Market Update July 2018

It’s a candidate driven market!

• Lost opportunity – what could this employee be delivering in real value to the company if they were in place?
• Filing the role with temps – temps will inevitably cost more than a permanent employee and represent an unscheduled cost to the business.
• Extended search – the drain on resource for HR and Line Management in reviewing cv’s and interviewing candidates that don’t meet the grade.
• Disruption within the team – overstretched employees can feel disgruntled and blame their employer for not filling the roles. This can affect their earnings capability, their work life balance and relationships with colleagues. Unfortunately this can result in them leaving the business and further compounding the problem.
• The cost of a bad hire – sometimes the pressure of filling a vacancy can lead to a bad hiring decision. It has been proved that a bad hiring decision can cost the company 3 time the value of the salary of the hire!

So what are companies doing to relieve these pressures and ensure their next hire is the right person for them?

1. Get the vacancy out to as many recruitment companies as possible in the belief that by ‘spreading the net’ wide enough they will have the best opportunity of finding the right person.
2. ‘Partnering’ with one recruitment company to work closely with them to dig deep into the market and unearth all of the available candidates for the role, giving them ultimate choice.

• Gain access to 100% of the available talent – You get access to 100% of the passive and active candidates in the marketplace instead of just the 15% who are currently looking that you get through the ‘spreading the net’ method. This is because the recruitment company has both the time and confidence to approach the 85% of available candidates who are not actively looking for a new job instead of panicking to get cv’s in front of you in order to claim them before one of their competitors do. All recruitment companies can access the job boards and find the people who are actively looking but if they only have a one in 5 chance of being paid for the work few will invest their time and money on the more labour intensive route to the other 85% of candidates.

• The quality of the CV’s you receive will improve greatly – Because you only have to brief one recruitment company and liaise with one person it is easier to help them to fine tune their search to find the perfect available person for your role. No more sifting through irrelevant CV’s or refereeing arguments as to who represents the candidate, a single point of contact improves quality. 

• The recruitment company are accountable to fill the role – Both parties will be completely committed to a successful outcome of the process and have clearly defined deliverables to. The recruitment company have the confidence to allocate their most senior resourcers to the role and build a team best suited to deliver the result. Industry averages suggests that they will spend over 5 times the amount of man hours on this vacancy as a standard search.

• You can focus on the day to day demands of your own role – The recruitment team will take over the majority of the recruitment process, leaving you to focus on your own business, saving you as much of you valuable time as possible and limiting any opportunity loss due to the inevitable distraction of either recruiting yourself of sieving through the all the CV’s you receive in the ‘spreading the net’ method. You will be a business priority for them and your role is therefore given VIP status with your needs prioritised above all others.