Talent Acquisition Excellence - February 2023

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FEBRUARY 2023 • Vol.11 • No.02 (ISSN 2564-1964) Themed Edition on Contingent Work WILL CHATGPT CHANGE CONTINGENT WORK?
The State of Contingent Work 2023 Page 27 - 48
- Sanjoe Jose, CEO and Co-Founder, Talview
Sponsored by:

On the Cover

Articles

10 10 Predictions For The Contingent Workforce In 2023

What to expect from the future world of work - Katrina Shepherd, Senior Marketing Manager, YunoJuno

17 Battle Of The Bots: How Generative AI Will Disrupt Talent Acquisition

AI-driven automation is the new way to fast-track results when dealing with large amount of data

- Gergo Vari, CEO, Lensa

Will ChatGPT Change Contingent Work?

Learn how companies can leverage this new technology in recruiting

- Sanjoe Jose, CEO and Co-Founder, Talview

23 Equitable Hiring: Why Durable Skills Matter More Than 4 Year Degrees

Hiring based on traditional metrics is becoming more and more difficult

- Stephanie Short, Vice President, Partnerships, America Succeeds

53 How AI And Automation Are Evolving Talent Acquisition Roles

Technology plays a critical role as recruiters and companies look for ways to thrive in today’s economy

- Anil Dharni, Co-founder and CEO, Sense

62 Top Trends That Will Dominate The Workplace In 2023

Attracting, hiring, and retaining top talent

- Allie Kelly, Chief Marketing Officer, Employ Inc.

65 6 Strategies For Hiring The Right Talent At The Right Time

Hire the right people upfront — and cut the bad apples loose quickly - Noelle Federico, CEO, Delta Hire

The State of Contingent Work 2023

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FEBRUARY 2023 Vol.11 No.02
Talent Acquisition Excellence
Page 27 - 48
(ISSN 2564-1964) INDEX
Themed Edition on Contingent Work

INDEX

Risk, Rewards And The Rise Of The Contingent Workforce

Why businesses need to modernize their operations - Joy

Top Picks 14 20

Employer Of Record: The Silver Bullet For Building A Better Contingent Workforce

Addressing compliance issues, bolstering employee engagement, and building teams during M&A

49

Understanding Your Contingent Workforce: Importance And Explanation

How businesses can best leverage this employment model

57

Contingent

Workforce Program Governance

What you need to make a CW program a success

Contingent Workforce Management Leader

Editorial Purpose

Our mission is to promote personal and professional development based on constructive values, sound ethics, and timeless principles.

Excellence Publications

Contingent Work: From Where We Work and When We Work to How We Should Work

Sue

Babitha Balakrishnan and Deepa Damodaran

Talent Acquisition Excellence Team

Matt Charney Talent Acquisition Community Leader

Deepa Damodaran Editor

Arun Kumar R Design and Layout (Digital Magazine)

Vibha Kini Magazine (Online Version)

Submissions & Correspondence

Please send any correspondence, articles, letters to the editor, and requests to reprint, republish, or excerpt articles to ePubEditors@hr.com

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Moreimportant than just where we work, and when we work, even with all the seismic shifts in the status quo in the past couple of years, is the increasing scrutiny companies are starting to focus on the much more foundational, much more complex question of how we should work.

With so many companies tightening their budgets and freezing or cutting headcount, employers are accelerating what’s been a fairly significant shift towards fully adopting a ‘total talent’ approach to talent acquisition; that is, embracing the concept that the workforce that works best doesn’t always have to work only as full time employees.

Too often, anyone other than a full time employee was treated like a second class citizen, often excluded from certain meetings, company activities, team building or employee development programs, and denied access to certain facilities, perks or perquisites extended to every employee as a matter of course, because of course, contingent workers weren’t, by definition, employees at all.

This seemingly anachronistic attitude towards contingent workers might explain why non-traditional talent has never been a core component of most corporate talent acquisition teams which, at an enterprise level, are almost exclusively focused on filling open headcount with full time hires, to the exclusion of all other forms of talent that could otherwise be acquired.

Often, hiring contingent workers wasn’t even a TA function at all, with that significant segment either outsourced completely to third party providers or else handled internally through procurement, not hiring, processes - a capital expenditure rather than an investment in that proverbial “greatest asset.”

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Times, though, as they say, are changing - and so too is the attitude and imperative importance of the contingent workforce to in-house talent acquisition teams, their stakeholders and the bigger business picture.

This is because the pandemic has forced us to redefine the very nature of work itself. Work is no longer a place we go, but instead a thing we do. Work is no longer about employment status, but empirical outcomes.

Today, even the workforce that works best for a company might not work for that company at all. And TA is finally starting to pay attention to the fact that talent transcends worker classifications, and the future of recruiting requires employers incorporate strategies for acquiring all forms of talent, rather than simply filling (and backfilling) reqs with full time, traditional employees.

The result of these developments is one of the most important, and potentially disruptive, developments in recruiting and talent acquisition in recent years. That’s why we’ve decided to dedicate an entire issue of Talent Acquisition Excellence to this very important - but often overlooked - talent topic.

In this issue, you’ll find articles by some of the very thinkers and leaders who are actively helping to shape the changing world of contingent work. They’ll delve into topics ranging from the impact

of automation on the gig economy, to the rise of generative AI and its implications in recruiting, to the trends around employers of record and the rise of the distributed global workforce. We’ll look at ways in which contingent workers are changing the nature of work, and the ways that employers, and recruiters, are adapting to this new reality.

Because in recruiting and hiring, you can’t truly have Talent Acquisition Excellence without considering the state of the contingent workforce. The good news is, we’ve got the research and resources recruiters need right here - so consider this edition the total package when it comes to total talent.

Happy hiring.

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Join almost 55,000 HR.com members with a similar interest and focus on staffing and recruiting topics with one of the four staffing related online communities: Contract Workforce and Talent Exchanges, Online Staffing and Sourcing, Recruitment Process Outsourcing, or Quality of Hire. Share content and download research reports, blogs, and articles, network, and “follow” peers and have them “follow” you in a social network platform to communicate regularly and stay on top of the latest updates. This well established Community is an invaluable resource for any HR professional or manager.

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Will ChatGPT Change Contingent Work?

Learn how companies can leverage this new technology in recruiting

WhenSan Francisco–based company OpenAI released ChatGPT in November 2022, it simultaneously became all the rage and controversial. It is built on OpenAI’s GPT-3 language models, which have taken assistive technology to a new level and surprised business leaders across the globe. From writing blogs to fixing bugs, it has many professionals on their toes, panicking about a looming new work reality.

Generative AI systems have generally emerged from deep learning models trained on broad, unstructured data sets covering many topics. In other words, they create original content by learning from existing data, which has the power to transform the ways companies operate and boost productivity.

At the same time, despite one out of every two workers expected to hold a freelance position by 2028, freelance workers and contractors are learning they will need to

evolve their skill sets at the same rate as this technology to keep up.

While generative AI is nothing new — we have been using it for more than a year to flesh out our recruitment tools — it is now particularly presenting a challenge for the contingent workforce. Let us dive into the risks they may face this year and how they can leverage this new technology.

Automation: Less Work or More Opportunities?

Business leaders use freelancers to augment their workforces, pass on repetitive tasks, eliminate overhead costs, and reduce their long-term commitment to individuals. The number one reason to use freelancers is when businesses need additional support to complete projects last minute.

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COVER ARTICLE

Now, although executives are using generative AI cautiously, there’s no doubt that it is becoming a productivity enhancement tool that can do many of the tasks freelancers are assigned.

One of our customers, a SaaS company, traditionally used the contingent workforce for specific projects when they needed more software developers due to surges in demand. Now, they are experimenting with ChatGPT to write code.

Their in-house developers have become more like product managers, looking at the output generated and tweaking it. Generative AI has produced more cost-effective, efficient results for this company and largely replaced their use of freelancers. However, in some scenarios, further understanding of the software industry and specific skill sets are still necessary.

This automation of repetitive work can also benefit the contingent workforce: It could make hiring more equitable and level the

playing field. With ChatGPT boosting human productivity, many parents — especially working mothers — could get more work done with less by using generative AI, leading to disposable income and closing the workplace gender gap.

Rethinking Roles and Titles

HR leaders and talent acquisition (TA) teams are also assessing their job descriptions and redefining the roles they need to fill.

There’s very little competition when it comes to freelance AI specialist work right now, but freelancing sites like Fiverr are quickly noticing the gap in the market. They recently launched a new category dedicated to AI-related services after searches increased by 1,400% over six months on their platform for these specialists.

Focusing on Contingent Talent, First

While generative AI will affect contingent workers’ day-to-day schedules, their experience of

hiring processes is also expected to change.

Increasingly, HR teams are turning to generative AI to generate summaries of virtual interviews and gain insights into candidates’ skills, experience, and potential.

Algorithms can analyze huge amounts of data, identify patterns, and make predictions about the likelihood of candidates’ success, giving HR leaders an unbiased view of candidates. This should speed up recruitment and onboarding processes for contingent workers too.

Overall, generative AI is set to change business operations across many industries. And many company leaders are questioning whether the technology may aid or disrupt their value chain, way of working, and budgets.

And that automatically impacts contingent workers, who can either evolve their offerings and seek out the positives or be left behind. Ultimately, technological advances create as many, if not more, job opportunities as they automate.

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10 Predictions For The Contingent Workforce In 2023

What to expect from the future world of work

Aswe look toward the future, we are excited to share our insights on the trends we believe will shape the contingent workforce in 2023. These trends reflect our outlook on the opportunities that the future of work brings, and we believe that they will have a huge impact on how businesses and individuals approach work.

From the continued growth of the freelance economy to the increasing importance of skills development, these trends represent the diverse, ever-dynamic nature of the contingent workforce.

Here are a few things to keep an eye on when it comes to the world of work in 2023.

1. Remote Work Isn’t Going Away

The Covid-19 pandemic has shown that many roles can be done remotely, and companies will continue to offer flexible work arrangements long after the pandemic. A survey conducted by the Society for Human Resource Management in 2021 found that 85% of respondents said their company had implemented some form of remote work due to the pandemic, and that 69% of respondents expected their company to continue offering some form of remote work after the pandemic.

This is great news for employees who have discovered the benefits of remote work. They can now continue to enjoy a better work-life balance, increased productivity and reduced stress. Moreover, the ability to work remotely has opened up new opportunities for people who may not have been able to work in an office setting due to location, disability or other reasons.

Remote work has also had a positive impact on the environment by reducing the need for daily commutes. Companies that offer remote work options will attract a more diverse and skilled workforce and will see a reduction in turnover and absenteeism.

