Category: Talent Acquisition Strategy

PeopleScout Jobs Report Analysis – July 2022

Posted on by nfuqua

U.S. employers added 528,000 jobs in July. This beat analyst expectations and marks the point where the U.S. economy has recovered all 22 million jobs lost in the early days of the COVID-19 pandemic. The unemployment rate dropped to 3.5%. Year-over-year wage growth increased slightly to 5.2%.

jobs report infographic

The Numbers

528,000: Employers added 528,000 jobs to the U.S. economy in July.

3.5%: The unemployment rate fell to 3.5%.

5.2%: Wages rose 5.2% over the past year

The Good

The headline from July’s jobs report is the news that after 2.5 years, the U.S. economy has recovered all of the jobs lost early in the pandemic. As the Wall Street Journal reports, this marks the fastest job growth at any point after WWII. The strongest growth took place in the leisure and hospitality; business and professional services; and education and health services sectors. The unemployment rate also fell back to the historic low of 3.5% that we saw right before the pandemic.

The Bad

Despite the good news in July’s report, there is one concerning number. The labor participation rate fell again to 62.1%. As MarketWatch reports, experts would expect the labor participation rate to rise in a strong jobs market, as abundant job openings draw more people into the workforce, especially as there are currently more job openings than there are people looking for work. However, most of the decrease is concentrated in the youngest and oldest workers,  those 16-24 and those over 65. This suggests that young workers heading back to school and the retiring baby boomer generation could be behind the drop.

The Unknown

As the New York Times reports, July’s impressive job growth indicates that the U.S. has not entered a recession, despite the fact that the country’s gross domestic product has contracted for the second consecutive quarter. This shows that the economy is withstanding the impact of the Federal Reserve’s aggressive interest rate increases. Economists expect job growth to slow down later in the year as interest rate hikes start to make an impact.

Talking Talent: Reducing Unconscious Bias for an Inclusive Recruitment Process

Posted on by nfuqua

In this episode of our Talking Talent podcast, we hear from Simon Wright, Global Head of Talent Advisory, about tactics to reduce unconscious bias and make your recruitment process more inclusive.

Unconscious bias affects us all. In the two years since the death of George Floyd, public consciousness around the issues of diversity, equity and inclusion has risen throughout the globe. As such, employers can no longer remain silent. 

Not only are investors and shareholders paying greater attention to social challenges, but employees, candidates, and consumers are also pushing businesses to make public commitments regarding diversity and inclusion—and to publish their progress. In today’s job market, where job vacancies are outpacing unemployment, candidates have more choices than ever about where to work—and they’re choosing employers that prioritize DE&I: According to Glassdoor, 76% of candidates said that a diverse workforce was an important factor when evaluating companies and job offers. 

Unconscious bias is one of the key forces holding employers back from making strides in DE&I initiatives, and it’s a complicated issue to tackle. In this article, we’ll walk through the different types of unconscious bias, how they can affect your recruitment process and how to effectively reduce their effect.   

What is Unconscious Bias? 

What is Unconscious Bias?

Unconscious bias—sometimes called implicit bias—is a term that describes the associations we hold outside of our conscious awareness. Everyone has them, and they don’t make you a bad person; they’re an evolutionary adaptation designed to help our brains make decisions.  

Imagine if, every time we made a decision, we had to consciously take into account every piece of information available to us. Unconscious bias develops from our life experiences to help us navigate the world more quickly. However, it can also have negative consequences. And, the fact that it happens unconsciously means it can be difficult to bypass.  

For instance, in action, unconscious bias can look like what happened in the Boston Symphony in 1952. The Symphony was looking to diversify its male-dominated orchestra, so it conducted an experiment with a series of blind auditions. In an effort to remove all chance of bias and allow for a merit-based selection only—a selection that would hopefully increase the number of women in the orchestra—the musicians would be auditioning from behind a screen. To their surprise, the initial audition results still skewed male. Then, they asked the musicians to take off their shoes. The reason? The sound of the women’s heels as they entered the audition unknowingly influenced the adjudicators; once the musicians removed their shoes, almost 50% of the women made it past the first audition. 

This is just one example. There are several different types of unconscious bias that affect our decision-making: 

Confirmation Bias 

Confirmation bias causes us to seek out information that confirms something that we already believe. We hear about this type of bias most often in relation to politics. People are more likely to seek out positive news about the candidate they support, reenforcing their belief that they are supporting the right person. It can also play out in the hiring process. Recruiters and hiring managers can make snap decisions about candidates based on perceived truths. Then, they ask questions to try to justify these biases, rather than evaluate each candidate on the same criteria.  

Affect Heuristics 

Affect heuristics are mental shortcuts we take to make decisions based on our emotional or mental state, rather than taking all of the facts into account. In the recruitment process, this could play out with a recruiter or hiring manager discounting a candidate because of personal feelings that have nothing to do with the role. For example, if you used to have a friend named Pete, who you fell out with, you might still carry a negative bias toward a candidate named Pete. 

Anchor/Expectation Bias 

An anchor or expectation bias happens when we allow ourselves to anchor on to one piece of information to make a decision. This can happen in the hiring process when a hiring manager believes that a new hire needs to be a carbon copy of the person who used to have that role, so they anchor on one aspect of a candidate that is similar to the previous employee and ignore other information. 

