brains. And bottom line, they have the pure will to win. They are different from most of us in that they persevere when in pain. They get up and keep going when – for most of us – we might prefer to take a nap.

Mobile recruiting will be a key focus for staffers in 2014.  86 percent of jobseekers use mobile phones. 90 percent of job seekers read emails (potentially from recruiters with career opportunities) on their phones. And 82 percent expect to apply for a job via a mobile device.

Will you win market share by developing and enhancing your mobile presence? It means more work than simply maintaining a traditional web presence. For those of us not up to the mobile challenge, it might just be time for that nap.

 

Staffing Trend 4 – Social Staffing – It’s no Secret – Is Here to Stay…and Grow

shutterstock_80672521Suiting up since they were three. That’s the story of most of this year’s U.S. Olympic Hockey team. And to make it this far, they have been dedicated to studying and practicing the nuances of their sport.

While 95 percent of LinkedIn members are open to relevant InMails from recruiters, the magic is finding the right candidate and romancing them enough to find interest in the career opportunity you hold in your hand.

Hiring managers and staffing offices will continue to use social media as part of their recruiting process. But those who study the nuances of social recruiting and learn how to integrate with their staffing and recruiting software will have success courting highly qualified – often passive – candidates.

Some staffing companies no longer require resumes, replacing them with a candidate’s LinkedIn profile. If you haven’t yet, it’s time to study up and adapt to social recruiting. Hit it with eyes of wonder. Like a 3 year old future Olympian!

 

Staffing Trend 5 – Contract Workers are Nearly Doubling

shutterstock_72956344In 2010, 8 percent of U.S. Hockey Olympians were returning to the Olympics. This year over half the team is composed of returning Olympians.

Building bench strength can lead to a stronger future workforce.

42 percent of employers plan to hire temporary or contract workers in 2014, up from 40 percent in 2013. 57 percent plan to increase the number of contingent hires. The reasons vary, but the reality is the same.

Develop the processes and grow the systems to become not only a skilled recruiting agency, but also a staffing firm, with a recurring revenue stream, and you will be relied upon by your clients to fill their contingent workforce.

Study up staffers and recruiters. This year is destined to be a golden year for you. All you have to do is follow the biggest industry trends and setup your business to stay ahead of them.

Sound simple? Well remember to mentally prepare. And know that you may gloriously fail. If you do, get up my friend! Repeat. And keep going for staffing and recruiting gold. 

Sun Tzu and the Art of Engineering Staffing Victory

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In a previous post, I mentioned four key steps in addressing the issue of staffing employee retention. In order to continue that discussion, I thought it would be wise to look at the issue from a micro perspective. One of my favorite books is Sun Tzu’s Art of War and for those of you unfamiliar with it, I would recommend checking it out. It’s one of the most important leadership, strategy, and decision-making books ever written.

I was reviewing my dog-eared and heavily highlighted copy the other day and ran across a section that stood out in terms of defining and achieving victory in the staffing industry. Effectively applying the “Five Factors for Victory” that Sun Tzu spoke about could be the difference between being just an average firm in your market and becoming an elite firm. Ultimately, if you can engineer victories in the field, your people will be more inclined to stick with you. After all, everyone loves a winner.

First, know when to fight

The first factor for victory that Sun Tzu spoke about was knowing when you can fight and when you can’t fight. From a staffing perspective, this is essentially saying that we should all pick our battles and what opportunities to take on. Practically speaking, the firms that successfully take on the roles that are “center of the circle” for their practice will emerge victorious and grow while their competition remains stagnant or declines. Taking on a role for the sake of taking on a role isn’t a winning formula.  If the goal is victory over the competition, it is unwise to try to be all things to all people. Knowing what you can deliver and being able to deliver it means certain victory.