2. The Freelance Revolution Is Here

The gig economy and freelance work are expected to continue growing as technology makes it easier for individuals to connect with clients and find work. A report from the World Economic Forum published in 2021 found that the freelance economy is expected to continue growing in the coming years.

On YunoJuno, there was a 72% increase in marketplace bookings from Q3 to Q4 in 2022—a testament to this freelance revolution.

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This new work style offers an unprecedented level of freedom and flexibility for workers. People can now pick and choose the projects they want to work on, which align with their passion, skills and goals. They can also have more control over their income, and have the possibility of earning more than they would in a traditional job.

This flexibility allows people to pursue side hustles, start a business, or go back to school while keeping their income steady. This work style also allows companies to tap into a global pool of skilled workers who can bring new ideas, perspectives, and unique skills to their projects.

3. Hybrid Careers Will Become More Common

Many workers will adopt a hybrid approach to their careers, combining traditional employment with freelance or gig work in order to have greater control over their schedules and workloads. A survey conducted by the Society for Human Resource Management in 2021 found that 45% of respondents had pursued freelance work in addition to their full-time job, and 29% of respondents had pursued freelance work as their primary source of income.

This new hybrid career model is a win-win for both employees and employers. Companies get access to a more flexible workforce, which can respond quickly to changing business needs and have access to a broader range of skill sets.

For employees, it allows them to have the stability and benefits of a traditional role while also having the freedom and flexibility of freelance work. They can now achieve a better work-life balance and have multiple streams of income. This way of working also allows employees to develop new skills and try out different job roles, which can help them grow both professionally and personally.

4. Skills Development Will Be Crucial

In a rapidly changing job market, it is important for workers to continuously develop their skills and stay

up to date with emerging technologies and best practices in their field.

In 2023, companies will be looking for workers who can hit the ground running and add value to their operations from day one. The demand for workers with highly specialized skills and knowledge will be higher than ever before. To stay competitive in this new job market, workers will need to continuously develop their skills and stay up to date with emerging technologies and best practices in their field.

Skills development is a positive trend for employees, as it gives them the opportunity to upskill and advance their careers. This means that there will be more opportunities for workers to gain new skills and certifications, either through traditional education or online learning platforms. Employers will also be more willing to invest in the development of their contingent workforce, as they recognize the value of skilled and adaptable on-tap talent. The future looks bright for those who invest in their own professional development.

5. The “Great Resignation” Will Become Even More Prevalent

The “Great Resignation” refers to the idea that workers will increasingly choose to leave their jobs for personal or professional reasons rather than sticking with a job that does not align with their values or goals. A survey conducted by the Society for Human Resource Management in 2021 found that 60% of respondents had left a job for personal or professional reasons within the past five years, and 44% of respondents said they had left a job specifically because it did not align with their values or goals.

This new trend means that more people are taking control of their own career paths, and choosing jobs that align with their values and goals. This can lead to greater job satisfaction, motivation, and productivity. Companies that foster a positive and fulfilling work culture will attract and retain more talented employees, as people are more likely to stay in jobs that align with their values and goals.

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In the long run, this shift towards greater alignment between personal and professional values will lead to a more motivated, engaged, and productive workforce.

6. “Quiet Quitting” Isn’t Just a Buzzy Phrase

“Quiet Quitting” refers to the phenomenon of employees disengaging from their work and becoming less productive without formally quitting their job. This trend may be driven by factors, such as work-related stress, a lack of job satisfaction, or a lack of opportunities for growth and development. A report from Gallup published in 2021 found that 70% of U.S. workers were “not engaged” or “actively disengaged” in their jobs and that this lack of engagement was correlated with higher levels of absenteeism and turnover.

The trend of “Quiet Quitting” highlights the importance for companies to foster a positive and fulfilling work culture. This means providing opportunities for growth and development, promoting work-life balance, and addressing issues related to stress and job satisfaction. By addressing these issues, companies can improve employee engagement, reduce turnover, and increase productivity. This shift towards a more positive and fulfilling work culture will lead to a more productive workforce, which in turn will benefit both employees and employers.

7. Diverse and Inclusive Teams Will Be a Priority

There is a growing recognition of the importance of diversity and inclusion in the workplace, and it is expected that companies will continue to focus on building diverse and inclusive teams. A survey conducted by Glassdoor in 2021 found that 63% of respondents considered diversity, equity, and inclusion to be an important factor when evaluating job offers.

Diverse and inclusive teams are a blessing for everyone. They lead to better problem-solving, creativity, and innovation, which in turn improves the bottom line. They also create a more positive and equitable work environment, where everyone can thrive. Hiring companies that value and promote diversity and inclusion will attract a more diverse and

skilled workforce, which will give them a competitive edge in the marketplace.

8. The Use of Automation and Artificial Intelligence Will Increase

As technology advances, it is expected that the use of automation and artificial intelligence will become more widespread in the workplace. This trend may lead to the automation of certain tasks and the creation of new jobs that require expertise in these technologies.

The integration of automation and artificial intelligence in the workplace can bring huge benefits, such as increased efficiency, accuracy, and cost-effectiveness. However, it also means that employees will need to upskill and adapt to the new technological landscape. This presents an opportunity for employees to learn new skills and take on more challenging and fulfilling roles.

It is also an opportunity for companies to focus on building a more efficient and sustainable work environment, allowing their employees to focus on more high-value work that requires creativity, innovation and critical thinking.

9. There’s a Rise in Hiring Generalists Over Specialists

At YunoJuno, we’ve seen a clear trend of companies looking to hire generalists over specialists in recent years. This is reflected in the increased demand for freelancers in a variety of disciplines across our platform. According to our data, the most in-demand disciplines on YunoJuno increased quarter on quarter in Q4 were Marketing (267%), Project Management (176%), Strategy (92%), UX (77%), Creative (70%), Design (68%) and Development (43%).

These statistics demonstrate the growing demand for generalists, who can take on multiple roles and bring a wide range of skills to the table. Companies are looking for people who can handle a variety of tasks, from marketing to project management and client services. They want people who can think strategically and creatively, and who can handle data and design as well.

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10 Predictions For The Contingent Workforce In 2023

These trends are in line with the shift towards more agile and adaptable teams, as companies look to stay competitive in a tech-influenced business landscape. By hiring generalists, they can quickly bring in the expertise they need to handle different tasks, without the cost and complexity of hiring specialists for each role.

10. Companies Will Be Mindful When it Comes to Mental Health

The pandemic made it crystal clear how crucial mental health and well-being are. As a result, companies are putting more focus on supporting their employee’s mental well-being. A World Health Organisation report from 2021 found that the pandemic has had a severe impact on people’s mental health globally and it is important for companies to prioritize their employee’s mental well-being.

This can take the form of resources like mental health benefits, flexible work arrangements and stress management training. It is important to understand that mental health concerns are not limited to traditional employees and that freelancers and

gig workers are just as susceptible. Many of them experience the same stress and mental health issues as traditional employees, but may also face additional challenges, such as lack of job security, social isolation and uncertainty.

Therefore, it is crucial that the same support and resources available to traditional employees, such as mental health benefits and stress management training, should be extended to them as well. It may be beneficial for companies to provide platforms for freelancers to connect and share resources and support each other.

In Conclusion

The future of work holds exciting possibilities and opportunities.

Remote work, freelancing, hybrid careers, and the focus on skills development are all trends that will empower employees to take control of their own careers and lead more fulfilling lives.

The emphasis on diversity and inclusion, the shift towards a more positive and fulfilling work culture, and the integration of automation and artificial intelligence will bring huge benefits to companies and employees alike.

However, it is important to note that these changes also come with challenges and requires a continuous effort to adapt and upskill. With the right mindset, employees and companies can thrive in 2023 and beyond, by embracing the future of work.

This article first appeared here.

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Katrina Shepherd is a Senior Marketing Manager at YunoJuno
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Risk, Rewards And The Rise Of The Contingent Workforce

Why businesses need to modernize their operations

Againstthe backdrop of an unprecedented labor shortage and other economic challenges, businesses across industries have reconsidered their talent strategies. Organizations are now looking well beyond their own employee pool and are embracing an extended workforce, also referred to as a contingent workforce, made up of seasonal and part-time employees, temporary workers, and contractors.

Reliance on non-traditional labor is a tried and tested strategy to build a more flexible and resilient workforce, but one presenting its own challenges.

A recent survey commissioned by Sterling found that a third (33%) of HR professionals believe that hiring contingent workers is more complicated than hiring traditional labor. Whether it is the onboarding process, background check, or maintaining trust and safety standards, onboarding gig and contingent workers has proven to be a pain point for all parties involved.

Now HR teams are dealing with a new workforce, one that is re-evaluating how, where, and why they want to work. For business leaders thinking about augmenting their workforce with contingent workers, and competing against other brands doing the same, they must first modernize their operations by considering the following issues.

Rethinking Workforce Strategies

Ever since the pandemic, businesses of all sizes have adopted hybrid workforces, where leveraging contract workers and consultants has become standard practice. While not full-time employees, these workers often occupy a position of trust, having daily customer interactions or access to restricted areas and sensitive information.

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Regardless of their role, contingent workers still represent their employer’s brand and as a result, have a direct impact on company culture. To engage trustworthy talent, companies must have the right onboarding process in place to keep trust and safety at the forefront of their hiring practices.

Flexibility and resiliency are often the two greatest motivations for tapping external labor. Resilient organizations can weather sudden industry changes and consumer demands. As the Covid-19 pandemic demonstrated, it is essential to employ workers capable of helping brands maintain business continuity.

For example, a short-term workforce is essential to operate during periods of seasonal demand or worker shortages. In order to manage future unforeseen disruptions, companies need a solid workforce strategy in place allowing them to activate contingent workers at a moment’s notice.

A hiring and onboarding process that simultaneously simplifies the employer’s screening process and delivers a great candidate experience can help companies utilize and scale back labor as they need.

Identifying Onboarding Challenges

A common concern among HR staff onboarding gig and contingent workers is losing quality candidates during the onboarding process — and for good reason. According to a Sterling survey that polled contingent and gig workers, who recently went through a hiring experience, 85% indicated that they either considered dropping out at some point in the process or actually did drop out of the hiring process.

The reasons why are not surprising: four out of 10 (40%) in the survey pointed to a complicated hiring process as the reason for their withdrawal; a third (33%) had an issue with the background screening process; while a quarter (26%) said there were too many touchpoints in the process.

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Risk, Rewards And The Rise Of The Contingent Workforce

Overall, candidates desire proactive communication from their potential employers, as it signals mutual respect. To maximize the advantages of contingent workers, businesses can focus on prioritizing the candidate experience across the hiring process, making sure that it is seamless as possible with the right technology and workflows in place.

The Future of Hiring Is Right Now

Screening contingent and gig workers can be more challenging than traditional processes because it usually has to be done at scale. This outsized effort can delay the process and make it more difficult for candidates to complete.