Halo Effect 

The halo effect is a bias that causes us to use a general positive impression of someone to influence how we evaluate their specific attributes. For example, if we’re impressed by one fact about a person (like if they went to a prestigious university), that could make us see them in a generally positive light. The halo effect often kicks in when we wish we were more like another person. This plays out in the hiring process when a hiring manager or recruiter focuses heavily on one positive aspect of a candidate’s background and lets that guide their opinion moving forward.  

Horn Effect 

The horn effect is the opposite of the halo effect; it happens when we let one perceived negative aspect of a person influence the way we think about them. For instance, something as simple as not liking a candidate’s outfit or the way they speak can cloud a recruiter’s or hiring manger’s judgment during the recruitment process and be difficult to get past. 

Affinity Bias 

The affinity bias causes us to connect with people who are similar to us. This is different from the halo effect because it happens when we identify a similarity with someone, rather than looking up to them. We like the feeling of affinity because it makes us feel connected and part of a community, and we also want to surround ourselves with people who we feel we have rapport with. In the hiring process, this can lead to teams with little cognitive diversity as recruiters and hiring mangers lean toward candidates similar to themselves.  

Conformity Bias  

In essence, conformity bias is peer pressure. It causes us to rely on the opinions of others when making decisions, rather than making an independent choice based on our own interpretation of the facts. This can kick in when making the hiring decision: If you’re on a panel and you think one candidate is really great, but the rest of the group prefers someone else, you could get swept along by the majority. 

Contrast Effect/Judgement Bias  

The contrast effect happens when we compare two similar things to each other, rather than assessing them independently. During the recruitment process, this can happen when a recruiter or hiring manager compares one résumé or CV to another they viewed before. In doing that, they shift the goal posts; instead of judging a candidate based on their suitability for the role, they make a decision based on what they thought of another candidate. 

Combating Unconscious Bias 

Unconscious Bias

Understanding the different types of unconscious bias is only the first step toward reducing its influence on your organization. And, while training can raise awareness, it rarely changes behavior. So, to make a real change, employers should implement a robust diversity and inclusion program that touches every aspect of the hiring process. Following are some proven steps you can take to reduce bias.  

1. Clearly Outline the Role 

Taking time to really understand what the role requires is essential for weeding out bias in the recruitment process. Specifically, by identifying eight to 10 objective criteria that are predictive of role success, you’ll decrease the likelihood that decisions are made using unconscious bias. It’s important to evaluate what it takes to be successful in the role. Is there anything that could stop a candidate from applying? Does the role need to be performed in person or can it be done remotely? Are the criteria you’re using accurate predictors of success? Are you relying on the vague concept of “cultural fit” that breeds affinity bias? 

As an example, some of the big four accounting firms have reduced their reliance on academic achievement for their early careers and campus hiring programs because they know it’s not an accurate predictor of future success in the role. Instead, they’re now focusing on potential by using other measures that they’ve tracked over time to show their effect on performance. 

2. Build an Inclusive Job Description 

Once you’ve outlined your role internally, focus on your external job description. Is there anything that could discourage a strong candidate from applying? In particular, remove gendered language from your job descriptions and check the pronouns you’re using. Additionally, avoid words like “expert,” “superior” or “rockstar” that turn off female candidates. A variety of online tools can help highlight and remove biased language. 

Next, ensure that the requirements that you list for the role only cover what is absolutely necessary. Women are less likely than men to apply to a role if they don’t feel that they meet all of the requirements, whereas men are more likely to apply if they only meet a portion of them.  

Finally, when creating a job description, ask multiple people from different backgrounds to review the job description—and take their feedback into account.  

3. Update Your Screening Process 

The next area to consider is your selection process. Are you relying too much on résumés and CVs? Research shows that CVs are not only fraught with bias, but that they’re also bad predictors of success. That’s because there are many factors on a CV that can trigger unconscious biases, like the person’s name (gender or ethnicity), the school they went to (geography or economic class) or the year they graduated (age).  

For example, according to the National Centre for Social Research, people with white-sounding names are nearly twice as likely to get callbacks for jobs than people with ethnic-sounding names. In their study, job applicants with white-sounding names were a significant 74% more likely to be invited to a job interview compared to applicants with an ethnic/minority-sounding name. 

4. Rethink Your Interviews 

Recruiters and hiring managers often rely heavily on interviews, which can be rife with unconscious bias. On top of that, interviews have a predictive power of 56%, according to Don Moore, a professor at the University of California, Berkley. That means that, if you’re making your decision based on an interview, you’ll make the wrong decision nearly half of the time.  

Plus, most interviews are conducted one-on-one or with small groups, where bias can flourish. However, mixed panels with diverse interviewers and objective criteria used to assess each candidate can lower the risk of bias when compared to traditional interview settings.  

Meanwhile, there can be an increased risk for bias in the new world of virtual interviews, as well. That’s because, when interviewers can see the inside of a person’s home, they can make unfair assumptions. So, if you use video interviews, ask candidates to blur their backgrounds. 

It’s also important to standardize your interview process so that all candidates are evaluated on the same criteria. This helps you avoid the contrast effect where you only compare candidates to each other, rather than against an objective set of criteria. And, to further reduce the chance of bias, reduce the power of the interview. Can you add other assessment techniques, instead, like work simulation tools or sample tests? 

5. Formalize Your Decision Process 

The final piece of the recruitment process is making a hiring decision. Don’t just get together at the end of the interview and say, “You know, I think John was really great,” or “There was just something I really liked about Kathryn.” Conformity bias can play a strong role in these types of discussions.  

