PeopleScout Jobs Report Analysis—August 2022

U.S. employers added 315,000 jobs in August. This came in slightly below analyst expectations. The unemployment rate rose to 3.7% as more workers entered the labor force. Year-over-year wage growth remained high at 5.2%.

The Numbers

315,000: U.S. employers added 315,000 jobs in August.

3.7%: The unemployment rate rose to 3.7%.

5.2%: Wages rose 5.2% over the past year.

The Good

Though job growth cooled slightly from July, the 315,000 jobs added to the economy are good news. As CNBC reports, August’s jobs report demonstrates that employers are continuing to hire and suggests that the Federal Reserve could avert a recession.

The increased unemployment rate is also good news for economists because the month-over-month 0.2% increase is paired with a 0.3% increase in the labor force participation rate. This means that the economy is strong enough to bring in more workers who were sidelined earlier in the pandemic.

The Bad

Despite the strength of August’s report, experts still spot a few areas of concern. As the Wall Street Journal reports, some minority groups saw either increased unemployment or decreased labor force participation. Fewer Black adults were working or seeking a job in August.

Additionally, some experts believe job growth could continue to cool as the U.S. economy has now recovered all of the jobs lost in the early days of the coronavirus pandemic. This means that rehiring will likely be less of a factor in future jobs reports.  

The Unknown

Economists will continue to watch how the economy responds to rate increases by the Federal Reserve. As the New York Times reports, policy-makers at the Federal Reserve believe that the job market is overheated. There are currently twice as many jobs open as there are job seekers, which is driving up prices and contributing to inflation. The hope is that by raising rates, they will be able to cool inflation and slow job growth without allowing unemployment to skyrocket.

Talking Talent: Talent at the Speed of RPO

One of the biggest make-or-break factors in today’s talent market is simple, but difficult to execute—speed. In a talent market where job postings outnumber job-seekers and future uncertainty still plagues employers, speed can be the deciding factor in whether your organization has enough workers, as well as the best talent and the ability to respond to changing market conditions.  

Hear More About Hiring at the Speed of RPO in this episode of our Talking Talent podcast:

When I talk about speed, I’m talking about it on two fronts: On one level, employers need to remain nimble. During the last two years, we’ve learned that the world can change drastically at a moment’s notice; as a talent leader, that means you need to be able to scale your team up and down. Can you respond to a hiring spike to keep up with demand? Can you handle seasonal hiring? If you can’t respond and flex your team quickly, you’ll struggle to hire enough candidates and your business will suffer.  

But, there’s more to it than that. There are three key factors that applicants have more of today than they’ve ever had before: Options, options and more options. They have options in the type of work they do, options in the level of compensation they receive and options regarding their work/life balance. Consequently, if you can’t bring a candidate through your recruitment process quickly enough, you’ll lose them to another one of their options.  

All of this is compounded by the fact that recruiters are in short supply. As SHRM reports, many recruiters changed careers after the cutbacks in 2020. Now, job postings for recruiters have tripled, and there aren’t enough candidates to fill the open roles. So, how can talent leaders meet candidate expectations? In this article, I’ll explain how the right talent solution can help you become more nimble and streamline your recruitment process. 

Challenge: Remaining Nimble Amid Uncertainty  

Whether it’s for planned busy seasons or unanticipated shifts in the market, you may need to scale your talent acquisition operations up or down—and fast. At first, you may think that this can be handled internally, but high turnover and a shortage of recruiters makes it difficult. And, although pulling in employees from other areas of the business for extra support during a busy period can be tempting, it then leaves shortages elsewhere in the organization. Plus, those workers may not have the skills or background to effectively recruit new employees.  

How RPO Can Help: Scalable Support 

Fortunately, you can get around this hurdle by looking for a recruitment process outsourcing (RPO) partner that can blend seamlessly with your organization. Specifically, an experienced provider can add or reduce the number of recruiters on your team to meet your changing needs. For instance, as you approach your busy season, recruiter numbers can increase to ensure they’re fluent in your business so that candidates never know the difference. Then, when your hiring volume decreases, those recruiters can move to a different project; you don’t have to worry about hiring additional recruiters or keeping additional staff busy during slower periods.  

What is RPO?

How RPO Can Help: Automation Technology  

You can also use technology to streamline the process for your talent acquisition team. By doing so, you’ll be able to automate the time-consuming, repetitive tasks that add little value for candidates, but require significant recruiter time. Moreover, this also allows your recruiters to fill more roles quickly, making it easier for them to handle the increased volume of a busy period. Essentially, while you may still need to scale your team to some degree, the right technology can make these shifts less dramatic.  