Fortunately, shoring up these gaps does not necessarily have to be a heavy lift. In many cases, businesses are already deploying workforce platforms that can manage contingent and gig workers. If so, it is imperative for companies to integrate with a background screening partner that can enrich their platform’s candidate data.

Experienced background screening partners allow companies to set up customized workflows to reduce turnaround times. Even better, these workflows can be automated to help free up workers for more urgent tasks. API integrations can add an additional layer of automation to advance candidates’ record information and communication between databases, further minimizing the need for manual review.

On-demand work and extended workforce strategies have created new opportunities for workers and organizations to embrace flexibility and meet customer demand. With the proper workforce safety and background screening processes in place, this new way of working can empower businesses to scale their operations at any time and in any region.

Sterling is not a law firm. This publication is for informational purposes only and nothing contained in it should be construed as legal advice. We expressly disclaim any warranty or responsibility for damages arising from this information. We encourage you to consult with legal counsel regarding your specific needs. We do not undertake any duty to update previously posted materials.

Joy Henry is the Head of Sterling’s Technology and Business Services group, where she is responsibility for the P&L of the Financial Services, Retail, Gig, Staffing, Diligence, Technology, Media, Entertainment, and Hospitality practice areas of the business. Joy joined Sterling in 2013 and previously held the position of General Manager of the Financial and Business Services Practice Area. rior to Sterling, Joy spent over a decade at Dow Jones/News Corp serving in various roles across the organization.

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Battle Of The Bots: How Generative AI Will Disrupt Talent Acquisition

AI-driven automation is the new way to fast-track results when dealing with large amount of data

AI is transforming modern society. In today’s world, messaging has become one of the more popular methods of communication. Whether it is through text messages or messenger apps, it is how a lot of people prefer talking with one another. Due to the rise of online computer communication, a lot of businesses have been developing chatbots that you can message and talk to as if they were human.

Conversational

AI-driven automation is the new way to fast-track results when dealing with large amounts of data. If an industry can make a process faster and cheaper with fewer resources and man-hours, it is definitely here to stay and will only be improved.

What Is a Chat Bot?

Today, chatbots are advanced enough that you may even think you are talking to a human. More and more businesses are using them for online customer service to resolve issues and answer simple questions.

There are currently two different types of chatbots. The first uses a certain set of rules, meaning that they

can only respond to specific words or commands. This means that if you do not use the correct phrasing, the chatbot may not know how to respond.

These bots are only as intelligent as they are programmed to be and are used in a lot of customer service industries. The second type of chatbot uses artificial intelligence. This means that it can understand language, and you can speak with it more conversationally as if it were a real person. These chatbots are highly impressive and very intelligent.

The Rise of Chat GPT in Recruiting

To better understand the newest chatbot technology, we have to understand generative AI. Put simply, generative AI is artificial intelligence that can generate new content rather than simply analyzing or acting on existing data.

So, what is Chat GPT that everyone’s been talking about? Amassing over a million users in just five days, Chat GPT was launched on the 30th of November, 2022, by Open AI. Chat GPT, also known as Generative Pre-trained Transformer, is a powerful language model that can understand and respond to natural language input.

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Chat-GPT is programmed to mimic writing styles, avoid certain types of conversations, and learn from your questions. In other words, the more advanced models can refine answers as you ask more questions and then store what it learned for others. It has a lot of advanced capabilities, such as the ability to answer historical questions, write code, and also write news articles, information summaries, and more.

The bot is undeniably impressive and what really astounds is its rhetorical muscle, its ability to generate paragraphs of coherent argument or narrative. According to a statement from Open AI, Chat GPT interacts in a conversational way.

The dialog format makes it possible for Chat GPT to answer follow-up questions, admit its mistakes, challenge incorrect premises, and reject inappropriate requests.

This technology is undoubtedly impressive. However, there are some ethical implications that come with this type of chatbot, particularly around new videos that have surfaced where coders can use it to write their code, people can get away with cheating in

school and in the workplace, and questions around user privacy.

How Generative AI Will Impact Recruiting

While this technology has a lot of upsides, there are some concerns when it comes to the workplace. Chat GPT has the potential to impact the HR and recruiting industry.

It could be used for candidate onboarding, helping companies source candidates, providing interview coaching and guidance, understanding values, sending personalized emails, and handling a range of other HR-related tasks. The main concern is whether this new technology might take jobs away from people.

While AI, such as Chat GPT, can significantly improve some of these areas, some reassurance is in order when it comes to hiring managers and members of an HR team.

While it seems to be that artificial intelligence powers job platforms, they are still just a tool. Chatbots cannot customize their conversations with enough accuracy.

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Hence, we have to identify the moments where the interactions are not very complex and demanding. In the name of automation, we cannot deploy chatbots for all tasks in HR.

Delivering superior experience to employees is an important objective of every employer brand that cares for its life in the long term. Employees have concerns, anxieties, and feelings of various kinds that a chatbot cannot understand, let alone work anticipatively. Human capabilities are not easy to be mapped and codified, and it is not yet possible to code this into an AI system completely.

Chat GPT also has issues with providing accurate and relevant responses and avoiding biases and inappropriate statements. This can be highly problematic in the realm of HR as it is an HR professional’s job to make sure these things do not happen, and if they do, they are corrected. Open AI warns users that the output they get may sound plausible and even authoritative, but they might well be entirely wrong.

Another concern is that chatbots, including Chat GPT, cannot differentiate between right and wrong and lacks nuance and critical or ethical thinking skills.

The concern here is that if Chat GPT were to be dominantly used in HR, the lack of ethics and understanding between right and wrong could lead to many negative side effects.

While there are aspects of HR that Chat GPT is more than capable of doing (e.g. finding and hiring new employees), when it comes to workplace safety, a robot that does not fully comprehend ethics and morals is not the best fit.

Bots and the Bottom Line

Chat GPT is a highly fascinating technology that is only getting smarter. Even though this new technology seems pretty knowledgeable, it does not exactly know anything. It has been trained to recognize patterns in enormous amounts of text harvested from the internet, then further trained with human assistance to deliver more useful, better dialog.

While this technology can be used to improve and streamline certain roles in a company, it would be problematic if it were to replace people in HR departments. It is important to remember that, yes, the newest AI technologies are incredibly impressive, but they are still only tools.

Gergo Vari is the CEO of Lensa. He has one mission: to revolutionize job search for companies and professionals. His journey through founding, funding, and exiting successful startups has taught him a valuable lesson: the hiring process is broken. Thus, he shares the desire for recruiting and human resources technology that puts people first.

Would

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Employer Of Record: The Silver Bullet For Building A Better Contingent Workforce

Addressing compliance issues, bolstering employee engagement, and building teams during M&A

Despite the numerous opportunities for success, mergers and acquisitions - particularly those with cross-border corporate transactions - do not come without a complex set of associated risks and unique challenges, like every global expansion strategy. The risk-reward ratio, historically, hasn’t always been worth the payoff, with 90% of acquisitions eventually fail, according to research published by Harvard Business Review

One of the biggest reasons M&A transactions ultimately flop is the mass exodus of talent so often associated with post-acquisition integration, with the same Harvard research finding nearly half (47%)

of key employees depart from the company within a year of a transaction and up to 75% leaving within three years.

As Steve Jobs once said, “Incredible things in the business world are never made by a single person, but by a team.”

By utilizing an Employer of Record (EOR), organizations can extend their own teams, gaining a significant advantage when buying or selling a company. Partnering with EOR providers can address compliance issues, bolster employee engagement, increase retention and ultimately, build effective teams - before, during and after a transaction is finished.

Before the Buy: Pre-Sale Preparations and Valuations

The usual demands for businesses to grow quickly and cost-effectively often promote short-term, bandage solutions, which can trigger complex and potentially costly challenges further down the road. These nearsighted decisions can even compromise valuation.

For example, while hiring a worker as an independent contractor (IC) is a nimble, cheap solution that contains fixed costs, it is not suitable for permanent employment. If not done properly, it can expose a company to compliance liabilities and intellectual property (IP) risks

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As a company prepares for a corporate transaction, such as a sale or a carve out, these missteps are likely to come under full view in the microscope. Before signing an agreement, the buying company will apply due diligence to uncover red flags in corporate risk such as compliance for misclassified workers, IP, tax liabilities and more.

If a selling company’s corporate risk profile is found to be too high, it can render the company less valuable ahead of a sale. Alternatively, it can delay or altogether terminate the transaction altogether.

An EOR provider may be engaged by a selling company to avoid these common pitfalls, mitigate risks and uphold its marketplace value. The EOR can support the transition from an IC engagement strategy to hiring permanent employees. The EOR can also help a company wind down its headcount or avoid leaving the

buyer with ‘orphaned employees’ in the case of a carve out

Due Diligence and Recruiting Roadmaps: Planning for Tomorrow, Today

Due diligence is conducted before the deal closes to assure the buyer of what they’re getting in the transaction. This also allows them to answer any lingering questions and come up with a plan for how they will hire and retain talent once the deal is completed.

An EOR partner may prove invaluable during this phase, as plans can be made to bridge any hiring gaps, reduce operational risks and promote talent development.

As previously mentioned, sometimes a carve out acquisition will leave key employees without an entity to employ them if the buying company doesn’t have an in-country entity. The buying company can work with an EOR

partner before the close of the deal to determine what the needs are and what the costs will be in order to keep those key employees on board.

During due diligence, the buying company can work with an EOR to answer the following questions and plan a road map for transition:

● Will any employees be ‘orphaned’ by the deal?

● What is the current compensation structure for these employees?

● What are the current employee benefits?

● How can this transition be streamlined to promote employee retention and engagement?

● How should the transition and EOR arrangement be communicated to employees?

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Employer Of Record: The Silver Bullet For Building A Better Contingent Workforce

● Are there any permanent establishment risks lingering in the operational footprint? How can this be addressed?

● Can an EOR serve as a solution to help further support hiring or talent retention?

● Will the EOR hiring strategy serve as an interim or long-term solution?

Beyond the Deal: EORs and The Bigger Business Picture

In today’s fast-paced, competitive business climate, global expansion is often a critical imperative for diversifying revenue streams, impressing new audiences, testing innovative products, raising

brand recognition and, of course, tapping into new talent pools.

As the appetite for global business expansion continues to increase, 2022 may net out as the second-best year on record for cross-border M&A activity. Global deals are expected to surpass $4.7 trillion in value, according to Bain & Company’s Global M&A Midyear Report

For companies with healthy balance sheets, an economic downturn and reduction in inflation may also present more opportunities for acquisitions.

By knowing your business is operating compliantly and efficiently, your team can then focus on employee engagement and the core business-growth

activities that drive the bottom line. In the end, by using a trusted EOR partner, your fast-growth company can approach cross-border deals with agility, efficiency and peace of mind.

