Business intelligence for recruitment and resourcing professionals
April 2020
INCORPORATING Recruitment Matters
SHAKING UP TALENT
What are the top talent trends dominating 2020? DRIVING SUPPORT
www.recruiter.co.uk
Sonder Services gets more van drivers on the road
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g n i w o Gr n o i t i amb beyond s k o lo r te e e tr S y n Pen ment healthcare recruit
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when seeking the best Finding top talent means getting all aspects of the hiring process correct Bringing recruitment back in-house Recruiter reports from the In-House Recruitment Expo in London Disability friendly? Then shout about it Employers need to be more visible to disabled candidates Start-up of the Month: Douglas John Recruitment Lorraine Douglas has launched her rec-to-rec business with flexible working at the centre This was the month that was... Contracts & Deals
TRENDS
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18 THE BIG STORY A24 Group’s Penny Streeter The founder of the 24-7 healthcare recruiter is growing new greenfields 24 Fair warning on IR35 Industry views on the new Chancellor’s plans
INCORPORATING Recruitment Matters
E COMMUNITY 28 Community: Upstart
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Sonder drives support
33 Social Network 34 The Workplace: Guy Hayward
35 Workplace Innovation: Cara de Lange
36 Business Advice: Alex Arnot 38 My brilliant recruitment career: Hayley Packham, Procurement Heads 40 Movers & Shakers 41 Recruiter contacts 42 The Last Word: Alan Furley
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Report reveals the top talent trends set to dominate 2020 Tech & Tools Location, location: ringfencing candidates
INTERACTION Viewpoint Ruth Stanier, HMRC Soundbites
I M AG E S | I STO C K / A LA MY / PAL H AN SEN
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s anyone else delaying the booking of their holidays this year? It’s my dream to experience the unbeatable combination of pleasures offered by Costa Rica – generally warm and sunny weather with splashes of rain, unfathomable numbers of diverse animal, bird and reptile (I’ll stick with the turtles) species, sandy beaches, aquamarine waters, rainforests and both adventure and relaxation. I’ve even convinced my husband that he’d love Costa Rica as much as I expect to. But will we be able to make it happen in 2020? The pandemic of coronavirus raises the definite possibility that we won’t. So holidays away from one’s Hopefully we locale are in doubt, don’t have a new and global business under threat too as isolationism on is whole countries the global stage. close their schools for now, flights to But get your virtual meeting certain parts of the world are sliced from rooms ready schedules, the stock markets are down, and the workplace debate about WFM (the latest acronym, meaning ‘working from home’) hots up. The sheer abundance of nature’s anger right now – Australian forest fires, UK storms and floods, and the spread of coronavirus – suggests that we’re on the brink of having to think about ‘doing’ our lives differently. Hopefully we don’t have a new isolationism on the global stage. But get your virtual meeting rooms ready.
DeeDee Doke, Editor
RPOs: Haste makes waste when seeking the best BY COLIN COTTELL
MAKING SURE JOB descriptions are current, pre-screening candidates and focusing on desired outcomes were among the ways identified to hire the best talent by leading US-based recruiters at a recent virtual conference hosted by the Recruitment Process Outsourcing Association (RPOA). The conference – Next Generation Recruitment Process Outsourcing – featured speakers from RPOs including Broadleaf Results, Advanced RPO, Hueman RPO, RPO Orion Novotus and others. Good hires begin with getting the job description right, said Jason Krumwiede, SVP, client delivery, Broadleaf. In his experience, many were written three to five years ago and were of out of date. “The old adage of ‘garbage in, garbage out’ really applies here,” said Krumwiede. Pam Verhoff, president at Advanced RPO, agreed, and emphasised that recruiters must keep hiring managers aligned to the profile, so they weren’t ‘wowed’ by candidates who were good at selling themselves but didn’t match the organisation’s requirements, leading to bad hires. Bill Boutwell, president of Hueman RPO, called on recruiters to pre-screen candidates thoroughly so that hiring managers trust that candidates being put in front of them are qualified to do the job: “If recruiters are just pushing resumes, managers are going to focus on all the wrong things in an interview, and you aren’t going to have the outcomes you want.” Hiring managers could avoid bad hires by not rushing into hasty decisions because of a perceived urgency to fill a vacancy. “Hiring leaders make better hiring decisions when they have choices, especially when they are interviewing candidates in close proximity to each other,” Krumwiede said. Focus on desired outcomes from each hire, suggested Cory Kruse, president at RPO Orion Novotus. He went on to say the perfect way to assess candidates would be to have them spend a day actually doing the job. “Whether it’s writing code, working on a manufacturing line or delivering a sales pitch, an on-the-job demonstration is probably the number one thing I would look for.” Verhoff agreed but noted this wasn’t always possible. As part of the screening process for mid-level professional jobs, Advanced RPO uses a profiling tool that gives insights into candidates’ motivation.
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Trial tech as if you were a candidate
Bringing recruitment in-house Colin Cottell reports from the In-House Recruitment Expo at London’s Olympia in February THE DIRECTOR OF talent & engagement at News UK, who along with her team built a successful internal recruitment agency inside the company, told an audience that anyone attempting to do the same thing “should never lose sight of what you want to achieve”. “Otherwise,” warned Laura Pettitt, “anyone starting off […] risks being diverted off course.” The four-year process to create an in-house agency to fill News UK’s technology roles was a success, Pettitt told the audience. For instance, the in-house agency filled 98% of roles, with 21% of them filled by women. However, Pettitt acknowledged, she and her team had to overcome a number of challenges along the way. Various steps of the journey included collecting and analysing data initially without an applicant tracking system (ATS), changing relationships with recruitment agencies, establishing News UK’s employee value proposition and building communities in which the organisation could reveal itself, “warts and all”.
Reviewing News UK’s preferred supplier list (PSL) of recruitment agencies, many of whom had longstanding relationships with the organisation, with some filling numerous contractor roles, had been challenging. To deliver the most business-centric solutions, Pettitt said: “We spent time with the business, and asked them ‘Who do you like?’, ‘Why do you like them?’ and ‘What makes them compelling against these other people?’.” This information-gathering phase was followed by a six-month trial, which resulted in trimming to five the number of agencies on the PSL. The process of asking colleagues for their views on agencies highlighted the importance of gaining the trust of the business when undertaking such a change, she said. While data and the focus on diversity were important factors that had led to the internal agency’s success, “none of this would have happened without trust”, Pettitt said.
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Recruiters should “go beyond the hype” by putting themselves in the shoes of candidates before choosing recruitment technology, according to an expert on innovative technology in the sector. Tom Lakin, senior innovation manager at Resource Solutions, told an In-house Recruitment Expo audience that to understand whether it was the right technology for their organisation, “they really needed to live and breathe it as a candidate”. He added: “I am amazed that how few people don’t view it as a candidate.” Lakin said: “Understand what the problem you are trying to solve is, and ask yourself, does it solve a genuine human need? All tech should do this; that’s the point of it.” He went on to warn recruiters of the dangers of choosing free versions of technology, which in return for being free invariably allows the vendor to contact your candidates. “If the tech is free, you are the product,” he said.
Raising the hiring standard If an organisation is to attract the best talent, in-house recruitment teams have a vital role to play in bringing the performance of average hiring managers up to the standard of the best, according to the UK head of resourcing at National Express. Andy Long told an audience: “Above-average talent tends to go to the best and most engaged hiring managers; the rest tends to go to average hiring managers.” Consequently, Long said in-house teams needed to work closely with those average hiring managers to ensure all were as involved and engaged as possible. Rather than just accepting a job description and a role profile from a hiring manager, Long said his team worked closely with hiring managers from the start. “We focus a lot of attention on sitting down with a hiring manager and finding out what they want, so we won’t do any external work until we have had a sit-down meeting with the hiring manager,” he said. Asked by Recruiter whether the performance of hiring managers could be improved by this approach, Long said: “Absolutely. Where we have had some really good success with hiring managers, it is because we spent that time [with them].”
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THOUGHTS FROM… RICHARD BUCHANAN M D AND FOU NDER , THE CLEARING, B R AND CONSULTANCY
“Great brands defy predictability by playing with our expectations.” PROFESSOR BILL BUCHANAN E D INB URGH NAPIER UNIVERSITY, SPE A K ING AT THE SCOTTISH CONTINU ITY CONFERENCE
“If your CEO says he or she doesn’t know if the company’s data is encrypted, then please ask them to leave because they’re negligent.”
Disability friendly? Then shout about it Among the report’s other DISABILITY-FRIENDLY EMPLOYERS NEED to be more findings are: visible to disabled candidates, according to the of respondents founder of disability job board Evenbreak. said employers Recent research commissioned by the job board lacked empathy and found 82% of disabled respondents reported that understanding about the issues their most pressing problem was finding a disabled people face. disability-friendly employer, said Jane Hatton. said there Elaborating, Hatton said: “It is important for was a lack of disabled candidates to have confidence in an information in job adverts about organisation before they apply.” workplace polices and The report, ‘Barriers to Employment: What ‘reasonable adjustments’ that disabled candidates say’, says: “It is difficult to are required by law. predict which employers will be positive about said they had employing disabled people.” And with 15% of come across a disabled people applying exclusively to employers lack of interest from interviewers. known to be disability friendly, this means that not only are disabled people not applying to other employers, these employers are missing out on talent. Hatton urged employers to do more to demonstrate that they are inclusive. “Some easy ways for employers to demonstrate this are to advertise in places where disabled candidates look, such as a specialist disability job board, or in disability journals. “Other ways could include sharing content on social media about inclusion – maybe a video of a disabled employee talking about their positive experience in the organisation, or a statement from a senior person about why they are actively looking to attract diverse talent. Signing up to the government’s Disability Confident Scheme and displaying the logo will indicate that disability is on the employer’s radar.” While most employers claim to be ‘equal opportunity employers’, the report says the experience of disabled candidates “paints a different picture… with even those who have active diversity policies tending to focus on gender and race rather than disability. Candidates report regularly being rejected at the point their impairment becomes apparent”.
71% 80% 47%
DAVE CHAPLIN C E O O F CONTR AC TORCALCULATOR O N TH E GOVERNMENT GIVING THE E X TE NSIO N TO OFF-PAYROLL RULES INTO TH E PRIVATE SEC TOR THE GREEN LIGHT
“This is the typical tineared approach taken by the Treasury, which has continued to ignore the valid concerns of businesses that are already suffering considerably because of this unworkable legislation.”
