Category: Talent Acquisition Strategy

Five Ways Talent Technology Will Make HR More Strategic

Posted on by nfuqua

With the benefit of hindsight, it’s easy to look at the past twenty years and see the inflection points where companies and industries either embraced or avoided disruptive technology. When Kodak struggled to adapt to the digital world, the company eventually declared bankruptcy. Blockbuster passed on the chance to purchase Netflix, and now, the video rental chain has just one store left open. Taxis fell to Uber and Lyft. There are countless examples in the graveyard of defunct or irrelevant companies and industries.

It is more difficult to spot that inflection point in the moment. For human resources, that moment is now. With an influx of new technologies entering the market, the role of HR is about to transform, and if it cannot adapt, it is bound to be left behind. Currently, many HR professionals are pulled away from more strategic work for simple repetitive tasks – which are prime targets for automation. Emerging tools can also provide HR with new insights – about things like which candidates are more likely to stay with the company and whether a role is better filled by a contingent or permanent worker in the current economy. These insights will provide HR with the opportunity to play a more significant role in decisions that impact the future of the business.

In this article, we walk through five ways new and emerging talent technology will make HR more strategic and why leaders should embrace change.

1. Automation Will Save Time

Everest Group predicts emerging technology has the potential to automate half of all talent acquisition activities. According to the report, “processes that are highly transactional and repetitive in nature have a higher potential for automation.” This includes tasks like resume screening, interview scheduling and sourcing candidates. However, other tasks, like communicating with top candidates and hiring managers, will continue to require a human touch.

Robotic process automation is already taking over some of the communication with candidates through recruitment marketing campaigns, interview scheduling tools and chatbots. RPA technology can ask prescreening questions or answer FAQs about positions and a company’s hiring process through a chatbot, send automated emails to engage candidates through a candidate relationship management tool and find an empty spot on a recruiter
or hiring manager’s calendar to help a candidate schedule a phone or in-person interview through an automated scheduling tool.

These tools mean that the way recruiters and talent acquisition professionals spend most of their days will transform drastically. Rather than spending time sifting through resumes, scheduling interviews and responding to emails, recruiters will be able to focus on the best candidates, develop creative solutions for hard-to-solve problems and build better candidate engagement strategies. This will reduce recruiter burn out, leaving them fresher and more engaged in important tasks.

Automation also improves the candidate experience. Rather than waiting for a response from a recruiter with an inbox full of emails, candidates can have a simple question answered instantly by a chatbot. Candidates won’t have to play phone tag or do the awkward dance of comparing schedules over email because they can easily schedule interviews on their own. This means, regardless of whether or not the candidate ultimately ends up in the role, they will be left with a more positive image of the organization. However, HR leaders need to take care to select the correct tools. If they don’t work as intended or don’t integrate well with other systems in place, recruiters may not be able to use them effectively and candidates could be left with a negative impression.

2. Data Analytics Will Provide New Insights to Inform Decision-Making

Big data is everywhere, and when applied to HR, it can allow leaders to make better, more informed decisions on both the micro and macro levels. Data analytics tools have the power to provide insights and predictions about individual candidate behaviors, the best tactics to use to fill a role and even long-term predictions about local job markets.

Predictive analytics is a type of data analytics that uses data to find patterns and then uses those models to attempt to predict the future. Predictive analytics can’t tell you what will happen, but it shows what is likely to happen based on past trends. Tools that incorporate predictive analytics can tell recruiters how likely a candidate is to leave their current job or stay in a position at your organization, for example.

These tools can also identify new channels to find strong candidates by identifying common themes in previous successful hires. For example, a predictive analytics tool could tell a recruiter that the best candidates tend to come from a few specific educational backgrounds. That way, a recruiter can focus on recruiting efforts to identify the best candidates with those qualities.

Predictive analytics can also help with more strategic business decisions. Workforce planning tools focus on the future by assessing current hiring needs and modeling how those needs will evolve. This data-focused approach can help organizations match talent forecasts with analysis of the talent pool to create a realistic view of the labor market. On a micro level, analyzing market data can help predict whether a role is better filled by a permanent or contingent worker in a specific location.

Workforce planning tools can also identify potential problems before they arise. For example, hiring patterns in a market could signal an impending shortage of talent six months into the future, allowing organizations to prepare and stay ahead of the competition. If an organization is looking to expand, predictive analytics can identify areas with the best candidates to fill the needed roles. This empowers HR to have a larger role in shaping the direction of the company. Because of this, it’s key that the right tools to collect historical and current data are in place. If the predictions are inaccurate or the data is not used properly, it could have the opposite effect.

3. AI Tools Will Develop More Effective Candidate Profiles, Job Descriptions and Recruitment Marketing

Another way technology can impact HR is through the use of AI tools that make recruiters more effective in interacting with candidates. This process starts during candidate generation, where AI tools can help you craft job titles and descriptions and continues as recruiters communicate with candidates throughout the hiring process.

AI tools can help recruiters put together stronger candidate personas, by using data to show what factors predict success and where recruiters can find the best candidates, as we discussed earlier. Then, certain technology tools can help recruiters optimize job titles and craft job descriptions that will show up in search results and appeal to the greatest number of candidates.

