The UK Talent Shortage: How to Engage & Support the “Missing Million”

By Joe Mongon, Head of Recruitment Delivery, EMEA

When Dame Sharon White, former Chief Executive of Ofcom and current Chairman of the John Lewis Partnership, was recently interviewed on BBC radio, she said: “One area that I think has not had enough attention is what has happened in the jobs market over the last 18 months.” Not enough attention? The UK talent shortage, and the tightness of the labour market, has been at the heart of many mainstream news stories in the UK over the past year: petrol shortages, queues at air and sea ports, and general “skimpflation” in the customer experience.

In this case, White touched upon an interesting factor in the dynamic between an oversupply of job vacancies and an under-supply of job seekers—the “missing million” in the UK workforce who have left employment all together since the start of the COVID-19 pandemic in March 2020.

Who Are the Missing Million?

White identified that there are “1 million fewer people in work,” adding that, “Some think about it as the ‘great resignation’. I think about it as the ‘life reappraisal’, because this is predominantly people in their 50s.”

This latter point is broadly correct: four-fifths of the recent rise in economic activity is among older people, and while the concerning increase in long-term ill health negates the idea that this is most often the result a positive “reappraisal” of life priorities, growth in early retirement started in summer 2021 and remains persistent.

White rightly called for government action to address the challenge of encouraging early retirees back to work, and it’s possible that “flexible retirement” will in the future be discussed as often as “flexible working.” In the meantime, there is much that employers can do directly to support and re-engage early retirees including approaches to recruitment, job design, workplace support, and – yes – flexibility.

How to Attract and Retain Older Workers

A clear and informative job profile that brings the role to life and amplifies these factors can be the first step to finding the right candidate, including engaging overlooked or under-engaged audiences like the missing million. Job seeker priorities are often straightforward and are typically unaffected by age. Salary and flexibility—especially work from home considerations—lead the way when it comes to potential job switches.

To succeed, employers must recognise that temporary solutions to business problems, such as hybrid working, have turned into ongoing employee preferences and expectations. If you can’t advertise jobs as flexible and leverage that advantage due to the type of role, investment in pay or upskilling offers may be the answer.

At PeopleScout, we are certainly giving the UK talent shortage our full attention. We’re offering our clients bespoke strategies and tactics to overcome these challenges. By helping organisations understand their audiences—including the missing million—we’re able to support targeted candidate attraction efforts that create real results.

High-Volume Hiring in the Contact Center: 3 Challenges and How to Tackle Them

In our world of e-commerce and online banking, consumers want slick digital experiences. But they still want the human touch when they run into a problem. Despite the growth of digital channels, excellent customer service is still a must-have in a business landscape where companies compete on customer experience. High-volume hiring in the contact center has never been more important or more challenging.

Customer queries are more complex and high-value, and contact center agents are now expected to not only answer calls, but interact with customers through chats, emails and social media. Contact centers need highly-skilled talent who are comfortable working in a myriad of technology platforms. Customer service representatives (CSRs) must also exhibit strong soft skills like listening and empathy—especially as consumers are experiencing more financial hardships and mental health struggles post-pandemic.

Indeed, 84% of contact center leaders—whether part of a BPO or an internal contact center—believe the pandemic permanently elevated the importance of the contact center for their business. But, it’s hard to deliver against your service levels when you’re struggling to hire or when you’re losing staff amidst the Great Resignation. Since 2019, the number of vacancies has increased, while the number of applicants per opening has dropped by 50%.

Chart showing reduction in applicants for high-volume hiring for the contact center
(Source: Indeed)

So, how can a contact center director and talent acquisition leader team up to tackle today’s tough landscape? Here are three top recruitment challenges in the contact center and tips for overcoming them.

1. Use Your Employer Brand to Attract the Right Kind of Talent

ContactBabel’s Contact Center Decision Maker’s Guide states that contact center attrition reached 23% in 2022, with 1 in 6 operations experiencing annual attrition of over 30%. This results in contact centers making over 212,000 hires annually. With turnover like this, how to make high-volume hiring more effective is always on the minds of contact center directors.

As consumer behavior has changed, a different set of skills is needed in customer service. Contact center agents need to exercise problem solving and analytical skills while also displaying empathy to customers who may be upset or emotional. Agents who lack these skills are more likely to struggle to resolve customer issues and to suffer from increased stress levels.

By honing your employer value proposition and attraction messaging, you can stand out amongst your competition but also zero in the characteristics you need for your contact center. By shifting your mindset from focusing on getting the most applications, or even those with customer service experience, to getting applications with the right profile, you can reduce attrition by increase the likelihood of your new hires being successful.