Instead, have your panel step away individually, reflect on each candidate and score them based on your objective criteria. Then, you can review those scores as a group and discuss what you learned about the candidates during the recruitment process.  

Defining Success 

Because unconscious bias is so deeply embedded in all of us, it takes the efforts of everyone to reduce it. However, reducing bias in your recruitment process is a long-term commitment and not something that can happen in three or six months—or even a year. Rather, it involves backing from across the organization and all the way up to the leadership team. It also requires hiring managers to really engage with the process and be willing to give up making “gut decisions.” Finally, it also calls for a clear picture of where you want to go and how you’re going to monitor, measure and communicate success.  

Learn more about how to evaluate your program and progress in our ebook, “Progress in Action: Moving Toward a Globally Diverse and Inclusive Workplace.” 

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

Posted on by akessler

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 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.

9 Strategies for Solving High-Volume Hiring Challenges

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Talent Attraction in the Building and Construction Industry in Australia

Posted on by akessler

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.

Providing Workforce Planning Data to Support European Call Center Recruitment

Posted on by akessler
Providing Workforce Planning Data to Support European Call Center Recruitment

Providing Workforce Planning Data to Support European Call Center Recruitment

Call center recruitment is essential for any enterprise in today’s customer-centric environment. A large multinational financial services provider identified five European countries where they could potentially open a bi- or tri-lingual contact center. They turned to PeopleScout—and our Talent Insights solution—to get the data they needed to understand which location had the best talent pool for their needs.

Labor market data provided for five countries
Labor market data provided for five countries
Provided data on size of talent pool and language capabilities
Provided data on size of talent pool and language capabilities
Added value with data to support DE&I and more
Added value with data to support DE&I and more

Situation

With dozens of contact centers in countries around the globe, the financial services organization wanted to simplify and optimize their operating model with multilingual hubs. The client asked PeopleScout to help them understand more about five shortlisted potential locations for these “super sites.” Time was of the essence with delivery of the insights required in just two weeks.

Solution

Our in-depth talent insights included:

  • Size of talent pool – The number of individuals working in the customer service sector in those locations
  • Languages spoken – The languages spoken by the talent pool within those locations
  • Cost of language ability – Any additional cost to hire people with particular language abilities in those locations
  • Demographic data – Age and gender data to support diversity, equality and inclusion (DE&I) efforts as well as recruitment marketing messaging
  • Drivers and motivators – For candidates in each market to inform go-to-market messages that will resonate with each audience
  • Channel strategy and advertising tactics – To attract these audiences on their go-to websites and job boards
  • Candidate expectations – What candidates want from the recruitment process to enable an improved candidate experience
  • Salary expectations – How the employment offer might need to vary from location to location based on regional information

The Results

The PeopleScout Talent Insights team distilled their research into an easily digestible report. For each country, the report included:

  • A high-level summary of our findings and recommendations
  • An overview of market size broken down by active and passive job seekers
  • Highlights on “hot spot” locations within each country showing language capabilities and salary expectations
  • What customer service professionals are looking for from an employer
  • Job boards and websites favored by candidates in each country
  • Demographic details including gender and age as well as education and experience levels
  • Expectations for the candidate experience including timelines, number of interviews and likelihood to negotiate offers
call center recruitment market data
call center recruitment market data

The insight PeopleScout provided for each location equipped the client with valuable information that helped confirm the suitability of a location for their multilingual contact center. We were also able to provide them with additional analysis to define their proposition, shape their talent attraction strategy and inform their salary and compensation packages.

At a Glance

  • COMPANY: Global financial services organization
  • INDUSTRY: Financial Services
  • PEOPLESCOUT SOLUTIONS: Talent Advisory
  • ABOUT THE CLIENT: This multinational insurance and financial services company offers personal and professional insurance products as well as asset management solutions.
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Early Careers Recruitment: Hiring for True Potential

Posted on by akessler

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.

Recruiter On-Demand: How Project-Based RPO Can Solve Your Toughest Talent Challenges 

Posted on by nfuqua

Our challenging labor market has made it hard to hire qualified workers and turnover is high. On top of that, it’s difficult to hire recruiters in the current market. According to LinkedIn, the number of open job postings for recruiters has increased nearly seven times year-over-year. Talent acquisition teams are spread thin—spending time sourcing passive candidates and working with candidates who have multiple job opportunities. 

These factors have left many employers looking for short-term talent acquisition support that can be set up quickly to respond to changes in the market. Rather than a full recruitment process outsourcing (RPO) solution, many employers are turning to project-based RPO, also called Recruiter On-Demand. In this article, we’ll walk through the different ways a project-RPO partnership can be deployed to address specific challenges within talent acquisition programs.  

What is Recruiter On-Demand? 

labor on demand

Project-based RPO and Recruiter On-Demand are interchangeable terms that represent talent solutions designed to meet the demands that internal resources may be unable to accommodate. Specifically, project-based solutions provide focused support for organizations in all industries during challenging periods of the recruitment cycle, such as peak hiring, hard-to-fill positions, compressed timeframes and more.  

The biggest difference between Recruiter On-Demand solutions and traditional RPO programs is that Recruiter On-Demand is a pay-per-hour model, rather than a pay-per-hire model. It’s a great option for organizations that don’t need or want a full RPO engagement, but still feel that they could benefit from some extra talent acquisition expertise and a small number of extra recruiters (or even just one). 

