Why Recruiters Are More Important Than Ever in 2020
I never wanted to hire recruiters when I owned and ran foodservice distribution companies, but once in a while we had to because we couldn’t find the best people ourselves. I would not have predicted then that I’d spend 25 years and counting in the recruiting industry. I know too well that many of us don’t want to spend money on a recruiter, but we all want the best talent.
It’s worth noting that not all recruiters are created equal. While employers struggle to find quality job applicants, recruiters struggle to stay relevant. Companies need to hire executive search professionals that know how to dig and find the best candidates, especially during the lowest unemployment rate in nearly 50 years. How can you tell which recruiters have what it takes to find the TOP talent?
One of the most important factors to consider when vetting a recruiter is reputation, but more importantly is their “access” to the top talent. Just because a recruiter has been in the business a long time or says they know a lot of people, doesn’t give them “access” to talent. Just because they can get someone on the telephone doesn’t mean that candidates will trust them enough to share their career. This takes a recruiter who people respect and trust with their confidential information.
Just like your CPA or attorney, you should deal only with a Certified Recruiter. There are a number of designations; CPC, CSP, etc. Would you have someone represent you in court who had not earned a JD and passed the state bar exam? The CPC & CSP certification is for the recruiting industry as the CPA is for accountants. The top recruiting professionals have cared enough about their industry and taken the time to earn a certification.
How ready are you to hire in this new decade?
With more open jobs than people to fill them, here are the reasons why recruiters are more important now than ever before:
Superstar candidates are still difficult to find. Employers think they can put feelers out on Zip Recruiter, Career Builder, or company websites and get all these great candidates responding. The reality is the “post and pray” method is misguided because people reading job boards aren’t the best candidates. They are typically the people who haven’t been as successful and are looking for a job because they may not be earning a bonus or their boss is putting pressure on them to perform. What people seem to forget is roughly 60 percent of the workforce is happy with their current position and not looking to leave. Recruiters can help you access these star performers that you’d never reach without their help.
Tech can only enhance, not replace the recruiter role. Recruiters are constantly searching for new ways to reach candidates more quickly. I’ve personally witnessed the evolution of attracting talent from reference books to LinkedIn. The more technology that is introduced, the more search professionals need to rethink traditional recruiting methods to engage and evaluate candidates. The savvy recruiter knows how to reach job seekers where they are regardless of what screen they are using to not be found.
Think of a recruiter as a creative partner. Bring in a reputable professional recruiter early in your search process. They not only assist you in finding top candidates and can manage the entire process – they save you time and money by clearly defining an efficient search. Strong recruiters will guide, coach, and provide creative strategies for employers by asking the right questions upfront. They also know the best questions for hiring managers to ask candidates, and other recruiting tools that zero in on the best of the best talent.
Don’t be tempted to bring recruiting in-house. In-house recruiters are basically ineffective. Many companies feel this is the best way to save money on the search process, but the reality is that your average in-house recruiter is a former recruiter that couldn’t make it on their own and accepted an in-house position to get a steady paycheck. If in-house recruiters were good at recruiting, why would they go to work for one-third of the income of what a good recruiter could make in a year? They never mastered the process and therefore, are not able to entice the top talent away from companies unless a candidate is actively looking for a job. Once again, you miss access to 60 percent of the workforce that represents the best talent.
Recruiters are an integral part of the hiring process because smart hires make us money.
With this in mind, recruiting fees are reasonably insignificant when you consider that a good manager can make a company hundreds of thousands to millions of dollars, and a bad manager can cost you that or more in a short period of time. Just like with any field, you get what you pay for. Recruiters that have discounted fees are typically not as good, so they need to reduce their fees to get business. The reality is a bad recruiter will actually cost you more than their reduced fee in time and interviewing costs; i.e., turndowns, counteroffers and travel to interview. Don’t be afraid to pay for the best, because waiting for the strongest candidate to fall in your lap is often far more costly. Personally, I would only use recruiters that charge an engagement fee up front and don’t discount…they have skin in the game.
To learn recruiting tips from baby boomers to Generation Z, check out my next article “How to Understand And Recruit Every Generation” or reach out to me directly. I’m always looking to expand my network.
About the Author: I am a CEO Coach, Vistage Chair and CEO of The Hindman Group, Inc., with extensive experience in food service, recruiting, human capital, and coaching that makes me uniquely qualified to empower leaders on their professional and personal journey. I can be reached at Jeff.Hindman@VistageChair.com.