AI can also help identify exclusionary language that could discourage a certain gender or minority group from applying to a position. This is particularly important because unconscious bias can allow gendered words to creep into our vocabulary without us realizing it. According to Harvard Business School, words like “ninja” discourage women from applying, while words like “supportive” and “collaborative” can discourage men. By using technology to avoid this, recruiters can build better and more diverse candidate pipelines.

As recruiters communicate with candidates, other tools can make the process more personal. Career sites can track what types of jobs candidates view, apply to or start, but never finish. Tracking this data allows recruitment marketing tools to recommend jobs that appeal to the candidate and match their skills and expertise, or to prompt a candidate to complete their application. Once a candidate provides their information, recruiters can use recruitment marketing tools to build personalized marketing streams that will appeal to candidates and encourage them to apply.

These tools help recruiters identify and market to stronger candidates more efficiently, which not only frees up time but also helps build a better workforce, improving business outcomes for the organizations. Here, AI algorithms need to be carefully monitored. Because AI is constantly evolving, errors in an AI platform’s logic can quickly grow, making problems hard to trace. This is especially true if errors are made at the beginning of the process causing the common problem of garbage in, garbage out.

4. AI Sourcing and Improved Assessments Will Identify Candidates with the Right Cultural Fit

Talent technology will also help recruiters identify passive candidates with the skills of the future and the ability to learn and grow with an organization. Passive sourcing tools use artificial intelligence to identify the best candidates for a role – regardless of whether or not those people are actively looking for jobs. The tools can search social media, job boards and more, finding candidates who match target personas. Passive sourcing provides recruiters with a list of strong candidates without the time required to conduct manual searches.

New types of assessments will also help recruiters identify the best candidates. Video interviewing tools can provide additional information about candidates from their facial expressions and tone of voice. This can provide insights into a candidate’s personality, which will help recruiters make better choices about which candidates are the best cultural fit with an organization.  

Additionally, new assessments can evaluate the passion, purpose and mindset of candidates. This means recruiters can learn about a candidate’s enthusiasm, enjoyment and commitment to mastering the requirements of a role, their alignment with and willingness to contribute to the vision and values of an organization and whether they have a growth mindset, which is the belief that one’s talents can be developed through education and effort. With this information, recruiters can identify candidates who will align with the goals and culture of an organization, increasing the likelihood that the candidate will stay long-term. By identifying candidates with a growth mindset, recruiters can select candidates who have the ability to learn and grow in the rapidly transforming world of work.

This empowers talent acquisition leaders to better identify and hire the candidates who align with the long-term goals of an organization, enabling the company to meet strategic objectives faster and stay ahead. However, this is another case where HR should be aware that the wrong tools and assessments could actually inject bias into the process, so leaders should be sure to partner with an organization that is aware of and carefully monitors for that risk.

5. Compliance Tools Will Reduce Risk, Freeing Funds and Resources

Another significant aspect of HR is dealing with the multitude of compliance risks that vary by jurisdiction. Technology can automate parts of that process, making it not only more efficient but also more compliant.

Compliance tools can automate background checks and drug tests as a part of the pre-employment and onboarding process. This ensures that every potential employee completes the testing and that the process aligns with all local and federal regulations.

According to SHRM, predictive analytics tools can also be used to assess pay equity, an incredibly hot topic in compliance right now. At least 12 jurisdictions have some sort of pay equity law preventing employers from asking about salary history in an effort to reduce pay discrimination. Because the issue is at the forefront, employers should track this information and take steps to reduce pay inequality at their own organizations. Data analytics tools can monitor and report on any pay gaps for protected groups.

Additionally, Forbes reports that AI can identify “red areas” where fraud or unethical behavior may be more likely and bring those to the attention of HR so they can intervene early or even before bad behavior occurs. AI can also identify behaviors that cause poor work performance, recognizing patterns of stress or bad behavior that could cause safety concerns.

Technology can also assist in the process of collecting documents from workers, and providing workers with required forms and legal documents, protecting the organization from potential regulatory errors. Compliance lapses can be expensive and time-consuming; having reliable tools can keep your organization safe.

Conclusion

The current talent acquisition technology landscape is both exciting and complicated for employers. Technology already available on the market will allow HR to be more strategic, but it needs to be implemented and used effectively. When selecting the right tools, employers need to look for solutions that have tangible benefits – not just tools that are interesting. Using the wrong tools has the potential to do more harm than good, so employers should look for partners that can meet their needs now and flex and growth with them into the future.

Employer Value Proposition and Employer Branding: Time for Change Is Here

Posted on by nfuqua

In talent acquisition, we’re hearing a lot about the importance of a strong employer value proposition (EVP) and a well-managed employer brand platform. It’s true – taking control of your employer brand will help your organization stand out in the current, tight-talent market. However, the approach many organizations have taken to building an EVP is dated. To be effective, an EVP and employer brand platform needs to be built for the rapidly changing world we live in today.