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DOUGLAS JOHN RECRUITMENT With an increasing number of recruiters recognising the benefits of flexible working, Lorraine Douglas has launched Douglas John Recruitment, a rec-to-rec agency with a difference. Founder Douglas told Recruiter that, while her new agency recruits for roles ranging from researcher to director level for agencies, it also places a special emphasis on at-home remote working positions. “I worked from home for a recruitment agency as a rec-to-rec for the past two years. I was paid a
salary and had all the usual benefits that you would expect to receive in an office-based role. I suddenly realised that other people were doing it, too. I really enjoyed it and I wanted other people to be able to have access to that as well. If you’re an experienced recruiter and you can work autonomously, there’s no reason why you can’t work remotely.” Douglas explains that part of the job is communicating to agencies the benefits of employing remote staff, one of which is that an agency will
incur fewer outgoings as those working from home meet their own internet costs, for example. On the other hand, recruiters occasionally contact her, explaining while they are allowed to work from home one to two days a week, they would like more flexibility. Looking ahead, Douglas explains that while she is seeking to grow her client base, she is not looking to expand. “I’m aiming to remain a sole trader. I don’t want to employ any staff. I just want it to be me.”
Find more daily news stories at recruiter.co.uk/news
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THIS WAS THE MONTH THAT WAS… Here is a round-up of some of the most popular news stories we have brought you on recruiter.co.uk since the March issue of Recruiter was published F E B R U A R Y 2 0 2 0 •‒‒‒‒‒‒‒‒‒‒→
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EX-FINANCIAL SECRETARY SAYS IR35 WON’T BE WATERED DOWN
PULLEN STEPS DOWN AS STAFFLINE CEO
Before the government confirmed (on 27 February) it would be proceeding with the planned extension of offpayroll rules into the private sector, a former financial secretary to the Treasury told an audience there would be “strong resistance” to any watering down of the extension of IR35 rules. David Gauke (below) was speaking at the London offices of think tank The Resolution Foundation, where he discussed the fiscal options open to new Chancellor Rishi Sunak when he presents his first Budget to Parliament in March. Asked by Recruiter.co.uk whether there would be any watering down of the IR35 rules, Gauke said: “There is a very big distortion in our tax system and it’s going to be a growing problem. It’s going to reduce revenue for the exchequer. There is no justification for the way different people are taxed for doing essentially the same things. “I was part of a Treasury that tried and failed to do something about it but at some point or other, unless we are going to see a substantially reduced state then we are going to have to address this particular issue. So I think there will be strong resistance to watering down this, notwithstanding the particular pressure that is on there…” More: bit.ly/32MCT1P
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EAMONN HOLMES LOSES IR35 TAX TRIBUNAL CASE At the end of the month we brought you news that TV presenter Eamonn Holmes (above) lost an IR35 case at a tax tribunal. According to a ruling, seen by Recruiter, the case concerned the presenter’s engagements with ITV between 2011 and 2015. The ruling rested on mutuality of obligation (MOO) tests, which meant Tribunal Judge Harriet Morgan dismissed Holmes’ appeal, deciding IR35 applied to the arrangements in place in each relevant tax year. A statement released to ContractorCalculator by a spokesperson for Holmes, who brought the ruling to Recruiter’s attention, said: “Eamonn has always considered himself a self-employed freelancer and has never knowingly avoided paying taxes. He is taking the time to understand the extensive document detailing the outcome. “Like many people across the country and from many different professions, he is seeking to comprehend what this means; and simply wishes for clarity and consistency across the guidelines so that people don’t suffer the same confusion over these retrospective IR35 rulings.”
Staffline CEO Chris Pullen has stepped down for personal reasons after a challenging year for the recruitment and training group. He will continue in his role during his notice period to ease the succession process and maintain continuity for the business, according to a statement. Speaking to Recruiter, Pullen revealed his decision to step down was for entirely personal reasons after a challenging year. “Last year was a challenging year for the business, with historical issues to fix and a challenging trading environment. I am pleased to say that the business is now very well set up for future growth with a market-leading digital proposition. This will ensure that despite a tight labour market we are perfectly set up to fulfil our customers’ needs, supporting the reason that Staffline exists, which is to help make our customers more successful. We will have a planned transition once the suitable successor is found. In the meantime, it’s very much business as usual.” The firm’s board, who revealed it plans to launch a formal executive search process to identify a new CEO immediately, added its 2020 outlook remains unchanged and in line with market expectations. More: bit.ly/3aq6HUM
More: bit.ly/2x1P8Mc
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WIN RECRUITER’S FIRST SUSTAINABLE RECRUITMENT AGENCY AWARD! Supporting a sustainable world is the best way to secure the future of your business. With this in mind, Recruiter reiterated its call to enter our first Sustainable Recruitment Agency of the Year award competition. The award will be presented at the Recruiter Awards 2020 on 6 May at the JW Marriott P Grosvenor House Hotel in London’s Park Lane. More: bit.ly/2PL0OJP
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TWENTY 20 CAPITAL MAKES KEY INVESTMENT IN CORDANT GROUP
2 MARCH 2020
CARRY ON PREPARING AS NORMAL FOR OFF-PAYROLL RULES While the government’s promised ‘light touch approach’ to extending off-payroll working rules into the private sector does offer some reassurance, recruiters’ preparations need to continue as normal. The call from employment lawyer Melanie Stancliffe of Cripps Pemberton Greenish follows confirmation from the Treasury last week that the controversial extension of the rules will proceed as planned from April. The government did, however, make a number of changes to address concerns, and support the smooth and successful implementation of the reform following consultation. These include: Customers won’t face penalties for errors relating to off-payroll in the first year – barring cases of deliberate non-compliance; HMRC has reaffirmed that information resulting from changes to the rules will not be used to open new investigations into personal service companies (PSCs) for tax years before 6 April 2020, unless there is reason to suspect fraud or criminal behaviour; the government reaffirms the rules will only apply to services carried out from 6 April 2020 onwards; the government will legally require clients to respond to a request for information about their size from the agency or worker, and update the legislation to address concerns raised over the rules as they apply to off-shore companies. • See the online article for more comments and concerns from employment law specialists.
Human capital investment business Twenty 20 Capital has made a “significant” investment into recruitment and facilities management firm Cordant Group. The investment follows reports by City AM a few days before that Cordant came close to collapse following a disagreement when one of its lenders refused to refinance a debt facility. Twenty 20 Capital, founded by Tristan Ramus (below right) and Ian Munro (below left) in 2017, revealed it had completed the investment into Cordant Group yesterday, which will see more than 45,000 jobs protected. The deal sees Twenty 20 Capital become the majority shareholder in Cordant, while a new investment board and chairman will also be appointed. More: bit.ly/2VHCIDK
More: https://bit.ly/3amMHSJ
Find more daily news stories at recruiter.co.uk/news
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3 MARCH 2020
NOT A WHOLE LOT OF SHAKING GOING ON AMONG RECRUITERS Recruiters are resisting shaking clients’ hands in the wake of the coronavirus. World Health Organization (WHO) director-general Tedros Adhanom Ghebreyesus revealed 61 countries outside China have reported 8,739 cases of infection with 127 deaths, while The Guardian reports people around the world are resisting handshakes in the wake of the virus. And recruiters have largely been following suit. Bev White, CEO at the Harvey Nash Group, told Recruiter her agency is encouraging its people to be cautious: “Like most recruitment companies we are a very sociable and high-contact organisation, so caution is key. We have encouraged our receptions to display ‘Don’t feel the need to shake hands’ signs, to help nudge people into the right thinking and make the conversation easier!” Jennifer Gaster, founder and director of specialist HR recruitment consultancy HR Heads, revealed the agency has taken a proactive approach, asking consultants to let any candidates or clients they are meeting know in advance that they won’t be shaking hands. But David Taylor, managing director at First Point Group, told Recruiter as the agency has 10 global offices, and each is in a slightly different position locally, they are leaving it up to each consultant to use their own common sense and follow what the local authorities are saying. “At the moment, I don’t believe our China offices will be shaking hands, mostly as a lot of business travel is curtailed for now. Elsewhere for now, it’s business as normal. Handshakes are fine but we are asking everyone to wash their hands before entering the office.” More: bit.ly/2TDlXqF
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CONTRACTS & DEALS Cornerstone OnDemand People development solutions specialist Cornerstone OnDemand is to acquire talent experience solutions provider Saba, a portfolio company of Vector Capital. The cash and stock transaction is valued at around $1.395bn (£1.04bn) and has been approved by the boards of directors of both companies. The combined company will have more than 75m users and serve roughly 7,000 organisations around the globe. The transaction is subject to the satisfaction of certain closing conditions and regulatory review, and is expected to close in the second quarter of 2020.
Gi Group Birmingham 2022 has appointed international recruiter Gi Group as Official Recruiter for the Commonwealth Games, to help find 1,000 people over the next two-and-a-half years to join the team planning and delivering the event.
Kronos Inc and Ultimate Software Kronos Inc and Ultimate Software are merging to form one of the world’s largest human capital management (HCM) and workforce management company, helping organisations manage their people more effectively with a combination of cloud solutions. The combined company will have revenues of around $3bn (£2.3bn) and more than 12,000 employees worldwide. The all-stock merger is expected to close at the end of March.
The Fedcap Group UK-based not-for-profit organisation The Fedcap Group has won a contract in Canada to lead a consortium of four Toronto-based non-profit organisations to deliver welfareto-work services on behalf of the Government of Ontario, helping people in the Hamilton Niagara Peninsula into work.
Frontline Recruitment Nottingham-headquartered careers specialist Frontline Recruitment has agreed a partnership with food manufacturer Skinny Food Co to supply staff to its factory in Arnold, North of Nottingham.
DEAL OF T HE MONT H
Major Players Creative, digital and tech recruiters Major Players has acquired creative, digital and PR recruiter Gemini People for an undisclosed sum. In a statement, Major Players said: “In an ever-changing market where people are at the forefront of every business, we recognise that merging our diverse portfolios of talent is an exciting opportunity for our clients and a way to continue to bring the best
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people to both brands and agencies.” Clients of both businesses will continue to work with the same contacts as before, and Gemini People will continue to operate as it does now, the statement went on. Joanne Lucy is Major Players’ managing director, having joined the company as a manager in 2013. She previously worked for Gemini People as a senior consultant from 2012-13. Francesca Hernandez leads Gemini People as MD.
Spencer Ogden International private equity firm MML Capital Partners has taken a controlling stake in Spencer Ogden. The global energy and infrastructure recruitment agency says MML’s “significant investment” will support its next phase of growth. Co-founder Sir Peter Ogden and Spencer Ogden’s management keep a remainder stake in the business. MML’s two representatives on the board are Robert Devonshire (investment director) and Richard Mayers (partner), who will be alongside Bradley Lewington and Ed Ogden. With the change in ownership, Spencer Ogden will remain focused on its organic growth plan in core specialist sectors, while delivering niche talent and developing key client partnerships.