Second, focus resources

The second factor for victory that Sun Tzu spoke about was recognizing how to deploy large and small numbers. In staffing, this is all about working closest to the dollar on the highest margin opportunities. From a practical perspective, it’s essential that sales and leadership have a system in place to determine what the hottest recs are and assign the number of recruiters accordingly. Additionally from a sales and planning perspective, this also means keeping an eye on mid-term and long-term projects your clients have coming up. The ability to have a pipeline of candidates ready to fill roles before the competition even gets wind of the rec is a crucial success factor. The majority of clients I brought to Addison was a direct result of working my project pipeline and keeping my leadership and rock-star recruiting team in the loop on what I had coming up. Do this successfully and you win.

Third, align goals

The third factor for victory that Sun Tzu mentioned was having leadership and the team in alignment on goals, objectives, and desires. This is a critical leadership issue in any firm but especially staffing. We all know what a “day in the life” for us looks like, so it’s essential for leaders within our organizations to be visible, communicate the message, and inspire the troops. The difference between winning and losing an account can come down to the passion your recruiters and sales people have for the firm. If you’re inspiring your people and sharing with them the vision and mission of your firm, you win.

Fourth, prepare, prepare, prepare

Fourth, Sun Tzu noted that those who wait fully prepared for the unprepared to act will always win. From a sales perspective, this is a critical success factor. Your team should be digging in to the weeds about their prospects. They should know what skills the hiring managers look for, what personality types work well with the team, who is planning on leaving, and any number of other things about the firm (and be able to keep track of the information for easy retrieval). I found that asking every hiring manager who their best employee was and their plan if that person left tomorrow crucial to really understanding the manager and the account. Understanding the granular details of what the account is looking for and being prepared to deliver it in “emergency” situations guarantees victory.

Fifth, lead with trust

Lastly, Sun Tzu noted that capable leaders needed to be left alone in order to insure victory. This point applies at all levels of the organization and is especially important from a morale and turnover perspective. Once you’ve determined that the team you have in place is capable and have the tools needed to perform their jobs successfully, there’s no need to micromanage them and map out a step-by-step list of things for them to do. Your role is to inspire and coach. If you fall into the trap of micromanaging, you run the risk of having your star players and even your “steady Eddies” going elsewhere.  If you’re focused on inspiring, motivating, and coaching your team instead of micro-managing them, you will win.

Everyone knows that we’re in the business of selling people to people. In an environment where there are very few quantifiable differences between your firm and your competitors, it becomes critical to really understand what defines your firm as unique. Sun Tzu mentioned that one of the keys to victory is to know yourself and know your enemy. Applying these steps in addition to empowering your teams with the proper tools for battle will insure your victory. Want to win more and more often? Check us out.

 

Staffing & Recruiting Software Lessons from Super Bowl 48

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Russell Wilson, Seattle Seahawks QB

Staffing & Recruiting Software Lessons from Super Bowl 48

Did you watch Super Bowl 48?

Better yet, what did you learn?

Staffing and recruiting professionals learned A LOT from the team that executed at the top of their capabilities!

Here are 6 Sweet Lessons from the Seahawks.

RECRUITING SOFTWARE LESSONS

Offer a vision of your client’s future when you present “Player of the Year” candidates.

Suss out super stars fast with recruiting software that offers super effective resume management.

No matter where you look, you should always have instant access to important staffing data via your recruiting software.

Plan for it.
And it will happen!

The future of SaaS-based recruiting software is NOW.

And soon it will
differentiate you.

Start thinking about how cloud-based recruiting software can reduce total cost of ownership, simplify IT maintenance and enable you to be more nimble as you grow.

Guide your candidates throughout their career.

Carefully select monitoring and tracking tools which help you nurture your most talented recruits and place them in the best positions as they are ready to advance.

Ensure your recruiters and sales team can accomplish 80% of their tasks from a single screen.

Seriously!
It’s that important!

The more quickly & effectively they can manage their activity the faster job orders will be filled and sales will be closed.

…FROM THE PLAYBOOK…

Prophecy was fulfilled when Russell Wilson was named starting quarterback for the Seahawks in 2012.