Case Study: Finding Candidates with Problem Solving Skills

We helped Direct Line, a British insurance provider, improve their recruitment outcomes in the contact center through employer branding and recruitment marketing. We found their ideal candidate profile was someone with strong analytical skills and who could proactively problem solve—rather than those with past experience in customer service.

We then expanded our search efforts, looking for candidates who would have honed these skills in non-customer service roles who would be interested in making a career change. Not only did this open the doors for Direct Line to access a new pool of talent, but it also helped to increase the quality of their hires and reduce attrition.

2. Rethink Your Assessment Center to Reduce Drop-Off Rate

With growing complexity in customer service, organizations need contact center agents with strong listening skills and written communication skills (for chat, email and social media enquiries) as well as the ability to self-manage and multitask. Leveraging candidate assessment tools to find candidates with the right combination of skills and behaviors is imperative to the success of your contact center.

Chart of most valued characteristics for high-volume hiring for the contact center
(Source: ContactBabel)

Case Study: Moving the Assessment Stage Forward

One of our longest standing clients, tasked us with high-volume recruitment process outsourcing (RPO) for their financial services customer contact centers. The bank needed to recruit more staff to meet their service levels and create a great experience for their customers. We designed the customer contact recruitment process from scratch, including a recruitment marketing campaign.

As part of this new process, we advised the client to introduce an online test immediately after the candidate applied using an automated email. This caught them while the application was still front of mind and also ensured that only best-fit candidates progressed. This meant that hiring managers were committing their time to top talent and helped to reduce the overall time to hire. As a result of identifying high quality candidates sooner, we were able to reduce the attrition rate to just 11%, well below the industry average.

More Assessment Center Tips to Reduce Drop Off

Here are some more assessment center tips:

  • Try introducing assessment tasks earlier in the process or combining assessment stages. This helps increase hiring speed and keep candidates engaged.
  • Rather than traditional multiple-choice tests, try a role play scenario or an interactive experience that gives the candidates a real-life feel of what their day-to-day job will look like. The benefits are two-fold—you get a better idea of how candidates will perform in the role, and they get a better idea of what to expect before they accept the offer.
  • Ensure candidates are prepared for the assessment center by offering webinars, instruction videos and even practices tests. This helps to eliminate nervousness and boost confidence amongst candidates—reducing candidate drop-off before the assessment center phase.

Learn more about our whole-person model for assessments and how we leverage it for evaluating customer service reps for the contact and other high-volume hiring situations.

3. Boost Your Communications to Eliminate Ghosting

Newly hired customer service reps are increasingly ‘ghosting’ their call center jobs—not showing up for day one with no reason given and often no communication from the candidate at all. According to an Indeed survey on ghosting in the workplace, 22% of candidates say they have accepted a job offer but didn’t show up for the first day of work.

Following the tips above on finding the ideal candidate profile and assessing for the right skills to start with, will help reduce ghosting on day one. In addition, you can also work to speed up the recruitment process and improve communications to keep candidates engaged after offer acceptance.

Speeding Up the Recruitment Process

With so many contact centers vying for customer service talent, employer response time is crucial as you want to beat the by being the first to move the candidate through the recruitment process. About a quarter of candidates state the reason for their ghosting was because the hiring process was too long or too slow. So, take a look at your recruitment process. Are there any steps you could eliminate or combine? Are there ways you could reduce the time between steps?

If it’s feasible for your organization, you might consider moving to same-day offers, even if they’re contingent upon reference verification, background checks or drug testing. Also, moving the start date up will reduce the likelihood of a competing offer turning your candidate’s head. Waiting for your next training class could be risky, so think about running smaller training classes more frequently to accelerate hiring.

Staying Connected with Regular Communication

Communication is also a key part of combatting ghosting during the crucial period offer and onboarding. Staying in touch with candidates is imperative to keep them interested. If you ghost your brand-new hire by forgetting to check in, they’re more likely to ghost you in turn. The same Indeed study found that 77% of jobseekers saying they’ve been ghosted by an employer.

Assessing the touchpoints between your organization and the offer holder is an important way for employers to ensure they keep the lines of communication open and increase engagement with candidates. Are you using your CRM to the fullest? Investing in creating content that showcases your employer value proposition (EVP) and sending it out regularly to your candidates via engaging emails will ensure they are reminded regularly of the value you offer—whether through benefits, flexibility, growth opportunities, diversity and inclusion initiatives and more.