An RPO partner can also help you find the right technology solution for you. In particular, tools like automated sourcing can take some of the load off of your sourcing team by identifying qualified candidates within minutes. Likewise, automated recruitment marketing tools can reduce the amount of time recruiters spend crafting emails to reach out to candidates. And, virtual, on-demand interviews save recruiters time by removing the phone tag just to schedule an interview; instead, the recruiter and hiring manager can screen candidate responses at their convenience. Finally, analytics tools can help you ensure that you’re using your resources most effectively. PeopleScout’s proprietary talent technology, Affinix®, is one example that can meet these needs.  

How RPO Can Help: Smaller Scale Solutions 

It can be scary to enter into a full-cycle RPO partnership in today’s market, but that doesn’t have to be a deterrent. Solutions like project-based RPO—which we call Recruiter On-Demand—can provide targeted, short-term support for all or part of your hiring process. This can also include technology solutions. What’s more, a project-based RPO can also be implemented more quickly than a traditional RPO program, thereby making it even easier for your team to scale up to meet your hiring needs.  

Challenge: Speeding up the Candidate Experience 

Candidates are in the driver’s seat in this job market, and that’s likely going to continue for quite some time. For example, in the past, job-seekers would be willing to wait for a call back or an interview; a strong employer brand made candidates more tolerant of a slow process. But, today, speed is of the essence. Now, candidates are looking to control the timeline—and, if they can’t, they’ll find another opportunity easily and quickly: They can take a gig job. They can take their transferable skills to another industry. They can work for your competitor. Even new grads are in high demand, with many in the U.S. receiving multiple offers or offers months before graduating, according to NPR.  

How RPO Can Help: Candidate Experience Best Practices 

To compete in this market, you need to adjust your process to make it fast and able to provide a better experience for candidates. If you’re struggling to do this internally, look for an RPO provider with the right expertise; look for a partner with both experience in your industry, as well as across industries. While every industry is unique, you can often benefit from knowledge of other sectors and geographies.  

You probably already have good data about your talent acquisition program, but perhaps you lack the expertise to interpret that data and identify areas to improve. If so, choose a partner that’s focused on the entire process—from sourcing through every stage of recruitment to the first 30 or 60 days a new hire is on the job. With that background, they’ll be able to review every step and identify the most influential areas for improvement. For instance: Where are candidates experiencing friction? Is it on your careers site? Completing your application? Scheduling interviews? Waiting on your team to process excess paperwork? Your RPO provider should be able to identify which challenges you’re facing and implement targeted interventions.  

How RPO Can Help: Speedy Technology Solutions 

An RPO provider’s technology solutions can also add speed. If you spend a lot of time interviewing candidates, consider whether those interviews accurately indicate whether the candidate will be successful. If not, you may be able to replace part of a drawn-out interview process with a more effective assessment.  

🏎️ Learn how PeopleScout Accelerate gives you a full tech stack in just two weeks.

As an example, a short, mobile-first application can bring more candidates into your funnel. Next, a text or SMS interview can move candidates on to the next steps quickly. Finally, on-demand interviews and interview self-scheduling don’t just help your team work more efficiently; they also help candidates move through the process faster and give them a sense of control. 

Taking the First Step 

Overall, an RPO provider gives you what you need: More resources. At PeopleScout, we can engage our global teams for 24/7 support. For example, recruiters can review résumés or on-demand interviews overnight so that your team has a prescreened slate of candidates waiting when they start work in the morning. Your RPO provider can also take on administrative steps, like background screenings or drug tests. All of this makes you faster and more nimble.  

Taking the first step toward working with an RPO recruitment company can be intimidating. But, if the last two years have taught us anything, it’s the need to be flexible in finding different solutions to new challenges. You can’t get anywhere quickly if you let things stay the same. 

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.

Interviewer Skills Training: How to Conduct Interviewing Skills Training for Hiring Managers

Interviewing skills training is crucial, as many hiring managers feel that the success of a well-conducted job interview hinges on the interviewers ability to build a connection with the interviewee. What’s more, for many candidates, the interview is a critical factor when deciding whether to accept a job offer, with 50% of candidates declining job offers after feeling disrespected during the interview process.  

When interviews do not go well, they not only lead to candidates declining offers, but they can also lead to poor hiring decisions, possible compliance issues, and hiring manager burnout. Interviewing candidates is arguably the most important part of the hiring process, so interview training for hiring managers is essential. Hiring managers touch many parts of the recruitment process—often opening new roles, writing job descriptions, posting on job boards, interviewing, and in some cases, making that final call on which candidates get hired. 