While these types of programs typically begin with a defined timeline and scope, they also have the ability to expand, extend and evolve as needs arise. There are three major use cases for project-based RPO engagements; below, we’ll cover what they are, how they work and how they fit together. 

Use Case: Top-of-Funnel Sourcing 

The first Recruiter On-Demand model is a top-of-funnel sourcing solution. This model is exactly what it sounds like: Your partner works to fill the top of your recruitment funnel with more candidates. From there, your own internal team takes over reviewing their applications, interviewing candidates and making all of the hiring decisions. 

When Should You Use it? 

This type of solution usually appeals to employers for a few reasons, but the overarching theme is that internal talent acquisition teams don’t have enough time or bandwidth to source enough qualified candidates for open roles. This could be due to a hiring surge, ramp up or expansion. We also see this challenge for employers that have great consumer brands: They often get a lot of applicants, but can struggle to source candidates for specialized roles that aren’t what their brand is known for. This is common when hiring for IT or technology roles at companies that are not in the tech space.  

Likewise, as many organizations work to meet their diversity and inclusion goals, talent leaders can also struggle to find enough candidates from underrepresented backgrounds. The challenge can be further amplified when employers have locations spread across dozens, if not hundreds, of communities. That’s because recruiters and sourcers have to understand all the demographics and nuances of disparate locales.  

How Does it Work? 

At PeopleScout, a top-of-funnel sourcing Recruiter On-Demand engagement proved successful for one of our clients, a national retail sporting goods company. The team at this company was experiencing two challenges: They needed to fill a few specialized IT roles and they were struggling to source candidates from underrepresented backgrounds at their different locations. They also needed many candidates for their manager and assistant manager roles.  

In this situation, the retailer needed five sourcers: one person supporting their hard-to-fill IT roles, and the other four working to source for their high-volume area of retail and distribution roles. They had also identified several Midwestern states where they wanted to focus their diversity efforts and bring in more candidates from underrepresented backgrounds. To help them reach their goals, we created a detailed sourcing strategy. We also worked with local chambers of commerce and community-based organizations, in addition to leveraging social media platforms. By the end, the sporting goods store was able to meet its hiring and diversity goals, and the benefits even continued for weeks after the engagement ended.    

Use Case: Source/Screen/Submit 

Meanwhile, for employers that need slightly more support, there’s the next level of project-based RPO support: source/screen/submit. This type of engagement starts out the same as a top-of-funnel sourcing partnership; recruiters and sourcers support an internal talent acquisition team for a period of time, sourcing candidates to apply to open roles. However, rather than handing those lists of candidates off to internal teams, the recruiters take the next step of prescreening the candidates to ensure that they are both qualified and interested in the role before submitting prequalified candidates to hiring managers.  

When Should You Use It? 

We’ve seen a significant increase in the number of employers looking for this type of support. By taking on the front end of the recruitment process, these recruiters and sourcers give more time back to internal teams. This means that they have more time to interview candidates, put together competitive job offers and onboard new hires. 

This solution can be helpful for employers for a number of reasons, but the most common is that they need to hire for a large number of roles at the same time. This could be because they’re in expansion mode or rebuilding their team after the challenges of the last few years. Or, maybe they have a seasonal hiring surge as they gear up for a busy season, and it doesn’t make sense to have a large internal team when they only need the extra help for a few weeks or months at a time. We see this type of need frequently with retail clients gearing up for the holidays; educational organizations adding staff for the school year; and healthcare companies preparing for open enrollment.   

We also see a need for this solution when employers have a lot of branches or locations spread across a large geographic area—especially if hiring decisions are made at the local level and not at the corporate office. Similarly, we often see that local, branch-level teams don’t have the manpower to source and screen large numbers of applicants.  

How Does it Work? 

In practice, this type of solution can have a major influence. For instance, we have a client that provides early childhood education for children six months to 12 years of age; at one point, they had more than 900 openings across the country. Simultaneously, they were dealing with the Great Rehire, classrooms were reopening and they were working on an acquisition. Their final hiring decisions were also made by the school at a local level. Clearly, this was more than the small internal team could manage.  

When we partnered with this organization, our engagement started with two recruiters on a 16-week project. Those recruiters conducted the sourcing and prescreening of a minimum of 25 candidates per recruiter per week. Then, they sent prequalified candidates to the assigned school, where the hiring managers conducted in-person interviews, job offers and onboarding.   

Now, 10 months later, the project is still going strong. Because of the success of the initial team, the PeopleScout team has grown to six recruiters and, so far, they’ve phone screened nearly 3,000 candidates and submitted nearly 2,000.    

Use Case: Full-Cycle On-Demand Recruitment

Full-cycle project RPO partnerships are the most involved and most closely resemble traditional RPO partnerships. Think of them as “RPO light.” 

In a full-cycle partnership, recruiters support an employer’s internal team for the entire process—from intake to offer. There’s also even more space for a consultative partnership as the support extends throughout the entire process—not just bits and pieces. This means that there’s a greater opportunity to learn from the experiences and best practices that your partner has gleaned from years of working with employers across industries in all types of talent markets. Yet, despite the increased support, these types of full-cycle partnerships still retain all of the Recruiter On-Demand benefits—including the billing structure, shorter defined timeline to secure labor on-demand labor and more. 

When Should You Use It? 