The future $100 Million Man helped trounce Denver as he led the team on a crushing 43-8 Super Bowl conquest.

Wilson consistently has mystical access to 3, 4 and sometimes 5 receivers during a play.

It’s not an accident.

As the first QB to post a 100+ passer rating in each of his first two seasons, he PLANS for it and it HAPPENS.

With histories of practice and games at CenturyLink Field, the Seahawks’ defense performed like a brick wall. Linebacker and the game’s MVP, Malcolm Smith, made the point of pride when he said, “We attack all over the field.”

It’s about being ready.

Contact Bond when you’re ready for the future of cloud-based recruiting software.

The Seahawks saw insane talent in Bruce Irvin.

With Coach Carroll’s guidance he’s been able to showcase multiple talents as linebacker, outside linebacker and (Fans didn’t have to WAIT for it ) defensive end!

The Seahawks’ laser-like commitment to a small yardage strategy clearly got results.

The team spends a phenomenal amount of time in their opponent’s end zone.

Ah, to taste a touchdown!

The Seahawks Super Bowl 48 win
inspires staffers and recruiters alike.

This year, let’s all follow Pete Carroll’s Mantra
“Always Compete”.

Future sight: ‘Big data’-enabled staffing and recruiting software to create actionable insights

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The future holds big promises for big data

There has been a lot of conjecture about what ‘big data’ – massive databases of information managed by super-computers and powerful software — might be able to do to improve virtually every aspect of our lives. IBM, for example, has recently released its ‘five in five’ predictions for Innovations that will change our lives in the next five years, and these five innovations have amazing potential. But closer at hand, and more relevant to we in the staffing and recruiting industry, is how ‘big data’ can be used in the future to improve business processes, efficiency, revenues, and profits.

From today’s ‘regular data’ to tomorrow’s ‘big data’

Today, through the innovation of recruiting software technology and inclusion of new processes, we are able to evaluate information in near real-time. With that ability managers can consider the merits of a data set compared to past data and decide whether a course of action is appropriate or needs to be altered. Taking those small steps further into a giant leap in the future, staffing and recruiting professionals can see how big data has the potential to have a transformative impact on the success of candidate resourcing strategies and customer care, as well as sales and operational processes.

The future of comprehensive staffing data solutions

Data is a paramount source of information. While many staffing firms use a wide variety of separate staffing and recruiting software systems across the enterprise, such as an ATS system, Customer Relationship Management system and a Payroll system and another Accounting System, it has been difficult or prohibitively expensive to even consider integrating them. Big data-enabled software will herald the end of silos of information that hinder the overall development of real-time solutions. Data should available so that information analyzers and various systems can find patterns from within the endless configuration of numbers.

Full-enterprise cloud-based staffing and recruiting software solutions are becoming the norm in staffing and recruiting operations for just this reason. The availability of one integrated information process server that can take data from different business functions and processes and enable the creation of a clear picture of a scenario in the past or potential for the future will be crucial to competitive success.

Recently Pinstripe, a recruitment process outsourcing provider, suggested that “the true sign that analytics have arrived in the staffing software space is the presence of visual reporting tools, customizable data relationships and cross-platform data integration in nearly every product. Staffing and recruiting software vendors clearly understand how important analytics are to staffing and recruiting, and they are building analytics functions into their products.” Big data offers far more than just analytics for human use as many describe them. Big data is really about incredibly powerful software that looks deep within the data to reveal relationships, dependencies, and to perform predictions of outcomes and behaviors.

The deployment of big data-enabled staffing and recruiting software systems allow for succinct and accurate decisions make decision-making for staffing professionals much more reliable. Without the comprehensive solutions of the future that are designed to consolidate the various sourcing of information, a recruiting agency or staffing firm will be without a key component in the development of a strategy for their own future.

You can learn more about Bond’s unified staffing and recruiting software solutions by emailing us.