With all that’s riding on the hiring manager, they must know how to interview effectively. Interviewing tips for managers can come in handy because the interview process can be stress-inducing regardless of which side of the table you happen to be on. In this article, we provide insights into training hiring managers to be effective, impartial and empathic interviewers. 

 

Securing Hiring Manager Buy-In for Interview Skills Training

recruiter training

Both new and experienced hiring managers can benefit from interview skills training. A veteran hiring manager typically has years of hands-on experience engaging, interviewing, and hiring candidates for a variety of roles. However, even the most seasoned hiring manager may need to brush up on their skills through learning emerging interviewing skills and techniques, like combating bias and improving diversity, how to use structured interviews, and avoiding cliché or out-of-date questions that conflict with the modern hiring experience.

For newer hiring managers, interview training can serve as an on-the-job education and can help accelerate their career through learning the latest and most effective interviewing techniques.

Before introducing a new interviewing skills training program, schedule a meeting with hiring managers to discuss the status of your current interviewing process as well as their thoughts and concerns when it comes to engaging with candidates. You can ask them if they use interview techniques such as structured interviews, panel interviews, and blind interviews to gauge areas of interest and potential training topics.

It may be a good idea to create a list of questions for hiring managers to think about leading up to their training. Questions for your hiring managers may include:

  • Can I talk about the company’s strategy, mission and structure confidently?
  • Can I answer questions about perks and benefits accurately?
  • Do I know what the job description involves before going into an interview?
  • Have I coordinated with my team on the candidate and job details?
  • Have I read candidates’ resumes?
  • Do I know what interview questions I’ll ask?
  • Are my interview questions reviewed by HR for legality?

 

Interviewing Skills Training: Help Hiring Managers to Combat Bias

job interview skills training

Meeting a candidate for the first time may prompt a series of unconscious judgments that cause a hiring manager to make unfounded assumptions based on attributes that are not job-related, such as race, gender, religion, or socioeconomic status. These unconscious biases can result in unequal treatment of candidates. Yale University released a study revealing that hiring managers judge candidates’ socioeconomic status based purely on the first few seconds of their speech. Furthermore, the candidates perceived to be from a higher social class received more lucrative salaries and signing bonuses.

Everything that makes a hiring manager a better interviewer in turn makes them less biased. The best way to combat biases during interviews is to be aware of them. This can’t be achieved overnight—it takes time and effort. A good start would be to help the interviewer standardize their interviews.

Unstructured interviews lacking defined questions where a candidate’s experience and expertise are meant to translate naturally through conversation can be unreliable and produce bias. Structured interviews, where each candidate is asked the same set of defined questions, thereby standardizing the interview process, help minimize bias.

This outcome (allowing hiring managers to focus on skills and experience that directly impact the role)  comes from having an interview based on job analysis and a structured, evidence-based assessment framework. Standardizing the interview process reduces bias by creating a level playing field for all candidates and ensuring that everyone is asked the same questions in the same way.

Combating bias is not easy, however, by addressing bias you will empower your team to tackle bigger challenges and to make a real commitment to building an inclusive culture.

 

What is a Structured Interview? Teaching Hiring Managers to Understand Structured Interviews

Structured Interview

Conducting structured interviews is an exceptional strategy for screening job candidates and finding the best possible person for a role. So, what is a structured interview? Structured interviews ask a set of questions in a structured format intended to help hiring managers to collect valuable data from each interviewee that can then be compared to the response of other candidates. Your should also include a clearly defined rating process for hiring managers and interviewers to follow when evaluating and scoring candidate answers to questions- asked during an interview.

Structured interviews are more objective and legally defensible than unstructured interviews. Interviewers who use this interview format should learn how to prepare behavioral questions, understand rating scales, and score candidates consistently.

In this section, we provide examples of structured interview questions as well as how to conduct and rate interviews.

 

Role-Related Structured Interview Questions

Role-related questions ask candidates directly about the duties and responsibilities of the role. Including role-specific questions in a structured interview can assist a hiring manager in determining whether or not a candidate possesses the skills and experience necessary to succeed in the role.

Examples of role-related structured interview questions include:

  • What are the advantages and disadvantages of the CRM software you used in your last role?
  • What in your career or educational experience do you believe connects you with this role ?
  • What do you like and dislike about working in nursing?