This type of partnership typically works well for employers that are struggling to keep up with their hiring load. This could be due to attrition or a hiring surge and can cover every part of the process—from applicant management to interview scheduling to offer. 

We also see it work well for employers that want the best practices and experience of an RPO provider, but don’t have the need for a traditional, large, long-term engagement. In this case, these often start out as short-term projects, but end up being long-term partnerships.   

How Does it Work? 

At PeopleScout, we currently support a client that hires licensed clinical social workers. Because they provide virtual therapy and counseling sessions, their internal team was struggling to keep up with the increased demand caused by the pandemic. 

Once again, this Recruiter On-Demand project started small, with a 13-week planned engagement with two recruiters who handled everything form sourcing candidates to initial screenings and setting up interviews. The project also involved sourcing candidates from across the entire U.S. Finally, our team also handled offer letter execution and management.   

Now, 19 months later, the recruiting team has grown to 14, and we’ve hired more than 1,000 licensed social workers. We’ve also extended our services to support the client’s hiring needs in their call center and IT department.  

A Growing Partnership to Provide Labor With On-Demand Recruitment

Project-based RPO engagements have built-in flexibility, which makes it easy for them to shift in scope. In this way, a partnership can start out focusing solely on top-of-funnel sourcing and then later expand when needs change to cover more of the hiring process. A project RPO partnership can even migrate to a traditional RPO partnership.  

To learn more about project-based RPO engagements, view our webinar. 

Challenge Accepted: Tactics & Strategies for Hiring in a Candidate’s Job Market

Posted on by nfuqua

The job market and the world of work have changed drastically in the last few years, leaving employers to deal with the new challenges. For example, in the U.S., there are currently more than 11 million job openings, and year-over-year wage growth was at 5.2% in May. On top of that, the Great Resignation has record numbers of workers leaving their jobs: In the last six months in the U.S., more than 4 million people left their jobs each month. And, it’s spreading across the globe; CNN reports that resignations have also jumped in countries like the United Kingdom, Australia and France. 

But, employers are dealing with more than just a tight talent market, increased turnover and rising wages; the world of work has changed permanently—and so have candidate expectations. For instance, nearly two-thirds of the workforce wants some form of remote work option and nearly one-third wants hybrid work. As such, employers can’t simply plan to return to the pre-pandemic ways of doing business; instead, they must adapt. 

More precisely, to succeed in this job market, you need to both hire the best talent and retain the workers you already have—and that requires multifaceted solutions that address the specific issues within your organization. In this article, we’ll cover the potential sources of your talent challenges, some signs that they may be negatively affecting your organization and strategies you can use to get ahead.  

Is Your Employer Brand on Life Support? 

Throughout the pandemic and initial recovery, many organizations didn’t have the resources to invest in their employer brands. Unfortunately, if this was the case for your organization, it may be affecting your ability to recruit top talent. That’s because, if your employer brand is weak, qualified candidates won’t apply because they simply have other options.  

So, how can you tell if your employer brand is holding your organization back? Watch for these warning signs: 

why is there a labor shortage 2022

Solution: Rebuild Your Employer Brand 

If any of these signs look familiar, it’s time to focus on your employer brand. Luckily, there are a few things you can do. The first is to build out a strong employer value proposition (EVP) as the foundation of an employer branding campaign.  

At PeopleScout, we define your EVP as the essence of your uniqueness as an employer, as well as the give and get between you and your employees. In many ways, your EVP is the foundation of your employer brand—the perception and lived experiences of what it’s like to work for your organization.  

It’s important to note that building a strong EVP to drive your employer brand requires research into the short- and long-term goals of your organization; the reality of what it’s like to work for you right now; and the outside perception of your organization. That information is distilled into an EVP that’s unique, aspirational, authentic and dynamic. From there, you can communicate your message through an employer branding campaign via your careers site, social media campaigns, hiring events and more.  

At PeopleScout, we supported work on the employer brand at Vodafone, a telecommunications company in the UK. In this case, consumers knew the brand well as a mobile phone retailer, but didn’t see it as a multifaceted tech innovator. So, to help Vodafone hire more young workers, we worked to create an employer brand campaign that captured the spirit of change and possibility that’s part of their EVP. At the end of the project, PeopleScout had generated more than 16,000 applications and increased the number of female candidates by 23%. 

Does Your Candidate Experience Leave Much to be Desired? 

If your employer brand is in good shape, but you’re still struggling to hire qualified candidates, the next area to evaluate is your candidate experience. Candidate experience has always been important, but it’s even more critical in today’s job market. Nowadays, people have plenty of other options, so they won’t take the time to complete a long application or wait weeks for a call back.  

How can you tell if your candidate experience is the cause of your hiring woes? Look for these signs: 

Candidates accept other offers while in your recruitment process.  You have a lot of interviews, but make few hires.  Your process is slow and requires multiple steps for candidates. Candidates ghost before starting

Solution: Update Your Talent Tech Stack 

The right technology can have a significant influence on your candidate experience. Candidates want the recruitment experience to be fast and easy and allow them to feel in control. For this reason, evaluate every step of the candidate journey to identify where you can make improvements with technology. 

Your first step is to look at your application. Have you tried filling out your own application recently? How long does it take to complete? Is it simple or does it feel drawn out and tedious? Can you complete the application on a mobile device? If the process takes a long time or requires a desktop computer, it’s time to update your application.  