Personal touchpoints are another way to stay connected. Check-in emails from the recruiter or even messages of congratulations from the hiring manager will help candidates feel valued and special. You might consider asking existing employees to act as an ambassador and share some onboarding materials with more information about your organization, your culture and values or your employee resource groups (ERGs) so they start feeling like a part of the team.

These small gestures can help your candidate feel connected to the organization before they start—and could end up being what keeps them from changing their mind when they receive a competing offer.

RPO for the Contact Center

Facing a recruitment landscape in which you need high-volume hiring to support your contact center operations? Learn strategies to speed up your hiring process and deliver on customer service quality by downloading our 9 Strategies for Solving High-Volume Hiring Challenges.

Talent Attraction in the Building and Construction Industry in Australia

PeopleScout has over 10 years of experience working in partnership with our clients in the building and construction sector. Our Australian footprint covers metropolitan, regional and remote locations supporting multi-national clients with varied requirements including:

  • National infrastructure and transport projects
  • Property development
  • Telecommunications
  • Remote site construction
  • Building and construction materials distribution
  • Renewable energy development

PeopleScout is an end-to-end recruitment process outsourcing (RPO) provider delivering strategic talent acquisition solutions across the building and construction sector. Our deep understanding and insight led approach to the delivery of project-based workforces will allow us to transform your approach to talent acquisition. We can partner with your existing team or deliver standalone projects to provide surge capacity and allow you to gain the competitive edge in the acquisition of talent.

The Talent Attraction Recipe for Success

The building and construction industry has weathered an incredible amount of change and challenges over the past decade and PeopleScout has been a trusted and strategic talent partner with a number of tier 1 and tier 2 industry leaders throughout this period, taking on lessons and continually refining our process. Over this time there are a few standout learnings we can share which have made a major impact on securing talent in this sector.

Industry Insights – Project Driven Forecasting for Balancing Skilled Labour

We have developed a deep understand of project-based recruitment across the building and construction industry, which includes the development of candidate source and attraction strategies aligned to project cycle and location. PeopleScout recruitment teams is involved from the bid stage of our client’s major infrastructure projects which allows us to start forecasting when the demand for certain skill sets is due to pick up and when there will be available workers ready to start planning for their next engagement.  

Workforce Partnership Planning – Forecast Planning

We partner closely with our clients to workforce plan against their project pipeline and the phases of the projects currently in play. One of the most impactful workforce planning tools is the forward mapping of your internal and external pipeline talent pools to your client’s future workforce requirements. PeopleScout’s CRM technology, Springboard allows our team to proactively manage our talent pools and keep them informed of opportunities on the horizon. Springboard helps our team to keep talent engaged with our clients and facilitates a seamless application, screening and onboarding process to ensure we maintain momentum with our talent and have them ready to start as soon as a project receives the green light.  

Employer Value Proposition – Including Community Engagement

Construction projects do not happen in isolation from the community they operate within and leveraging your EVP to build your brand within the local community is an integral sourcing strategy for this sector. Even more so when the projects you are sourcing for are based in regional and remote locations. PeopleScout works with our innovative Talent Advisory team to design sourcing campaigns that will resonate with the local communities our clients are working within. Our recruitment teams work directly with community groups, educational institutions, and industry partners to promote local pathways to work and support the diverse needs of our communities.

Talent Sourcing Insights

PeopleScout is an insights-led business, we use the data gathered via our business intelligence platform Springboard to analyse every aspect of the recruitment process both retrospectively and in real-time to ensure our campaigns are as effective as possible. Our insights tool interfaces with all the leading ATS platforms used by our clients and is fully integrated with our proprietary Talent Solution technology – Springboard. which allows your teams:

  • Access the real-time ROI on advertising and social media campaigns allowing your team to immediately pivot from avenues that are not yielding results and ramp up investing into the strategies delivering the greatest impact.
  • Access data analytics has been instrumental in achieving our client’s diversity goals; we enable your team will monitor the progress of applicants throughout the recruitment process and our data analytics will identify any key dropout points in the process. The PeopleScout team will assess what is causing applicants from certain demographics, to not proceed with the application and redesign the application process to stop this in its tracks.
  • Access to a dedicated talent insights team who conducts candidate market deep dives, to understand what the candidates career motivators are and where the best talent is for your organisation. We use these Market Benchmark Insights to develop candidate personas which we validate and use to design our go-to-market strategy.

As an example, PeopleScout partnered with a client, who is a leader in technology, industry, infrastructure and transport for over 11 years. Our solution features an onsite strategic sourcing business partner whose role is to source the hard-to-fill positions and provide overflow recruitment capability for the in-house team.

The Result?