There are many definitions of employer brand, but at PeopleScout, we define employer brand, employer value proposition and employer brand platform as the following:

Employer brand: Your employer brand is the perception and lived experiences of what it’s like to work for your organization.

Employer value proposition: Your employer value proposition, or EVP, captures the essence of your uniqueness as an employer and the give and get between you and your employees.

Employer brand platform: The creative communications you create and distribute based on your employer value proposition that guide the perception of your employer brand in the marketplace.

In this series of articles, we dig into how to build an EVP and employer brand platform that stands out in the current candidate landscape. We’ll describe how to make sure it is unique and authentic to where your organization is today. We’ll also show you how to make it aspirational to share where you want your organization to go while keeping it dynamic enough to appeal to different candidates and keep up with the changing talent landscape. In this section, we will cover the process from beginning to end – from gathering the insights needed to define an EVP to integrating that EVP into every step of your candidate experience.

Traditionally, employer value propositions have been developed at one moment in time. They have not kept pace with the changing world, the multi-generational workforce and evolving workplace and candidate behavior. These EVPs are generally created with only input from executives, and without insights from employees throughout the organization. Then, that EVP is used for years before it is updated using the same process.

These traditionally formulated EVPs are often generalized with the aim of speaking to the widest audience. What really happens is that these statements feel meaningless to candidates because the EVP doesn’t speak directly to the different types of candidates an employer wants to recruit – either based on skills or demographics.

This means that in the current economic conditions, employers with poorly defined and managed EVPs are left behind in the competition for talent. Candidates are drawn to organizations with EVPs that align with their own personal values.

These factors all combine to shift the goal for employers. Traditionally, employers have aimed for quantity – looking for large numbers of applicants with the theory that they could find top candidates. Now, to stay ahead, employers should focus on attracting the best candidates with a growth mindset whose passion and purpose align with the organization’s mission. Employers should look for fewer applicants in total, but more people who fit the culture of the organization and who possess the skills needed to drive a company into the future. A well-defined EVP and well-managed employer brand can help accomplish this.

In this series of articles, PeopleScout’s experts guide you through the process of developing an employer value proposition and employer branding platform that speaks to the candidates your organization wants to hire and can keep up with the rapidly changing landscape.

This is the first article in a series. Read the second article, Employer Value Proposition and Employer Branding: Building an Employer Value Proposition and Employer Brand for the Future and the third article, Employer Value Proposition and Employer Branding: Launching and Managing a Dynamic Employer Value Proposition and Employer Brand.

Talking Talent: Building an Employer Value Proposition and Employer Brand for the Future, Part Two

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This is the second Talking Talent episode in a two-part conversation about employer value propositions and employer branding. You can listen to the first part of our conversation here. 

After building a strong EVP and employer brand, employers face the challenge of effectively promoting and marketing that brand to candidates and employees. The roll-out and management of an employer brand platform are just as important as the care taken to research and craft that positioning.

For many organizations, it’s easy to show enthusiasm while developing a new EVP, but that same enthusiasm needs to continue through the internal and external launches.

To talk about this, joining us is Simon Wright, Managing Partner of Talent Advisory here at PeopleScout.

With more 20 years of experience in RPO and talent management consulting, Simon brings a global perspective to talent acquisition and engagement—having spent time living and working across the EMEA and Asia-Pacific regions.

As Managing Partner for our Talent Advisory practice, Simon is a trusted advisor to HR and talent leaders. Operating at a strategic level, Simon has a proven track record of building and driving creative and innovative strategic talent programs that positively impact business performance. 

Simon leads an industry-leading (and award-winning) multi-disciplinary team of subject matter experts across the talent lifecycle – including employer brand and EVP, assessment and development, and diversity and inclusion – who deliver impressive outcomes for clients across a range of industries and sectors.

In this episode, Simon explains the importance of an effective internal roll-out and he provides practical advice on how to manage sharing your EVP internally. Then, he explains how to infuse your EVP through every step of the candidate experience. Finally, Simon lays out how you can find a talent advisory partner to help you develop a strong EVP and employer brand for the future. You can listen to the first Talking Talent episode on EVP and employer brand here.

PeopleScout Australia Jobs Report Analysis – May 2019

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The 28,400 jobs added in April beat some analyst expectations, but the loss of full-time jobs and rise in the unemployment made for a disappointing report. In seasonally adjusted terms, 28,400 new jobs were created, with 34,700 new part-time roles balancing the loss of 6,300 full-time positions. The unemployment rate rose to 5.2%, the highest level in eight months.  

Australia Jobs Report May 2019 (June Report) Unemployment rate – Seasonally Adjusted: 5.2 percent (Sideways Arrow) Jobs Change: + 42,300 Labour Force Participation: 66.0 per cent (Up Arrow) Business Confidence Index: +7 (Up Arrow) Sources: http://www.abs.gov.au/ https://business.nab.com.au https://www.businessinsider.com.au/ https:/abc.net.au Summary: The 28,400 jobs added in April beat some analyst expectations, but the loss of full-time jobs and rise in the unemployment made for a disappointing report. In seasonally adjusted terms, 28,400 new jobs were created, with 34,700 new part-time roles balancing the loss of 6,300 full-time positions. The unemployment rate rose to 5.2%, the highest level in eight months.