More contract news at recruiter.co.uk/news
05/03/2020 10:12
Sometimes things aren’t always quite what they seem
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SHAKING UP GLOBAL TALENT Guidant Global report reveals the top talent trends set to dominate 2020 BY SIMON BLOCKLEY
hanks to ongoing technological innovation and digital transformation, colleagues on opposite sides of the globe can now collaborate in real-time without missing a beat. Artificial intelligence (AI) and machine learning are part and parcel of the business experience. For talent acquisition and the world of work, the innovation that drives the Fourth Industrial Revolution is only just starting to make its mark. From an analysis of recent trends and data from employee surveys, Guidant Global predicts the following areas will shake up the global talent market in 2020. Here’s what to expect.
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The rise of millennials and Gen Z In our recent ‘Global talent trends 2020’ report, we reveal that millennials and Gen Z now form one-third of the workforce – with both generations expected to make up the majority of the average workplace as the decade goes forward. These generational cohorts are unlike their predecessors, with millennials and Gen Z encompassing different skills, strengths and values. Growing up with technology integrated into their everyday lives, it’s no surprise that millennial and Gen Z employees also expect their work to be tech-driven, hyperconnected and centred online. Typically, millennials and their Gen Z colleagues are tech-savvy, people-orientated and value flexibility
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above traditional perks like pay. Their expertise and behaviours have played an instrumental part in the major disruptions that have also defined 21st-century business. It’s important that businesses recognise the value these groups bring, understand their needs and make appropriate adjustments to ensure they are engaged.
Increase in remote work and permanent flexibility With millennials and Gen Z favouring agility and expecting work to be performed online, it seems inevitable that remote working and permanent flexibility will become even more commonplace. According to Global Workplace Analytics, the number of people who work from home has increased by 140% since 2015 — and this figure is set to soar even higher in the 2020s: 16% of companies already hire exclusively remote workers. Meanwhile Upwork predicts that 73% of all companies will hire remote workers by 2028. In the 2020s, flexibility will become the new norm. Research also shows that many millennials are willing to take a pay cut to work for a company that offers non-typical hours. Several leading
It seems inevitable that permanent flexibility will become even more commonplace and innovative businesses have already proven that being deskbound five days a week does not equal increased productivity. Instead they discovered that greater flexibility can, in fact, lead to better results. As people — particularly younger workers — become more aware of this, it is likely that the traditional 9-5 will be left behind.
Work-life integration The average person in the UK works roughly 37 to 40 hours a week, meaning a full third of our conscious time is spent on our jobs. While the popular
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Harnessing technology Rapid advancements in technology have impacted every facet of our lives, and talent acquisition and workforce management are no different. Thanks to the increasing use of AI, machine learning and other emerging technologies, the employee experience has been revolutionised. Workforces now expect streamlined and instant services, akin to those they experience as consumers.
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term ‘work-life balance’ suggests that we should separate the two, today’s employees increasingly desire a role that allows them to bring their whole selves to work. By replacing the idea of work-life balance with work-life integration, thereby placing individuals in meaningful roles that enable them to fulfil their purpose and potential, workforces will be more motivated and engaged.
By knowing how to appropriately leverage technology and interpret data, businesses can ensure they are operating in a better way. For example, predictive analytics can be used to forecast future hiring needs, while emotion recognition technology can give business leaders greater scope to understand the wants and desires of their people. There’s no doubt that tech will play an instrumental role in this decade, shifting how we work, think and deliver results. Moving forward, it’s vital that recruiters harness this new technology strategically. Innovation is no longer a luxury. According to PwC, AI could contribute $15.7tn (£12.1tn) to the global economy by 2030. If talent acquisition professionals to attract and retain the best people, adopting technological solutions will become a competitive necessity. As we hurl headlong into a new decade, the intertwining forces of technology, economics, politics and shifting demographics will require firms to adapt and remain agile. Attracting talent in this uncertain yet exciting period will certainly be challenging, but by advancing with technology and staying ahead of the latest trends, talent acquisition professionals can ensure that they attract and meet the demands of the best candidates. ●
SIMON BLOCKLEY is CEO at Guidant Global
POWER POINTS
1
The rise of millennials and Gen Z Millennials and Gen Z now form one-third of the workforce with both generations expected to make up the majority of the average workplace as the decade progresses. Employers must adapt their attraction and retention strategies in order to keep this group engaged.
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Increase in remote work and permanent flexibility According to Global Workplace Analytics, the number of people who work from home has increased by 140% since 2005— and this figure is set to soar even higher in the 2020s.
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Work-life integration ‘Work-life integration’ will replace the popular term ‘work-life balance’. While many employers and employees were once focused on having enough time, space and flexibility to fulfil their passions outside of work, today more people are encouraged to bring their ‘whole selves’ to work by tying their interests into their role.
4
Harnessing technology There’s no doubt that artificial intelligence, machine learning and other emerging technologies will play an instrumental role during this decade, shifting how we work, think and deliver results. As such, it’s vital that recruiters harness technology strategically. WWW.RECRUITER.CO.UK 13
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T R E N DS
TECH & TOOLS
Location, location, location Ring-fencing passive candidates BY SUE WEEKES
The online world and developments such as programmatic advertising and marketing have allowed recruiters to be far more targeted when it comes to who sees their job ads and when. As valuable as knowing the online behaviour and hangouts of potential candidates, though, it is competitor organisations where many recruiters would like to channel their efforts. Crooton hopes to have found a faster, more direct route to finding these people with its employer fencing technology.
HOW DOES IT WORK? The proprietary geo-fencing-based technology allows specific locations, such as a competitor’s building, to be ring-fenced. The unique aspect of the software is that it has knitted together the ability to fence locations to the nearest metre and added several layers of functionality on top, such as the ability to serve ads via major advertisement networks as well as an ad creation tool. Crooton pulls in location data on a person’s smartphone like Google Maps and other location services. Job ads are then served to anyone entering the area. These individuals can be sent alerts and
messages for a period of 28 days after they have left the fenced area, ie. when they are browsing at home. Other locations that could be ring-fenced for recruitment purposes could be a trade show or exhibition or an educational establishment.
MORE PRECISE TARGETING Of course, not everyone who enters a competitor’s building will be relevant, so Crooton CEO Stephen Anderson explains that it is also possible to employ additional “tactics” such as looking at further online behaviour and searching habits to refine the targeting. “For instance, if someone wants finance
talent, then we could target those who have looked at relevant institutes,” he says. “Or people that have keyed in ‘accountancy jobs’ in a Google search.”
out how many people clicked through from the ads served, employers can also find out how many viewed it and subsequently visited the careers site.
DATA-SHARING OR PRIVACY ISSUES?
THE TECHNOLOGY IN ACTION
At no time is the individual in the ring-fenced area identified by Crooton and, as in programmatic advertising, the person won’t know they’ve been targeted. They only become known to an employer if and when they choose to respond to the job ad served to them or apply through a corporate careers site. “So there is no GDPR [data protection] issue,” says Anderson. The activity generated by Crooton is all trackable and as well as finding
Crooton was officially launched in January but is already starting to prove itself as a cost-effective and efficient recruiting tool. Anderson said it worked with a haulage company that wanted to find five HGV Class 1 drivers so it used the technology to ring-fence a number of distribution areas. “We identified the spaces they would be entering,” he says. “Within two weeks the client had appointed four out of the five drivers via ads served to them after the employer fencing campaign.” Crooton is about to start working on a campaign with an international energy
GEO FENCING Geo-fencing creates a virtual boundary around an area and uses global positioning system (GPS), radio frequency identification (RFID) or other cellular data to send alerts to those entering it via their smartphone. I M AG E | I STO C K
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company, as well as clients in the care sector.
INTEGRATED OR STANDALONE SERVICE As well as employer fencing, Crooton provides a recruitment service that includes job advertising and marketing through to shortlisting. Employer fencing can be integrated with that or used as a standalone service. There’s an upfront fee with a single vacancy campaign rate set at £1,250 and then volume discounts apply. Anderson says the HGV driver campaign worked out at £200-250 a placement. “Recruiters have to reach out to passive candidates,” he says. “The traditional recruiting model has been around for a long time. While job boards and other advertising still have a value, this is an important tool to have as part of the mix.” ● WWW.RECRUITER.CO.UK 15
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INTE R AC TIO N
C
VIEWPOINT
Are you ready for IR35? HMRC offers guidance BY LIZ GARDINER
T
his month, contractors who work through personal service companies (PSC) start to be affected by changes to the off-payroll working rules.
What does this mean? The changes will ensure that people working like employees, but through an intermediary, pay broadly the same income tax and national insurance contributions (NICs) as regular employees. This will include those who work through their own limited company. From 6 April, private sector medium-sized and large organisations will be responsible for deciding the employment status of contractors for tax purposes. HMRC has announced that the change will apply only to payments made for services on or after 6 April 2020. The reforms were announced in the 2018 Budget, and will bring the private sector into line with the public sector, where these rules have applied since 2017. The rules aren’t changing for those PSCs that are providing services to a small business. That is a business that meets two or more of the following conditions: • an annual turnover of not more than £10.2m • a balance sheet total of not more than £5.1m • not more than 50 employees.
off-payroll working rules are paying the right amount. Currently, an individual earning £50,000 who works through their own company, but not following the rules, contributes around £6,000 less (through tax, National Insurance and employer’s NICs) than an employee sitting next to them doing a very similar job. The rules apply only to individuals who are working like employees under the current employment status tests, and do not apply to the self-employed. The rules also do not prevent people from working through their own limited companies in future. HMRC wants contractors not to be tempted by tax avoidance schemes, including those that claim to ensure that contracts are not affected by IR35 or that otherwise offer to increase take-home pay. If it looks too good to be true, it probably is.
Plenty of support The reforms do not introduce a new tax – they are designed to improve compliance with existing rules and make sure the right tax is paid from April 2020 onwards. Outside the public sector, HMRC estimates that only one in 10 people who should be paying tax under the current
HMRC is providing a comprehensive programme of support. This includes one-to-one engagement and targeted communications for some of the UK’s biggest employers, as well as webinars, workshops, roundtable events and online tools and guidance. HMRC has also published: • updated guidance in the Employment Status Manual, and a contractor factsheet to explain who is affected, how the changes will affect them and what they need to do before April. The free Check Employment Status for Tax (CEST) tool helps individuals and organisations decide if a worker should be treated as employed for tax purposes. It was rigorously tested against case law and settled cases by officials and external experts, and HMRC will stand by the result produced by the tool, provided the information input is accurate and the tool is used is in line with the guidance.