Then, look for other points in the process where you might make things easier for candidates. Do candidates have to wait weeks to schedule a screening or interview? If so, consider adding a self-scheduling interview tool or virtual interview solution, like text interviews or on-demand interviews. Furthermore, adding something as simple as a status bar that shows candidates where they are in the process can help them stay engaged. 

At PeopleScout, we work with a large retailer that had a strong consumer brand, but still struggled to recruit candidates. Their application required a computer and took more than 30 minutes to fill out. As an alternative, we developed a mobile-first application with just 11 questions that took less than eight minutes to complete. Now, half the candidates apply on mobile devices and the application conversion rate rose to 85%. For comparison, employers using a traditional application have an average applicant conversion rate of just 35%. 

Are Your Offers Competitive Enough in the Job Market? 

Salary and benefits are the elephants in the room in any discussion about hiring challenges. Wages are rising significantly. While the average year-over-year salary growth in the U.S. is at 5.2%, some industries are experiencing even steeper wage growth. For example, in the leisure and hospitality sector, wages are up more than 11% in the last year. In fact, the World Economic Forum reports that wages are rising in every region of the world. Therefore, in the current job market, your offer needs to be competitive.  

Here are some signs that your offers may not be competitive enough: 

Candidates make it through the process, but turn down offers.  Candidates cite salary expectations significantly higher than your budget.  Employees who leave frequently cite increased pay. 

Solution: Adjust Your Compensation to Current Job Market Rates 

If you’re experiencing any of these warning signs, evaluate your compensation against the market and adjust where necessary. Due to remote work, the job market has changed. Now, you’re not just competing against employers in your area for talent; you’re competing for talent across the country and, in some cases, the entire world. 

To that end, an RPO or MSP provider can help advise you on market rates and what types of adjustments are needed to make your offers more competitive. Plus, increasing your wages could even save you money in the long run.  

This happened for one PeopleScout client, a major rural healthcare system. Hit hard by the ongoing nursing shortage, the healthcare organization was relying on expensive travel nurses and struggling to bring in enough candidates. PeopleScout advised the provider to implement a $10,000 hiring bonus. This resulted in a cost savings as the client was able to reduce its nursing recruitment spend by 77%, totaling more than $4 million. The client was also able to reduce its use of traveling nurses by 68% and experienced its lowest-ever nursing vacancy rate—just 1.3%. 

Does Your Company Culture Send People Running? 

Perhaps the best way to avoid staffing shortages is to ensure that you don’t have to backfill large numbers of roles due to turnover. The Great Resignation is in full swing, but employers shouldn’t just throw their hands in the air as employees leave for new jobs.  

The good news is that employee turnover isn’t just about money. Talent leaders are finding that a major driving factor is employee disengagement. Throughout the last few years, many employees have experienced negative effects on their mental health, causing burnout and driving a reevaluation of work/life balance. Conversely, company culture can play a huge role in keeping employees happy, healthy and engaged. 

Is your company culture a problem? Watch for these warning signs:  

job market

Solution: Determine What Employees Want in the Job Market & Meet Their Needs 

To improve your company culture, you must first determine what employees feel they’re lacking from your organization. You can gather this information in two ways—and both are valuable. First, you should be conducting exit interviews with employees who have resigned. Try to get an idea of why they decided to take a new role. Is it simply increased pay? Did they feel they lacked a clear career path at your organization? Did they not feel appreciated by managers and colleagues?  

Next, try to identify problems before they drive employees to leave. You can accomplish this through anonymous pulse surveys; there are a number of tools you can use to track employee engagement and look for areas of improvement. Do employees want more opportunities for training? Do they want to feel as though they’re part of something bigger? Do they feel as though company leadership is not addressing their concerns? 

Then, once you determine the biggest pain points for employees, make targeted improvements to your company culture. You can demonstrate appreciation for your workers in tangible ways: Communicate actively and often. Define paths for advancement and look at learning and development programs. Offer more flexibility. Provide training for managers. Not only will these kinds of investments keep tenured employees from leaving, but they can also improve your employer brand and make your employment offers more competitive.  

There’s no doubt that the current talent market is difficult for employers, but the sources of the struggle are multifaceted and complex. There isn’t an easy, one-size-fits-all solution. Employers need to evaluate both the candidate and employee experience and alter their processes where inadequacies reveal themselves. You can’t keep waiting for “things to return to normal.” We’re in the new normal, and we have to adapt. To learn more, check out our ebook, “Employer Brand: Helping the Right Talent Choose You.” 

Prioritizing Mental Health for Employees: Creating a Culture That Promotes Employee Mental Health and Wellbeing

Posted on by jpatel

Mental health for employees remains top of mind in the wake of the COVID-19 pandemic, which significantly contributed to deteriorating employee mental health around the globe, bringing new awareness to the importance of employee wellbeing. Globally, the overall number of mental disorder cases rose dramatically in 2020, with an additional 53.2 million cases of anxiety and 76.2 million cases of major depressive disorders, as reported by the Institute for Health Metrics and Evaluation (IHME).  Many of the factors that led to this dramatic increase at the height of the pandemic remain—childcare and other caretaking responsibilities, financial difficulties, economic uncertainty and unemployment, to name a few.  

“These are stressful times. Half of Americans say their mental health has been affected by the pandemic. When you add racial injustices and a recession into the equation, a mental health crisis is imminent.”

Stephen Etkind, telemedicine provider with First Stop Health

Forbes noted that nearly six times as many employers have reported increased mental health issues among employees since the pandemic began. Clearly, this growing problem is one that employers can’t afford to ignore. 