 

Staffing and recruiting: Are you seeing more women in the tech industry?

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It’s old news that women, by in large, have been underrepresented in the information technology industry for decades.

Unlike in many other fields, this misrepresentation is not just for corner office, top managerial positions, but from the ground up. Positions that range from entry level to chief executive officer are taken by men. Some argue that this isn’t so much a fault of the industry, but is the effect of the decreased number of women entering science, technology, engineering and mathematics fields.

Percentage of women in IT industry grows

Regardless of the reason for the imbalance, the fact that men so outnumber women in the IT sector is common knowledge. However, that may all change soon. For the first time ever, the majority of the jobs created in the IT sector this year have been filled by women, according to data from the U.S. Bureau of Labor Statistics analyzed by Dice.com.

During the first nine months of 2013, about 39,000 jobs were created in the industries labeled “computer system designs and related services” by the federal government. According to Infoworld, of those newly created jobs, about 60 percent went to women – a drastic increase from the 34 percent for all of 2012. This is a trend that staffing and recruiting professionals have to monitor closely to ensure their staffing and recruiting software database reflects the change. Over the last decade, there have been about 534,000 jobs created in this industry and about 30.8 percent have been filled by women.

“Companies have been focusing on getting more women into technology for a long time. This year those efforts appear to be paying off – with 60 percent of new tech jobs created in 2013 filled by women, according to government statistics. To have the best tech organization, companies want to pull from the entire talent pool and we need to do more to get young girls thinking about technology careers early and often. That’s why Dice is supporting efforts like Code.org and Donors Choose to reach the next Marissa Mayer and may there be many of them,” said Shravan Goli, President of Dice.

Positive change in the tech industry

The figures about the relative increase in percentage of women hires in the technology sector have everyone talking. Some question whether this is an outlier year or if it demonstrates the changing values of the industry and the emergence of greater equality. Infoworld reports that one interesting fact for staffing and recruiting professionals to know from the data is the number of women hired in the tech industry for the first nine months of 2013 is the same as past years – it’s the number of men hired in the industry that has declined in comparison to previous years. So far researchers and industry experts don’t have any theories as to why there is a decline in men being hired, while the number of women filling new positions has stayed the same. This change is another that needs to be monitored closely with staffing and recruiting software, if your agency hopes to place the correct ratio of qualified employees.

“Is this really positive change? It’s too early to say,” said Elizabeth Ames of the Anita Borg Institute, an advocacy group for women in tech, according to the news source. “But we are seeing more awareness of the issue and seeing leaders in the technology business realize it is an imperative to bring women into tech workforces.”

Overall, as employment in this industry continues to increase as the nation recovers from the recession, staffing and recruiting professionals will see more and more clients asking for qualified candidates. Regardless of the reason, more of these hires may be women in the near future, if this trend continues. So recruiters may want to consider who is filling their staffing software and recruiting software database and see if there’s a rise in women being hired by clients.

 

Does your staffing and recruiting sales team have a champion?

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Every sales team has a champion.

No, this person hasn’t ridden into the office on a white steed to save the princess from an evil witch, but he or she is a hero. An office sales champion is someone in the organization who is able to reel in the big fish clients, who understands the marketplace and thrives in the organization. In terms of the staffing and recruiting industry, every firm must have a champion staffing sales person. This sales leader will bring in the big fish clients and are a trusted resource. Behind this champion staffing sales person is a staffing and recruiting software database that enables them to succeed at the highest level.

Characteristics of a staffing sales champion

According to an article in Staffing Industry Analysts, sales champions are characterized by three primary skills. In the article, author Donna Carroll, vice president of sales, North America, for the Professional Services Staffing business at CDI Corp., stated that sales champions listen to their clients and really take the time and effort to understand the individual needs of the person speaking on the other side. Instead of walking into a meeting with an agenda, a sales champion understands that his or her primary focus should be to learn the objective and desired outcome of the partnership from the client. All of these details are then carefully recorded in a staffing software and recruiting software database to provide a team with the necessary information to find the right person to fit the job.