Upside

The Australian economy added 42,300 jobs in May. The labour force participation rate rose to 66.0%, reaching a record high level for the second month in a row. The business confidence index increased to +7, just above the long-term average. Since May 2018, full-time employment increased by 266,300, while part-time employment increased by 93,900.

The largest increase in employment was in New South Wales (up 38,500), followed by Victoria (up 28,600) and Queensland (up 7,800).

Downside

The job growth was almost entirely due to part-time positions. The full-time job increase was just 2,400, much lower than the addition of 39,800 part-time positions. The unemployment rate held steady at 5.2% due to the increase in the participation rate. When the unemployment rate rose in April, it reached its highest level in eight months.

The underemployment rate increased one-tenth of a percentage point to 8.6%. Underemployed workers are defined as part-time workers who want to work more hours than they are and are available to do so as well as full-time workers who worked part-time hours for economic reasons.
 

Even the robust growth in part-time jobs may not be an indicator of continued job increases but a result of the recent national elections:

“CommSec chief economist Craig James said the data covered the federal election period and may account for the skew to part-time workers.

‘Clearly there are temporary jobs created each three years for election-related roles,’ Mr. James said.”

Western Australia had a net job loss of 4,000 and Tasmania had a decrease of 400 positions.

How Long Will the Confidence Last?

While the business confidence index rose in the latest release, business conditions and other key indices were weak clouding the economic outlook:

“’Business confidence saw a post-election spike in May,’ said NAB Group Chief Economist Alan Oster. Interviewing for the survey started on May 20, two days after a federal election saw the Coalition government returned to power.

‘Expectations of rate cuts may also have helped.’

There had been mounting speculation last month that the Reserve Bank of Australia (RBA) would soon cut interest rates, which it duly did at its June 4 policy meeting.

‘While confidence, at least at face value was a positive outcome, business conditions deteriorated further,’ cautioned Oster. ‘Trading conditions and profits are particularly weak.’

The survey’s measure of trading, or sales, slipped 5 points to +3, while profitability fell 4 points to -3. Forward orders also dropped a point to -3.

‘Forward-looking indicators suggest that the bounce in confidence is likely to be short-lived and that conditions are unlikely to turn around any time soon,’ said Oster.”

PeopleScout UK Jobs Report Analysis – June 2019

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The June 2019 Labour Market Report released by the Office for National Statistics includes the three months covering February 2019 through April 2019. The unemployment rate held at 3.8%, continuing at a level not seen since 1974. Nominal wage growth was 3.4%. The growth in jobs and wages beat analyst expectations.

une 2019 UK Labour Market Reports are based on moving 3 month (quarter) data for the period ending 2 months prior. The June Report includes the quarter spanning February 2019 - April 2019. Jobs Added – Chart 1 Unemployment – Chart 1 Wages – Chart 15 OVERALL Overall Jobs Added in Quarter: +32,000 Overall Unemployment Rate: 3.8 percent (Sideways arrow) Overall Wage Change: +3.4 per cent INDUSTRY BREAKDOWN (Job change updated in this release) Manufacturing Jobs Change in Quarter: +28,000 Percent Change Over One Year: +1.1% Wholesale/Retail/Vehicle Repair Jobs Change in Quarter: +13,000 Percent Change Over One Year: 0.0% Transport and Storage Jobs Change in Quarter: -13,000 Percent Change Over One Year: +4.2% Accomodation and Food Service Jobs Change in Quarter: +11,000 Percent Change Over One Year: +1.9% Information and Communication Jobs Change in Quarter: +29,000 Percent Change Over One Year: +5.6% Financial and Insurance Jobs Change in Quarter: +5,000 Percent Change Over One Year: -0.6% Professional, Scientific and Technical Jobs Change in Quarter: +71,000 Percent Change Over One Year: +5.0% Administrative and Support Services Jobs Change in Quarter: +1,000 Percent Change Over One Year: +0.2% Education Jobs Change in Quarter: +13,000 Percent Change Over One Year: +1.5% Human Health and Social Work Jobs Change in Quarter: +36,000 Percent Change Over One Year: +1.7% Year over Year Wage Changes (Updated in this Release) Whole Economy: +3.4% Private Sector: +3.5% Public Sector: +2.8% Services: +3.4% Finance and Business Services: +3.9% Public Sector excluding Financial Services: +2.9% Manufacturing: +2.2% Construction: +4.1% Wholesaling, Retailing, Hotels & Restaurants: +2.4% Overview The Office for National Statistics released its June Labour Market Report which reports on the three months spanning February 2019 and April 2019. Compared with a year earlier, regular wages excluding bonuses were up by 3.4%, one tenth of one per cent higher than last month’s report. The employment rate remained at 76.1%, tying the highest level since comparable records have been tracked in 1971. Unemployment held at 3.8% and has not been lower since 1974.