+ RUTH STANIER HMRC director general of customer strategy and tax design
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Smooth implementation At the end of February, the government published its promised review into how the reforms could be implemented smoothly (see pp24-25). ●
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I N T E R AC T I O N
SOUNDBITES
L ET T ER S TO THE EDITOR BE THANKFUL FOR A ‘SOFT LANDING’ FOR IR35 APSCo is writing in response to the news that the government will proceed with the planned extension of off-payroll rules into the private sector (‘Government confirms IR35 extension into private sector’, recruiter.co.uk, 27 February 2020). The ‘soft landing’ for IR35 that Chancellor Rishi Sunak had previously promised has now been revealed and, while there is no escaping the fact that the extension of off-payroll rules is not ideal, overall, this should be taken as a significant win for the professional recruitment sector. Yes, in an ideal world we would like to see a comprehensive review of employment status for tax and rights, but let’s not forget that this review was only ever going to look at how the planned changes should be implemented. APSCo made it clear from the beginning that we were seeking a period of time within which recruitment businesses and end clients wouldn’t be penalised. This was communicated directly to HMRC and other stakeholders, and we are extremely pleased this recommendation has been listened to and taken on board by the government. HMRC has long maintained that it genuinely wants businesses to comply with the new rules and that there will be no witch hunt – and this latest move suggests this may truly be the case. I’d like to thank all of our members who got involved, shared their experiences and contributed to this outcome. S A M A N T H A H U R L E Y, DIRECTOR OF OPERATIONS, APSCO
Would you crackdown on football and cricket chat in office, as the head of the CMI says it can exclude women and lead to laddish behaviour? S A R A H M E R RY D IREC TOR , ROCK P OOL RECRUIT MEN T
“Unless what is being talked about is offensive, I would be against ‘curtailing’ anyone’s conversation topic at work. We are currently a team of all women and our conversations are not generally about cricket or football. I would feel uncomfortable telling anyone to cut the chat. I would like to think that anyone working at Rockpool has the emotional intelligence to ensure we are naturally inclusive in our conversations as a team, but the idea that there are rules about what people can discuss seems pretty far-fetched.”
KERRY HOPE MA N AG IN G D I REC TOR , CA ST L E EMP LOY MEN T G ROUP
“Like every employer, we want to create a workplace that’s inclusive: where everyone feels welcome and valued. And part of that is accepting that normal, everyday conversations are a part of office life. Are we to say that people at work should no longer talk about their children because employees without children will feel excluded? Or that no one can discuss the Baftas because people without a Netflix subscription might not have seen The Two Popes? Owners and managers will have made it clear to your staff that certain things cannot be said in today’s workplace – but Leeds losing at home to Wigan is not one of them…”
NATASHA WOODFORD D IREC TOR OF RECRUIT MEN T, CLOCK WORK TA L EN T
“This isn’t a route I’d take my agency down. For me, it stinks of stereotyping and censorship. It’s better to focus on developing a more balanced company culture than pass a rule on basic office chat. Laddish behaviour is more likely to stem from a failing culture, so it’s better to put parameters in place that cultivate respect, equality, diversity and a happy workforce instead of explicitly censoring conversations. Where would we draw the line for unacceptable conversation topics?”
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TH E B IG STO RY: PENNY STREETER
Growing am
I MAG E S | PAL H AN S E N AN D CO U RTE SY O F LE O N AR DS LE E L AK E S & GAR DE N S
from
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T H E BIG STORY: PE N N Y ST R E E T E R
mbition healthcare to hospitality
The founder of healthcare recruitment group A24 has taken on one of the largest historic renovation projects in the UK. Vanessa Townsend went to meet her to find out more
itting in a Grade II listed mansion house, overlooking spectacular terraced woodland gardens, a newly-planted vineyard to the right and impressive views across the South Downs, Penny Streeter OBE is rightly proud of Leonardslee Lakes and Gardens. The 240-acre Leonardslee estate, near Horsham in Surrey, was reopened to the public last year following the recruitment entrepreneur buying the neglected property in 2017, investing vast amounts of time and money in restoration, and giving the lakes, gardens and properties on the estate a new lease of life. It now even boasts England’s first Pinotage vineyard. The mansion house where Recruiter met with Streeter, founder and managing director of nursing and healthcare recruiter A24 Group, and her husband and COO of A24 Group Nick Rea, is now home to a Michelin-starred restaurant –less than a year after opening. However, back in 2017, the Georgian mansion house looked quite a different prospect altogether. “This place was all chained up and when we eventually got in, there was water running everywhere,” Streeter explained. “You couldn’t get into the bottom gardens because they were just completely overgrown. The estate agent said it
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was a ‘gardening challenge’ for the interested renovator,” she laughed. So what made her see through the dilapidated property? “Well, it just had such an amazing feeling. I literally didn’t know anything about it. The Dolls’ House Museum was there – that’s still here – although it was very close to being completely ruined as again there was water coming in. The wallabies were hopping around in the grounds and... I went away and did some research on it, and just fell in love with the place. It was very, very magical.” The Dolls’ House collection depicts the Edwardian estate and neighbouring villages at 1:12 scale, with landscapes and characters acting out day-to-day activities. It was created by Helen Holland in 1998 and was recently restored. The Leonardslee wallabies – today still hopping around outside in a nursery area and some loose in the grounds – were introduced by naturalist and previous Leonardslee owner Sir Edmund Loder in 1889, and are believed to be Bennett wallabies from Tasmania, Australia. The scale of the restoration job would have put most people off. But Streeter isn’t most people. “The amount of work and restoration that still has to go on here is massive. But [at the time] I think if someone had probably sat me down, given me a couple of slaps, I might have thought twice, but it’s been an amazing journey,” she says proudly.
PENNY STREETER ● 2006 OBE (Order of the British Empire) New Year’s Honours for ‘Services to Enterprise’ ● 2003 CBI (Confederation of British Industry) Entrepreneur of the Year ● 2003, 2004 Management Today, Top 100 Entrepreneurs: Top woman, and No. 13 overall for two years ● 2004, 2003, 2002 Fast Track 100 ‘Fastest Growing UK Companies’ – No.1 in 2002 ● Since 2013, owner of Benguela Collection property and entertainment group, comprising Benguela Cove Lagoon Wine Estate in South Africa, and in the UK Mannings Heath Golf & Wine Estate and Leonardslee Lakes and Gardens
Hard-knock life Her journey to where she is now gives a glimpse of where her tenacious spirit and constant hard work comes from. Moving at the age of 12 with her family from Zimbabwe to the UK in the late 70s, after school Streeter took the usual route into recruitment: “I fell into the recruitment industry quite by chance.” At that time Streeter was a beauty therapist. “I didn’t enjoy that. I walked into a recruitment agency in Wallington [South Croydon]. I said to them, ‘Look, you need to find me a job’, and they said, ‘We’re short staffed, get behind the desk’!” Working in commercial recruitment, she recruited her mother, who had worked in HR, and they both ran separate successful branches. “One day, the boss called us in and said, ‘Look, you’re doing too well. You are earning so much commission, we can actually get people much cheaper. You’re fired.’ And he fired us.” This spurred Streeter on and with her mother
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“I went away and did some research on it, and just fell in love with the place. It was very, very magical”
Marion taking out bank loans, they jointly set up their own recruitment agency. “It was all going really well but it was 1989 and the crash happened. Literally, the whole thing went belly up,” she explains. Along with her two children and husband at that time, and with her mother losing everything, she decided to go to South Africa and work at her sister’s restaurant. After a couple of years, her youngest daughter caught meningitis, which “caused us to re-evaluate”. They returned to the UK with absolutely nothing. Streeter’s marriage broke down, she was pregnant with her third child and they ended up in a women’s refuge. “I think when the midwife came around to see me, I sat on the bean bag and she sat on a deck chair,” she says, smiling despite the bleakness of the memory. She was facing a life on benefits when a friend offered her a corner space in his office. She knew she wanted to start a recruitment business again, so despite her mother saying she was “insane”, they took turns at childcare one day, working
Above: Leonardslee spring lake offers magical sights at any time of the year Left: The thriving colony of Bennett wallabies was saved when Streeter took over the Leondardslee estate
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the next. They also turned their hands to children’s discos at the weekend “to finance their advertising”, Streeter laughs.
24-7 healthcare Although the initial business was in the finance sector, Streeter stumbled upon the healthcare sector. Healthcare staffing agencies in the mid-90s were all 9-5. But when she left the answerphone on at 8 o’clock in the evening, they were getting calls from nursing homes saying they were desperate for a nurse. “The healthcare industry was 24-7, and it required an instant response,” she says. “One of us was always there with the children. But literally, I was the ‘24 hours’ at the early part of that business. These phones would go night and day. I’d fall asleep on my couch and a nurse would call me at two in the morning. It was only years later I spoke to that same nurse. She said she used to do that every night because she was worried about me sitting in the office being tired and she wanted to keep me awake!” she says, laughing about it now. In 1996, Ambition 24hours was launched and grew rapidly. However, it was only when she received a phone call from Fast Track 100 that she realised how rapidly: “They rang us up and said, ‘Do you realise that you’re the fastest-growing
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company of all companies in the UK?’. Well, it was a ● Annual turnover c£50m complete and utter shock to ● 350 (250 in South Africa, 100 in the us because literally we were UK) recruiters across six medical just focusing on what we divisions: Ambition 24 hours, NS Health were doing.” Staffing, British Nursing Association, In the following decade, Grosvenor Nursing, Mayfair Specialist the company expanded its Nursing, Pinnacle Health Care service to cover locum doctors, ● Places over 100,000 hours of allied health professionals, healthcare professionals weekly, carers, social workers and operating on two continents and teachers. But all the time working with more than 20,000 Streeter was proud that A24 is healthcare professionals a cash-free business. ● 2013: hospitality recruiter First Call “We’ve always invested Employment joins the A24 Group every single penny we earn back into our business … The big driver is to keep working because as we grew bigger, you have other people’s livelihoods that you’re now responsible for. I still have this fear that if I don’t work hard, and I don’t put the time in, then the world moves very quickly and you can become uncompetitive if you’re not doing things correctly.” Between 2000-04, Streeter once again became a victim of her business’ success when rival recruiters sent headhunters to hang around outside Ambition’s offices, trying to entice consultants away: “They were trying to persuade consultants to leave, offering to pay double the salary to bring in all our data. We went to court
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Above: A visitor enjoys a spring walk in Leonardslee gardens Left: Back home in the Benguela Cove vineyard in South Africa Below: One of the exhibits in the Dolls house collection
numerous times.” It got to the point where competitors would ring up, pretending to be hospitals, and cancel shifts. “We really thought that we’d lose our business,” she remembers. “It was at that point that we went to Cape Town on holiday and we sat there looking at Table Mountain. And I said to Nick, ‘Imagine if we could run Ambition from here’,” she recalls. So in 2004, A24 Group opened in South Africa, relocating the direct sales operation – its recruiters – within nine months to Cape Town. A24 Group was awarded a contract to supply nurses for temporary staffing to the Department of Health in the Western Cape, South Africa in 2009 and was the first of the nursing agencies in South Africa to offer a service 24 hours a day, seven days a week. Today, there are 250 recruiters based in Cape Town, with 100 in the UK.