Once this is accomplished, a true staffing sales champion is able to reiterate the needs of the client and discuss the pros and cons of a strategy or potential solution without negating what the other person is saying. A champion establishes trust between the staffing firm and the client. The ongoing dialogue between a staffing sales person, account management and the client will create a successful partnership.

Importance of developing champions

Champions are not simply born into the world of staffing. The skills and strategies are taught over time, which is why it is important not to become complacent with one staffing sales champion, but to continue to train others to take this role on as well. Harvard Business Review reported on the importance of creating a strong network and multiple sales champions because unexpected things can happen at any moment and it’s not uncommon for people to quit, get fired, take a prolonged hiatus, etc. For example, Aimee, a senior executive at a global financial services firm, recently watched as the contacts she built over 15 years at a company became useless as people left due to corporate restructuring and the dip in the economy during the recession.

“Many of the leadership team whom I had worked with for a number of years changed,” she explained to the source. “You feel you’ve lost the equity you built up over the years – people knowing what you do and how you perform.”

In a staffing sales environment, the loss of a champion professional could have drastic results, which is why it is important to cultivate multiple champions. Talented sales professionals working for a staffing agency can achieve greatness or polish their skills, if the resources are available. In fact, research from Staffing Industry Analysts shows that recruiting agencies that invest in the latest tools like staffing and recruiting software as well as the training and support required to turn a good staffing sales person into a champion experience higher and more consistent profitability.

Want to make champions of your sales team? Give us a call at 800-318-4983 or email us for details on how Bond’s software can energize your sales staff.

 

Recruiting Software Blog Staffing Insights: John Vanderkin, President of Employers Overload (Part 2)

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The staffing and recruiting industry is operating in the midst of an uncertain time.

The steady, yet not thriving, economy, federal government actions (or inactions), and the introduction of the Affordable Care Act have all made an impact on the industry. As result, recruiters are working hard to use the latest in staffing software and recruiting software, designed to provide the right solutions to employers and workers. Industry professionals are focusing their attention on adapting to the changing needs of employers during an uncertain economic and legislative environment.

John Vanderkin, President of Employers Overload, an innovative workforce staffing company, spoke with us about the impact the ACA and the federal government shutdown has had on the recruiting industry and what we can expect to see in the future.

Current employment market looks positive

The November jobs report from the U.S. Department of Labor details that total nonfarm payroll employment rose by 203,000 in September 2013. This is positive news. In addition, the unemployment rate dropped three tenths of a percent to 7.0 percent.

“The current employment market is picking up. We are seeing more hiring in the manufacturing and distribution industries as well as more opportunities in general clerical and administrative positions. This increase is certainly not a robust return to previous hiring levels but it is an encouraging sign that we hope will continue to accelerate,” said Vanderkin.

The potential repercussions of the ACA on the staffing industry?

As the Obama Administration works the kinks out of the deployment of the ACA, many employers are trying to adapt their recruiting software and processes to implement the necessary changes. The staffing industry is simultaneously trying to better prepare for the potential repercussions of the ACA (read the Bond White Paper on staffing industry perceptions of the ACA).

“The staffing industry should not become an avenue for companies to try and avoid the ACA requirements, but the ACA creates some opportunities for the staffing industry if companies adopt the use of certain staffing industry services. Used properly, the staffing industry can help a company minimize some of the impacts of ACA,” said Vanderkin. “Utilizing temporary employees for short- term business growth or projects can alleviate the tracking and notification requirements that a company needs to follow for ACA. Using temp-to-hire services to fill permanent positions can help to reduce turnover and avoid more costly ACA administration tasks until the company is sure that a candidate will really be a good fit for the organization.”

