What is reneging?

reneging, What is and why do some firms seem to be struggling with it?

By CHARLES HIPPS RENEGING on job offers is becoming an increasingly popular trend, particularly among graduates.

Research shows that nearly one offer in 12 (8.2 per cent) was reneged upon — after being accepted. Turning down a job offer — let alone reneging on one — would have been unthinkable a few years ago, when post-graduate employment was harder to come by.

But there has been a generational shift. Baby Boomers are leaving the workforce, creating skills gaps which organisations are struggling to fill. This allows qualified applicants to hoard offers and select the best one.

In essence, it is a case of supply and demand. Promising candidates can afford to delay and consider counter-offers before accepting a post.

CULTURAL SHIFT This has caused a cultural shift, enabling Millennials to be more open-minded about their careers. Millennials are happy to think with their feet, and often prefer a healthy work-life balance to a high salary.

Earlier generations were afraid to ask for flexibility: work came first.

But many grew up in a recession and saw their parents suffer despite working long hours; that has changed their attitudes to work. The addition of technology means it is also much easier for them to work remotely.

Fresh innovations in communications, IT and demographics mean hiring policies must change.

Each post attracts high volumes of applications. Technology does the heavy lifting in the new normal of talent acquisition, and is the most powerful tool a recruiter can have.

AUTOMATED RESPONSES By setting-up automated responses, recruiters are able to “keep the candidate warm” while they wait. Individuals with rare and sought-after skills make new connections earlier and earlier. If HRDs fail to track and make their own connections with them, they’ll lose the first bite of the recruitment cherry.

Relationships are digital now, and the best firms will create propositions of digital value that talk to those they’re attracting as well as existing staff.

HRDs must engage with talent at virtual events and encourage existing staff to be brand advocates.

Technology helps to identify potential. Sifting through hundreds of CVs is timeconsuming, and using video or psychometrics can help.

Firms that understand recruitment will know that success depends on relationships. Even when dealing with people they won’t hire, smart firms know they need to create some level of engagement — even if that’s just feedback.

Why? The candidate who was turned down today could be perfect for the job a few years down the line. Appearing on the right social media sites, building talent pools and using Big Data will also play pivotal roles in attracting talent.

This will require investment in agile development processes, well-developed APIs, flexible data structures, configurable systems and security that is fully futureproofed.

UNCHARTED WATERS The answer to the reneging problem is simple: make people take stock of their recruitment practices and revisit how they work.

Recruitment procedures need to constantly improve and evolve. Reneging is considered the trend of the moment, and these unchartered waters seem deep and scary — but with the right tools and technologies you can limit its impact and control the level of it.