PeopleScout is one of the leading outsource talent partners in the building and construction sector. We have over 10-year knowledge on how to support clients in the mobilise workforces for major infrastructure projects across ANZ. If your current talent solution is not meeting the demands of your project pipeline, PeopleScout as the technology, skills and experience to transform your talent acquisition team. The outcome of which will be a strategic function aligned to project and workforce needs. that decreases time to mobilise and provides you the competitive advantage you need in a tight talent market.

Early Careers Recruitment: Hiring for True Potential

By Joe Mongon, Head of Recruitment Delivery, EMEA

School’s out for the summer, but in the world of our RPO partnerships this is the time of year where we focus on early careers recruitment, in anticipation of entering apprentice, undergraduate and graduate markets in the autumn. Right now, we’re talking with clients both established and prospective about their needs in this area and, as ever, the focus on using EC programs to correct or balance diversity of workforce and (future) leadership remains a priority.

Most organisations will not necessarily view themselves as having a “diversity crisis” of the kind described in a recent article highlighting research into consulting and finance hiring in the City of London. However, many will benefit from accepting its key takeaway that, “employers are more likely to hire black candidates if they rely on anonymised, ‘skills-based’ assessments in the hiring process”.

In my experience, employers have long moved on from the most “traditional methods”. It’s certainly been a decade or more since I’ve heard of an early careers program requiring a cover letter or making space on an application form for candidates to list all the University societies of which they were definitely the President.

But my experience is not universal. I’m not a graduate looking to start my career, and I’m lucky enough to work in a recruitment business with an award-winning assessment consultancy arm, partnering with clients who take hiring for true potential seriously. That doesn’t mean there’s not more work for us to do within these partnerships—even for those who’ve taken positive steps in this area. Each year brings a new implementation cycle, and new opportunities to improve. 

Here are some solutions we’ve developed, launched or refined in our early careers RPO partnerships:

Assessing for Skills & Strengths in Early Careers Recruitment

Over time, many employers have reduced focus on abilities in favour of strengths- or behaviour-based testing, which is considered more conducive to measuring potential. Organisationally we broadly agree, but, where appropriate, we continue to recommend reasoning tests covering verbal, numerical and cognitive ability.  

The key here is not to use them in isolation as a blunt tool. Benchmark or cut off scores should be set only within the parameters of adverse impact analysis using anonymised candidate diversity data, and ability tests should be followed up with strengths or behavioural assessments. The link RPO expertise can create between recruitment technology, recruiters, and business psychologists is critical in this space.

Recruiting for Role Fit to Enhance Diversity

Predicting workplace performance and potential through behavioural assessment is often seen by early careers talent acquisition leaders as a smarter approach to hiring. Experiential tests, backed by data and research, producing personal interview guides for final stage assessment often leads to better outcomes and maintains diversity in the process

This approach highlights candidate suitability against role fit over culture fit, the latter being a potential barrier to creating a more diverse workforce (the concept of aligning new recruits with a prevailing culture or mindset being an obvious denial of the need for organisational change).

Focusing on Culture Add Rather than Culture Fit

I am not yet aware of any early careers programs where assessment is now 100% anonymised. Whether online via video, as part of a wider virtual assessment experience, or in a traditional face-to-face meeting, an interview is going to happen before a hire is made. Removing anonymity can introduce bias, and we promote two key mitigations.

Firstly, design and deliver structured interviews which are competency-based and/or focused on culture add (what the candidate can contribute to your organisation’s culture) over culture fit. Our teams often partner with hiring managers on best practice in this area, even facilitating or assessing directly where needed. This helps maintain consistency and relevance, avoiding questions on personal interests or previous experience—instead asking specific questions on working styles and preferences. 

Secondly, put candidate experience first and learn from feedback to provide support and guidance, setting the stage for success. By hearing the candidates’ voice, and measuring their experience across, we’ve been able to improve outcomes for employers.

We’re looking forward to seeing how these solutions progress, and what improvements they bring as we take early careers RPO from now to next, supporting the diverse workforces of the future—identifying and unlocking true potential wherever it exists.

Learn more assessment best practices in our ebook, Candidate Assessment: Bringing in Better with Passion, Purpose and Mindset.

[On-Demand] Hire Quality vs Speed: Finding the Perfect Balance

[On-Demand] Hire Quality vs Speed: Finding the Perfect Balance

 

We have all seen the stats. It’s a candidates market. The demands from hiring managers are acute – they need great hires and they need them now.

But when you need volume hires fast, how do you guarantee quality of candidate? How do you ensure your process is fit for purpose? What could you cut back and what is essential?

Talent acquisition professionals and hiring managers are facing unprecedented pressures and they need to understand which industry innovations they could you use to meet their hiring objectives.