He went on to say that “the ACA has also created numerous challenges for the staffing industry. The increased costs associated with longer term temporary project placements, administration and tracking of the ACA requirements as well as educating the staff and candidates of the staffing company are just a few of these challenges. As staffing organizations recognize the increased costs of administrating and paying for the ACA, they will need to determine how to pass those costs along to their clients in a fair and reasonable fashion.”

Working with partners to prepare for the ACA

Staffing and recruiting professionals may have to advance their use of new recruiting software technology solutions to better prepare for the implementation of the ACA – especially as the various deadlines come into play. Vanderkin told us that his organization is focusing on educating key members of the company to take point on various ACA-related responsibilities and projects.

“We have done a tremendous amount of work to prepare for this change. We have spent a great deal of time educating key members of our staff, we continue to meet with customers and businesses within our service areas to educate them about the ACA and its effect on staffing, we are working closely with our software vendor, Bond International, to enhance our applicant tracking system so we can meet the requirements of ACA and we are continually working to answer questions by our candidates and employees on how the ACA will affect and support them,” said Vanderkin. “Keeping abreast of the changing ACA regulations is an important task of a staffing vendor and we provide this service and support to our customers to ensure that they have the latest information to base their hiring decisions upon.”

By implementing strategic tools, recruiters will be better able to meet the needs of clients. Comprehensive tools like staffing and recruiting software that boost productivity and efficiency in the office are the key to better preparing for the potential upheaval that the ACA will create.

Governmental budgeting issues and its impact on staffing

The 16-day partial federal government shutdown in October certainly made an impact on the rest of the economy and public opinion. Even as lawmakers now (in mid-December) work to pass a two-year budget agreement that may provide some stability, there is still much uncertainty on the impact of any budget agreement on the economy.

“I think any government uncertainty is bad for economic growth and unfortunately we have had a long run of government indecision to contend with. This uncertainty has had a very big effect on hiring and overall economic growth. The government shutdown in October had an effect on this overall issue but in and of itself, it will not have a major impact on hiring across the broader American business community,” said Vanderkin.

Looking forward, continued improvement in employment figures demonstrate a pickup in business demand for staffing as sales increase. This need is reinforced by continued business uncertainty, in that there is still a reluctance to hire more FTE’s until a reasonable level of economic stability is reached.

Recruiting Software Blog Staffing Insights: John Vanderkin, President of Employers Overload (Part 1)

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To this day, staffing and recruiting professionals, and the general public, are still feeling the effects of the recession.

The employment market has been steadily, if slowly, improving, yet the lingering taste of a recession is still there. As a result, recruiters are using the latest technological developments, like staffing software and recruiting software solutions, to provide relief and to leverage the current job market.

John Vanderkin, President of Employers Overload, an innovative workforce staffing company, spoke with us about the impact the recession has had on the recruiting industry and what trends we can expect to see in the future.

Staffing and recruiting industry impacted by the recession

It’s undeniable that the recession had an impact on the staffing and recruiting industry. After all, when your business is finding jobs for qualified professionals, and employers are slowing hiring, it’s a tough time. However, not all of the effects of the recession were necessarily negative, according to Vanderkin.

“Yes, the recession had a significant impact, both good and bad, on the staffing industry. As the recession began, companies were forced to reduce their workforce and often the first to go were the contingent employees. This had an obvious effect on the staffing industry as well as those contingent employees,” he said.

Vanderkin went on to say that “on the positive side, it created opportunities for a well-run staffing organization to provide strategic consultative support to those companies that could still benefit from a contingent workforce. A good staffing vendor was able to help their client identify how temporary project employees could improve their bottom line and help them address short-term increases to their business while not creating a significant impact to their ongoing labor costs. In many instances, the staffing industry was able to help companies who have never used temporary employees understand and utilize this resource. While these opportunities did not replace the losses from the recession, they created opportunities to minimize some of the impact and to grow the overall staffing client base.”

Employment trends created by the recession

For the staffing and recruiting industry, some firms found some surprising reoccurring trends. According to Vanderkin, the unusual job market conditions and new attitude prevalent in the nation created a unique situation for staffing professionals.