Andrew Lindquist is a Partner at GoGlobal. Prior to joining the team at GoGlobal, Andrew was a managing director of Tricor (USA) and a director at KPMG.

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Employer Of Record: The Silver Bullet For Building A Better Contingent Workforce

Equitable Hiring: Why Durable Skills Matter More Than 4 Year Degrees

The job market has reached an inflection point. In fact, it is trending toward a Category 5 disaster. A variety of factors, many of which have been bubbling below the surface for years, have created a perfect storm, making it challenging for HR managers and their companies to find and retain talent.

The U.S. Bureau of Labor Statistics reports over 10.9 million job openings for December and near record-low unemployment at 3.9%. Further, 4 million Americans quit their jobs each month in 2022, also known as “the great resignation.”

Even before the pandemic, there were concerning trends regarding reduced labor force participation, a rapidly aging population, declining birth rates, a persistent skills gap in high-demand fields, and declining postsecondary enrollment, among other factors. And, as a result, hiring based on traditional metrics is becoming more and more difficult.

Building a Broader Workforce: Opportunities, Not Obstacles

Finding the right talent to fill available positions is the key to any business’ success. At the same time, building a more diverse and inclusive workforce

boosts our overall economic vitality. The good news is, hiring managers are at a unique intersection to impact both by focusing on skills and competencies rather than degrees.

Removing unnecessary degree requirements not only creates a broader pool of applicants, but also creates more equitable opportunities for the un- and under-utilized individuals in our workforce, like the more than 70 million US workers today, who are “Skilled Through Alternative Routes” or the 1 million fewer students who have enrolled in traditional four-year college programs since the pandemic.

Tapping into this reservoir of talent, however, requires a shift in practice. Broadly, this means hiring managers will need to expand their search to look for candidates, who are trainable in company-specific technical areas and excel in durable skills.

These durable skills include communication, fortitude, collaboration, creativity, and similarly crucial competencies, making them excellent team members and employees for the long term.

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Hiring based on traditional metrics is becoming more and more difficult

Skills-based Hiring: 4 Keys to Hiring for Durability, Not Technical Ability

While the current labor market may be challenging, necessity is known to breed innovation. It also presents an incredible opportunity for businesses to drive forward diversity and inclusion goals.

So, how do we reframe our hiring practices? How do we identify candidates with strong durable skills to create a more equitable landscape for job seekers? It starts with making a few small but significant shifts.

1. Reframe your job descriptions. Employers often post laundry lists of skills and experience needed for a job, then adjust these “requirements” based on the applications received. Remove degree requirements when

possible and think “less is more” to attract a larger applicant pool. What is truly required before starting versus what is a trainable skill? Identify the transferable competencies necessary in the role, such as creative thinking or data analysis as opposed to experience in a variety of platforms and tools.

2. Create a new approach to interviews. It can be difficult to measure durable skills in a traditional one-on-one interview. Consider having the individual shadow for a day, provide opportunities for team interaction, or create “working” interview tasks or simulations to better understand how a person might collaborate with team members, empathize with a customer, or display leadership skills on-the-job.

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Equitable Hiring: Why Durable Skills Matter More Than 4 Year Degrees

3. Invest in multiple training pathways. To that end, shifting focus towards durable skills likely means new hires will need more training in your specific processes to ultimately achieve success. Beyond onboarding programs, employers can expand training options by investing in work based learning experiences, internships, and apprenticeship programs to help recruit and develop talent, especially those without four-year degrees.

4. Upskill existing employees. It is no secret that many people are motivated by the opportunity to learn, grow, and advance their career. Do not underestimate the power professional development stipends, education benefits, career training, and mentorship programs can have in retaining current employees. Today’s junior-level associate can gain the durable skills and experience equivalents required to be part of tomorrow’s leadership team.

Small Steps Make a Big Difference

Reframing the way we approach hiring and training is daunting. Thankfully, businesses do not have to brave the “unknown” alone. There is also an explosion of activity surrounding these initiatives and countless organizations - both national and community-based - looking to partner with employers to help expand workforce opportunities and support this change.

Starting small, with steps like reframing job descriptions, adjusting interviews, or expanding training opportunities can make a big difference. They are all steps in the right direction. And, each of these small steps spread across millions of companies will start to move the needle toward a more inclusive and equitable workforce.

Though the economic storm is seemingly already brewing, a change in our collective approach toward hiring can help ensure we all minimize the impact, maximize our workers’ abilities, and weather this change together.

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Talent Acquisition Excellence presented by HR.com FEBRUARY 2023 25 Submit Your Articles Equitable Hiring: Why Durable Skills Matter More Than 4 Year Degrees
Stephanie Short is the Vice President of Partnerships at America Succeeds and is responsible for supporting the organization’s corporate partnerships, fundraising, network growth, and national communications initiatives.

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The State of Contingent Work 2023

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The State of Contingent Work 2023 Exclusive Study By The HR Research Institute INDEX 30 ARTICLES RESEARCH REPORT SUMMARY How Leave Technology Can Optimize HR’s Operational Efficiency
AbsenceSoft The Time to Build a Skills-based Elastic Workforce Is Now By Sachit Kamat, Eightfold AI Finding the Right Talent Can Be Challenging: G-P Recruit Simplifies Your Global Hiring Needs By Globalization Partners 36 41 45
By Seth Turner,

The State of Contingent Work 2023

Leverage better practices, partners and technologies to maximize the performance of contingent work arrangements

Exclusive Research By HR Research Institute

Sponsored by:

In today’s age of business uncertainty, contingent work has come to play a critical role. Not only do the large majority of organizations leverage contingent work arrangements, but well over a third of organizations have also increased spending on such workers over the last two years and plan to increase it over the next two, according to the latest research from the HR Research Institute (HRRI).

To better understand why organizations contract with contingents and to determine how organizations source, employ and manage them, HRRI investigated the following areas:

● how widespread the contingent workforce is today, why organizations are using contingents and whether companies plan to spend more or less on contingents in the future

● the types of contingent workers companies most often staff, and how the cost of contracting a contingent worker compares to

that of employing a full-time employee

● who is responsible for acquiring and managing contingent workers today, how well companies are managing them and the key challenges associated with contracting with providers of contingent workers

● the extent to which technology is used to acquire and manage contingents, and how companies plan to use technology in the future

● how organizations commonly source/acquire contingent workers, which sources HR thinks are most valuable and effective and the key criteria used to select third-party sourcing providers

● the practices and outcomes most closely associated with organizations that have large contingent workforces relative to those that have smaller contingent workforces

30 SUMMARY STATE OF THE INDUSTRY RESEARCH

To What Extent Do Companies Use Contingent Workers?

Finding: Most companies today incorporate contingent workers but to varying degrees

We asked respondents to indicate what percentage of their overall workforce is made up of contingent

workers. Only 14% chose “none,” indicating that most companies today use contingent workers. A little over half (54%) of responding organizations say that contingent workers represent 1% to 19% of their overall workforce.

Survey Question: About what percentage of your overall current workforce is made up of contingent workers? (please provide your best estimate)

73% indicate contingent workers are 1% to 49% of their workforce

12% indicate more than half of their workforce is comprised of contingent workers

Note: numbers do not add to 100% due to rounding.

None 1% to 19% 20% to 39% 40% to 49% 50% to 59% 60% to 69% 70% to 79% 80% to 89% 90% to 100% 14% 54% 14% 5% 4% 1% 2% 3% 2% 0 10 20 30 40 50
31 SUMMARY STATE OF THE INDUSTRY RESEARCH

Is the Contingent Workforce Growing?

Finding: Organizations are twice as likely to say spending on contingent workers will increase rather than decrease over the next two years

Asked to look two years into the future, 36% say that spending on contingent workers will increase, whereas just 17% say it will decrease.

There may be various reasons for these predictions. Those who feel spending will increase may be

foreseeing more skills and/or full-time talent shortages. Others may be thinking more about economic slowdowns and how they will spend more on contingent work due to hiring freezes or even downsizings.

Why Do Companies Use Contingent Work Arrangements?

Finding: Companies most commonly use contingent workers to staff shortterm projects

32 SUMMARY STATE OF THE INDUSTRY RESEARCH

Survey

percent cite agility and of the primary reasons for using contingent workers

We asked respondents to indicate the primary reasons their organization uses contingent work arrangements. They most commonly say it is because they need to staff short-term projects (65%), the only response chosen by over half of the respondents. One reason for this is probably the trend from individualized work toward project-

oriented and team-based work. For example, many companies today structure their internal full-time teams according to specific projects. This has often led to a better-defined, more results-oriented workflow. It is especially the case when developing or evolving product and service lines due to flatter hierarchies.

0 10 20 30 40 50 60 65% 45% 34% 29% 25% 22% 17% 15% 14% 12% 10% Staff short-term project(s) Increase business agility and flexibility Boost skill levels where needed Increase speed of talent acquisition Vet possible full-time employees Reduce costs Get fresh perspectives Reengineer/restructure operations Mitigate employment-related risk Reduce legal liabilities Other
Question: What are the primary reasons your organization uses contingent workers? (select all that
apply)?
33 SUMMARY STATE OF THE INDUSTRY RESEARCH

This less directive approach can lead to a more creative end product as well higher engagement and productivity. But project-based work is just one of various reasons participants cite for using contingent workers. The other most widely mentioned reasons are:

● increase business agility and flexibility (45%)

● boost skill levels (34%)

● increase speed of talent acquisition (29%)

● vet possible employees (25%)

● reduce costs (22%)

How Do Contingent Worker Costs Compare To Full-time Employee Costs?

Finding: Many think full-time workers are more expensive than contingent hires

Historically, contingent workers were often viewed as a cost-effective alternative to traditional, fulltimers because companies do not need to pay benefits. However, in the previous question, only 22% say the need to reduce costs is one of the primary reasons for using contingent arrangement.

We also asked the question more directly, asking whether full-time or contingent workers are more expensive. We found that 46% indicate that fulltime workers tend to be more expensive while somewhat fewer (37%) say contingent workers tend to be more expensive.

This difference is not as stark as we expected, and we think this may be related to the type of contingent worker used as well as the length of the arrangement and scope of services.

What Types of Contingent Workers Are Most Often Used?

Finding: Independent contractors are the most common type of contingent worker that companies acquire Contractors and consultants

The most widely utilized types of contingent workers are independent contractors (cited by 55%) and consultants (cited by 41%). The distinctions among categories are difficult to make and, in practice, the boundaries can be blurry. Consultants typically have many years of experience and broad expertise in an industry, often work as problem solvers and provide expert advice to evolve an organization’s business with best practices and recommendations.