New horizons Streeter bought a property in Benguela Cove, overlooking the Western Cape, an hour from Cape Town. “I called it ‘I swallowed the spider to catch the fly’,” she explained, as from there she ended up buying the Benguela Cove Lagoon Wine Estate in 2013. “We’ve done quite a lot of commercial property ventures and I thought, ah, this is no problem. And then suddenly we realised that rather than having a little boutique vineyard, it had
this massive 70 hectare vineyard!” She realised her route to market with this wine was “looking back at our home ground, which is obviously here”. In 2016, the Mannings Heath Golf & Wine Estate in Horsham, West Sussex, became part of the Benguela ‘Collection’, with Leonardslee adding to the portfolio in 2017. Both UK properties offer wine experiences with Benguela Cove products taking centre stage, waiting until the first English vintages are ready for tasting in a couple of years – around 2023. Returning to the inordinate amount of work and organisation that went into getting Leonardslee habitable and open to the public, how did Streeter juggle that with managing the A24 Group both in the UK and South Africa? “Yes, it’s been tough, because I’m predominantly based in Cape Town now. I just sit on conference calls to project managers and teams all day long. So, you know, I’m a big control freak,” she admits. “I’m involved in all aspects of it.” (Streeter chose all the décor for the estate buildings – even, she confessed, down to the furnishings in the toilets!) She also places a lot of trust in the team: her eldest son Adam, who worked in the recruitment business for a while, came back to live full time at Leonardslee. “He’s got a very strong flair for hospitality and enjoys it,” she says. And A24 finance director Charles Rees is her ‘right-hand man’. “He not only oversees A24, he has a keen watching eye on all of these businesses.” So what does the future hold, not only for the A24 Group but for Streeter, personally? “I’m still really keen to continue to grow my recruitment businesses, and that’s still my number one passion, through organic growth or acquisition. We need to do what we do within recruitment, but to also look at our hospitality businesses and, you know, really create something special within the wine tourism and tourism industry.” Does she think that’s a bit of a side-step from nursing and healthcare recruitment? “I think that it’s quite an exciting journey and we’re only at the very beginning of it, especially where the UK will be in the emerging wine tourism market. Maybe we need to go into wine recruitment, I don’t know,” she finishes with a quizzical smile. ●
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FE ATURE : O FF- PAYROLL RU LES
FAIR WARNING
on IR35 preparation Is the new Chancellor’s statement about IR35 an appeasement or a pitiful response? Colin Cottell investigates he recently appointed Chancellor of the Exchequer won’t have taken up his new role expecting to be popular. But when Rishi Sunak offered what appeared to be an olive branch to the critics of the IR35 off-payroll rules, due to come into force in April, perhaps even he would have been taken back by the vehemence of the response. “I’ve spent time with HMRC to ensure that they are not going to be at all heavy handed for the first year to give people time to adjust as well, which I think is an appropriate and fair thing to do.” Sunak was reported as saying. Perhaps most vehement in his criticism was Dave Chaplin, CEO of ContractorCalculator, a long-standing opponent of the changes to the IR35 rules. He described Sunak’s remarks as “a pitiful response”. “All Rishi Sunak can offer is that he’s had a cosy chat and ask HMRC not to be too hard on
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firms in the first year,” said Chaplin. Within a few days of the Chancellor’s remarks the government published its promised review into how the new rules will be implemented. Describing its approach as “supportive to help customers apply the new rules”, HMRC promised “to take a light-touch approach to penalties”, with no penalties being applied in the first 12 months “unless there is evidence of deliberate non-compliance”. There was also a commitment to continue to deliver education on the off-payroll rules and support to customers in applying them. However, if the Chancellor was expecting more support for this softer approach from elsewhere in the sector, then he will have been largely disappointed. According to Crawford Temple, the CEO of PRISM, a trade association for payment intermediaries, people shouldn’t be taken in by the apparent softening of HMRC’s position. “There is a difference between penalties and the tax that is due,” he says. “If you get the assessment wrong and there is tax due you are still going to get hit with the tax that is due – they are just not going to apply penalties,” he explains. “What it is saying is the rules will apply from 6 April, from which date you [the end hirer] will have to make an assessment, and it has to be carried out with reasonable care. If you are not doing the assessment or you are doing it deliberately wrong, you will still be hit with the penalties.”
No soft landing John Chaplin, associate partner in EY’s advisory services team, says he doesn’t think that HMRC’s revised approach
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F EAT URE: O F F - PAY RO L L RU L E S
to compliance makes much difference. While he welcomes driver is caught by IR35. the commitment to no penalties except in cases of Smith does not think the HMRC’s soft-landing for 12 deliberate non-compliance, he assumes from the months will change the way that end-user clients respond government’s silence that there will be no soft landing in to the new regulations, with many especially the larger terms of liability for income tax and NI, as well as some organisations likely to make blanket decisions that all form of transfer of liability through the supply chain. He is limited company contractors are inside IR35. “In order to also concerned that the Chancellor’s remarks and the protect their reputation, top end blue-chip multinationals impression of greater leniency on the part of HMRC could be need to be whiter than white, and therefore will err on the interpreted as a reason by some in the sector not to take side of caution,” he says. compliance with the rules as seriously as they otherwise The blue collar sector of the economy, such as the haulage would have. industry, will likely go down the route of “self-policing”, “Until those organisations that are sailing too close to the Smith predicts – the only proviso being that the government wind are called to account, what it does is give compliant needs to promote the concept of an accreditation body to organisations pause for thought that they are being too regulate umbrella firms. compliant,” he says. Julia Kermode, CEO of the Freelancer & Contractor Services Nicola Smith, IR35 tax specialist and proprietor at Association (FCSA), says she welcomes the Chancellor’s Fairford Tax Consulting, says the way the government promised ‘soft landing’. “With HMRC’s education has handled the introduction of IR35 reforms has been programme having been delayed because of the General “woefully inadequate”. “This so-called ‘adjustment period’ Election, a number of businesses are only now finding out should be viewed as anything but by clients, about the reforms, so this is good news,” she says. agencies and contractors, and should not However Kermode warns that the softer encourage affected businesses to delay putting its approach to implementing the rules “might be procedures in place, as this will only cause to quite difficult to implement in practice”. One KEY POINTS increase any potential risk,” she says. problem for HMRC, she says, could be how to “There is nothing new from the review,” says ● Taxpayers will distinguish between deliberate flouting of the Matthew Brown, group CEO at workforce not have to pay rules and non-deliberate or accidental management solutions provider giant group. penalties for non-compliance caused by lack of knowledge or “Hirers need to continue to prepare for the inaccuracies awareness. If end-hirers take reasonable care in changes by assessing the roles they have which relating to the making IR35 status deliberations, then this are affected, understanding their risks and the off-payroll 12-month commitment that HMRC won’t go in implications of the different solutions available, working rules in heavy-handed should offer them reassurance. avoiding non-compliance, and communicating the first 12 However, she warns that there is risk that how clearly with the contractors involved.” months unless the reforms are policed could depend on the The only positive thing to come out of the there is evidence approach of individual tax officers and how they review, says Brown, is that small businesses have of deliberate interpret the rules. an obligation to declare if the rules apply to them. non-compliance. Kermode says there is a chance that opposition While this makes it easier for contractors to know to the reforms in the House of Lords could make in advance whether IR35 will be decided by ● HMRC will a difference in time. However, in the meantime, themselves or the hirer, this is only a small continue to she “strongly urges” everyone in the sector to improvement to the rules, says Brown. deliver an prepare for the reforms. education EY’s Chaplin says that while the measures Lighter touch? programme on announced in the Review are evidence that “the Kieran Smith, CEO at driver recruiter Driver the off-payroll government is listening, in the nicest possible Require, says he is generally supportive of the rules. way – it is too little, too late”. government’s softer approach to applying the new However, the recent government rules. “It will reduce the concerns of many of ● Penalties will announcements will not be the final word on the those limited company contractors, who fall into still be applied in IR35 legislation, Chaplin predicts: “It will be the grey area, where the CEST tool [HMRC’s tool cases of another 12-18 months before things bed in and for making IR35 status determinations] is not deliberate then I see the need for more clarification, and definitive.” This lighter touch approach will be of non-compliance. maybe additional tweaks to the legislation and particular benefit in the white collar sector, where additional guidance. I don’t think HMRC can decisions on whether someone is inside or outside ● No changes in implement the legislation on 6 April, give a IR35 are often complex, he says. In contrast, he respect of tax 12-month soft landing and walk away clapping says, it will have little or no effect in his own and NI liability, their hands together because the job is finished sector (haulage), where unless drivers are and transfer of because it won’t be.” owner-operators, it is usually clear cut that a liability in some You have been warned. ● circumstances. WWW.RECRUITER.CO.UK 25
24-25 feature_RECRUITER APRIL 2020_Recruiter 25
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03/03/2020 10:38 10:08 02/03/2020
THE VIEW AND THE INTELLIGENCE
Why we need voluntary standards p2 BI G TALKI NG POI NT
Get ready for the new rules on 6 April p4
Recruitment Issue 84 April 2020 Ma ers
HADLE Y’S COMME NT
Seize the opportuniঞes of change p6 PRODU CTS AND TRAI NI NG
Upcoming training and events p8
REC report: adding value
Boost productivity with be er recruitment
G
e ng recruitment right can boost produc vity, but ge ng it wrong could cost big money, according to the latest report from the REC. A bad hire of a mid-manager on £42,000 can cost a business as much as £132,000, and the report calculates that £40,500 of this is lost because of reduced produc vity across the business. The rest of the losses occur because of wasted training and recruitment expenses. Produc vity goes down when, for example, co-workers have to pick up the slack, staff morale falls, deadlines are missed and orders are unfulfilled. This cost to produc vity is more widespread than you might think. Almost nine in 10 businesses (85%) say they have hired the wrong person for the job at some point. As organisa ons try to solve the puzzle of why the UK has had low produc vity since the late 2000s, ge ng recruitment right could make all the difference.