Notable Figures

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  • The UK employment rate was estimated at 76.1%, higher than a year earlier (75.6%) and the joint-highest on record.
  • The UK economic inactivity rate was estimated at 20.8%, lower than a year earlier (21.0%) and close to a record low. This statistic reports the number of people who are economically inactive as a percentage of the total working age population (people aged 16 to 64 years). A person of working age is counted as economically inactive if: they are out of work and have not been actively looking for work in the past 4 weeks.
  • The employment level for women was 72.0%, the highest since comparable records began in 1971.

Modest Job Gains Compared to Previous Months

The report showed impressive year-over-year job gains. Estimates for February to April 2019 show 32.75 million people aged 16 years and over working, which is 357,000 more than for a year earlier. This annual increase was due entirely to more people working full-time (up 402,000 on the year to reach 24.15 million). Part-time working showed a fall of 45,000 on the year to reach 8.60 million.
 

The 32,000 job increase in the June report is less than a third of the 99,000 jobs added in the May report. The relatively low number indicates a slow-down in hiring, at least temporarily. It is the lowest number of new jobs since the three months leading to August last year. The reason for the decreased number of new hires may be due to employers having a difficult time hiring new staff in a tight labour market.

Economic uncertainties, primarily driven by Brexit, may be the reason that employers have been on a hiring spree and despite slowing growth rates, the job growth trend may continue as the Financial Times reports:

“In the last three years, the UK labour market has shown resilience, despite a weakness in investment growth.

‘Employment growth has undoubtedly been lifted by businesses preferring to employ rather than commit to investment given current heightened uncertainties,’ said Howard Archer, chief economic adviser at EY ITEM Club, a consultancy. ‘Employment is relatively low cost and easier to reverse if business subsequently stalls,’ he added.”

Healthy Wage Increases

Whatever the cause of low unemployment and continued hiring, the increase in year-over-year nominal wages of 3.4% is a sign that businesses are responding to consistently tightening labour market conditions. In the report released in August 2018 when unemployment was at 4.0%, the year-over-year wage increase was just 2.7%.

While the inflation rate rose to 2.1% in April, the rate of annual wage growth is still well ahead of it. The combination of increased wages and low inflation strengthens the buying power of UK consumers and potentially provides a boost to the overall economy.  This point is underscored by the effect that the rate of increased wages reported impacted the nation’s currency as the pound strengthened in trading as The Express explains:

“This morning’s UK average earnings figures increased in April, exceeding the consensus expectation and rising to 3.4%, providing some uplift to the pound. This will be seen as good news by Sterling investors as rising wages normally translates to increased spending power, which in turn boosts domestic growth.”

PeopleScout Canada Jobs Report Analysis — May 2019

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Statistics Canada reported that the nation’s unemployment fell to a record low 5.4%. In May, 27,700 jobs were added to the economy, far lower than the 107,000 jobs added in April, but still beating analyst expectations. Weekly annual wage increases were up 2.2%. All of the job gains were in full-time positions and those in the self-employed category, which incorporates freelancers and independent contractors.

Canada Monthly Jobs Report Data Sheet May 2019 OVERALL Overall Jobs Gained/Lost: +27,700 Overall Unemployment Rate: 5.4 per cent (Down arrow) Overall Weekly Wage Change: +2.2 per cent (Up arrow) INDUSTRY BREAKDOWN (Table 2 for Job Changes) (Statistics Canada Website Weekly Wages Canada) Finance, Insurance, Real Estate, Rental and Leasing Jobs Change: -2,300 Manufacturing Jobs Change: +9,400 Transportation and Warehousing Jobs Change: +10,000 Wholesale and Retail Jobs Change: +4,700 Educational Services Jobs Change: +1,200 Health Care and Social Assistance Jobs Change: +20,400 Accomodation and Food Services Jobs Change: -12,400 Professional, Scientific and Technical Services Jobs Change: +17,200 Year over Year Weekly Wage Changes All Workers 15 and Over: +2.2% Management Occupations: +0.4% Business Finance and Administration Occupations: -0.1% Health Occupations: +0.3% Occupations in education, law and social, community and government services: +1.9% Occupations in art, culture, recreation and sport: +7.0% Sales and service occupations: +3.0% Trades, transport and equipment operators and related occupations: +3.1% Occupations in manufacturing and utilities: +1.3% Observations Statistics Canada reported that the nation’s unemployment fell to a record low 5.4%. In May, 27,700 jobs were added to the economy, far lower than the 107,000 jobs added in April, but still beating analyst expectations. Weekly annual wage increases were up 2.2%. All of the job gains were in full-time positions and those in the self-employed category, which incorporates freelancers and independent contractors.

The Numbers

27,000: The economy added 27,700 jobs in May.

5.4%: The unemployment rate fell to at 5.4%.

2.2%: Weekly wages increased  2.2% over the last year.

The Good

Statistics Canada reported that the nation’s unemployment fell to 5.4%, a record low. The economy added 27,700 jobs, far ahead of analyst expectations. The job gains in May came from full-time work and from the self-employed category. Over the past year, employment grew by 453,000 or 2.4%, reflecting gains in both full-time (+299,000) and part-time (+154,000) work. This is the biggest year-over-year increase since before the 2008-2009 recession.

