Attracting, acquiring, and retaining talent is more challenging than ever before. The tight labor market demands that companies adopt a recruiting strategy that recognizes that engagement starts well before either the interview process or the start date.
Your “employment brand” speaks to your image and perception of what it is like to work for you; and how you value the candidate experience as they are considering affiliating with your company. Your employment brand is the composite of the market perception of prospective employees, current employees, and previous employees as well. Company culture, work environment, compensation, employee benefits, work-life balance, and development opportunities are top of mind when discussing the employee value proposition. Creating a compelling candidate experience and perception will help your organization stay ahead of your competition and differentiate you as an employer of choice.
Many experienced candidates are doing careful research on the companies they are considering, including using the company’s website, LinkedIn profiles, and employee review sites such as Glassdoor. They network with candidates who have previously worked for the company to get inside information on what it is like to work there. Top-tier candidates have options and are judicious about the opportunities they explore.
Employers should be watchful of their reputation on job search websites such as Glassdoor and Indeed, both negative and positive, and watch for trends. This vantage point, combined with the internal feedback received in both stay interviews and exit interviews, can be very insightful.
As an employer, consider the following key strategies to help recruit great talent in a tight labor market and ensure your company stays ahead of the competition.
Consider your hiring process from the candidate’s point of view.
Here are a few strategies to help improve your candidate experience:
The Talent Board North American Candidate Experience Research Report recently found that candidates want three primary things from a hiring company:
The report also noted that 75% of candidates conduct their job search research across multiple channels before applying. The way your company presents its culture, values, and brand is a critical decision factor for candidates. Effectively managing your social media brand increases your candidate pool. Here are a few ways to make your company more marketable to candidates:
Current employees can be your biggest advocates and cheerleaders. Get creative with your employee referral bonus program. Gift cards, and even cash, are less appealing to some than might be extra time off. Consider if an extra day or two of PTO can work. Some other ideas to consider include tickets to a local sporting event, or a quarterly lunch with the CEO for anyone who referred candidates who were successfully hired.
You want to find the best candidate, and that candidate may be unemployed, employed but looking, or employed and not looking. Each type of candidate will have a different level of interest and motive, so you’ll need to have recruitment strategies that appeal to each group. Posting employment ads and searching job board databases for active candidates is not enough. Direct sourcing by recruiters and hiring managers, along with materials that tell an engaging story to people who may not be familiar with your company, can generate interest among currently employed individuals, but not those who are actively looking.
Also consider revisiting former high performing employees who have left the company. They may have left for career development and have acquired valuable skills and talents that you need; or they may have left your company and have found that the grass is not always greener on the other side!
Nothing is more frustrating than working with a candidate for over a month only to find out there is a 30K salary difference in what they are looking for versus what the company can offer. Many candidates are reluctant to share their actual compensations and many states are now restricting that conversation. In states or municipalities where salary history discussion is prohibited, it can be approached in two ways. The recruiter may ask, “What are your salary expectations?” Or the candidate may ask, “What is the salary range being offered for the role?” to ensure compensation compatibility before moving forward.
Continually recruit for a pipeline of talent and build a talent community to engage in your brand. That way, when you do have job openings, you are not starting from scratch and can save precious time.
Companies know that replacing a key employee can be time consuming and costly, so they will get very creative to retain their best talent. Be prepared to be creative on “sweetening the deal,” without upsetting internal equity. Sign-on bonuses, extra PTO, a six-month review, etc., can make a big impact in a candidate’s decision to say yes.
No discussion about recruiting strategies would be complete without addressing a few mistakes to avoid. In an employees’ job market, employers need to buckle down and fine tune their recruiting process to ensure they don’t lose great candidates to the competition. Here are a few common recruiting pitfalls to watch out for.
Lack of communication on either side, candidate or company, can leave the other party in the dark. Set expectations up front regarding how long the process may take, who will be involved, and if there is an assessment tool somewhere in the process. Additionally, if you tell a candidate they should have an offer by the end of the week, make sure that happens. As time keeps passing, the level of the candidate’s enthusiasm may begin to wane. There is a saying “time kills all deals;” keep it in mind during this time-sensitive period.
Often, internal compensation growth has not kept pace with external salaries and employers face internal equity constraints. While it is a valid internal business issue, it doesn’t change a candidate’s negative perception of an offer that is too low and may even be perceived as insulting. Know the supply and demand in the candidate market and do your compensation research. Candidates have become much more educated in compensation with many salary research websites to tap into.
In a tight labor market, temp-to-perm it is not really a viable option, particularly for most professional level roles. With unemployment hovering below 4%, chances are slim that people will be willing to walk away from a permanent job with benefits (i.e., medical, dental, 401(k) match, PTO, stock, etc.,) for the “potential” to go perm with your organization. And if you do bring people on as a temp-to-perm hire, they are most likey still getting calls from other companies for direct hire positions and may end up leaving your company anyway. So, they are at-risk employees and you may need to start over again.
Hiring in today’s competitive market takes more than finding and securing great candidates. It also requires building a workplace culture that engages and entices your employees to stay around. As you plan your recruiting strategy, be sure to take an honest look at your current company culture and brand reputation. The time and energy you invest in building a strong brand and culture will go a long way in helping you attract top-tier talent as well as retain your key employees. Good luck!
Executive Search Consultant