Staggering Statistics

Mind/body health company All Points North conducted a survey of 1,000 individuals. They found that, since the onset of the pandemic, 36% of respondents reported experiencing more anxiety, 32% were suffering more panic attacks and 27% reported greater depression—with more than 30% saying that they regularly battled stress and anxiety. Similarly, a report from Indeed found that 52% of all workers were feeling burned out, up more than 9% from a pre-COVID survey. 

Mental Health for Employees

According to the 2022 State of Workplace Mental Health report by Lyra Health, working parents and other caregivers are more likely to face mental health challenges; nearly 90% of caregivers surveyed said they had experienced at least one mental health challenge in the last year and were more likely to experience worsening mental health. Moreover, Mental Health America estimates that depression costs the U.S. $51 billion in absenteeism and lost productivity alone, and Gallup data backs up this theory, finding that burned-out employees were 63% more likely to take a sick day and more than twice as likely to be actively looking for a different job.   

However, just as employee mental health is not a new concern, it’s also not one that will vanish anytime soon. As such, it’s essential for employers to recognize and prioritize the psychological safety of their employees, just as they protect employees’ physical safety. But, how do employers prioritize mental health in order to retain employees and give themselves a competitive advantage? Let’s start by taking a closer look at worker expectations. 

What Workers Want: How to Better Support Mental Health at Work

Mental Health at Work

The pandemic shined a light on previously unexamined areas of peoples’ lives—causing many to shift their priorities, rethink their work/life balance and reevaluate what really matters. And, these moments of clarity are unlikely to be forgotten anytime soon. Workers want a change in their working lives and are prepared to leave their jobs if they don’t feel support for their mental health at work.   
 
For instance, according to a FlexJobs survey, 56% of workers listed flexibility in their workday as the top way that their employer could better support them. In fact, remote work is considered the most important element to compensation and benefit packages, ranked only behind salary. Encouraging time off and offering mental health days were tied for second at 43%, and 28% said increased PTO and better health insurance were needed. Evidently, adopting a remote or hybrid work model could go far in many organizations, although that may not always be realistic depending on the role or industry. Fortunately, there are other ways that employers can ensure employee wellbeing. 

Actionable Ways to Prioritize Mental Health for Employees

employee mental health

The problem is clear: Employees are suffering mentally, emotionally, psychologically and even physically. So, to effectively prioritize the mental health of employees, it must be woven into the fabric of a company’s culture. The following are a few actionable ways you can do so. 

Effective Leadership and Mental Health at Work

As with any meaningful cultural change, leader buy-in is essential—and mental health prioritization in the workplace starts at the top. By demonstrating awareness, compassion and openness toward mental health, leaders can reduce employee concerns of being perceived as weak or vulnerable if they come forward with an issue. And, the most successful leaders know that leading by what they do is far more effective than what they say.

In an article on post-pandemic mental health predictions from Forbes, Adam Weber, SVP of community at 15Five, said,

“If executives want their employees to prioritize their mental health, they need to be doing the same in a very visible way. It’s one thing to encourage people to take time off for therapy or a mental health day, but most leaders have yet to take the next step of doing that themselves in a transparent way.”

Adam Weber, SVP of community at 15Five

Leaders should also regularly and actively listen to their employees; having open and honest conversations with employees about what matters to them and how they’re feeling mentally and emotionally is critically important. For example, in a study with Qualtrics and SAP, Harvard Business Review found that nearly 40% of global employees said no one at their company had asked them how they were doing. Conversely, ensure that your leaders are creating a safe space during one-on-one meetings with their staff to bring forward any worries, anxieties, struggles and concerns.  

In the People Managers’ Guide to Mental Health, UK-based mental health charity Mind and international champion for better work CIPD offer the following suggestions for a management style that promotes employee mental health:  

  • Create realistic deadlines. 
  • Communicate job objectives clearly. 
  • Deal with problems as soon as they arise. 
  • Give employees the right level of responsibility. 
  • Encourage participation from the whole team. 
  • Act as a mediator in conflict situations. 

When managers and executives are on board with prioritizing mental health, the groundwork is laid for a culture that acknowledges and protects all aspects of employee wellbeing.   

Recognize the Signs of Mental Illness in the Workplace

Once top-down buy-in is achieved regarding the importance of employee mental wellbeing, it’s important for employers to understand and be able to spot the early signs of mental health issues in the workplace—and know how to respond. While employers should not give advice about a mental health problem (as they’re rarely qualified to do so), identifying warning signs and responding appropriately can help prevent issues from escalating. This awareness is also a critical component of a culture that prioritizes the mental wellbeing of its employees.  

Early indicators of a potential mental health struggle may include:  

  • A sudden change in the employee’s work habits 
  • A dramatic difference in an employee’s personality 
  • An increase in absences or arriving late to work 
  • A sudden inability to control extreme emotions 
  • Social withdrawal 

If you notice any of these red flags, or if an employee approaches you with concerns regarding their mental health, be sure to approach the topic carefully and with respect. Make them comfortable by showing empathy and compassion, and reassure them that there is no judgment or risk to their professional reputation.  

Organization-Wide Training

Beyond identifying the warning signs of mental health concerns, employers must also equip employees at all levels of the organization to manage issues as they arise. In a recent global managers’ survey from Yahoo, less than one-third of managers said they felt equipped to handle the mental health needs of their team and 80% of managers worried about using the wrong language when addressing sensitive topics like mental health.

