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Straight Talk for the Recruiting Profession


Articles tagged 'recession'

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Tim Tolan Is Back From Las Vegas…And Energized!



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A few weeks back, I was at the 2010 Fordyce Conference in Las Vegas. It was held at The M Resort. Check it out! Great spot and first class!!!

While this was my maiden voyage attending their annual conference, I have attended many recruiting/executive search conferences since the market went south. At this year’s conference I was asked to speak on the topic of business development. My talk was very upbeat – but that seemed to be the case for everyone who presented at this year’s conference. And it’s not just us search professionals. You can feel it everywhere. Las Vegas is a different town today. Everywhere I visited, the hospitality business had a ‘let’s make a deal’ mentality and seems to have adjusted their offerings to today’s market. The casinos were not what I would call full by any stretch. But people were moving around and it felt better. Much (much) better.  A lot has happened in our industry in the past two years (to say the least).  Many search firms have taken a bath or been wiped out by this multi-year recession and it’s not entirely over yet.

Industry News

Companies Are Hiring Again – And They Need Us



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I did a quick web search this morning for the phrase “companies are hiring again”, and here’s a snapshot of what came up:

These results are all fairly recently written – within the last few months. According to the Wall Street Journal, Intel is planning to hire 1,000 to 2,000 people in 2010. Even one of our favorite recruiting tools, LinkedIn, added 184 people to its workforce last year. And they’re not just hiring… they’re hiring fast. One man who had offers from five companies, including LinkedIn, stated that he “interviewed on a Friday and had an offer by Tuesday.”

Technology companies aren’t the only ones starting to see the light at the end of the recession tunnel. Legal search professionals are also seeing a rise in hiring from their clients. And health care is also a hot industry in which to work right now. According to the Bureau of Labor Statistics, the average rise in health care employment over the past year has been around 20,000 new jobs per month. The Robert Half Professional Employment Report which was just released earlier this month describes the hiring environment as one of ‘cautious optimism’ – and they state that companies are struggling with finding, recruiting, and hiring highly skilled professionals. Even CNN Money shows a glimmer of hope. In their March issue they state, “The Labor Department said the economy gained 162,000 jobs in the month, compared to a revised reading of a 14,000 job loss in February. That makes March only the third month of gains since the recession began.”

So what does this have to do with you? I wrote an article last year on my thoughts regarding the recession and the effects it would have on recruiting. Corporate recruiting teams have thinned out since things started getting bad, leaving small numbers of people (if anyone at all) to handle any hiring needs that have come up during the recession. I predicted that once companies started hiring again, there would be a significant increase in the need to partner with external search professionals to fill those needs since the corporate teams would be unable to handle any volume of hiring due to layoffs. The time is just about upon us to where we’ll be seeing this happen.

We’re not out of the woods yet, but those of you who weathered the storm of the last 18-24 months will have some great opportunities in the coming months as your existing and new clients begin looking to add to their head-count once again. Their internal teams are either non-existent or so small that they will need help. Now is a great time to be a search consultant – clients need your help and guidance more than ever.

Is this already happening for your industry? Share your experience in the comments below!

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Weddle On Fox Business News



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Watch employment guru Peter Weddle‘s interview today on Fox Business News. The segment will be streamed live at FoxBusiness.com, between 12:45-1:00 pm Eastern. Peter will be talking about how the job market has changed after our most recent and past recessions and his opinions on the career marketplace and hiring topics.

UPDATE! Watch Peter’s live interview here:

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Hang in There: Hiring Improvements Ahead



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At the risk of sounding naïve, but having been in this business through three recessions, there is daylight at the end of the tunnel and for once, in my opinion, it isn’t a train.

As we all know, the recession was declared on the downward slope several months ago, but hiring never kicked in. The good news of the waning recession means little to us without hiring.

My firm was fortunate; we work in a niche that was affected less severely by the recession: placement of military personnel who are leaving active duty. Yet we felt the sting like everyone else.

We place candidates by geographic targeting, which requires speaking with business leaders and business owners located in specific cities and towns across the USA when marketing our candidates. Up until last month, almost all our placements since 2008 have been for created positions. Business leaders told us they did not have any openings when we contacted them, but they created the job for the veteran. These businesses had not planned on hiring anyone until our call.

From Fear to Optimism
In October 2008, we heard “fear” in the voices of most business leaders. In October of 2009, we heard “fatigue.” Now, we are hearing “cautious optimism.”