@RECPress RM_APRIL 2020-NEW.indd 1
Overcoming the talent delusion The report iden fies six areas where ge ng recruitment right (for example, by helping businesses to find that perfect match) can boost produc vity – with knockon effects for the whole economy. The report argues that many bad hires happen because of a “talent delusion”, when employers try to fill a role quickly and treat labour as a commodity that can be bought to fill vacancies. But performance is about more than that: good recruitment can help to unlock individual mo va on and collec ve energy to make a real impact. You have to have the right person in the right job in the right organisa on! “Recruitment must address how people feel – both in making the decision to join and in ge ng the right landing into the business to set them up for success. With 93%
Good recruitment can help to unlock individual moঞvaঞon and collecঞve energy to make a real impact
Making great work happen
of employers seeing an inclusive workforce as important or vital to their success, helping businesses to reach a wider pool of talent is essen al,” said Tom Hadley from the REC. “Helping clients to design an inclusive workplace and make the most of technology and flexible working will help them to reap the rewards of good recruitment. That’s why recruiters are an important piece in solving the produc vity puzzle.” Get the full report on the REC website at www.rec.uk.com
www.rec.uk.com 03/03/2020 16:34
Leading the industry
the view... Enforcement is only part of the story – we have a responsibility to deliver great work, says Neil Carberry, REC Chief Execuঞve
W
elcome to our bumper edi on on compliance and regula on. What fun! IR35 is now so close that the market is already star ng to feel its effects. Demand for temporary jobs has been flat so far this year, while permanent posi ons have been more buoyant, riding on a wave of post-elec on, post-Brexit certainty. The businesses in our ‘Report on Jobs’ survey were clear that IR35 is a key reason for the slower progress in the temp market, which includes the contractor segment. This highlights a reversal in the trends we’ve seen over the past year or two, when the temps market has led the way as Brexit upheaval dampened demand for permanent employees. But IR35 isn’t the only issue on the to-do list. Other imminent changes to recruitment law have been just as hot topics at our events around the country – par cularly concerns around the key informa on document and the removal of Swedish deroga on from the Agency Workers Regula on rules (see page 4 for more on these). That is a lot of change in a me of general economic uncertainty – given that the final Brexit picture is not se led, and there were signs of a global slowdown even before the coronavirus emerged. Our message has always been that regulatory change is inevitable, but it has to be handled well. On IR35, the main issue is the lack of clarity from government about final rules and too li le progress on necessary regula on of umbrella companies. Any change that is made has to be fair and enforceable. That’s why the CEOs of 14 major companies wrote to the Treasury under the REC banner recently to ask that the new rules be delayed to give the government me to think again and make changes to get things right.
Will they, won’t they?
To put an anecdote to the uncertainty, the final legisla on was due to be published along with the budget on 11 March. That le just 17 working days before the 6 April implementa on date. However, as I was wri ng this column, the Chancellor resigned. Nobody expected that! As I write, it looks as if the Budget is s ll going ahead. But by the me you read this, things might have changed. This shows that it’s s ll not quite business as usual for poli cs and that means a lack of clarity for businesses and workers. My advice to all REC members is to prepare for changes to happen – so any policy improvements benefit you, but your business does not rely on them. The REC legal helpline and our lawyers are working hard to make sure you have all the informa on you need to do this. We are only ever a phone call away!
“Prepare for changes– so any policy improvements benefit you, but your business does not rely on them”
Ulঞmately, we must all take responsibility
These legal and tax changes are, no doubt, a challenge, but the industry has come through such mes before. I am a great believer in our resilience and op mism. But, more than that, state enforcement can only ever be a part of good prac ce. It was interes ng to hear Ma hew Taylor, in his first speech as Director of Labour Market Enforcement, acknowledge this and call for more robust voluntary standards as part of the solu on to protec ng workers and compliant companies. We’ll be fully engaged in that idea as it develops. REC standards and rules on compliance are market-leading and it remains my goal that more and more clients look for our badge because it is the mark of quality and trust in the work you do.
If you want to keep up to speed with all things recruitment then follow me on Twi er @RECNeil
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Leading the industry
the intelligence... UK: the third largest recruitment industry in the world Thalia Ioannidou, Research Manager, REC The UK has the third-largest recruitment industry in the world, according to the World Employment Confedera on’s (WEC’s) ‘Economic Report 2020’. The report, which compares the recruitment industries in major economies across the world from Brazil to Australia, and from Italy to China, found that the total value of the global recruitment industry was £418.9 billion (€473.4 billion) in terms of sales revenue in 2018. That’s a rise of 2% on the year before. Agency work accounted for 80% of this, worth £334 billion (€377 billion). Our place in the world This not only gives UK recruiters a sense of their contribu on to the global recruitment market, but it also offers insights into how well the industry func ons here compared to in other countries. UK recruiters are clearly making a huge contribu on:
80% Agency work accounted for 80% of the value of the global recruitment industry in 2018, worth £334 billion.
10% The UK is the largest market in Europe, responsible for nearly 10% of all placements in the region.
Puzzled by producঞvity? Look to recruitment Year-on-year change in NDR/NFI and employee numbers in 2019 +2.3%
2.5% 2.0% 1.5% 1.0% 0.5%
-0.2%%
0.0% -0.5% NDR/NFI versus last year
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Total employee versus last year
• The UK is the third largest in terms of agency work sales revenues, behind only the USA and Japan. These three markets comprise over half of global sales revenues (54%). • It is the fourth-largest market in permanent recruitment globally, behind the USA, Australia and China. • The UK is the largest market in Europe, responsible for nearly 10% of all placements in the region. It generates 23% of all agency work sales revenues and 42% of sales revenues in the direct recruitment market. Good recruitment, UK style With economic uncertainty, skills shortages and regulatory reforms domina ng the UK agenda, our contribu on to the global recruitment market is testament to the work done by our recruiters. As our ‘Recruitment Industry Trends 2018/19’ report revealed, Poli cians grappling with stagnant UK produc vity should look to the recruitment sector. Recruitment agency produc vity rose in 2019, despite sta c staff numbers. Last year the average recruiter had 0.2% fewer
£418.9 billion
the total value of the global recruitment industry in 2018
recruiters placed over a million people into permanent posi ons, genera ng £5.5 billion in revenues. There were more than 1.1 million temporary workers on assignment on any given day, genera ng £33.4 billion in revenues. This performance was achieved by 119,000 professionals across the country, part of a growing recruitment workforce. A er prolonged uncertainty and subdued ac vity, employers are star ng to make more hiring and investment decisions (‘JobsOutlook’, February 2020). How we leave the EU and on what terms will of course affect the recruitment market, but if the outstanding performance of the UK industry is anything to go by, recruiters will con nue to demonstrate resilience and will respond to changing needs with agility.
team members than in 2018, according to the median recruiter in the RIB Index across 2019. Despite this small fall, however, produc vity levels increased by an average of 2.3%, measured by net fee income (NFI) or Net Disposable Revenue
(NDR). This was not driven by an increase in fee earners, since the propor on of non-fee-earning staff rose from 28.6% to 30.6%. Small shi s in the recruitment agency employee base can therefore affect produc vity significantly.
Belinda Johnson runs employment research consultancy Worklab, and is Associate Knowledge & Insight Director of Recruitment Industry Benchmarking (RIB). The RIB Index provides bespoke confidenঞal reports on industry benchmarks and trends. www.ribindex.com
April 2020 Recruitment Ma ers
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Legal update
big talking point
Roles, rules and regs: what you need to do before 6 April On 6 April new laws come into force, which increase protec on for agency workers and aim to promote transparency in the supply chain. How will this affect you?
I
f you think repealing the Swedish deroga on is something to do with securing visas for an ABBA tribute band, or that pu ng a KID in place is what you do with your children while you go to work, you need to read this ar cle. As this magazine hits desks, you have about a week to ensure that you are up to speed with all the new rules concerning agency workers. It’s not just changes to IR35 that are going to make an immediate difference. Other regulatory developments may have caused less controversy than IR35, but they include changes that need immediate ac on. And, while some will merely involve providing exis ng documents faster, or in a new format, others will involve more work – including finding out crucial data from third par es. If you haven’t started preparing yet, there’s no me to lose.
on 6 April. The provision around workers waiving their right to equal pay will fall away, but the rest of the contract will remain valid and in force unless it is terminated by agreement in advance. What you need to do now Agencies using these contracts must decide the best way to manage them in future. In the short term, they must supply a wri en statement to all workers with Swedish deroga on contracts that won’t be terminated by the 6 April confirming that they are en tled to equal pay under the AWR. This must be done by 30 April.
2. Holiday pay reference period The period referred to when calcula ng holiday pay for workers with irregular hours will increase from 12 to 52 weeks. The maximum me that this can be applied retrospec vely is capped at 104 weeks. The reference period applies to workers whose pay varies because: a. they do not have normal working hours, or b. they have normal working hours, but their working days or mes change every week. If a worker has not yet worked for 52 weeks, the reference period is the total number of weeks they have worked.
The changes
1. Repeal of Swedish derogaঞon (pay between assignments) contracts Agency workers will no longer be able to give up their right to equal pay with comparable permanent staff in return for a guaranteed rate of pay during gaps between roles. Instead, workers will qualify for equal pay a er comple ng 12 weeks on the job. This is because the Agency Workers (Amendment) Regula ons 2019 repeals regula ons 10 and 11 of the Agency Workers Regula ons 2010 (AWR). This does not mean, however, that Swedish deroga on contracts will automa cally terminate 4
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8-10%
of agency workers will be affected by the repeal of the Swedish deroga on model.
33%
of recruiters are concerned about the effect of the changes on temporary and permanent recruitment.
1,105,000
temporary/contract workers were on assignment on any given day in 2018/19. The recruitment industry made £33,378m turnover from temporary and contract recruitment in 2018/19.
11,385
enterprises operated as temporary employment agencies in 2018/19.