This Personnel Today webinar, in association with recruitment process outsourcer PeopleScout, will look at how talent acquisition professionals and HR generalists can keep their hiring managers on-side, maintaining speed and agility without damaging quality of hire.

Personnel Today Rob Moss is joined by a panel of professionals with a wealth of experience in this area, including Mark Wright, customer services operations manager at VirginMediaO2 and Paula Simmons, director of employer brand and communications strategy at TMP Worldwide, together with Andrew Weston, solutions director at PeopleScout, and Kate Law, membership and learning director at the Call Centre Management Association.

The webinar covers:

  • What the main drivers are for the candidates’ market
  • What these mean for employers
  • How to avoid risking quality when trying to recruit fast
  • Strategies to maintain ED&I targets when talent pools are limited.

 

Candidate Screening Solutions for High-Volume Hiring in Healthcare

Candidate Screening Solutions for High-Volume Hiring in Healthcare

Candidate Screening in Healthcare

Candidate Screening Solutions for High-Volume Hiring in Healthcare

A leading pediatric hospital in America received a high number of applicants and engaged PeopleScout for screening and presenting quality candidates for open positions.

Increased Candidate Screening Volume
Increased Candidate Screening Volume
Worked Closely with Client to Create Valued Partnerhip
Worked Closely with Client to Create Valued Partnerhip
Sourced Candidates for Cultural Fit
Sourced Candidates for Cultural Fit

Situation 

This not-for-profit pediatric hospital needed to improve candidate screening processes. This included a focus on quality as it was important to the client to hire for the right cultural fit. Skills and positions in scope included clinical housekeepers, admissions and customer service staff.

Solution

PeopleScout’s team learned the client’s niche healthcare HR technology platform and utilized it to efficiently screen and track candidates.

PeopleScout worked closely with the client’s internal HR team to screen and present candidates who possessed the right mixture of hard and soft skills to ensure each potential hire was the right cultural fit for the organization.

At the client’s facility, everyone from clinical staff to housekeepers interact with children suffering from illnesses and their families. PeopleScout’s RPO team screened candidates carefully, looking for compassion, empathy and the ability to work well with children.

Results

Increased Candidate Screening
PeopleScout screened and hired 400 candidates annually for the client.

Valued Partnership
The client highly valued the relationship with PeopleScout; many of the client’s hiring managers had it written into their contract that PeopleScout was the only RPO provider they would work with.

Provided Attentive Care & Compassion for Others
This engagement was about more than sourcing great candidates for open positions. The program was supported by mutual values of service to one’s community and compassion for others.

At a Glance

  • COMPANY
    Not-for-Profit Pediatric Hospital
  • INDUSTRY
    Healthcare
  • PEOPLESCOUT SOLUTIONS
    Recruitment Process Outsourcing
  • ANNUAL HIRES
    400
  • ABOUT THE CLIENT
    This U.S.-based not-for-profit healthcare client system has engaged PeopleScout for healthcare RPO since 2015.

The Cow Behind the Pig: Why Economic Slowdown May Not Reduce the Need to Invest in Talent

By Joe Mongon, Head of Recruitment Delivery, EMEA

I’ve tried to hide from the inevitable and deeply wanted to write about anything other than the ONS’s recent UK Labour Market overview for fear of adding to the pervading gloom of economic news. But as a recruitment professional, and as a worker, the findings are too stark and too significant to ignore.

The main impact is for employees, not employers, with a grim picture of pay in real terms falling at its fastest rate in over a decade as the cost-of-living crisis bites. This might lead to churn as those in work seek higher paying opportunities to maintain, not improve, their lifestyles. And they might well have choice—a record number of job vacancies have been recorded (again) in the UK. It is certainly a challenge to businesses that, while “pay is growing strongly as companies seek to attract people to work for them,” salaries are still falling well behind rates of inflation, putting ever more pressure on investment.

Higher Salaries Won’t Fix the UK’s Talent Shortages

It will be very difficult to use salaries alone to mitigate against the lack of supply the UK jobs market is seeing. The current position is indeed incredibly tight and exacerbated by ever increasing levels of economic inactivity: a “missing million” from the workforce. I’ve been guilty of viewing this as being driven by a positive choice to work less for lifestyle reasons (which does happen), so the view here of (rising, long term) ill-health keeping people from work was especially sobering.

This all adds up to something no one in my network will be surprised to hear—recruitment is harder now than in 2019.

Talent Acquisition in an Economic Slowdown

What’s next? Follow the long-term graphs, and you’ll see repeatedly that economic slowdown = reduction in job vacancies.

