Welcome to The Fordyce Letter:

The Fordyce Letter

Straight Talk for the Recruiting Profession


John Zappe

John has been writing about recruiting and employment for nearly a decade,and has worked in the field for almost twice as long. He traces his connection to the employment industry back to the beginning of the commercial Internet when he managed some of the earliest news oriented websites. These offered job boards, which became highly popular with users. John worked with agencies and large employers on job postings, resume search, and campaigns, before consulting with media companies on audience development and online advertising sales.

Articles by John Zappe

Industry News

Hiring Programmers. Degree Not Required



Glassodoor Q2 employee survey

Glassodoor Q2 employee surveyBy a surprisingly large percentage, CIOs  put more emphasis on skills and experience than on tech degrees from prestigious universities.

A Robert Half Technology survey of some 2,400 chief information officers at companies with more than 100 employees found 71% place “more weight on skills and experience than on whether or not a candidate attended college/university.” Another 12% said university prestige didn’t matter at all.

Now, that’s not to say most tech executives complete ignore degrees — 17% say they put at least some weight on a candidate’s education. But what the majority look for first are candidates who can get the job done.

Industry News

Staffing Firms Dominate Inc. 5000 HR Category



Inc. 5000 top 10

Inc. 5000 top 10Inc. magazine is out with its annual list of the 5,000 fastest growing private companies in the U.S. This year, 199 self-described human resource companies made the list, many, if not most of them recruiting and staffing firms.

The largest staffing firm is Elwood Staffing with $763 million in revenue last year. The company places temps in several areas from administrative and clerical positions to the skilled trades. It’s direct placement division — Elwood Professional – conducts searches for mid-level professionals on up to CEOs.

Business Development, Cold Calling

Your Pitch Will Stand Out When It’s About Them



elevatorpitch

elevatorpitchDoes your elevator pitch sound anything like this? Hi, I’m Bob and I recruit the smartest people who can hit the ground running for the best companies in the area. And I can do the same for you.”

Not too bad?

Wrong, says Ian Altman. “The best elevator pitch shouldn’t explain what you do,” he says, “if your elevator pitch talks about WHAT you do instead of WHY people might need what you do, then your message is likely falling on deaf ears.”

Industry News

Employers Taking More Time Than Ever to Fill Jobs



time to fill by industry

The time to fill open positions has reached a national average of just about 25 days, the lengthiest job vacancy period in the 13 years covered by the DICE–time to fill by industryDFH Vacancy Duration Measure.

The monthly report on time to fill and recruiting efforts says that on average it took 24.9 working days (Monday-Saturday) in June to post, source, and hire a new employee. That’s more than nine days longer than it took at the height of the recession in July 2009. Then, the average was 15.3 working days.

The lengthening time to fill is having a serious impact on search firms. Data from MRINetwork says growing numbers of candidates are taking alternative offers while clients make up their mind. As a consequence, 81%

Industry News, Staffing

With Temp Hiring Growing, Bullhorn Acquires VMS Vendor



Art Papas

VMS Access logoLarge employers with high seasonal and temp hiring needs used to be the primary users of VMS and MSP services. That began to change more than a decade ago, as companies, witnessing the explosion of contract developers and others by the tech industry, saw the strategic value of bringing on temporary workers.

Ironically, the Great Recession accelerated the process. During the first difficult years, companies laid off their contingent workers before their full-timers, discovering what the seasonal hirers already knew: A contingent workforce can be RIFed quickly without paying unemployment (unless they were the employer of record), severance, or risking the negative publicity that comes with wholesale layoffs.

Betting on the continued growth of the contingent labor market, Bullhorn today announced it acquired its VMS tech partner The Code Works, and its primary product, VMS Access. No purchase price was disclosed.

Industry News

Monster Has Weak 2nd Quarter



Job board revenue Q2 2014

Job board revenue Q2 2014Although it’s much too early yet for Monster’s ambitious “three pillars” strategy to become the transformative force executives are predicting, the financial markets were hoping the company did a little better in the 2nd quarter of the year than in the first quarter.

It didn’t.

After Monster reported earning 8 cents a share on revenue of $194.4 million, and lowering its financial outlook for the current quarter, investors sold off shares of the struggling company at twice the normal volume, pushing down its price almost 13% by early afternoon. Monster stock closed Monday at $6.62 a share. Not long before the market’s close, the stock was off 15.6% to $5.59.

Industry News

July Makes It 6 In A Row For +200K New Jobs



Temp workers July 2014

Temp workers July 2014For the sixth consecutive month, the U.S. added more than 200,000 new jobs, a streak not seen since 1997.

Data from the government’s Bureau of Labor Statistics said 209,000 new jobs were created in July across a broad swath of industries.The agency also adjusted upward by 15,000 its initial numbers for May and June.

Healthcare, one of the consistently strong growth areas throughout the last several years, added 21,500 workers, though hospitals and nursing homes and care facilities cut a combined 14,300. Temp employment was up, but by 8,500 workers, the smallest increase since October.

Uncategorized

Job Board Revenue, Earnings Show Market Continuing to Grow



Job board revenue Q2 2014

Job board revenue Q2 2014Doubters may be questioning the strength of the U.S. jobs recovery after Wednesday’s announcement by ADP that 218,000 private sector jobs were created in July — lower than expected — but the job boards aren’t.

Two of the three publicly held careers publishers have so far reported their 2nd quarter results, and in both cases they’ve wowed Wall Street.

LinkedIn this afternoon announced it grew revenue by 47%, crossing over into billion dollar territory halfway through the year. The company earned 51 cents a share (after adjusting for one-time expenses) versus the 39 cents predicted by analysts.

How-To, The Business of Recruiting

Are Poor Listening Skills Costing You Money?



Phone laptop office woman

Phone laptop office womanNote: Yesterday, Jeff Allen discussed the importance of having a “phone voice” and how to improve how you sound and what you say when taking on the telephone. Today, the focus is on listening skills.

Poor listening skills are costing you money.

If you’ve ever hung up from taking a job order only to discover later you missed an important detail and blew a placement, then you know just how expensive a mistake it was.

These things happen, but if it’s more than a once in a blue moon thing, blame your listening skills.

In truth, our listening skills have never been especially great. A 1983 study found that on average, viewers who just watched and listened to the evening news could only recall 17.2% of the content when not cued, and the cued group never exceeded 25%. A study a few years later found participants could recall only about 10% of their conversations immediately after they took place.

Industry News

CareerXroads Survey: Agency Placements Took Big Jump In 2013



Careerxroads Job board data 2014

CareerXroads source of external 2014Evidencing the increasing difficulty of recruiting quality talent for key positions, employers turned to search firms to fill more of their openings last year, nearly doubling the percentage of jobs filled by independent recruiters from 2012.

The 50 employers, some with more than 200,000 workers, who took part in the just released source of hire survey by the recruiting consultancy CareerXroads, reported filling 5.9% of their external opening with candidates from third party agencies.

It’s the largest agency share since CareerXroads began asking about third party placements in 2003. That year, employers attributed 1.2% of their external hires to agencies. In 2012, employers said 3.1% of their hires came from agency referrals.