Additionally, some individuals may feel more comfortable bringing forward a concern to a peer, as opposed to their leader. For this reason, it’s critical to educate all employees on the best way to manage these situations. Plus, the right training can help bridge the gap between mental health awareness and effectively meeting the mental health needs of the workforce. Investing in mental health training for all levels of the organization will pay dividends in employee wellbeing and retention. Formal learning programs can also help substantially move the needle by debunking myths, reducing stigma, and building skills to appropriately and effectively manage concerns.

Employee Resource Groups 

If you don’t have the budget to invest in training, mental health employee resource groups (MHERGs) are a low-cost way to build a culture that prioritizes employee wellbeing. Regardless of the segment of your employee population that they represent, ERGs provide employees with the unique support that only those with shared experiences can provide.  

According to Bernie Wong, manager of research and design at Mind Share Partners, MHERGs are “an effective resource that reduces mental health-related stigma through an evidence-based model of social contact, peer support and education.” Further, Wong believes that MHERGs should be open to the general employee population and that participation should be encouraged for all employees—regardless of their mental health needs—so that belonging to the group doesn’t “out” someone as having a mental health issue. This also ensures that membership doesn’t violate employee privacy rights.  

At PeopleScout, our Healthy Minds Collective is an ERG that “inspires individuals to enrich their mental health and wellbeing by enhancing the mind, body and spirit connection.” Additionally, our team in the Europe/Middle East/Asia region (EMEA) also created a group called “Here For You.” This team of volunteers received the training and certification* required to serve as “Mental Health Responders” to provide employees with a confidential channel for reporting mental health concerns and share valuable resources with employees. 

Even if employees choose not to participate, simply making employees aware of ERGs such as these and openly communicating about group activities and discussions can go a long way in normalizing mental health in the workplace, which helps foster a culture of inclusivity and emotional wellbeing. 

* Level 2 Award in Mental Health: Workplace Responder qualification from St. John Ambulance service 

Employee Assistance Programs 

In addition to employee resources and training, comprehensive health benefits that include mental health services are quickly becoming a requirement, not a perk, according to Corporate Wellness Magazine. These benefits (or lack thereof) are influencing employees’ decisions about staying in their current job versus looking for a new one. For instance, in Lyra Health’s 2022 State of the Workforce Mental Health, it was reported that 84% of employees surveyed indicated that it was important that a prospective employer offer “robust and comprehensive mental health benefits,” with 29% saying it was “very important” and 55% saying it was “somewhat important.” 

During COVID-19, many companies added or expanded their Employee Assistance Programs (EAPs) to help employees cope with the added stress, uncertainty, personal loss and safety concerns associated with the pandemic. However, as we’ve learned, heightened mental health issues aren’t dissipating anytime soon. Therefore, providing employees with access to quality, convenient and affordable mental health care is more important than ever.  

Encouragingly, many employers are catching on to the need for comprehensive health benefits to attract and retain employees, as well as improve employee satisfaction and experience. As an example, Kara Hoogensen, senior vice president of specialty benefits at Principal Financial Group, said EAPs, telehealth and mental health programs were among the top benefits that employers planned to increase in 2022.  

Employers across the globe are recognizing the importance of supporting and protecting the mental health of their employees as a vital component to the future success of their business. However, although we saw a rise in conversations around mental health during COVID-19, the stigma still remains. Therefore, above all else, practice normalizing conversations about mental health and creating a safe space to raise and address issues. Additionally, encourage employees and managers to openly use the term “mental health” and integrate associated language into corporate training, company newsletters, meeting agendas, and more to make it clear that your workplace acknowledges and prioritizes mental wellbeing. Finally, practice self-care at all levels of the organization—in a visible way—to assure employees that they can and should do the same. 

PeopleScout Jobs Report Analysis – June 2022

Posted on by nfuqua

U.S. employers added 372,000 jobs in June, beating analyst expectations. The unemployment rate remained at 3.6%. Year-over-year wage growth softened but remained high at 5.1%.

jobs report infographic

The Numbers

372,000: Employers added 372,000 jobs to the U.S. economy.

3.6%: The unemployment rate remained at 3.6%.

5.1%: Wages rose 5.1% over the past year.

The Good

The 372,000 jobs added in June demonstrate the job market remains strong despite inflation. Though the latest numbers come in lower than the 400,000+ jobs that had been added in recent months, the latest numbers are still good news. The Wall Street Journal reports that experts expect the strong hiring numbers to continue, especially in the leisure and hospitality sector, as consumer demand for travel and restaurants remains strong. The 3.6% unemployment rate is also good news. The number has held for four months, suggesting that the labor shortage is starting to ease.

The Bad

Despite the good news, there are some concerning signs in June’s report. The labor participation rate, which has yet to recover to pre-pandemic levels, fell to 62.2%. This is the second time in the past three months that the labor participation rate has fallen. As MarketWatch reports, this leaves the workforce short of about 1.5 million workers. While the unemployment rate points to some easing of the labor shortage, the labor participation rate indicates that there is still a long way to go.

The Unknown

With the mixed economic news, experts will be watching closely to see if the Federal Reserve’s strategy of raising interest rates will work to tame inflation while maintaining strong job growth. The New York Times reports that the economy faces several large challenges. High prices are restricting consumer spending, the labor force is aging and low immigration slows the growth of the labor force.