34 SUMMARY STATE OF THE INDUSTRY RESEARCH

Independent contractors tend to be hired to handle a specific job or project-focused task. They typically usually have their own trade, business or profession and often focus on tasks that are temporary, although the length of the term often varies.

As we noted earlier in the report, the most widely cited reason for employing the skills of a contingent worker is staffing short-term projects. Therefore, it makes sense that we see correlations between independent contractors and the need to staff shortterm projects.

Temp agencies and staffing firms

Temp agencies and staffing firms also play a key role in many organizations. Nearly a third say they use temporary workers from temp agencies, and a little over a quarter say they use contingent workers from staffing firms. What defines a temporary firm/ agency from a staffing firm/agency is sometimes

unclear because it is possible for each group to offer services that compete, depending on their scope of work for a client.

That said, temp agencies are typically structured to provide labor for short-term projects, often for entry-level positions.

Read the Research Report To learn more, we invite you to download and read the research report today: 35 SUMMARY STATE OF THE INDUSTRY RESEARCH

How Leave Technology Can Optimize HR’s Operational Efficiency

While some departments within an organization are seen as drivers of growth, HR is unfortunately not one of them. As a cost center, HR headcount is added cautiously at best, and can sometimes even be the first to go in layoffs.

To make more strategic use of their teams, some organizations look to outsource their FMLA management. However, accommodation management and the ADA interactive process can not be outsourced, so this approach can introduce complexity with tracking, reporting, and compliance.

By insourcing leave and accommodation management with the right technology, you can streamline and centralize your processes, save time, and make compliance much easier.

The right software will give your HR department the tools to make the most of the team they have — while improving the leave and accommodation experience for everyone involved.

A Centralized System Reduces Silos and Improves Case Coverage

Teams that are manually managing leave and accommodations often rely on an ad hoc system of spreadsheets, personal calendar reminders, emails, or even manila folders and post-it notes. If a case is being managed by someone who happens to be out sick, on PTO, or even on leave themselves, it can be difficult or even impossible for another team member to step in for them.

Let us say someone has a question, needs to submit a form, or wants to ask about returning to work. If leave is handled manually, the simplest thing is often just to wait for the case manager to be available. Sometimes, an earnest colleague can find the answer or a form and respond after some time.

If your leave management is outsourced, this wait time can also become an issue if the outsourced provider is unavailable for any reason. Worse, no one internally would have access to the outsourced system and be able to help out in the meantime.

36
ARTICLE
STATE OF THE INDUSTRY RESEARCH

It is easy to see how this creates a less-thanideal employee experience. Decentralized leave and accommodation management also creates silos inside of HR, or between HR and outsourced providers. These silos can lead to waiting times, incorrectly tracked leave, missed deadlines, and in the worst cases, non-compliance with federal or state regulations.

With a cloud-based, centralized leave management system, you get a common location for everyone on your team to manage leave and accommodations. A dashboard with everyone’s upcoming, currently due, and overdue tasks is visible as soon as you log in. If someone is out for any reason, another team member can step in and quickly handle urgent tasks for any open case.

Automation Helps Lean Teams Do More with Less

While there are numerous types of leaves of absence, much of the overall process for managing leave is — and should be — the same for everyone. From the details that need to be captured for every leave to standardized forms and reminders, many points of the process can benefit from automation.

The same goes for accommodation requests. The ADA interactive process for accommodations is notoriously vague in terms of legal requirements, making it difficult to track and ensure each request was handled in a timely, equitable way.

With automation, you can not only create and

37 ARTICLE STATE OF THE INDUSTRY RESEARCH

streamline standardized processes for everything, but also save 66% or more time on each case. By spending far less time on administrative tasks, leave management teams can more efficiently manage incoming leave and accommodations requests, while also having the time to deliver a topnotch employee experience.

Staying compliant with FMLA, ADA, and other regulations can also take up a lot of time — and if not done properly, open you up to the risk of a costly lawsuit. The good news is that many compliance-related tasks are easily automated with leave technology.

From standardized case checklists to form tracking, leave software enables your team to create and follow compliance policies easily, for

every case. Even better, some leave technology providers will automatically update as state and federal laws change, to make sure your process is fully compliant.

No Matter What Your Team Size, Employee Experience Remains a Top Priority

Businesses everywhere are making employee experience a top business priority, especially when they need to recruit and retain in-demand talent. Many factors contribute to making each employee’s work experience a good one overall. A robust leave policy, self-service options, and a supportive, streamlined leave and accommodations process all play an important part in making your company a great place to work.

It is practically impossible for a lean HR team

38 ARTICLE STATE OF THE INDUSTRY RESEARCH

to deliver these key pieces of a great employee experience without leave technology. A fullyfeatured leave and accommodations management solution can:

● Provide employees with a self-service portal to make leave and accommodations requests from a workstation, laptop, tablet, or even their phone.

● Enable leave managers to pre-generate and send informative, helpful emails and reminders throughout the leave and accommodations process, so employees know exactly what to expect—and what is expected of them.

● Give leave managers much more time to spend supporting employees during difficult, stressful, and confusing times.

● Allow HR to provide a more interactive

process for accommodations, with more time for conversation, research, and exploration.

● Ensure employees get a timely, accurate response to any inquiries or questions they have.

The more processes you can streamline and automate with technology, the better the experience will be for the employees—and for HR teams as well. It costs 200% more to recruit a new employee than it is to retain an existing one. In uncertain economic times, it truly pays to equip HR with the tools they need to boost operational efficiency, improve compliance, and retain your company’s workforce.

Seth Turner is the Chief Strategy Officer at AbsenceSoft. Seth has over 20 years of experience working with clients to solve their HR and leave management struggles. Seth discovered early on that leveraging technology can revolutionize how HR approaches leave and set out to build an automated, scalable, and robust solution to make our customers’ lives easier.

40 ARTICLE STATE OF THE INDUSTRY RESEARCH
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The Time to Build a Skills-based Elastic Workforce Is Now

It’s incredible to see how far contingent work has come and how it continues to evolve. The gig economy is booming today, and the peak has yet to arrive. According to a 2022 McKinsey survey, 36 percent of employed U.S. respondents identify as independent workers, a number that has grown by almost 10 percent since 2016.

As contingent workers have become more integral to workforces, they have become savvier, too. They decide what organizations they want to work for, the projects they want to work on, and they set their schedules and rates. As a result, they’ve learned how to direct their careers and harness their potential to find new and better opportunities.

Yet many organizations still struggle to find these people and build a stronger contingent workforce. Too often, a chasm exists between critical business needs and this widely untapped workforce’s potential. As a result, the need to connect organizations and contingent workers has never been greater.

As a product leader at an organization with the mission to find the right career for everyone in the

world — and put the right talent intelligence and technology into business leaders’ hands — we know there is a better way to find, hire, and even rehire elastic talent.

Scale with a True Elastic Talent Strategy

Today’s economic environment dictates that we look for ways to do more with less. Contingent workers are one of the most effective and efficient ways to strengthen any workforce.

As flexibility and skills become increasingly important in our ever-changing world, more organizations must ask:

● How do we break down silos to connect contingent hiring to broader hiring strategies?

● How do we improve the quality of hires while mitigating high costs?

● How do we speed up time to hire?

First, let’s look at the traditional contingent hiring process. Partnerships with specialty suppliers have contributed to rising costs, slowed hiring processes, and often mismatches between worker and gig.

41
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STATE OF THE INDUSTRY RESEARCH

Integrating the needs of HR, procurement, and hiring managers calls for a reimagined approach that considers skills-gap analysis, cost to hire, and time to hire. A comprehensive talent strategy incorporating contingent workers helps organizations build a balanced workforce that costeffectively meets immediate skill needs.  Here’s where to start:

● Build bridges between procurement and HR. There’s a clear opportunity for procurement and HR to strengthen their partnership so the organization can comprehensively view the entire talent pool. Reaching shared business goals requires both teams to lower costs and hiring times while finding suitable candidates for the gig, which increases hiring manager satisfaction.

● Embrace direct sourcing. Outsourcing contingent hiring can result in inconsistent quality, high markups, and slow processes. In fact, going through agencies can cost about 20 percent or more of the contingent worker’s salary, with less insight into a candidate’s potential and capabilities.

● Get a 360-degree view of your contingent workforce. By connecting contingent hiring to your organization’s big-picture talent acquisition strategies, talent leaders won’t lose sight of great candidates once they’ve completed a project. Keeping them in the loop makes engaging great talent in new projects faster and easier.

One of our customers, Dolby, is harnessing the power of their contingent workforce by bringing it in-house. By relying less on agencies, they have expanded visibility into the capabilities of contingent talent so they can better match candidates to the right gigs. Ultimately, this strategy transforms their contingent workforce from filling a short-term need to becoming a competitive advantage.

“Now we use AI, automation, and candidate relationship management to build talent pools we can leverage again,” said Alan Kumar, Elastic Talent Program Manager at Dolby. “It’s a fundamental shift from the traditional.”

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Building a Contingent Workforce Is Easier Than Ever with AI

With several stakeholders involved across the organization, it’s never been more essential to break down barriers in contingent hiring. Talent and procurement leaders need the insights and support they can only get from deep-learning AI to help streamline this process and support their elastic talent strategies.

Eightfold Talent Flex offers instant access to the entire talent pool of contingent workers — including previous employees, candidates who just missed getting an offer, and past contingent workers — helping talent and procurement leaders find highquality hires faster. AI also makes finding great people with diverse skill sets easier and enables organizations to redeploy people once projects end.

We do this by tapping into the Eightfold Talent Intelligence Platform, which deeply understands people’s current skills while also identifying their

future capabilities. This intelligence extends to the contingent hiring process by incorporating visibility into past projects so talent leaders can feel confident recommending the best person for the gig.

Finally, organizations will have more power and flexibility to scale up and down as needed, close skills gaps, and lower costs and time to hire across the board, all while minimizing dependencies on outside staffing firms.

At Eightfold, we believe in the power of AI to transform talent into a competitive advantage — and integrating elastic talent into your overall workforce strategies will be essential to staying ahead. Our latest updates with Eightfold Talent Flex support organizations and serve talent and business leaders as they navigate what’s next.

This article first appeared here

Sachit Kamat is the Chief Product Officer of Eightfold AI. Sachit has spent his product career at mission-driven companies like Uber and LinkedIn that transformed industries and the lives of consumers across the world. He has a successful track record of leading teams that have created high-scale consumer and enterprise products in addition to having been a founder of a venture-backed startup.

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Finding the Right Talent Can Be Challenging: G-P Recruit Simplifies Your Global Hiring Needs

Today, growing companies are facing increasing pressure in a highly constrained labor market to find talent. At the same time, finding the right recruiting partners is complex and time consuming. G-P Recruit enables a proactive recruitment approach supported by recruitment experts with deep networks to find and hire the BEST talent, not just those that are actively applying for new opportunities.

