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

Uncategorized

ADP Says 213,000 New Private Sector Jobs In September



ADP employment for Sept. 2014

ADP employment for Sept. 2014

With the announcement this morning that September’s private company payrolls grew by 213,000, economists are optimistic it foreshadows an even more robust government report due Friday.

HR services and payroll processor ADP and its partner Moody’s Analytics, said 213,000 new jobs were created in the private sector last month, up from August’s revised 202,000 estimate, and just above economists’ predictions of about 209,000.

“All the leading indicators for the job market look good,” said Mark Zandi, Moody’s chief economist. He predicts the Labor Department will report 220,000 total new jobs were created last month, an estimate shared by economists polled by MarketWatch, and not much higher than the Bloomberg estimate of 215,000.

Industry News

California Law Now Makes Employers Liable For Staffing Firm Violations



California flag and capitol

California flag and capitolCalifornia employers will now share liability with their labor contractors for complying with  state labor and wage laws, including safety and workers’ compensation laws.

Governor Jerry Brown signed into law the hotly contested AB 1897, which extends to nearly all employers rules that previously applied to temps and contract workers in the agricultural, construction and garment industries.

Candidates

Remind Your Candidates It’s Time to Update That Resume



resume with pen

resume with penWhen was the last time you had your candidates update their resume? Ever?

It’s not a job anyone relishes, but as every recruiter knows only too well, when that job order pops up, there’s not time enough to coach your MPC through the resume revise. Having a fresh resume on-hand can help make the difference between a sendout and a no-sale.

So even though there’s only a few days left in September, take advantage of  Update Your Resume Month to urge your candidates to freshen theirs.

Industry News

Temp, Healthcare, Construction: Bright Spots In Disappointing August Jobs Report



Econ indicators Aug 2014 v2

Econ indicators Aug 2014 v2Only a handful of industry sectors lead by temp, healthcare and construction added jobs in August, the weakest month this year for U.S. jobs growth.

In what can only be described as a disappointing report, the Labor Department this morning said the economy created a mere 142,000 jobs in August, a number far off the 220,000 to 230,000 economists forecast. Unemployment inched down to 6.1% from 6.2%.

It was the smallest increase yet this year, and follows six months of gains over 200,000 jobs each. Going into August, the monthly average gain in new jobs was 230,000.

Temp grew by 13,000 jobs, bringing the year’s total to 124,500 new temp jobs. On average, staffing firms are adding 15,600 new jobs a month this year. That puts the industry ahead of where it was last year at this point, when the average monthly increase was 14,000 jobs.

Industry News

August Hiring Dips; SHRM Predicts Strong Manufacturing Job Growth This Month



Econ indicators Aug 2014 v1

Nonfarm employment compare Aug 2014The hand-wringing over today’s ADP private employment report should not be taken as evidence of any kind of sudden reversal of hiring.

The 204,000 private sector jobs ADP and its forecasting partner, Moody’s Analytics, said were created in August demonstrates that the hiring surge of the last several months still has legs. That the number was less than the 215,000-220,000 jobs economists expected and the lowest count since March, may be disappointing, but the August dip is familiar to any recruiter with more than a few years experience.

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.