Employment in Ontario rose by 21,000 in May, with notable increases among the core-aged population and among women. Three other provinces had net job increases; British Columbia at 17,000, Nova Scotia at 4.500 and New Brunswick at 3,000. There were 20,000 more people working in health care and social assistance in May, bringing year-over-year gains in this industry to 89,000 (+3.7%). Over half of the monthly increase in this sector was in Ontario.

Employment in professional, scientific and technical services was up 17,000, more than offsetting a decline in the previous month. The increase in May was concentrated in Ontario, while smaller increases were also registered in New Brunswick and Saskatchewan. Compared with 12 months earlier, employment in this industry grew by 67,000 (+4.5%). Employment in transportation and warehousing grew by 10,000, driven by increases in Ontario and Alberta. On a year-over-year basis, employment in this sector rose by 60,000 (+5.6%).

The Bad

Despite record low unemployment, the rate of wage growth is still disappointing. In August 2018, annual average weekly wage increases stood at 2.9% while in May it was just 2.2%. Sluggish wage growth impacts the purchasing power of Canadian consumers and can have a negative effect in the overall economy. 

Employment in Newfoundland and Labrador was down 2,700, due to losses in part-time work. The unemployment rate there rose by 0.7 percentage points to 12.4%. The robust job increases in Ontario and British Columbia were not shared by Quebec and other provinces which saw little change in their employment situation.

In May, 19,000 fewer people were working in business, building and other support services, mostly due to declines in Quebec and Alberta. Employment in accommodation and food services was down by 12,400, the fourth decline in the last five months. Employment in this industry has been trending down since May 2018, decreasing by 63,000 (-5.0%) over the year.

The Unknown

The number of self-employed workers rose by 62,000 in May. Compared with 12 months earlier, the number of self-employed rose by 93,000 (+3.3%)  The self-employed category includes independent contractors and freelancers. 

It is unclear why approximately two-thirds of the increase in self-employed workers over the last year took place in May, or whether this rate of growth will continue. Yet if the number of Canadians that opt out of traditional employment situations continues to increase rapidly, it will strain efforts of employers who are attempting to recruit and retain full-time talent at a time of record-low unemployment. The coming months should provide clarity as to whether the rapid increase in self-employed workers in May was an aberration or an indicator of a significant shift in the nature of the Canadian workforce.

PeopleScout U.S. Jobs Report Analysis — May 2019

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The Labor Department released its May jobs report, which shows that U.S. employers added 75,000 jobs in May, well below analyst expectations. The unemployment rate remained at 3.6% last month. Year-over-year wage growth decreased to 3.1%, which is still well ahead of the rate of inflation. U.S. employers have added to payrolls for 104 straight months, extending the longest continuous jobs expansion on record.

Monthly Jobs Report Data Sheet May 2019 OVERALL Overall Jobs Added: +75,000 Overall Unemployment Rate: 3.6% percent (Sideways Arrow) Overall Wage Change: + 3.1 percent (Down Arrow) INDUSTRY BREAKDOWN (Table B-1 for Job Changes) (Table B-3 to calculate hourly wage change) Financial Description of Industry: The financial industry includes financial, insurance and real estate employers. Jobs Change: +2,000 Hourly Wage Change: +3.6 percent Manufacturing Description of Industry: The manufacturing industry includes employers who produce both durable and non-durable goods. Jobs Change: +3,000 Hourly Wage Change: +2.2 percent Transportation and Warehousing Description of Industry: The transportation and warehousing industry includes air, ground and water transportation of passengers and goods, pipeline transportation and warehouse and storage. Jobs Change: -200 Hourly Wage Change: +2.3 percent Retail Description of Industry Category: The retail industry includes motor vehicle, home furnishings, electronics, health, clothing and other retail businesses. Jobs Change: -7,600 Hourly Wage Change: +4.1 percent Education and Health Services Description of Industry Category: The education and health services industry includes education, healthcare and social assistance. Jobs Change: +27,000 Hourly Wage Change: +1.9 percent Leisure and Hospitality Description of Industry Category: The leisure and hospitality industry includes arts and entertainment, accommodation and food and beverage service organizations. Jobs Change: +26,000 Hourly Wage Change: +3.8 percent Professional and Business Services Description of Industry Category: The professional and business services industry includes jobs in waste management, administrative and support services and professional positions in the legal, accounting, computer and advertising fields. Jobs Change: +33,000 Hourly Wage Change: +3.1 percent Observations U.S. employers added 75,000 jobs in May, well below analyst expectations of 175,000. The unemployment rate remained at 3.6 percent last month. Year-over-year wage growth fell one tenth of a percentage point to 3.1 percent which is still well ahead of the rate of inflation. U.S. employers have added to payrolls for 104 straight months, extending the longest continuous jobs expansion on record.

The Numbers

75,000: The economy added 75,000 jobs in May.

3.6%: The unemployment remained at 3.6%.