We understand international hiring and employment and G-P Recruit provides a comprehensive solution that helps remove complexity. Benefits include:

● Candidate-led recruitment: High level of candidate care through dedicated recruitment specialists that are focused on attracting the best candidates for new opportunities.

● Expanded candidate pool: Expand the candidate pool by targeting remote workers. Work with G-P to find the best talent regardless of location, knowing that G-P can compliantly employ them.

● Technology enabled: Working with G-P Recruit means one contract, a simple fee structure, and a partner that is working in the best interests of the Customer, rather than needing to find, negotiate and manage multiple unknown recruitment partners. G-P Recruit supports a unified customer

experience incorporated through our industryleading global employment platform, enabling you to manage the complete HR process of talent identification, hiring, onboarding, management, and offboarding.

How it Works

G-P Recruit enables companies to quickly identify and hire new team members in key locations globally. Upon signing, companies immediately have access to our unrivaled network of recruitment partners, which are carefully vetted by our specialist partner management team – this ensures that our recruiters have deep expertise and networks in their focus areas. They are fully integrated into our platform and processes, ensuring the ideal talent is found based on each company’s unique requirements, including industry, location, functional area or specialization, level of the role, and more.

Based on your unique combination of hiring criteria, our technology will automatically match you with recommended recruiters to find you the perfect fit – drastically increasing the efficiency of your hiring process.

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The platform provides key insights which enable you to view and stay up to date on all essential global recruiting data all in one place — instead of dealing with multiple companies, points of contact, and dashboards.

How G-P Recruit Can Help Your Company

You can leverage remote working to attract the best talent: Many candidates are looking for remote work opportunities and are attracted to companies that provide support for remote work.

Reduce concentration risk: Hire employees across multiple countries to better balance political, economic, and other risks rather than having all employees in a small number of geographic locations. You can also reduce the impact of wage inflation in key cities and countries

Simplify international recruitment: Get a unified customer experience with our global employment platform, regardless of where in the world you are recruiting… from Sydney to San Diego.

Learn More Here!

More about Globalization Partners:

● G-P API Makes it Possible to Maintain a Single Source of Truth for Global Teams

● G-P Contractor Offers Companies Flexibility in Hiring and Paying Talent Globally

This article first appeared here

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46 ARTICLE STATE OF THE INDUSTRY RESEARCH
The State of Contingent Work 2023 Talent Acquisition Excellence • February 2023 For more information: 1.877.472.6648 sales@hr.com www.HR.com/epubs The HR Research Institute tracks human resources trends and best practices. Learn more at hr.com/featuredresearch Special Research Supplement

Understanding Your Contingent Workforce: Importance And Explanation

How businesses can best leverage this employment model

as many as 870 million women worldwide will join the contingent economy through self-employed work.

With a contingent workforce, companies can access a wide range of talent on a short-term basis, allowing them to quickly respond to changing market conditions. Unsurprisingly, this type of workforce is increasingly popular with businesses as they look for greater flexibility and cost savings while navigating the ever-concerning cost of living crisis, soaring inflation, and impending recession.

However, using contingent labor presents challenges and opportunities for organizations. So, in this article, we will explore what a contingent workforce is, why it matters, and how businesses can best leverage this employment model.

There is a lot to sink our teeth into, so let us jump in!

The rise of the contingent workforce is changing the way businesses operate. Period.

Intuit reports that the contingent workforce will bring a startling number of developments to the labor landscape in the next few years. It is predicted that

What’s a Contingent Workforce?

In short, a contingent workforce is a phrase used to describe a group of employees who work for a company on a non-permanent basis. As a result, this arrangement is often used when an enterprise needs to execute a project on a short-term basis.

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Unlike traditional full-time or part-time employees, contingent workers are not guaranteed an exact number of work hours or days. Instead, they are hired to undertake a specific task(s).

Examples of contingent workers include freelancers, independent contractors, and temporary employees. These workers, according to reports, now represent 50% of the average company’s workforce.

As hinted at in the intro, contingent workers provide organizations with a great deal of flexibility. Not least because they do not have to worry about the long-term cost of hiring full-time or part-time employees. They also have the plasticity to take on more or fewer projects as needed. Needless to say, this makes scaling their workforce up and down easier, allowing them to better adapt and remain competitive in a volatile market.

How the Workforce Has Shifted Over the Past Decade

There are several reasons why we are seeing a surge in contingent workers, including:

Technological changes

As technology advances, the need for workers to manually execute jobs decreases. As such, we have seen a decline in manual labor like fabricators, machinery operators, and mining technicians and a rise in demand for knowledge-based jobs that require people to think analytically and problem-solve.

For example, in 2022, LinkedIn reported that marketing managers, machine learning engineers, and business system administrators were the most in-demand jobs of the year.

This surge in jobs, where workers do not need to be physically present to perform their tasks has encouraged the growth of remote and contingent workers. Typically the kinds of jobs mentioned above just require workers to have internet access for them to be able to excel. Of course, many such jobs are assisted by AI and the cloud. But, the point we are making is that thanks to technological

advances, contingent workers can sufficiently work for organizations without them having to leave the comfort of their homes.

Skill gaps

As the job market has shifted, educational requirements for jobs have increased. For instance, in 2020, it was predicted that 30% of all job openings would require some form of college or associate’s degree. As a result, many jobs that did not traditionally require a college degree now demand a higher level of education. For example, jobs in STEM, healthcare support, and community service often require some form of post-secondary education.

This shift has impacted entry into many careers. This, combined with the ever-changing technological climate, has fuelled a significant skill gap. In fact, McKinsey notes that 87% of companies expect to experience skill gaps in the coming years - and to compensate for this, many are engaging a contingent workforce.

The gig economy

The rise of the gig economy has allowed more people to work from home on a self-employed basis. Statistics show that in just the last five years, the gig economy has almost doubled in worth, from $204 billion in 2018 to a whopping $401 billion in 2022. In fact, it is estimated that by 2027, freelance workers will make up more than 50% of the U.S. workforce. Elsewhere, in the EU, this figure is a bit more complicated.

The number of self-employed workers has decreased overall in the last ten years. However, in a survey, 9% of workers wanted to be self-employed. So, watch this space; the will is there, so we reckon this figure will increase in the near future.

As you have probably already guessed, the gig economy fuels the contingent workforce by engaging workers who are highly educated. Often, these workers might have previously been in traditional employer-employee relationships. However, now they want the independence and freedom that gig work offers.

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How Do Companies Benefit from a Contingent Workforce?

There are several benefits to hiring a contingent workforce, most notably:

● Agility: With a contingent workforce, companies are better positioned to quickly adjust to changing market conditions. Namely because with a pool of contingent workers at your disposal, you can pad out your workforce at the drop of a hat, benefiting from their specialized skills and experience to plug your skills gaps.

● Cost-effectiveness: With a contingent workforce, companies can easily hire additional staff without worrying about payroll taxes, benefits, and other fees associated with permanent employees.

● Diversification: This is especially true if you are looking to employ a remote contingent workforce because, with remote workers, location is not a barrier to your recruitment drives! Unsurprisingly, a more diverse pool of contingent workers often brings fresh perspectives to the table. In fact, McKinsey

reports that ethnically and culturally diverse organizations outperform other companies without the same level of diversity in (terms of profitability) by 36%.

How to Manage a Contingent Workforce

While there are many benefits to a contingent workforce, there are also several factors to keep in mind to ensure you make the most out of this working arrangement:

● Culture gap: 60% of contingent workers say they receive the same respect as their counterparts. As such, the differences between regular and contingent workers’ workplace experiences are narrowing. However, there is still work to be done. For example, 47% of contingent workers say they do not get constructive feedback on their assignments, and 60% hardly ever receive exit surveys. One thing to remember about your contingent workforce is that although their contracts are temporary, their job satisfaction will determine their likelihood of wanting to work with you again.

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Understanding Your Contingent Workforce: Importance And Explanation

That’s why it is wise for businesses to check in with their contingent workforce. This should include establishing a system for monitoring their performance and collecting feedback.

● Expectations and mobility: Contingent workers with highly developed skill sets are in a position of power. As a result, they can pick and choose which roles they take. This stat speaks for itself: 45% of contingent workers report terminating an assignment because they were dissatisfied with their client. Of these workers, 49% say the position/project differed from the one described in job ads/interviews.

The key takeaway for businesses? With contingent workers’ increasing mobility and choice, companies need to consider their retention plan. This includes setting realistic expectations for the role and being consistent with those promises from the get-go.

● Technological hurdles: Suffice it to say if your workers are not given the tools to succeed, you will not get the results you want. While there is an expectation that contingent workers come as a complete package (including access to the necessary technology to complete tasks), that is not to say businesses should not facilitate access where they can. Companies might also consider providing training as part of their contingent workforce’s onboarding. This might help ease them into the technical aspects of the role.

● Compliance: Complying with tax, payment laws, and worker statuses is essential for avoiding legal ramifications. This includes double-checking that contingent workers are correctly classified as independent contractors, not employees. This is important for ensuring that all applicable taxes are withheld from the worker’s pay.

When businesses heed the above advice, they are better positioned to manage a happy and productive contingent workforce. However, with so much to consider, hiring contingent workers might still feel a bit daunting…

This article first appeared here

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Lee Willoughby is the Co-Founder & Owner of BUBTY
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Understanding Your Contingent Workforce: Importance And Explanation

How AI And Automation Are Evolving Talent Acquisition Roles

Technology

Theneedle is moving

talent acquisition as teams are operating leaner while simultaneously expected to do more than ever. While many of the changes in TA right now are being attributed to economic uncertainty, these changes are a bit different from three years ago, as teams scrambled to stay afloat in the early days of the pandemic. Rather, companies are looking for increased ways to keep every area of their business as lean and productive as possible – talent acquisition is no exception.

Particularly for recruiters, there is tremendous opportunity right now to maximize efficiency while enhancing productivity. As noted, their roles are shifting, and not simply because of a drive for efficiency or economic uncertainty. Rather, candidate expectations have permanently changed. Today, recruiters are expected to do fewer of those “traditional” tasks that tend to be manual or administrative. Rather, the focus is on high-impact work, like “selling” roles to job seekers, answering questions and alleviating concerns, focusing on closing candidates quickly, and more.

Technology plays a critical role as recruiters and companies look for ways to thrive in today’s economy. We do not know how the current economic situation will play out. But, we do know that companies wanting

to thrive on the other side of it need to acknowledge evolving roles and invest in ways to keep their TA teams at their most productive.