 

Behavioral Questions and Structured Interviews

Behavior-related questions in structural interviews ask candidates to provide examples of their professional experiences. Including behavior-related questions in structured interviews can help hiring managers to find out which experiences the candidate may have excelled in and struggled with in the past. Ask a mix of questions to gain information about each candidate’s professional successes and challenges and the way they interacted with their clients, coworkers, and superiors.

Examples of behavior-related structured interview questions include in interview skills training:

  • ‘Describe a time when you have had to deal with a difficult colleague?
  • ‘How do you ensure that you know what kind of experience your customers are having in your stores?
  • Can you tell me what you look for in a manager or which management style fits you best?

 

Situational Questions for Structured Interviews

Situation-related questions in a structural interviewing skills training ask candidates to think on their feet and imagine how they would handle varying scenarios working for your organization. Situation-related questions can determine a candidate’s critical thinking and problem-solving skills. There are a variety of questions that assess how candidates would interact with your clients and employees, how they work with a team, and how they would react to common workplace challenges.

Examples of situation-related structured interview questions include:

  • How would you handle an unhappy customer?
  • How would you pitch our new product line to customers?
  • How would you prioritize multiple deadlines from different stakeholders?

 

What is a Mock Interview? Teaching Interview Skills Training Best Practices Through Role Playing

mock interviews

Mock interviews are simulated or role-playing interview exercises designed to give hiring managers the opportunity to sharpen their interviewing skills through formulating responses in real-time. Mock interviews can help inexperienced hiring managers familiarize themselves with an interview setting and give veterans a chance to practice the latest techniques. For example, hiring managers can practice brief notetaking techniques to avoid being distracted by their notes during actual interviews.

Here are the goals of mock interview training for hiring managers:

  • Identifying the common steps of the interviewing process and how to respond
  • Learning how to thoroughly review a candidate’s resume and prepare for a productive conversation
  • Developing technical, cultural, and behavioral questions to successfully evaluate a candidate’s fit in the role and organization
  • Determining what they need to do before, during, and after an interview
  • Evaluate information gathered during the interview more successfully
  • Understanding how to interview within the law using acceptable and appropriate questions
  • Reading body language

Much of communication is nonverbal. In an interview setting, hiring managers unable to understand body language may misinterpret what is being communicated during an interview. Mock interviews can help interviewers become more aware of candidates’ nonverbal cues, thus improving their overall interviewing skill set. For example, if a candidate’s body language suggests they are anxious, interviewers may make a more conscious effort to relax the candidate. You can train interviewers to control their body language as well. Even if hiring managers think a candidate is unqualified, they should not let their body language negatively affect the candidate’s experience.

Job Interviewing Skills Training: Compliance Training is Key

One of the best ways to avoid potential legal compliance issues is to ensure that all interview questions are related solely to the role the candidate is interviewing for and are in compliance with the employers hiring laws and practices. To determine if a question is truly role-related, have your hiring managers ask themselves the following questions:

  • What type of information is the candidate likely to provide in response to the question or the comment?
  • Is that information related to the job?
  • Is the question that I am about to ask, or the comment that I am about to make, necessary to make a legitimate assessment of the candidate’s qualifications?
  • Could it appear to the candidate that I was trying to encourage them to reveal information related to the candidate’s inclusion in a legally protected class (based on age, race, disability, national origin, marital status, etc.)?
  • Do I need to know the information that I am about to (or likely to) gather?

What’s more, many countries have laws protecting job candidates from discrimination during the hiring process, so it’s important for hiring managers to understand how discrimination can occur in recruiting, interviewing, and hiring and how to remain complaint with local laws. You can provide guidelines for handling your interview-related responsibilities fairly and legally. Guidelines may include:

  • Guidance on identifying candidate categories protected from employment discrimination
  • Follow a standardized interview process to help ensure a fair and consistent hiring process
  • A list of questions to avoid during interviews that can lead to discrimination claims
  • How to differentiate between appropriate and inappropriate interview behavior from candidates

 

Skills Training for Interviewers Begins and Ends with Relationship Building

As a talent acquisition leader, investing in interviewing skills training can mean the difference for your organization’s ability to hire quality staff in today’s candidate-driven market. With a well-run interviewer training program, you can increase the chances of securing the talent your organization needs for a competitive edge.

It is no longer only about candidate experience, it is about building candidate relationships. Candidates expect their job search and hiring experience to be positive, and the interview is a key component of fulfilling their expectations.

PeopleScout Jobs Report Analysis – July 2022

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

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. 

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.

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

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.

Providing Workforce Planning Data to Support European Call Center Recruitment

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.

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.