It seems obvious that we can expect that again—an overall cooling of the job market as businesses reduce spend towards the end of the year. Does that mean recruitment will get easier? In some cases, yes: but the longer-term picture also shows critical talent shortages sticking around, driven by economic and demographic factors. Without an emphasis on connecting more people with work through education, training, and flexible support, recruitment efforts (and economic growth) will fall short.

This is what Peter Bendor-Samuel of Everest Group calls, “the cow behind the pig”: the bigger long-term challenge that can’t be ignored while digesting the smaller, short term one (for this analogy to work you have to imagine you are a python—or just read Peter’s blog it’s very good).

White knuckling the short-term in the hope that fewer people will be needed is a complacent talent strategy, where a winning one means a continued focus and investment in finding and keeping outstanding talent. Smart organisations must hold that course as much as possible in the face of slowdown, recession, stagflation and other economic headwinds.

Winning the New Talent Game

By Joe Mongon, Head of Recruitment Delivery, EMEA

The workforce that won’t come back is not purely a U.S. phenomenon. In the UK, vacancies are 50% above pre-pandemic levels while the number of people of working-age who are neither in work nor seeking employment is 400,000 higher. Shortages of people and skills will continue to challenge employers, and their capacity through 2022. Plus, the cost of living crisis compounds this through wage pressures.

For job seekers this is often good news. There are more roles available, with higher salaries and greater flexibility (especially in relation to remote working), plus there’s an emphasis on training, upskilling and creating a great working culture. Candidates can sit back and take their pick—after all, they are the ones in demand. What employers need is more job seekers—and it’s entirely possible that they can proactively increase that supply.

Talent Acquisition Has New Rules

McKinsey calls this the “New Talent Game.” Employers are now competing not just with each other, but with the wider array of work experiences on offer—not to mention locations. I’m based in Bristol, and for half a decade all my people were too. Now I am nabbing talent from other regions of the UK. Plus, people are increasingly making the (often temporary) decision not to work at all—to, as George Michael would have worn it, CHOOSE LIFE.

How do you win in that context? Organisations must redefine their attraction and recruitment strategies and build an employer value proposition (EVP) that takes employees’ whole lives into account and makes work a more positive choice. What is clear is those candidates are only coming back on their terms: workplace flexibility, adequate compensation and reasonable expectations about performance.

Winning with RPO on Your Side

As a leading, global talent partner for a diverse range of businesses, PeopleScout’s RPO solutions have long been designed to amplify employer brands with a recruitment approach that focuses on an enhanced candidate experience. The missing talent can be won by placing the employee experience at the heart of your talent strategy, and I’m proud to say in Q1 2022 we are re-delivering hundreds of employees each month into the consumer and retail sectors for our client partners in the UK, with fulfilment trending positively each month.

It hasn’t been easy – but we are playing the New Talent Game to win.

Delivering Cost Savings and a Healthy Return on Investment for a Rural Healthcare System

Delivering Cost Savings and a Healthy Return on Investment for a Rural Healthcare System

Delivering Cost Savings and a Healthy Return on Investment for a Rural Healthcare System

A major rural healthcare system turned to PeopleScout for technology-powered healthcare RPO enhanced by a recruitment marketing campaign, resulting in a $4+ million cost savings.

77 % reduction in nursing recruitment spend, totaling $4+ million in savings to date
97 % new hire retention
98 % hiring leader satisfaction score

Situation

This healthcare provider was having trouble sourcing and hiring for nursing roles in North Dakota, a rural state heavily impacted by ongoing nursing shortages, forcing the client to rely on travel nurse staffing providers to deliver talent to support rural healthcare recruitment. The reliance on these staffing providers proved expensive, with the client paying an average of $73 an hour per locum nurse in contrast to paying $34 an hour on average per full-time nurse. Traveling nurses also work on 13-week contracts, meaning that the client receives temporary talent and less value for their recruitment spend.

To improve talent acquisition costs and attract hard-to-hire candidates, the client needed a full-cycle healthcare RPO partner that could streamline the hiring process and build a strong recruitment marketing program. PeopleScout’s RPO program started with nursing hires and now spans 90% of the client’s clinical and non-clinical hiring, including aides, clerical workers, interns, leadership positions, RNs, LPNs, professional services, technical roles and therapists.

Solution

Build a Local Recruiting Team

PeopleScout built a local recruiting team balanced with virtual support. This enables PeopleScout to work directly with the client on-site with the increased efficiency of a virtual team.

