Recruiting

Top Talent

in 2015

March 2015

Webinar

RECRUITING TOP TALENT

IN 2015

Presented by:Greg Lowe, Chief Operating Officer/Partner

Holly Kressler, HR Coordinator

1. The stakes are high, and cumulative2. Workforce market characteristics, trends and implications3. Recruiting trends/best practices4. Validating finalist candidates5. Pros and Cons, Internal vs External recruiting6. Questions/Comments

TODAY’S CONTENT AGENDA

Losing an Employee• Temporary help

• Lost productivity

• Admin Costs (Cobra, payroll, forms)

• Lost skills, licenses, certifications

• Lost network (clients, contacts)

Total costs can range from 100%-250% of lost employees salary

Note: Lower level positions closer to 100%, managerial and sales closer to 250%

THE STAKES ARE HIGH AND CUMULATIVE!

Unemployment has returned to pre-recession levels…

Jan. Feb. Mar. April May June July Aug. Sept. Oct. Nov. Dec.

2015 5.7 5.5

2014 6.6 6.7 6.7 6.3 6.3 6.1 6.2 6.1 5.9 5.8 5.8 5.6

2013 7.9 7.7 7.5 7.5 7.5 7.5 7.3 7.2 7.2 7.2 7.0 6.7

2012 8.3 8.3 8.2 8.1 8.2 8.2 8.2 8.1 7.8 7.9 7.8 7.8

2011 9.0 8.9 8.8 9.0 9.1 9.2 9.1 9.1 9.1 9.0 8.6 8.5

2010 9.7 9.7 9.7 9.9 9.7 9.5 9.5 9.6 9.6 9.6 9.8 9.4

2009 7.6 8.1 8.5 8.9 9.4 9.5 9.4 9.7 9.8 10.2 10.0 10.0

2008 4.9 4.8 5.1 5.0 5.5 5.6 5.8 6.2 6.2 6.6 6.8 7.2

Source: Department of Labor, U.S. Bureau of Labor Statistics

LABOR MARKET TRENDS

Graphical picture of the same data…

LABOR MARKET TRENDS

LABOR MARKET TRENDS

New job postings continue to rise…

LABOR MARKET TRENDS

• National average for filling open jobs is now over 4 weeks, the longest in 15 years since the statistic was tracked

• Management, Finance, Accounting, averaging 9 weeks

• The larger the company, the longer the process

LABOR MARKET TRENDS

AND ONE CHART FOR YOUR KIDS…

MARKET TREND SUMMARY

• Employment levels improved, but among a lesser population of participants

• Competition for talent has increased in pace with the economy, rising level of new jobs posted

• Recession memory is strong for employers and employees

‐ Average tenure in job now over 4.5 years, highest level in 30 years (3.5 in 1983, 3.7 in 2002)

‐ All time high in time required to fill jobs

• Caution may remain for years to come!

• Over 50% of current job holders are either actively seeking a new job, or are open to one

• Adding in the unemployed who are looking and we clearly have the majority of the workforce in play

• Beginning in 2016, a progression of 30 million boomers will begin to retire

AND IT WILL CONTINUE TO GET MORE DIFFICULT!

MARKET TREND SUMMARY

How are recruiters seeking candidates in order of usage?

Job Search Engines

Social Media

Print media

Personal network/referral/word of mouth

Job Fairs

Internships

Speed

Reliability

MARKET TREND SUMMARY

How are seekers seeking electronically?• Of Google’s 1 trillion plus searches each year, over one quarter are employment

related

• Over 30% of candidates are active on LinkedIn, while over 80% are active on Facebook

• Over 90% of recruiters are active on LinkedIn, but only 65% are active on Facebook

• Aberdeen study reports 73% of 18-34 year olds found their last job through social media

WHY ARE EMPLOYEES LEAVING?

Cause CFO’s Rank-and-file (%)

Not enough money 28% 38%

Career path blocked 22% 20%

Unhappy with mngt 14% 16%

Overworked 12% 9%

Lack of Recognition 12% 6%

Boredom 8% 10%

Source: Robert Half 2014 survey of 2100 CFO’s and 300 rank-and-file employees from around the U.S.

WHY ARE EMPLOYEES LEAVING??

Source: CareerBuilder 2014 survey of 3008 workers from across the nation

Reason Percentage of Respondents

Concerns over salary 66%

Don’t feel valued 65%

No opportunity to advance 45%

Work/Life Balance 39%

Feel Underemployed 39%

Highly stressed 39%

Underperforming boss 37%

Overlooked for promotion 36%

THE REASON THAT ESCAPES THE SURVEYS

Employee was never a match for the job to start with, and they adopt any number of

reasons to leave, or they are asked to leave

METHODS TO CHOOSE A FINALIST

So if I have:• Assessed my culture, team and manager

• Created a detailed job description

• Executed a successful search

• Produced one or more finalist candidates

• Completed a social media screen

I need to now choose only one.

ASSESSMENTS

CognitiveIQ, Skills Understanding

Emotional Makeup Personality ConativeCreative Instincts, How We

Take Action/Decide

Wonderlic Calliper Kolbe

IQ Testing DISC

Certification Exams Myers Briggs

Gallup Strengths Finder

McKonly & Asbury’s “Successful Investing in Human Capital” Webinar:www.macpas.com/webinar-recap-successful-investing-in-human-capital

METHODS TO VALIDATE A FINALIST

• References, 360 degrees:‐ Past peer, subordinate, supervisor and third party vendor

• Background Checks (done by 80% of employers)‐ 90+% as contingent job offer

• Credit History Checks (done by 45% of employers)‐ 90+% as contingent job offer

• Drug Screens‐ Roughly 60% of new hires receive them during process

‐ 98% of Fortune 200 do them

INTERNAL VS EXTERNAL RECRUITING

• Do you recruit 10 – 20 positions per year?

• Do you have a person who has been successful matching candidates to culture, competencies and teammates?

• Does that person have time, incentive and objective to do this in the future?

RECRUITING

Volume/Cost

Time/Focus

Experience/Track Record

Corporate Culture/Team Knowledge

Objectivity

EXTERNAL

INTERNAL

EXTERNAL RECRUITING BEST PRACTICES

• Demonstrable track record

• Broad search capabilities

• Defined screening process

• Defined validation process

• Little or no retainers

• Fee on success

• Guarantee of candidate

• Follow up with candidate

THANK YOU

Contact us at:

Greg Lowe Holly KresslerChief Operating Officer/Partner HR Coordinatorglowe@macpas.com hkressler@macpas.com