3 in 5
of those who got a temporary job through an agency said they were sa sfied with the service provided. The change means that workers should get the same pay when on leave as they would if they were working. It will parঞcularly benefit workers who typically take leave
Key quesঞons Q: In pracঞce, when will the KID be given to workers? A: The KID should be one of the first documents that a worker receives and it should be given before terms are agreed with them. When a candidate registers with an agency they should get the KID either at registraঞon or shortly a[erwards. If a candidate submits a CV via an online portal then they should be given the KID when the agency knows that they can provide work-finding services to them and before terms are agreed. Q: Can I email the KID to candidates, or do they need to sign to acknowledge that they have received it? A: There is no requirement for workers to sign for the KID, but keep records to prove that they have had it. Sending the KID as an email a achment is fine, but keep proof that it has been sent. Q: What can I do now to prepare for the KID? A: You need to liaise with any intermediaries in the supply chain – such as umbrella companies – to get the informaঞon required for the KID. If you engage with these parঞes in advance, you will have all the relevant informaঞon when you need it. For example, do you know what the umbrella company’s profit margin is?
at quieter ঞmes of the year when the average weekly pay is lower. 3. Wri en statements Several changes relate to the requirement to provide wri en statements of the main terms and condiঞons of employment, or ‘parঞculars’. a) The right to receive a wri en statement will be extended from employees to all workers (including temporary workers). b) Employers must provide this statement on day one of employment (previously they had two months to do so). c) The statement must include addiঞonal informaঞon, such as whether any training is required and who will pay for it. What you need to do now As under the current rules, the informaঞon required in the wri en statement can be provided in another document, such as a
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contract of employment or le er of engagement. However, agencies must now ensure that workers get this document on day one of the engagement and that all relevant informaঞon is in the one document. 4. Key informaঞon document A new provision to the regulaঞons that govern agencies (known as the Conduct Regulaঞons) will require agencies that supply temporary workers to give them a ‘key informaঞon document’ (KID) before terms are in place. This is intended to address lack of transparency around pay (parঞcularly deducঞons from pay) caused by increasingly complex supply chains. The document has two parts, the first part sets out general informaঞon about the role and method of payment. The second is a representaঞve statement that includes real numbers and demonstrates how pay deducঞons will be made. What you need to do now Check the government’s guidance and look at the document templates. This document must be separate from any other documents. It must contain the specific informaঞon about pay and deducঞons set out in the legislaঞon and no addiঞonal informaঞon can be included. April 2020 Recruitment Ma ers
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Hadley’s comment
the view... The future of recruitment “Don’t just keep up with the changes in recruitment, seize the opportuniঞes,” says Tom Hadley, REC’s Director of Policy and Campaigns
F
rom ar ficial intelligence (AI) specialists to data protec on officers, new types of jobs are emerging in hotspots across the country. The world of work is changing rapidly. This is thanks to several factors including local growth strategies, new technologies and regula ons such as the General Data Protec on Regula on (GDPR). So what does it mean for recruiters? How can we make the most of the opportuni es that lie ahead? The answers are in our ‘Regions 2025 White Paper’, which was the focal point of the regional Future of Recruitment Forum events we hosted in associa on with LinkedIn. Industry leaders in these forums pinpointed some answers: 1. Harness tech and AI. Recruiters want to focus on ‘added value’ ac vi es, but the challenge is to
Building a future recruitment business through resilience Sign up now at www.rec.uk.com
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si through the plethora of new tech. Crea ng space to exchange intel with peers and experts is a priority. 2. Use local jobs and skills data. One in nine employers (90%) say that they look to their recruitment partners for one thing above all else: exper se. In the words of LinkedIn’s Darren Connolly: “Being able to analyse people’s talent is an increasingly sought-a er skill for employers looking to boost workforce planning; this is where recruiters can provide strategic advice to clients.” 3. Find new workforce soluঞons. Industry bodies and Local Enterprise Partnerships (LEPs) flagged workforce challenges as the biggest priority facing employers in their region. Recruitment professionals must seize the opportunity to find new solu ons to the skills squeeze. 4. Drive recruitment innovaঞon. Our ‘JobsOutlook’ report shows that word of mouth and passively adver sing jobs on company websites remain the top two recruitment channels. Now is the me to shout about our industry’s game-changing role in driving innova ve and inclusive hiring across all regions. That’s what our Good Recruitment Collec ve of over 500 employers is all about. £38.9 billion This grand total is testament to the recruitment industry’s resilience – an essenঞal trait for success in this industry. The REC’s annual industry report revealed encouraging stats for entrepreneurs looking to set up their own recruitment agency. These included: • More than 31,140 recruitment enterprises operated across the UK in March 2019. • Over one million people were placed into permanent roles in 2018/19 by the recruitment industry. • Temp and contract sales saw a net 25% increase on the previous year. • The REC predicts the recruitment industry will grow by 4.6% in 2019/20, 3% in 2020/21 and 5.9% in 2021/22.
5. Build bridges. Nurturing be er links between educa on and work is a priority across all regions. We saw great examples of recruiters making a real impact here. Promo ng and facilita ng engagement between recruiters, local schools and colleges is the core aim of the REC Future of Jobs Ambassadors network. Helping recruitment businesses to pre-empt evolving skills needs and build strategic rela onships with clients is at the heart of our partnership with LinkedIn. As well as posi oning our industry at the forefront of the future of work debate, our journey into the future is about providing prac cal support to recruiters and seizing new opportuni es. You can follow Tom on Twi er @HadleysComment
The industry is ready for you. Are you ready to enter the industry? The REC has been helping those keen to make a footprint in the recruitment industry for many years, parঞcularly via their threeday intensive Start-up training programme. Covering all the essenঞals of seমng up a viable recruitment agency, Start-up training also allows a endees to join the REC as corporate members once they complete it. Start-up training dates for your diary: 5 May, London | 16 June, London | 30 June, Manchester | 15 September, London | 3 November, London | 1 December, London Sign up at www.rec.uk.com or call 020 7009 2100 to book. www.rec.uk.com
03/03/2020 16:35
Inspira on
Q&A
Behind the scenes with REC Professionals Camilla Mitcham, Recruitment Partner at Anne Corder
Recruitment, on how recruiters can help when a large local employer goes bust – and what they get back in return.
Your offices are opposite Thomas Cook’s former headquarters. How did you get involved when the company collapsed last year? Thomas Cook was a big employer here and we had placed many of the people who were made redundant in their roles, so a lot of these people came back to us immediately when they lost their jobs. Others came because they heard about us through word of mouth. We also put no ces up on LinkedIn offering advice and encouraging people to come to see us. However, it was a challenging situa on. I wasn’t prepared for the raw emo on that we saw – one person came straight over on the Monday with all his things from his desk in a bag. We saw husbands and wives who had both worked there for years. And lots of people felt that it was like a family – most of their friends worked there too. I’ve never had people
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burst into tears in front of me at work before this.
What help could you offer them? Many of the people who came to us at Anne Corder Recruitment had not applied for a job for years. One person had worked at Thomas Cook for 34 years. They’d lost a huge amount of confidence and most had no idea how to write a CV and no experience of interviews. A colleague and I set up some CV workshops to give people the basics they needed. We ran about six onehour workshops with 12 people in each on the Friday a er redundancies were announced. At the end of the day I was exhausted, but it had been enormously rewarding to be able to help even in a small way. We also contacted local businesses and got them to do half-hour mock interviews with people to give them experience and boost their confidence. We posted up interview advice on LinkedIn and
also offered to give more tailored advice at a oneto-one level, but it was good to be able to give people other perspec ves and views from local businesses as well. That was really valuable. The feedback was hugely posi ve and people said it definitely helped them. We placed some people in permanent roles, but we also found temporary posi ons for others who wanted to work un l something more long-term came up. A few chose to take me out and are coming to us now they’ve had me to take stock and think about their op ons.
What were the commonest concerns? Apart from lack of experience applying for jobs and wri ng CVs, many people were unsure what their skills were and where they would be valued. Like other industries, the travel sector has specific job tles and I had to explain what job descrip ons were really asking for and why someone’s skills were
transferable and relevant to roles in other sectors, even if the terminology looked strange or in mida ng.
What did you learn from the experience? It really brought home to me the way that one day everything can be fine and the next day it isn’t. It was very important to me that I could share my knowledge and experience and that other people could benefit from it. That was so rewarding and I really felt I could give something back. I was shocked that people knew so li le about the recruitment process and it made me realise how valuable our experience and exper se can be. The most important thing we could do was to listen and try to help get people back on their feet and in the right place for them. It was hard to watch people who were so upset and bere and everyone in our office felt it. This made it challenging, but we learnt so much from running the workshops and from the people we helped.
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Products & training
Upcoming training Supercharge your professional development April 1 Business Development Planning (Birmingham) 1 Essen al Skills for Temporary Recruiters (London) 2 Essen al Skills for Permanent Recruiters (London) 2 Recruitment Law: Understanding the Essen als (Birmingham) 2 Social Strategy and Branding (London) 21-22 Balancing Act (Glasgow) 21 Candidate Sourcing and Management (Newcastle) 21-22 Introduc on to Recruitment Prac ce (London) 21 Recruitment Law: IR35 and Supplying Limited Company Contractors (Swindon) 23 Essen al Skills for Temporary Recruiters (Aberdeen) 23 Telephone Sales (London) 28 Business Development Planning (London) 28 Recruitment Law: Managing PAYE Temp Workers (London)
29 Recruitment Law: IR35 and Supplying Limited Company Contractors (London) 30 Social Media Recrui ng: Mastering LinkedIn (Birmingham) May 5-7 Start Up a Recruitment Agency (London) 6-7 Introduc on to Recruitment Prac ce (Birmingham) 7 Recruitment Law: Understanding the Essen als (London) 12 Business Development Planning (Newcastle) 12 Essen al Skills for Temporary Recruiters (London) 13 Recruitment Law: IR35 and Supplying Limited Company Contractors (Glasgow) 19-20 Balancing Act (London) 21 Recruitment Law: IR35 and Supplying Limited Company Contractors (London) 21 Successful Account Management (Birmingham) 21 Telephone Sales (London)
June 2 Social Strategy and Branding (Birmingham) 3 Essen al Skills for Temporary Recruiters (London) 3 Management Essen als (Birmingham) 4 Essen al Skills for Permanent Recruiters (London) 9-10 Introduc on to Recruitment Prac ce (London) 10 Telephone Sales (Bristol) 11 Perfect Client Mee ng (London) 11 The Comprehensive Interviewer (Swindon) 16 Business Development Planning (London) 16-18 Start Up a Recruitment Agency (London) For more informa on visit www.rec.uk.com/training
Upcoming events 7 April – REC Regional Forum: Spotlight on South (Portsmouth) Our new informal member forums are designed to encourage dialogue and learning and to enable ques ons, debate and conversa on around the topical issues that will make an impact on every recruitment business in 2020 and beyond. We will share market insights, industry data and research and discuss how to use compliance to win business and share best prac ce from across the industry.
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The official magazine of The Recruitment & Employment Confedera on Dorset House, 1st Floor, 27-45 Stamford Street, London SE1 9NT Tel: 020 7009 2100 www.rec.uk.com
12 May – REC Naঞonal Forum: Spotlight on Scotland (Glasgow) Find out what is going on and walk away with a clear view of what the market will be like for your business over the next year. Gather hints and ps on how to develop your business for success in uncertain mes. Each spotlight event will start with an open discussion to iden fy your ques ons and issues. Each event includes three dis nct sessions: policy, compliance and legal; the big picture; REC – how we can support you.