“The biggest trend that we noticed in 2009 and 2010 was the difficulty in getting job seekers to accept available positions rather than staying on long-term unemployment benefits. Through our sales efforts we were able to secure many short- and long-term temporary positions. but many of the candidates we spoke with decided to remain on their unemployment benefits instead of having to go back to work. We ultimately found the workers that we needed for these positions. but recruiting and placement took much more effort than the high unemployment rate should have generated,” said Vanderkin.

On the other side of the employment equation, many employers decided to reduce the number of full-time opportunities they would make available and instead relied on a part-time workforce. In addition to paring down the number of full-time workers on staff, it wasn’t unusual for companies to begin to demand that professionals have a greater number of skills under their belt so that they could take on more diverse roles.

“With a reduced workforce many companies adopted a multi-position mindset for their existing workforce. This meant that an employee that used to perform 1-2 major roles was now performing 3-4 different roles so the company could still meet their business demands. As business increased, these companies maintained their multi-position approach, making their hiring requirements much more demanding for the job seeker. A job seeker who used to be a multi-metal welder now had to be able to operate milling equipment, learn to program a CNC machine, drive a forklift and/or be able to interact with customers regarding their specific job order. The days of being a 1-2 skill employee were beginning to diminish,” said Vanderkin.

How employment trends impacted the staffing industry

The employment market will always have an impact on the staffing and recruiting industry. However, the recession of the early 2000s had one of the more lasting impacts the industry has ever seen, and the resulting changes are expected to stick around. As the industry has found innovative ways to streamline work, besides utilizing recruiting software for better management, agencies continue to make changes to operations.

“Staffing companies made significant changes. One of the most prevalent was cutting prices. Many staffing companies would approach companies with offers of significant price reductions while promising higher and more costly screening and selection criteria than what the company was currently utilizing. While this seems like a good thing for the consumer, it created two significant challenges; 1) the staffing company increased their supply costs and 2) the staffing company found it much more difficult to find suitable candidates who could meet the new more stringent criteria, which raised their recruiting costs. In the end, the staffing company wasn’t making a reasonable income for the services they provided and what were once qualified candidates now struggle to get back to work because they cannot meet the new hiring criteria.”

Vanderkin went on to say that “we have seen a serious development occur as we meet with many of the customers who accepted these lower rates. Their quality of candidate has gone down which affected their production costs and many of the skills, background, drug screen and E-Verify screening they thought they were being provided, were being skipped by their current staffing vendor. Our organization has been able to find innovative ways to help many of these clients establish reasonable hiring requirements, maintain lower labor costs and have an audit path to ensure that they receive the screening that they are paying for.”

“Many of the trends from the recession were fleeting and have worked their way out of the process. I believe the multi-position mindset adopted by most companies will continue to be the new norm. The aggressive pricing strategies by some staffing companies cannot continue long term and still allow that company to fully meet the clients hiring requirements. I believe this trend will work itself out over the next 1-2 years but pricing that meets the value of service provided by reputable staffing companies might never reach previous levels.”

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Our interview with John Vanderkin of Employers Overload continues next week, as he comments on the current state of the staffing and recruiting industry, the impact of the Affordable Care Act (Obamacare), and other government actions.

Recruiting software blog: Tips for staffing and recruiting professionals on maximizing LinkedIn’s sourcing benefits

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Staffing and recruiting professionals who are adapting to the changing needs of the marketplace have a wide range of tools and tricks now available to them. The proliferation of social media and the digital presence of most professionals make the task of candidate sourcing significantly different than it was just 10 years ago.

In fact, new technologies are consistently being developed to increase productivity and efficient practices. In conjunction with the proliferation of social media is the advancement of staffing software and recruiting software solutions made available to recruiters. Industry professionals are better able to investigate the qualifications and expertise of a worker online and then integrate this information into an easy-to-read format in a staffing softwaredatabase. The inclusion of easy-to-search terms and profile organization methods used by a staffing software system and mobile accessibility makes this tool a go-to resource for recruiters.