Develop Improved Employer Branding and Location Branding

PeopleScout partnered with the client to understand their employer value proposition and employer brand and then built out recruitment marketing materials to showcase the strong culture and cutting-edge medical facility. The recruitment marketing campaign also included messaging on the benefits of working in the rural area, like the strong university presence, short commute, low crime and sense of community.

Target Recent Graduates

The client partnered with PeopleScout to focus their efforts on hiring recent graduates from local universities. This helped the client get ahead of the competition and train new employees in their RN Residency Program.

Implementing Hiring Bonuses

PeopleScout advised the client to implement a $10,000 hiring bonus for new nurses to ensure their employment offers were competitive based on industry data and research.

Implementation of Affinix and Streamlining Recruiting Processes

PeopleScout implemented our proprietary total talent suite, Affinix® which helped the client streamline recruiting processes through tools that supported management of direct sourcing, panel interviewing and an expedited offer process—decreasing time-to-fill rates.

Results

Cost Savings

After implementing PeopleScout’s full-cycle healthcare talent acquisition solution, the client reduced its nursing recruitment spend by 77%, totaling $4+ million in savings to date. 

Lowest Nurse Vacancy Rate

PeopleScout helped the client achieve their lowest nurse vacancy rate ever — 1.3%. The client also achieved a 136% increase in hiring new graduate registered nurses. The client reduced its use of traveling nurses by 68%, and for the first time, was able to hire nurses willing to relocate for the position.

Process Improvement

With PeopleScout’s expertise, the client achieved 97% new hire retention and 98% hiring leader satisfaction scores for exceptional performance. The client was so impressed with PeopleScout’s results hiring nurses that the client now outsources 90% of their hiring to PeopleScout.

Enhanced Employer Branding

PeopleScout leveraged the client’s strong employer value proposition and was able to partner with the healthcare provider to create an enhanced suite of employer branding materials that feature real employees. PeopleScout also used a comprehensive approach to reach candidates, including social media, campus recruiting and paid search ads.

Client Feedback

“We are so impressed with this partnership, and it’s a significant improvement from our past recruitment practices. We feel so confident working with a partner who ‘gets it,’ and we are excited about the quality of our candidate pool.”

Client Feedback

“Out of the three nursing jobs I have obtained in the past, this was by far the most professional and friendly hiring process that I have been through. It was a pleasant change.”

New Hire Feedback

At a Glance

  • COMPANY
    Rural healthcare system
  • INDUSTRY
    Healthcare
  • PEOPLESCOUT SOLUTIONS
    Recruitment Process Outsourcing, Talent Advisory, Affinix
  • ABOUT THE CLIENT
    This American nonprofit healthcare system has served portions of the Midwest for more than 130 years. It employs over 3,500 health professionals and support staff.

Are You Ready for RPO? 3 Questions to Ask

Shrinking talent pools, widening skills gaps and high turnover rates are driving companies across industries to look for new ways to boost their global talent acquisition program—including recruitment process outsourcing (RPO).

Whether your organization is thinking of outsourcing some, most or all parts of your recruitment, an RPO partner can help. It’s not just about outsourcing your recruiting, it’s important to find the best partner to help manage the people, process, technology and strategy behind your talent acquisition function, which touches every employee, team and department within your business.

So, how do you know if RPO is the right choice for your organization? In this article, we’ll cover three questions to ask to understand how your company can benefit from RPO.

Why RPO?

RPO is a cost-effective and scalable talent acquisition solution. Whether you’re looking for a regional solution or a multi-country partnership, RPO has been proven to boost the ability to hire at speed, manage the employer brand, streamline the candidate experience and maximize economies of scale across geographies.

Here are just a few of the benefits of RPO:

Improved Candidate Quality

Your RPO partner can help you boost your number of qualified candidates and the quality of hires. In fact, according to Aberdeen Group, 81% of best-in-class organizations say RPO helps to fill their skills gaps. This keeps hiring managers happy and helps your organization achieve its goals while also boosting retention.

Better Candidate Experience

You want your recruitment process to leave every applicant, regardless of whether they get the role, with a positive experience. Your RPO team will provide consistent and honest feedback throughout the recruitment process, so they know exactly where they stand and what comes next.

Improved Hiring Manager Experience

Your RPO team reduces the administrative burden on your hiring managers by taking over résumé and CV screening, candidate assessment administration, initial interview steps, candidate communication and feedback tasks. RPO partners prepare hiring managers for interviews, provide them with feedback and identify any candidates at risk of dropping from the process so managers can make informed decisions.