Why AI and Automation Have Reached such an Impactful Point for TA Right Now Improved technology

Of course, the most obvious reason that AI and automation are having such a powerful impact on talent acquisition teams is that technology has simply advanced and become more sophisticated. Platforms like ChatGPT and Google-backed Anthropic have suddenly taken over many HR headlines, and showcase there is so much potential for TA teams to leverage these powerful technologies.

Aside from the headline-grabbing technology, real-world talent acquisition tools like job matching and recruiting chatbots are currently being used by top organizations across the globe to deliver better candidate and recruiter experiences at scale.

Economic uncertainty

But while incredible advances in technology receive much of the attention (and rightfully so - it has progressed tremendously in the past several years), the economy also plays a large role in opening doors for AI and automation within talent acquisition.

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for
plays a critical role as recruiters and companies look for ways to thrive in today’s economy

TA teams are more open to leveraging AI and automation technologies due to increasing economic uncertainty. Many talent acquisition teams have been reduced to the bare minimum, which means your TA team members are tasked with doing more work than ever.

Although many organizations are subsequently making fewer new hires, the demand for stellar talent experiences is consistent whether your business is hiring for 10 roles or 1,000 roles. And your TA team must be able to deliver consistent experiences regardless of resources or openings.

This means that in addition to operating leaner than in the past few years, your TA team also needs to run at its most efficient. Efficiency and productivity have seemingly never been more important for talent acquisition teams. And to empower their TA teams with what they need to achieve those goals,

organizations are equipping them with the right technology to augment human interaction rather than replace it.

Changing talent expectations

The past three years have brought a seismic shift in talent expectations from employers and prospective employers. Talent is increasingly looking to recruiters as career counselors and advocates, rather than stepping stones to a particular job.

What does that look like, exactly? Candidates are looking for recruiters not to help them find a job, but to find the right job within your organization. There are benefits to this for both talent and organizations. For talent, of course, they build stronger relationships with your organization from the first touchpoint, which makes them more likely to accept your job offer, be a productive employee, and even refer more talent to your organization.

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How AI And Automation Are Evolving Talent Acquisition Roles

For organizations, you are less likely to lose out on silver medalists, the talent who is not a fit for the job they applied to, but would be great in another role. You are getting in front of the “you’re great but not the best fit for this role” instead of finding the right fit from Day 1. And with talent today applying to 12 jobs at a time, on average, the TA teams that can rise to meet this new expectation from talent are the ones most likely to land their most desirable candidates.

How Are AI and Automation Contributing to the Evolution of TA Roles Today?

Back when Sense first launched our B2B platform in 2017, the introduction of automation and AI into the recruiting processes for our early customers was transformative. Automating recruiter communications made nearly instantaneous, dramatic improvements to core metrics like time to hire, cost per hire, NPS, and more.

As I have touched upon, we have come so far in the years since our launch. AI and automation are truly at the forefront, and their impact on talent acquisition is being felt at seismic levels today. The core benefits of AI and automation in those earliest days are still critical fundamentals – database integrity/cleanup, database reactivation, candidate engagement through automated touchpoints, reduced candidate dropoff through automated reminders, and more.

But with today’s AI and automation, talent technology companies are layering on more sophisticated and powerful capabilities that deliver on the talent expectations outlined above, and the increased demands on TA teams. These applications of AI and automation are particularly impactful right now in the evolution of TA:

Chatbot

Chatbots have seen some of the most significant progress in recent years. It is important to note; however, that not all chatbots are created equally. Most of us have had frustrating interactions with customer service and other chatbots.

But today’s most sophisticated recruiting chatbots create natural, seamless experiences for talent and allow your recruiters to be “available” 24/7. This is particularly important in high-demand industries like healthcare, transportation, and manufacturing, where talent isn’t necessarily applying or available between 9 and 5.

Chatbots do so much more than answer questions today. When leveraging the most powerful technology, they can answer questions, help candidates find the best jobs, prescreen, provide insight into company mission and culture FAQs, and even schedule time on your recruiters’ calendars. The combined impact on candidate experience and recruiter productivity is truly transformational. And with our research showing that one in three TA leaders feel their organizations aren’t communicating successfully with talent, leveraging chatbots can lead to dramatic improvements.

Job matching

I mentioned the desire for recruiters to serve more like career counselors, helping candidates find the right jobs within your organization. Powerful AI today is helping your TA team to serve as those career counselors, effectively matching job preferences and professional backgrounds to specific roles within your organization. This technology can be deployed after a candidate applies, suggesting additional roles that may be a fit (which can be combined with automation to send a confirmation email along with those recommendations), it can also be deployed with chatbot to ask questions and match to specific jobs during a “conversation.” We’re just scratching the surface of how this powerful technology can be applied, but it’s transforming candidate experiences and TA roles in exciting ways.

Talent engagement platforms

To date, many talent acquisition technology solutions have been one-off point solutions. They work independently of one another and do an okay job on their own; however, they can be a source of frustration for your team, requiring multiple logins, user experiences, and customer support requests. Their costs can also add up.

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How AI And Automation Are Evolving Talent Acquisition Roles

Today’s most efficient and productive talent acquisition teams are moving away from duct tape, and point solutions and are embracing robust talent engagement platforms that include chatbots, job matching, and other solutions. Rather than working independently of one another, they work together, with robust functionality and analytics, oftentimes integrating with your ATS. The result is more robust impacts on your core metrics, along with extremely detailed and sophisticated analytics that help you make more informed decisions and seamless candidate experiences. Less time remembering logins, which tool does what, and dealing with multiple customer support teams.

What’s Next?

We are in a game-changing time for talent acquisition teams. Recruiters now have powerful AI assistants at their fingertips, giving them superpowers: The ability to have conversations with hundreds of job seekers at a time, versus a handful (at best), doubled (or better) job seeker selection speed, and so much more. At the same time, your recruiters have also become (or soon will become) AI operators. With no-code recruiting technologies like what I mentioned above, end users (that’s recruiters) can build and launch their own personal AI assistants to be more efficient, engage and find better talent, and more. The power is in the user.

But, it’s essential for organizations to invest in these game-changing technologies now. Whether you’re hiring for 100 roles or 10,000 roles, meeting talent needs now is essential. Adding more talent to your pipeline, and nurturing that talent, remains critical. Giving your recruiting team the technology they need to be most successful is essential to maximizing your resources in the evolving arena of talent acquisition.

Anil Dharni is the Co-founder and CEO of Sense, the leading AI-powered talent engagement and communication platform. Before founding Sense, Anil was co-founder and COO at Funzio, which was acquired by GREE in 2012 for $210M. Prior to Funzio, Anil led product and design at the third-largest Social Networking company, hi5. He is an international speaker and thought leader known for developing the best candidate engagement tools in recruiting.

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Contingent Workforce Program Governance

What you need to make a CW program a success

Programgovernance seems like one of the most foundational and simplistic components of any program at any company. You have a group of vested stakeholders, communicate updates, and get feedback in a predictable cadence. You take that feedback back to the program, make updates, rinse, wash, repeat.

However, despite program governance being one of the most foundational components of any contingent workforce (CW) program, it still tends to be lackluster or even missing completely from most organizations.

Why Do We Need CW Program Governance?

In my last article on CW participation in company leadership and decision making, I referenced that CW governance is a great way to be able to get in front of company leadership even if you are not included in strategic decision-making that impacts CW programs. Regardless of your program size, having a governance structure in place is crucial for the following reasons:

● Program visibility - Let key stakeholders know what is going on in your program. On the opposite side, it is also an opportunity to know what is happening with your stakeholders’ parts of the business and that you are in alignment with company goals and objectives

● Change management - Leveraging your governance model enables change

management through awareness, open communication, and program partnerships

● Partnerships - By establishing connections within the organization and understanding who you are working with, trust is established and program partners become advocates and program champions

● Program gaps/improvements and feedback

- Obtaining feedback and finding out what is working well, and more importantly, what needs to improve, is a great impact that program governance and active participation from the members can bring to your CW program

Who Should Be Included?

We all know that the work CW programs touch spans across so many verticals of business. There are also key parts of the organization that have influence over the program along with participation in the CW lifecycle. So having a proper forum with the right people involved in governance really accelerates the above reasons why governance is needed. The following groups should be included:

● Procurement/finance

● HR

● Legal

● IT

● High-volume business groups and influential groups in your organization and CW processes

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Think about who is your program’s biggest critic; who has the best success with the program? Being able to get a diverse point of view from the business will help give you a well-rounded perspective. Some of the best perspectives I have received were from people who did not see value in the program. We know they do not get it, so what is it they need to see the value? They likely have a barrier or issue because things are different than what they want. Through inclusion, respect, hearing them and taking action/educating them, you can win them over and the rest will be much easier.

The amount of people to include is a tough decision. You want to have a fair mix of people/groups involved, but not too many that it is too noisy for productivity. A couple of options exist:

1. Have a committee made up of only partners that work on and/or touch processes impacted by the CW program.

2. Have a committee of partners and high-volume business groups

To take it one step further, you can also have 2 levels of governance:

1. Executive level - C-suite / VP / Director level - Leverage for key decisions and critical program updates

2. Operating level - Director / Senior manager level - Leverage for processing decisions and actionable outcomes

One additional piece - who is the ultimate sponsor for your program? Who can make the tie-breaking decision or is the highest level of decision-making (within reason) for your organization? Getting them onboard with the program not only serves for this piece, but ALSO having that buy-in from the highest level does wonders for your program. This may take a while to have a person like this as part of the governance team, but little by little, you can work to have them involved.

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Contingent Workforce Program Governance

What Kind of Forum and Communication Works Best? How Frequently?

This is definitely another, “it depends,” kind of answer. How do meetings, communications, and decision-making happen with your company? One thing that has helped me work through the, “it depends,” piece is understanding what I need from my governance group. Throughout the year there are a variety of items that the governance team should be a part of - but is it worth it for them to be involved? In the eyes of the CW program owner, “Yes! This is the CW program and is the most important thing that can be put in front of you!” So in order to balance it out, it is great to break it down into manageable chunks. Consider this as a very simple example:

Quarterly - Executive level steering committee: update for program progress and key decisions

Monthly - Operation level action committee: monitor progress and updates, planning for actions based on decisions

Monthly - Newsletter to all members of inflight items, FYIs, and high-level updates for awareness

Again, this is a very simple approach and depending on your company, this should change and be customized to meet your needs.

Consistency

Like most things in life and business, consistency is key. Starting down a path of program governance is another foundation for a successful program. But sticking with it, continuing to build momentum, and learning from mistakes along the way will bring about the best results. Communications, partnerships, and visibility will lead to trust in the program, which is one of the hardest things to earn and the quickest to lose. Build that trust through a well-governed program.

This article first appeared here

Michael Pelletier is a Contingent Workforce Management expert with 16 years of industry experience. He worked both on the client side with Meta, Zillow, and SAP and on the consulting side with Accenture, Kelly, and Allegis. His focus is helping companies strategize and build leading Contingent Workforce programs that work for them.