To better optimize staffing software and recruiting software, a recruiting professional can use LinkedIn for improved candidate sourcing. Here are three tips and tricks for maximizing the candidate sourcing benefits of LinkedIn:

1) Understand the power of social media. The benefits of social media can be immense. According to a white paper from Ace Group titled, “Social Media: The Business Benefits May be Enormous, But Can the Risks – Reputational, Legal, Operational – Be Mitigated?”, in less than a decade, social media has taken over the world. The largest social media network, Facebook, boasts more than 750 million people actively using the site. It is expected that the number of users engaged on the website will soon grow twice as large as the population of the United States, which currently hovers at 311 million. For most staffing and recruiting professionals, quality information will be more viable about workers’ histories on LinkedIn. However, it is important to consider the industry a professional is in. Those who are in the media, marketing or entertainment industries are just as likely to have a professional Facebook presence as a LinkedIn profile. Regardless of what industry a person is in, it may be pertinent to consider a precursory look at a prospect candidate’s Facebook profile to ensure there is nothing that may come back to haunt a potential employer.

According to HH Staffing Services, 12 percent of employers have admitted to finding reason not to hire a potential employee because of something they found on a social media site. After a quick investigation of Facebook or Twitter, a majority of the time a staffing professional spends on social media networks doing research will be dedicated to LinkedIn.

2) Check candidate engagement. A staffing and recruiting professional may be looking for a candidate to serve as a manager or director of a department. As a result, it will be important to identify whether a potential candidate fits the mold for the position. Is this person a thought leader within an industry or do they try and spread information around or encourage engagement? LinkedIn Groups allow a staffing professional to track down whether a potential candidate is an active member of an industry community. Those who are on the cutting-edge of a sector are often participating in future developments. Social media allows for an individual to create and spread his or her voice, insight and information about topics.

“The opportunity to interact with anyone, anywhere, anytime is too world-changing to ignore. It has altered the traditional media expectation of consumers listening passively to radio and television broadcasts, or reading newspapers and magazines, with no hope of an immediate interaction. With Social Media, all that changed,” stated the Ace Group report.

Never before have staffing and recruiting professionals been able to evaluate whether a potential candidate is an active member of an industry community. While a lack of presence on LinkedIn Groups may not necessarily rule out a candidate, poor quality interactions could.

3) Align candidate qualifications. Clients of a staffing and recruiting firm want to hire a professional who aligns experience and job performance with their wishes. The prolific use of LinkedIn allows staffing professionals to engage with those who are not job seeking or who have not filled out an application for a position, but who might still fit the needs of the client. By researching and comparing the qualities an employer is looking for with the experiences and skills listed on a LinkedIn profile, a recruiter could find the right person for a job and contact them, instead of being on the receiving end of applications and hoping for a qualified candidate. In addition, the organized and static format of LinkedIn allows a staffing and recruiting professional to quickly peruse the information he or she most desires to determine if greater investigation into an individual is needed.

Remember, social media is a powerful tool and can provide great insight into the personality and experiences of a candidate. But, according to Karen Rehn, owner of HH Staffing Services, it’s important not to write someone off as a wrong match because of a couple social media posts expressing personal beliefs.

“Although employers can certainly gain some insights into the lives of potential new hires by their online profiles, be careful not to judge or to make hiring determinations solely on the information discovered online, unless it is directly related to the qualifications of the individual. Social media can also be misused and judgments can be made that are not correct or even relevant to the individual’s on-the-job capabilities,” said Rehn.

By searching for potential job candidates online with the use of social media, recruiting professionals are opening up their search to a much wider scope. In addition, the influx of information available may reveal information about a potential candidate that must not be used in the hiring process, including religion, race, gender and health status. Staffing professionals will have to carefully determine why and how they are determining the quality of a worker.