3.1%: Wages increased at a rate of 3.1% over the last year.

The Good

The 75,000 new jobs added to the economy continued the longest job expansion in U.S. history.  The unemployment rate remained at 3.6%, close to a historic low. The year-over-year earnings increase was a solid 3.1%. The annual wage increase one year ago was just 2.7%.

The broadest measure of unemployment—which includes those too discouraged to look for work, plus Americans stuck in part-time jobs but who want to work full-time—fell to 7.1% in May from 7.3% in April. This rate, known as the U-6, has descended since peaking at 8.1% at the start of 2019. While hiring appears to be slowing down, the nation still enjoys an economic environment characterized by low unemployment and rising wages. The most recent report on the number of those applying for unemployment benefits showed that new jobless claims are close to a post-recession low.

The Bad

The addition of just 75,000 jobs in May was coupled with revised employment data for April and March which showed a decrease of 75,000 in the numbers previously reported. The fall off in hiring in May is part of a larger trend which indicates that labor market growth is slowing down since last year. In the first five months of 2019, the economy added an average of 164,000 jobs, down from an average gain of 223,000 for all of 2018. The share of Americans working or looking for a job was unchanged, remaining at 62.8%.

Manufacturers added only 3,000 workers to their payrolls, continuing a streak of weak hiring numbers for this sector. The retail sector, which is challenged by the rise of e-commerce, lost jobs for the fourth month in a row. The retail sector has lost 50,000 jobs since January. The proportion of prime working-age adults, those 25 to 54, who are working rose sharply in 2018. This proportion appears to be leveling off or even decreasing. It was 79.9% in February and 79.7% in May. 

Some analysts point to tensions and uncertainty over trade as a possible cause of disappointing jobs report:

“It definitely looks like we’ve downshifted in the pace of job growth,” said Michael Feroli, chief U.S. economist for JPMorgan Chase & Co. “Overall it’s a disheartening report particularly since you may have some trade effects there, but a lot of the trade tensions escalated” since the reference period for the Labor Department’s surveys in the middle of the month.”

The Unknown

With possible tariffs on Mexican goods and continuing trade tension with China, many U.S. businesses are compelled to make hiring decisions without much certainty over future costs, both in the near and long term. In part fueled by trade conditions, there appears to be increasing pessimism over the potential for economic growth for the remainder of the year:

“Over all, the economy is on a fragile footing,” said Lindsey Piegza, chief economist at the investment bank Stifel. “We’re still talking about solid growth at the start of the year but that’s in the rearview mirror. The name of the game is uncertainty.”

Talking Talent: Building an Employer Value Proposition and Employer Brand for the Future, Part One

Posted on by nfuqua

This is the first Talking Talent episode in a two-part conversation about employer value propositions and employer branding.

As employers face increasing competition for the best talent, a well-defined employer value proposition (EVP) and employer brand strategy have become more important than ever. In a candidate-driven market, employers need to stand out to their target talent audiences through a unified EVP and employer brand. High-quality candidates know what they want out of a future employer, and organizations that don’t effectively show their value to candidates risk losing them to the competition.

To talk about this, joining us is Simon Wright, Managing Partner of Talent Advisory here at PeopleScout.

With more than 20 years of experience in RPO and talent management consulting, Simon brings a global perspective to talent acquisition and engagement—having spent time living and working across the EMEA and Asia-Pacific regions.

As Managing Partner for our Talent Advisory practice, Simon is a trusted advisor to HR and talent leaders. Operating at a strategic level, Simon has a proven track record of building and driving creative and innovative strategic talent programs that positively impact business performance. 

Simon leads an industry-leading (and award-winning) multi-disciplinary team of subject matter experts across the talent lifecycle – including employer brand and EVP, assessment and development, and diversity and inclusion – who deliver impressive outcomes for clients across a range of industries and sectors.

In this episode, Simon makes the business case for investing in EVP and employer brand development. He explains what makes a strong EVP and what steps you need to take to build one at your organization. Simon also walks us through an EVP and employer branding platform built by his team for Linklaters, a global law firm, sharing the background and the impact it made for the organization.

You can listen to part two of this podcast here.

Safran Nacelles: Cutting Time-to-Hire by Over 30% for Critical Engineering Talent

Posted on by akessler
Safran Nacelles: Cutting Time-to-Hire by Over 30% for Critical Engineering Talent

Safran Nacelles: Cutting Time-to-Hire by Over 30% for Critical Engineering Talent

PeopleScout RPO sourced specialist engineering talent for Safran Nacelles, reducing time-to-hire by a third and cutting cost-per-hire in half.

33 % Reduction in Time-to-Hire
50 % Reduction in Cost-per-Hire

Situation

Safran Nacelles, an aerospace and defence company, needed to attract experienced stress engineers to join in permanent roles. However, experienced stress engineers are in very short supply as they are an essential part of the design and test processes for aircraft components.

The aerospace market is highly competitive, and the best candidates often opt for contracts rather than permanent positions. After 18 unsatisfying months trying to fill roles with their previous supplier, Safran Nacelles approached PeopleScout for help through recruitment process outsourcing (RPO).