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Contingent Workforce Program Governance

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Top Trends That Will Dominate The Workplace In 2023

Attracting, hiring, and retaining top talent

Despite flashy headlines about tech sector layoffs and recession fears, the labor market is still tight, and hiring quality talent will remain a challenge for the foreseeable future.

According to Employ Inc.’s latest Quarterly Insights Report, most recruiters (61%) believe it will be difficult to hire new employees in the new year, and the Bureau of Labor Market Statistics projects that the U.S. labor shortfall will continue through 2030. As a result, recruiters and hiring managers must do everything possible to meet hiring needs in 2023 by staying on top of the biggest workplace trends.

Diversity, Equity, and Inclusion Initiatives

Although DEI initiatives have been around for decades, in too many instances, these programs merely checked a box. That does not cut it anymore – for workers or recruiters. According to Employ data, 38% of workers said they would turn down a job offer if the company lacked diversity in its workforce or had no clear goals for improving diversity in hiring.

Recruiters understand this, which is why 33% plan to increase investments in DEI programs in 2023. One way is creating a diversity-focused candidate experience, starting with the career site. With a recruitment marketing platform, organizations can publish sub-pages and microsites on the main career page. These microsites can showcase the organization’s commitment to a diverse workforce.

Another way is ensuring recruiters remove discriminatory language from job descriptions, which research shows can often contain unintentional gender bias.

Most importantly, DEI must be a priority from the top down. It does not stop with hiring and requires a cultural shift. HR teams should develop internal messaging around diversity and then build campaigns to educate employees until diversity is an inherent part of an organization’s culture.

Skills Training

According to the Employ Inc. 2022 Job Seeker Nation Report, 23% of workers have changed industries since the onset of the pandemic, with the leading causes being a desire for higher compensation and better work/life balance. And while nearly half of these workers are taking it upon themselves to learn new skills, as confirmed by Employ data, companies need to be more proactive regarding upskilling, regardless of the labor market forecast.

The number of high-skilled workers will continue to be limited, so organizations must execute talent strategies that address both reskilling and upskilling for new and current employees. Not only will these strategies mitigate the risks of skill shortages in an uncertain labor market, but it addresses the changing needs of employees as our economy continues to become more dependent on technology.

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Flexible Hiring Plans

According to Employ Inc. data, 77% of organizations have not reduced hiring plans leading into 2023 nor implemented hiring freezes in 2022. Regardless, more than half are worried that layoffs may hit their organization. The overall confusion in the job marketplace will inevitably make it difficult to hire now and in the future, irrespective of industry.

Companies can mitigate unseen risks by engaging in more flexible hiring practices, which can be an alternative to traditional full-time, permanent employment. In this strategy, an organization’s needs will determine the best route to take, and independent contractors, part-time employees, and temporary employees are all options to supplement your workforce.

This flexibility may save the company money in recruiting and onboarding while providing competitive compensation for employees. Further, having specific contracts or employment timelines can help eliminate employees’ fears of uncertainty. While this will not be the perfect option for every role, decision-makers should thoroughly consider the advantages of this hiring practice.

Technology Investments

With such a competitive hiring environment, it is no surprise that Employ Inc.’s Quarterly Insights Report found that talent teams feel pressured to fill open roles with quality talent. However, many recruiters lack the necessary technology to succeed. In fact, per Aptitude Research, half of the recruiters would join another organization if they had access to better technology.

Technology, like AI, can save recruiters time and get offers in front of qualified candidates as quickly as possible. For instance, one-third of a recruiter’s time is spent on sourcing. AI-powered tools can expand the talent pipeline by building top-tier candidate lists and conducting initial outreach. However, not all AI is created equally. These solutions must be unbiased and ethical to ensure they’re sourcing all qualified candidates.

Organizations should also centralize their recruiting stack to provide hiring teams with the necessary resources to compete in today’s tight labor market. Moving to a more centralized HR platform will help ensure teams can handle the complexity of hiring in today’s competitive marketplace and whatever uncertainties are in store for the future.

Final Thoughts

Workplace trends are just that: trends. However, it is a good bet that they will remain at the forefront of the labor market for the foreseeable future. Organizations implementing these key strategies can further differentiate and position themselves for future success in attracting, hiring, and retaining top talent.

Allie Kelly serves as Chief Marketing Officer of Employ Inc. As a customer-centric marketing leader with core strengths in transformational change and growth-stage leadership, Allie has spent the last 19 years driving scalable, sustainable growth for B2B and B2C companies.

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Trends That Will Dominate The Workplace In 2023
Talent Acquisition Excellence presented by HR.com FEBRUARY 2023 64 Submit Your Articles ePublication EditorialCalendar2023 Checkoutthenewandupcomingthemed HRtopicsinTalentAcquisitionExcellence Check ePublications Editorial Calendar Here. Would you like to submit an article? | Write to us at ePubEditors@hr.com Submission Guidelines 1 Sourcing & Candidate Engagement Jan 2023 2 The State of Contingent Work Feb 2023 3 Solving Labour Shortage Mar 2023 4 Recruitment Advertising Apr 2023 5 Pre-Hiring Tools May 2023 6 Interviewing, Screening and Social Profiling to Improve Quality of Hire Jun 2023

6 Strategies For Hiring The Right Talent At The Right Time

Hire the right people upfront — and cut the bad apples loose quickly

Employee

turnover is not only inconvenient, but also extremely expensive. According to a recent Gallup poll, replacing an existing employee can cost anywhere from 50% to 200% of that employee’s annual salary.

While losing an employee can damage a company’s bottom line, keeping a toxic employee onboard can wreak even greater havoc.

The solution: hire the right people upfront — and cut the bad apples loose quickly.

Here are six ways to attract, hire, and retain good employees.

6. Put Relationships First

Never rush into a new hire. Instead, put significant time into establishing relationships before, during, and after the recruitment and hiring process.

Relationships play a vital role long before a job opening happens. It takes great relationships and networking to identify and attract new talent. Referrals from coworkers (who are essentially brand ambassadors) and industry colleagues are invaluable.

According to Gallup, 71% of workers use referrals from a company’s current employees to learn about job opportunities. So, rather than pouring resources into job advertisements or impersonal, ineffective, and often unwelcome social media e-blasts (a.k.a. spam), focus on nurturing both internal and external relationships, which reliably generate good leads when the time is right.

Once you have identified a prospective hire, do not skip straight to the intensive interview stage. In other words, get to know the person, not just the candidate on paper. Start with casual meet-and-greets with a variety of team members, and keep the lines of communication open with timely check-ins. By making the effort to assess personality fit upfront, you can hone in on quality candidates long before you get into the nitty-gritty of what the job entails.

5. Invest in People (And a Killer Culture)

Put people first. When employees feel valued, they tend to stick around. Furthermore, a strong team of loyal employees tends to attract new hires looking for a positive, engaged workplace. A caring leader will know their employees’ struggles, proactively collaborate on solutions, and anticipate an employee’s departure long before they jump ship or are asked to leave.

Noelle Federico, Delta Hire
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Every human within a company needs to be heard, appreciated and supported. Much of that nurturing and positive feedback comes from leadership, but it also comes from the company’s culture.

Building a strong culture takes work. It requires the establishment and communication of clear, company values, cross-generational inclusion, and a strong, team-building environment. By creating feedback mechanisms, you can nip any issues that arise in the bud. To get actionable feedback, take the personality out of the situation at hand. Simply ask: What’s working? What is not working?

4. Make Onboarding and Growth Easy

After recruiting a new hire, ensure that your company’s onboarding and training procedures are tight, your new team members know what to expect, and the entire process is set up to be a positive experience.

According to a study for Glassdoor by Brandon Hall Group, companies with a strong onboarding process improve new hire retention by 82% and productivity

by more than 70%. New hires should feel welcome, informed, and familiar with the team and the company culture and values from the get-go. Remember it should be all about the person, not the paperwork.

Policies, procedures, and management protocols all need to be evaluated and refreshed regularly. Seamless systems are important but do not just set it and forget it. As an employee’s tenure with the company lengthens, it is vital to continuously nurture each employee’s growth and strengthen relationships.

By implementing skills and personality assessments and professional training, such as DISC, leaders learn how best to manage their employees. Notably, a small team management structure (15-20 employees) is much more effective when it comes to retaining employees than top-down management.

A department head responsible for hundreds of people simply does not have the bandwidth to check in regularly with their colleagues and build those valuable relationships that counter turnover.

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3. Accentuate the Positive

Attitude is everything. From the moment you bring a new hire on board, emphasize the importance of managing mindset. Leadership needs to set a positive tone and guide team members toward solutions-oriented thinking. By rising above negativity and approaching unexpected hiccups as opportunities, leaders create a comfortable and creative environment where new hires feel empowered to ask questions, seek career growth, and ultimately thrive.

2. Cut Your Losses, Quickly.

Toxic employees are costly on several levels. Often likened to hurricanes, they have the potential to inflict serious damage to culture, productivity, and the company’s bottom line — and the longer they are allowed to rage, the more harm they can do. According to a Rotterdam School of Management study, one toxic employee can cause a 30% to 40% drop in their team’s performance. Anecdotally, a toxic employee can undermine leadership, fuel discontent, create drama, stress coworkers, and essentially deteriorate the workplace.

It is not always easy to cut an employee loose. However, if you have done everything you can do to support that individual and they are still not producing

the results your company needs to be viable, let them go — no matter how much you like them as a human being. It is kinder to ease an employee, who is not a good fit, out of a position, than to keep them on board. As the adage about the bad apple goes, one toxic employee can negatively affect the entire staff. Conversely, great employees, who feel valued and mesh well with the company culture, can motivate others in a positive and productive way.

1. Stop Fronting

Companies that are the best at what they do organically draw talent — as long as they are also authentic and good to their employees. In addition to performing well, your company must be relevant. Put your company out there and contribute to your industry in a positive way. Maybe you pay it forward via a non-profit partner or deliver tips and tools via a social media platform.

Whatever you contribute to the greater good will come back tenfold in terms of forging relationships and reinforcing a stellar reputation. It is not all altruism, of course. Prospective hires vet their prospective employers online, and if your company is engaged with the world-at-large in a positive way, you are more likely to attract the talent that you seek.

As CEO of Delta Hire, Noelle Federico oversees the company’s recruitment and training services for its clients. Dedicated to helping companies find top talent to meet their business needs, Noelle is also an experienced business leader, entrepreneur and philanthropist in addition to her work at Delta Hire. She currently serves as the director of project management for Bryn Law Group and is the founder of two organizations:  youth literacy nonprofit A Generous Heart and consulting firm Fortunato Partners

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