Reduced Time-to-Fill

The longer a position goes unfilled, the more likely your business is to experience productivity loss—and loss of revenue. RPO teams are able to find candidates and fill roles faster by building and maintaining talent pipeline, providing quick access to qualified talent. By streamlining and optimizing recruitment processes, improving the time-to-hire and retention rates, RPO providers can increase your recruiting return on investment and deliver real cost savings to your bottom line.

Improved Diversity, Equity and Inclusion

In their global Diversity Wins report, McKinsey revealed organizations in the top quartile for ethnic and cultural diversity outperformed laggards by 36% in terms of profitability. So, it’s imperative that recruitment is an element of your DE&I journey. RPO teams are knowledgeable about different talent attraction options and can expand to new job boards, social media groups, online forums and events to engage more diverse candidates. Plus, RPO recruitment companies understand the regional nuances of DE&I issues. For example, in some countries like Poland, it is not legal to ask candidates their ethnicity, gender, etc.

Not sure if you should go for RPO or staffing agencies? Here are the top differences.

Is RPO Right for Me?

So, how do you know if RPO is right for your business? Here are some questions to ask yourself:

  • Is your talent acquisition approach slow and clunky or failing to meet your organization’s talent needs?
  • Do you lack the ability to scale your recruitment efforts up or down quickly as your business needs change?
  • Are you seeing high candidate dropout rates or low offer acceptance rates, which could indicate a bad candidate experience?
  • Are low conversion rates more pronounced for candidates from diverse backgrounds?
  • Are you hearing complaints from hiring managers about the quality of candidates?
  • Are new employees leaving your organization less than a year after joining?
  • Do your assessments and other selection tools need to be updated?
  • Do your in-house teams lack the cultural literacy to support recruitment in all regions?
  • Are your hiring costs going up?
  • Is the time it takes to fill positions getting longer?
  • Is your usage of talent acquisition technology immature or out-of-date?
  • Do you lack access to the right data to make workforce planning decisions?

If you answered “yes” to even a few of these questions, RPO can help you meet your talent acquisition goals.

CHECKLIST

Is RPO Right for You?

What Should I Look for in an RPO Partner?

If you’ve decided to that RPO will be a good for your organization, you may be wondering how you go about choosing the best provider. Below are just three things to consider in order to make RPO a truly transformational model for your business.

Partnership

If there’s one thing we’ve learned in 30 years of developing talent acquisition programs, it’s that no two organizations are the same. That’s why it’s important to look for an RPO partner that is collaborative, that will listen to your ideas and take the time to truly understand your business and pain points.

We hear a lot from clients who have worked with other providers who tried to squeeze them into their standard program, and it just doesn’t work. RPO creates efficiencies and improvements to the candidate experience through repeatable processes, but these processes should be adapted to your unique needs and challenges. Look for an RPO partner who understands the balance between consistency and customization.

Talent Advisory

The success of your recruitment program starts with your employer brand. Many RPO providers offer talent advisory solutions that help you to develop and improve your employer brand, EVP, recruitment marketing approaches, candidate assessments and more.

So often we see companies who have agencies that execute recruitment marketing campaigns separate from their RPO program. However, with this siloed approach, the agency is less likely to be held accountable for their campaigns leading to high quality candidates entering later candidate journey stages like interviews and assessments. On the other side, the RPO partner has limited means to provide feedback on the campaigns and the impact the ads have on recruitment outcomes. By having both functions under one partnership, you get a holistic program that not only attracts candidates—but truly delivers against your hiring goals.

Look for a partner with in-house resources (not one who outsources to an agency) who takes a consultative approach to maximizing the effectiveness of your whole talent acquisition program, beyond just filling vacancies.

Technology

Digital transformation has hit HR and recruitment, bringing an influx of new solutions to the market that offer a range of benefits. RPO partners increasingly offer tech consulting and can show you how emerging technologies like artificial intelligence, machine learning and predictive analytics can boost your ability to attract top talent.

Some RPO partners have proprietary technology, like PeopleScout’s Affinix®, while some offer expertise in well-known platforms. Look for a modular approach that can integrate with your existing systems, so you can continue to benefit from existing investments and grow your recruitment tech stack as your needs change. Any technology you implement must comply with data privacy regulations in all regions where you’re recruiting, including any rules about where data can be stored. A SOC 2 certification is a great way to tell that a vendor takes information security seriously.

In this era of tight competition for talent, augmenting your recruiting capacity and ability with an RPO provider could be a crucial step for the future of your business. When it comes to RPO, there is no single best option, only the option that best aligns with your organizational needs. By understanding your current recruitment challenges and requirements, you can find an RPO partner with right capabilities to support your global recruiting goals.

Learn more about RPO in our ebook, The Buyer’s Guide to Global RPO.