Solution

Four things defined our approach: rigour, innovation, relationships and brand unity.

To understand the skills, experience and behaviors that typified an excellent candidate for Nacelles, we held a detailed briefing with hiring managers and stakeholders. Next, we devised a sourcing strategy, including deep web searching, competitor mapping and tapping into online forums, reaching out to candidates from Romania, India and the UK.

Our recruiters worked onsite at the Nacelles headquarters to build great relationships with the hiring managers. Every contact by PeopleScout recruiters was made under the Nacelles name, whether sourcing candidates, conducting interviews or leading tours of the factory. Nacelles and PeopleScout collaborated as one.

“The agreed time per hire was 45 days, but you achieved an average is just 30 days. That’s a reduction of 33%.”

Results

By managing every part of the process, we substantially streamlined Nacelle’s talent acquisition program, yielding fantastic results. The agreed time-per-hire was 45 days, but our average was just 30 days–a reduction of 33%. Within a month, we filled the first three roles and placed nine more stress engineers in permanent roles at Safran Nacelles—an unheard-of achievement in the aerospace industry.

Plus, we cut the cost-per-hire in half.

At a Glance

  • COMPANY
    Safran Nacelles
  • INDUSTRY
    Aerospace & Defence
  • PEOPLESCOUT SOLUTIONS
    Recruitment Process Outsourcing
  • LOCATIONS
    Romania, India and the UK
  • ABOUT SAFRAN NACELLES
    Safran Nacelles is a French multinational aerospace and defense corporation that designs, develops and manufactures aircraft components as well as various aerospace and military equipment.
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Virgin Media: Hiring More Women Technicians

Posted on by akessler
Virgin Media: Hiring More Women Technicians

Virgin Media: Hiring More Women Technicians

Virgin Media asked their RPO partner PeopleScout to improve diversity for their field technician roles.

94 % of applications came from women
2 x growth in female workforce
37 % reduction in candidate drop off

Situation

Addressing gender diversity imbalances is a priority in organizations of all types. But, for roles that enter people’s homes, that need is even more pronounced. The personal nature of that connection makes having a workforce that reflects the customers and communities served even more important.

Virgin Media goal was a 50/50 male to female employee ratio. At that point, their workforce was 73% male. so they turned to their RPO partner PeopleScout for help.

Our first move was to set up a working group to tackle the problem head on. The group immediately identified its first priority: the residential field technician (RFT) role. Out of nearly 1,300 RFTs working across the UK, only 1.9% were women.

Solution

Research

In the research stage, we analyzed application numbers from previous campaigns, and identified that applications from women amounted to less than 2% of those received.

To get clear on the role’s realities, we hosted focus groups with Virgin Media’s current female RFTs. With the insights gathered from these conversations, we built a profile of the ideal female candidate, which informed our “Women in Field” recruitment strategy.

Strategy

Our strategy was simple; celebrate female role models across Virgin Media, and transform the organization’s recruitment communications to address the motivations of our target audience. In short: surprise female candidates who hadn’t considered the role before.

We started with a pilot program launched in four key UK locations. We set the target of five women RFT hires in each of the locations with just 12 weeks from go live to offer. This was hugely ambitious, given that Virgin Media had recruited only four women RFTs across the whole of the UK in the previous year.

We transformed the campaign’s collateral, language and imagery to showcase the amazing women already doing the job. Alongside the advertising, we produced films and written profiles of current female RFTs, showing experiences, challenges and triumphs. This was supported throughout social media with hashtags such as #levellingthefield and #becausewhynot.

Ultimately, our approach was to show outstanding women doing a brilliant job so that our target audience would respond: “I’d love to do that!”

Results

The pilot was a total success. The campaign received 945 applications, with a staggering 94% of applications coming from women. We achieved the hiring target of 20 outstanding new RFTs across the four locations, and in the process, we doubled Virgin Media’s entire female RFT workforce.

Candidate engagement throughout the full recruitment process was massively improved. Drop out decreased by 37%, and more candidates than ever reached the final assessment stage.

We sent surveys to all candidates, successful or not, and overwhelmingly, responders said they found our advertisements disruptive, direct, empowering and welcoming.

Now, we’re working with Virgin Media to roll out a wider campaign, UK-wide. Our ambition is to recruit five female RFTs in every region, attracting 60% more women to these roles. Everything we achieved during the pilot will strengthen this drive, particularly as we’ve created a group of enthusiastic brand advocates—female RFTs happy to help promote referrals, reduce attrition and tell compelling stories to future applicants.

The campaign has also laid the foundations for a strong female management pipeline. As a result, Virgin Media has an emerging population of engaged women RFTs to develop into the leaders of the future.

At a Glance

  • COMPANY
    Virgin Media
  • INDUSTRY
    Telecommunications
  • PEOPLESCOUT SOLUTIONS
    Recruitment Process Outsourcing
  • ABOUT VIRGIN MEDIA
    Virgin Media is a telecommunications company, providing telephone, television and internet services in the United Kingdom. It is owned by Virgin Media O2.
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