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

BountyJobs’ Agency Upgrade Gives Niche Firms New Tools



Bounty Jobs refresh

Bounty Jobs refreshAlmost a decade after its launch, BountyJobs has became a leading broker of executive search job orders, handling nearly $60 million worth of fees last year and earning recruiters an average of $22,113 for every placement.

Yet, even after signing up some 50,000 recruiters, BountyJobs still evokes strong feelings within the industry. The biggest objections today are pretty much the same as they were back in 2006: the BountyJobs marketplace turns job searches into a commodity business cheapening fees and minimizing the importance of the agency-client relationship.

However, fee percentages haven’t been much affected, hovering just above 20%, according to BountyJobs data. And the requirement that agencies work only within the marketplace with client developed there hasn’t been much of a deterrent. In fact, so popular has the site become with agencies that BountyJobs is limiting the number and niche of newcomers.

Industry News

Recruiting APAC Workers Expected to be Harder This Year



Recruitment activity level MRIC 2015 report

Recruitment activity level MRIC 2015 reportProfessionals in greater China and Singapore are being aggressively recruited, but fewer are willing to make a change as optimism about the economic and financial outlook wanes.

The 2015 edition of MRIC’s Talent Report: Greater China & Singapore  says there’s a regional trend toward more stability in the labor market as mid- and senior-level managers and professionals turn more cautious about changing jobs or relocating. (The MRIC report, in partnership with market research firm Ipsos, is based on more than 4,500 surveys.)

Uncategorized

Employers Relying More On Agencies to Fill Their Toughest Jobs



recruiter illustration

Wanted agency hiring demandTo fill their toughest healthcare and tech jobs, the nation’s employers are increasingly turning to staffing firms for help.

Research firm WANTED Technologies says employers are most likely to hire a search firm to find registered nurses, application software developers, and web developers. Based on Wanted’s analysis of online job postings, demand for RNs increased by 25% in a year. For web developers, demand rose 42% and for software developers it increased a whopping 73%.

Industry News

Time to Fill Now Up to 26 Days and Rising



Dice vacancy chart 2011-3.2015

With the economy adding jobs at the fastest clip since the depression began eight years, it’s taking longer and longer to fill vacancies. In January, the national average was almost 26 working days, an increase of 3.5 days in the 12 months from the previous January.

The Dice-DFH Mean Vacancy Duration Measure, a sophisticated measure of how long it’s taking employers to fill jobs, came in at 25.7 working days. That’s just off from the 15 year high of 26.5 days recorded for last August.

“U.S. labor markets continue to tighten, albeit at a modest pace,” said Dr. Steven Davis, William H. Abbott Professor of International Business and Economics at the University of Chicago Booth School of Business, and co-creator of the vacancy measure. “Evidence of labor market tightening is seen in rising vacancy durations and declining unemployment rates.”

Industry News

Economy Up 295K Jobs, But Temp Loses For 2nd Month



Temp workers 2005-feb. 2015

Employers ignored the weather in February and defied predictions of slow hiring, instead adding 295,000 new workers to their payrolls while  bringing down the unemployment rate to 5.5%.

Temp employment, however, was just the opposite.

Numbers this morning from the Bureau of Labor Statistics showed temp hiring declined by 7,800 jobs in February, while nearly all other sectors added jobs.

In addition, BLS revisions to the initial reports for January and December showed 4,000 fewer jobs were added in December than the 25,000 first reported. And for January, the BLS revised the initial loss of 4,100 jobs upwards to now say temp agencies cut 13,800 jobs.

Industry News, Staffing

Revised Temp Hiring Forecast At 8.6%



Palmer forecast Q1 2015 revised

Palmer forecast Q1 2015 revisedStaffing industry consultant G.Palmer & Associates has scaled back its growth forecast for temp employment. From an initial 10.5% growth for the first quarter of the year, the firm now predicts temp employment will increase by a still ambitious 8.6%.

The firm said the revision reflects recomputed numbers by the Bureau of Labor Statistics, which resulted in a lowering of the previously reported temp job counts.

Industry News

Private Employers Add Fewest Workers In 9 Months



ADP Feb 2015

ADP Feb 2015Whether it was the brutal weather, fewer work days or other causes, private employers added the fewest new jobs in February since last May. ADP’s National Employment report said private employer payrolls grew by 212,000 last month, a decrease of 38,000 from January’s revised numbers.

The count was smaller than economists were expecting. A Reuters survey put their average forecast at 220,000 jobs. The Wall Street Journal‘s survey put the forecast at 215,000.

“While February’s job gains came in slightly lower than recent months, the trend of solid growth above 200,000 jobs per month continued,” said Carlos Rodriguez, president and chief executive officer of ADP.

Uncategorized

What’s the State of Recruiting Today? Take the Survey and Help Us Find Out



Survey icon - Stuart Miles - free

Last year we discovered recruiters prefer talent acquisition to most any other name. We learned that recruiting quality prospects was harder in 2014, even if some of the corporate recruiters we surveyed thought otherwise.

And looking back on the results of last year’s State of Recruiting Survey, it seems some recruiters were whistling past the graveyard when it came to predicting the difficulty in recruiting this year.

Now we’re conducting this year’s recruiting survey, and we want you to take part. In addition to corporate recruiting, we’re collecting information specific to the search and staffing sectors. Among the questions we ask are some the specific challenges presented by your clients. Your opinion of hiring managers is among them.

We also ask about your use of metrics, analytics and KPIs to measure productivity and performance. One especially useful question deals with the most effective way of reaching candidates, i.e. phone, texting, email, etc.

The more responses we get from agency recruiters, the more useful the results. So please, spend the 6 or 7 minutes it will take and complete the survey. And add your comments to fill in any blanks. Those who participate will get early copies of the results.

Image: Stuart Miles / FreeDigitalPhotos.net

Industry News

Staffing Awards Winners Announced



Best of staffing logo

Inavero, the staffing agency quality rating firm, has named the winners of its annual Best of Staffing award, giving the nod to 160 agencies whose clients gave them high marks for meeting their hiring needs.

In a second category, this one the top scorers as rated by the talent they placed, Inavero named 116 agencies. Many of these were double-winners, earning a berth on both the rankings by clients and by the talent.

According to Inavero, the Best of Staffing Award was earned by fewer than 2% of all staffing agencies in the U.S. and Canada, winners earned satisfaction scores more than three times higher than the industry average.

Industry News

Monster’s Strategy: ‘All the People, All the Jobs’



Job board Q4 2014 financials updated

New Monster logoAfter a so-so end to a so-so year, Monster executives are pinning their hopes for a company makeover on a lineup of new products, some to be introduced in the next few months, others launched last year and a few legacy tools like Power Resume Search.

“We’re building a new Monster,” COO Mark Stoever, declared during a conference call with analysts this morning.

In optimistic, if subdued language, he and President and CEO Tim Yates, discussed the company’s fortunes as they detailed the product portfolio they maintain will again make Monster a major player in recruitment sourcing.

The company’s year-end financial report out this morning suggests it has mileage to make up. Monster earned 7 cents a share in the last quarter of 2014, after excluding certain one-time expenses, including a $326 million charge against goodwill. The per share earning was a penny above Wall Street’s forecast.

On the other hand, at $186.2 million, revenue was down 6.3% from the same quarter in 2013, coming in 3.3% below analyst expectations. For the full year, Monster saw its revenue decline 4.7%, bringing in $770 million, which was just a bit more than a third of what high-flying LinkedIn reported last week.