Companies are telling us they have actual plans to hire, but do not know when, because of uncertainty about the future. Barring another disaster, I believe that by October of this year, we will be coming out strong from the worst three years in staffing industry history. If human nature takes over, as it always does, employer “fear or hiring” will become “fear of missing out,” which will mean another war for talent, not a war for jobs.

The stock market and housing markets continue their slow-but-steady climbs, layoffs are no longer the main news of the day, and people are buying (American) cars again. As was the geography surrounding Mt Saint Helen’s in Washington state, which was completely flattened and laid waste by the volcano’s eruption, our economy is slowly turning green again. Confidence is climbing.

I joined this industry in November of 1984, at the tail end of the highly recessionary Carter years. My first 60 days on the telephone were characterized by “cautious optimism” from employers, but very little hiring.

Suddenly, in January of 1985, almost overnight, and seemingly without explanation, companies began scrambling to hire people. Our industry experienced its greatest growth ever from 1985 to 1989.

For the same reason economies crash, fear, economies roar back. People who know me know that I’m not the “rah-rah” type. I am a realist. Also, as a former Marine, I believe in these two maxims: “What doesn’t kill us strengthens us,” and “The hottest fire makes the strongest steel.”

Congratulations! If you are reading this, and the recession did not push you out of this business, then you survived probably the toughest period you will ever face in this industry. You were strengthened by adversity, tested, and will be forever stronger to face with confidence whatever comes in the future.

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The Four Rules for Successful Recruiting in a Recession, Part 2



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In yesterday’s part 1 of this article, I explained the first two rules to follow in a tough, tough marketplace. After all, when dealing with client objections in this economy, you’ve got to have a strategy in place to deal with them. Here are the next two rules you need to implement immediately.

Rule Number 3: Show how you can add value—and eliminate the problem.

Once you have identified the source of the problems troubling your client, show how you can add value. The truth in this economy is that while it’s easy to find average talent today, it’s still extremely difficult to find exceptional talent.

In extraordinary times, ordinary people don’t solve problems. “C” players simply don’t have what it takes to help their teams triumph over the myriad of issues this economy creates for businesses. Lucky for us, that’s our specialty. We bring exceptional talent to our clients. That is how we add value, whatever the economy.

I recommend the following general script:

“Mr. Client, let me ask you a question. What we’re finding is that in today’s market average talent is everywhere, but exceptional talent is very difficult to find. Those are the individuals knocking the sales quotas down for your competitors in the Southeast. Here is my question…since I talk to the “A” players in your market on a daily basis, would you like me to bring to your attention the top “A” players in the Southeast? The people who could quickly solve your revenue issues?”

With this simple paragraph, you’ve identified exactly the value you bring to the table and how you directly solve customer problems.

If you do this right, there can be no hiring-freeze objections. You bring exceptional talent to the table — the people who find a way to be successful in any economy. It’s a very clear choice: a team stuck with average players and failure or a team stacked with “A” players and thriving, whatever the economy! You are the one who can make that difference for them…

Rule Number 4: Spend more time getting good business.

In a recession, it’s not that there is no business to be had, it’s that unfortunately, most of it is bad. When the economy is this tight, clients reduce fees, put multiple recruiters on a single search, and delay hiring indefinitely. A successful recruiter’s goal is to get enough good business to eliminate the need to work on bad business.

Bob Marshall came up with the Job Order Matrix a few years ago and it still is worth its weight in gold today. The Matrix poses a series of questions that rate a job. It distinguishes between great job orders or search assignments and those that need to be left alone.

To acquire more good business, increase your marketing time. It isn’t enough to market a few hours a day; you’ve got to invest serious time every day to get good business.

Marketing time is based on the number of “A” search assignments you have and your unique marketplace. If you are going to take a true “A” player to market into your prospect and client base, you will have a lot more success than other marketing techniques today. My rule of thumb – if you don’t have enough “A” search assignments to hit your numbers for the next three months, then increase your marketing time.

Times are tough. Every industry in our country is facing challenges. But I like to tell my staff that strong winds make strong trees. With every day that passes, we are one day closer to a better economy. And when we emerge from this storm, we will have the improved skills and increased professional confidence born of experience.

More important, our clients need us. Don’t let them stop you from helping them make it through this recession. We will all benefit from doing our jobs the best we can, even in a challenging economy.

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The Four Rules for Successful Recruiting in a Recession, Part 1



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We’re in the middle of it, folks. The toughest economy in decades. We hear it every day from prospective clients and long-time customers alike.

“We have a hiring freeze” or “We are about to have a “RIF (reduction in force)” or even “We’ll work with you, but only if you cut your fee.”

Today’s marketplace is not for the faint-hearted. These are trying times in the recruiting world for those not fortunate enough to be deeply entrenched in the rare market unaffected by a struggling economy.

There is good news, however. In a sort of Darwinian way, weak recruiters are going to remove themselves from the industry. The rest of us will stay and fight for our careers.

It won’t be easy, but those of us who won’t accept defeat are going to make it happen. To do that, you’ll need to follow four rules of recruiting in a recession.

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Mom-Approved Client Development



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Get to know these companies — they’re among the 100 best companies for working mothers. Pretty important information for survival as a recruiter when you consider that our current recession — yes, the one affecting you thanks to those pesky hiring freezes — has hit men harder than women.

In fact, men held nearly 75% of the jobs lost thus far in the U.S. recession due to affected industries such as construction and manufacturing.

So take a look at the 100 best companies selected by Working Mother magazine and aim to add several companies to your hot list of clients.

The top 10 companies cited were Abbott Laboratories of Abbott Park, Illinois; Bon Secours Richmond Health System in Virginia; Deloitte LLP in New York; Discovery Communications of Silver Spring, Maryland; Ernst & Young of New York; General Mills of Minneapolis; Chicago-based Grant Thornton accounting firm; IBM Corp of Armonk, New York; The McGraw-Hill Cos publishers in New York; and PricewaterhouseCoopers auditors of New York.

The take-away message, according to the magazine’s editors, is that “how, when, and where you work” is not as important as the quality of the work produced. In fact, a full 100% offer some sort of telecommuting or flextime schedule; 98% offer job-sharing; and 94% offer compressed workweeks.

The companies — with at least 500 employees, government agencies excluded — entered applications with several hundred questions on programs and policies. This is the 24th year of this list, though its overall value has been questioned by some in the past.

But as more men are laid-off and more women become sole income-earners in their families, recruiters that help to lead candidates (and their families) to companies that actively promote family-friendly policies might lead you UP in the down economy.

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Don’t Fret Over The Recession, Embrace It!



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Now is the time. Let me repeat that. Now is the time!

Now is the time to capitalize on a career-changing moment. This truly is (and has been for nearly a year!) your window of opportunity. How can I make such a statement in the face of the worst recession since the Great Depression? It’s in difficult times like these that present the best career opportunities. Period. Leaders become leaders in organizations because they develop track records of solving problems.

Facing a recession like the one we’ve battled this past year presents the ultimate leadership opportunity. This recession will shape your career. How you respond will impact your future and the future of your organization. So, is this recession going to make you stronger or weaker?

How do you respond to the following phrases?

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Fordyce TV: Jon Bartos and Recession-Survival Secrets



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Join us on Tuesday, April 28 for the premiere of “The Talent Game,” the newest line-up to Fordyce TV.

Renowned speaker and trainer Jon Bartos, president and CEO of Jonathan Scott International, will uncover the truths about the talent market and why your clients need you now — more than ever before.

“We all are hearing the same things today. Hiring freeze; no openings; we are laying off, not hiring; and we need you to reduce your fees based on the market,” say Bartos.

“I’m excited to present on Fordyce TV,” says Bartos. “I want to offer an in-depth understanding of the talent market from our founding fathers of talent differentiation — Jack Welch, Brad Smart, and Peter Drucker.”

Viewers will also learn:

  • An understanding of the market dynamics for talent today and how to help your clients through this quagmire.
  • Why “A” players are hidden to hiring managers and HR professionals.
  • How to become your clients’ trusted advisor, and why they need to work with YOU as opposed to other alternatives.
  • How to win more business based on talent differentiation.
  • The universal truths of the talent market.

How to view the show: Log on to http://www.fordyceletter.com at 2pm ET on Tuesday, April 28. If you don’t see the TV box when you first log on to the website, try “refreshing” the page, as the TV box ONLY appears right before the show. Then, click the little white arrow on the television box (no password or any special log-in instructions are required) and watch the show. Stick around after the presentation for a live Q&A session via the “chat” box feature.

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Fordyce TV: Expert Strategies to Survive This Recession



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Update: Here is the replay for anyone who missed Barry’s live presentation on April 14.

Ways to Become a PR Expert