Membership Department: Membership: 020 7009 2100, Customer Services: 020 7009 2100 Publishers: Redac ve Publishing Ltd, Level 5, 78 Chamber Street, London E1 8BL Tel: 020 7880 6200. www.redac ve.co.uk Editorial: Editor: Ruth Pricke pressoffice@rec.uk.com Produc on Editor: Vanessa Townsend Producঞon: Produc on Execu ve: Rachel Young rachel.young@redac ve.co.uk Tel: 020 7880 6209 Prinঞng: Printed by Precision Colour Prin ng © 2020 Recruitment Ma ers. Although every effort is made to ensure accuracy, neither REC, Redac ve Publishing Ltd nor the authors can accept liability for errors or omissions. Views expressed in the magazine are not necessarily those of the REC or Redac ve Publishing Ltd. No responsibility can be accepted for unsolicited manuscripts or transparencies. No reproduc on in whole or part without wri en permission.
www.rec.uk.com
03/03/2020 16:35
IR35. The answer isn’t always Umbrella. It seems that in the payroll industry, it’s all about Umbrella. Sure, there are many different types, some more exotic than others, but it’s always the same answer, no matter what the question. And with IR35 and all of the other huge challenges facing recruiters today, we just don’t think that cuts it anymore. At People Group we think differently. We start with your business objectives and build our solution around them. And no, the answer isn’t always Umbrella. Take our PEO solution for example. It’s HMRC reviewed, incredibly simple and can give you real ĊíƘķǚŪDž ƘíDŽĻŞİƘ DŽėƑƘƫƘ íŞ ÀŜĉƑėœœí ƎƑŪđƫĊƤȤ Ùė ĉėœĻėDŽė ƤķíƤ Ƥķė ƑĻİķƤ ƎíNjƑŪœœ ƘŪœƫƤĻŪŞ ĊíŞ đėœĻDŽėƑ í ƑíŞİė Ūį ėįǙĊĻėŞĊĻėƘ ƤķíƤ DžĻœœ ĊŪŜƎœėƤėœNj optimise your performance. It all starts with thinking outside the Umbrella. Call or send us an email to book your free consultation.
hello@peoplegroupservices.com 0345 034 1530 peoplegroupservices.com
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BUMPY ROAD AHEAD BUT SONDER DRIVES SUPPORT BY COLIN COTTELL
ong anti-social hours, reports of people being paid just a few pence per package and the lack of career progression are just some of the negative perceptions that have grown up around being a courier driver. Alongside a loss of drivers from the EU and the exponential growth of internet shopping, these perceptions go a long way of explaining the UK’s long-standing shortage of drivers. According to the Freight Transport Association (FTA) in November 2019, there was a shortfall of 59,000 LGV drivers in the UK, along with a persistent shortage of van drivers. And a recent report by driver recruiter Driver Require says the situation is likely to be exacerbated by an exodus of foreign drivers in response to the forthcoming changes in the IR35 rules in the private sector. One man gearing up to take on the challenge is Tony Clarke, founder of Sonder Services. From his base in North Hants, Clarke is on a mission to promote driving as a well-paid and professional career that is open to everyone. Describing himself before making driving his career as “a very low-skilled, average person who was able to drive”, Clarke says he turned his life and career around “through training, learning and being willing to change himself and adapt”. Now he wants to help others in a similar
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position. Clarke says he particularly keen to target older people, and those who have left the military. The owner of his own driver franchise in the past, who worked for almost 10 years for a large courier company before being made redundant, Clarke set up Sonder Services in October 2017 as a sub-contractor to worldwide delivery company TNT, part of FedEx. “I realised there was a big opportunity if I looked at it as a career rather than just a driving job to earn a really decent wage to support my family.” Already earning £1k a week as a
"We prepare people and help them realise that it is actually quite a complicated job, and that there are lots of skills needed, such as planning, timekeeping, how you load the van and how you leave customers quickly without appearing rude"
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going to be a stop-gap’, and that it is not a great job and that they are having Roy O’Byrne says becoming a courier to do it,” she says. It is for this reason driver with Sonder has given him hope. that partnering with Brain Boxes, a After spending most of his working life as company that produces an interactive a general labourer, he says that at the age suite of tools and training programmes, of 53, “I didn’t think there was very much changing people’s mind set is a vital hope of changing my career”. But after aspect of the training, covering subjects joining Sonder just before Christmas, he such as the drivers’ self-esteem and says his outlook has been transformed. motivation. Identifying their individual Describing his previous working life as a strengths is also important, she series of “thankless jobs, where you never explains. “Are they going to be the get anywhere, and where I felt trapped, I now really friendly courier driver, or be have hope that I can be more than somebody known for being a speedy driver?” she else’s lackey”. After only a few months with says by way of example. Sonder, O’Byrne, who in the past has spent Taylor says a key aspect is tailoring time in prison, says he has identified “a information to suit individuals. She viable career path”, and has ambitions to sub-contractor, Clarke says individuals are profiled so that have his own drivers. says it was a traumatic they can extract the most relevant O’Byrne says he underestimated the job divorce last year that got material from programmes covering of courier driver. Not only the decent money him thinking: “I realised subjects such as preparing for new he now earns, but because it is lot more there must be lots of beginnings, developing professional complex and involved than he previously people who go through development plans, and creating and thought. “For want of a better term I thought things like this and they maintaining good mental health. it was for dummies. I didn’t realise,” he says. still need to support their Managing expectations of what the Among the skills that he has developed is family, as well as to job is and the sort of challenges time management, something that he says support themselves.” newcomers will face as a business he has also been able to apply to his life With one in five van courier driver is also a feature of the outside work. operators saying there is training. “We prepare people and help an urgent need for more them realise that it is actually quite a to be done to improve the complicated job, and that there are lots image profile of the industry, of skills needed, such as planning, timekeeping, how you according to the FTA, Clarke is load the van and how you leave customers quickly without clearly pushing at an open door as appearing rude,” she explains. far as reputable courier firms are Taylor says that after the first three or four days of working concerned. However, with some as a business courier it is quite common for drivers to have up continuing to pay low wages, and to 40 undelivered parcels in the back of their van. “They get one in five van drivers who are gig themselves in a flap,” she says. Taylor says warning people workers, thus finding it tougher about “the natural challenges”, such as these that they are than most to build a career, he likely to face at the start of their new career, means they are accepts that the road ahead is better prepared and less likely to be put off the job, potentially unlikely to be smooth. for good. “It’s important to sit down with people and explain this before they start, because as soon as they get into the Building confidence vehicle there are a thousand and one things to think about,” Charlotte Taylor, who advises Clarke she adds. That said, Taylor says that by going out on the road on how to best support and train with Clarke as part of their training, new drivers can pick up drivers joining Sonder, says that valuable tips that make them more efficient and earn them with most having been out of work, more money, such as both delivering and picking up parcels rebuilding confidence is a crucial from the same business at the same time. part of the company’s month-long training programme. “People Changing mindset probably come to us thinking, ‘It is Rather than deal with the sort of issues faced by – often
CASE STUDY
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vulnerable – people driving in isolation, someone goes to a courier agency, they Taylor says the company takes a holistic are always going to pick someone that approach. “If you run a course for people has two years’ experience over someone leaving the military on how to change who hasn’t got any experience, even mindset and they come out and can’t find though the experienced driver might a job, their mindset isn’t going to account have picked up some really bad habits and for anything, and if you offer them a job have a bad attitude. without the mindset stuff they are going to “We are not going to have enough jobs for struggle in work,” she says. everyone we train, so we want our training Sonder’s employment model can also be to hold value, and in turn to raise the tweaked to suit individual’s preferences, standards of the industry.” says Clarke. “People can be employed on a People who leave the military are also in yearly wage, perhaps to build up their Sonder’s sights, and Clarke says he has confidence in the system, and then move already been in contact with a number of into being a self-employed contractor,” he military charities. “These are people who explains. While one of his younger drivers joined at the age of 18, and come out having prefers the certainty of a set number of done 20 years at a low level in the military, hours a day and a stable income, those who and are likely to end up contributing to need a higher income tend to choose numbers of homeless and drug users; these self-employment, which includes having are the people we are trying to capture,” their own vehicle. says Taylor. As he seeks to take on more recruits, Despite their often challenging Clarke says drivers who are released by some backgrounds, Clarke has high aspirations for Tony Clarke, founder of courier companies when they reach a his charges. He has already identified two Sonder Services certain age are on his radar. “I know people drivers with the potential to go on to that get made redundant at the age of 60, greater things. “Those that that wish to but because they know the area they are very good push themselves could be turning over £100k and have their trainers,” he says, adding that two such people are about own depot within five years,” he says. to come on board. Clarke’s own plans include upgrading his fleet of vehicles Although nine people have already been through from the current vans to larger vehicles. In the summer he Sonder’s programme, as far as Clarke is concerned he has plans to move to Byfleet, where he intends to recruit more yet to get out of first gear. Although he has already been drivers, followed by rolling out the programme with more in touch with the Jobcentre and is happy to take people Jobcentres. “While there are still people out there who we referred by them, Taylor says the aim is for Sonder’s training can change how they think about the driving job, our target to be recognised as a stamp of quality. “Currently if will never stop and we will keep building,” he says. ●
“Those that that wish to push themselves could be turning over £100k and have their own depot within five years”
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SOCIAL NETWORK WHAT HAVE YOU BEEN UP TO? GET IN TOUCH! From building a school in Nepal to having a black-tie ball, you’ve been busy fundraising since the last Recruiter… LHI FUNDRAISES FOR THE BUSHFIRES International recruitment specialist LHi ran a global fundraising sales week in aid of the Bushfire Relief fund and to commemorate Australia Day (26 January). Each office hosted their own fundraising activities, from fancy dress, to bake sales and charity football matches, including selling handmade LHi Koala bracelets, raising over £10k for the relief fund.
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RESOURCEBANK GOES BACK TO SCHOOL IN NEPAL ResourceBank is marking its 25th anniversary by funding a brand new school in Nepal in partnership with the charity United World Schools (UWS). B Building the school is just one of the a activities planned to ensure the school tthrives, including MD and founder R Richard Pearson cycling 750km on a U UK tour of ResourceBank’s clients.
Mu M unich
Austin
Manchester
LHi raised £10k for the Bushfire Relief Fund
Meringden School is 60 miles South-West of Mount Everest, and will support a hard-to-reach village where the closest existing school is more than two hours walk away
London
BALTIMORE’S VINCENT EXCEEDS £20K TARGET FOR CANCER RESEARCH As mentioned in Recruiter’s January Social Network page, the ‘Bristol SMEs say NO to cancer’ event, organised by Baltimore Consulting’s CEO Charmaine Vincent, raised more than £23k for Cancer Research. Hosted by TV personality Jeff Brazier (above right), the prestigious black-tie event included a drink’s reception, a three-course meal, entertainment, raffle and networking opportunities. The event was held in memory of Vincent’s best friend, who died from brain cancer at just 27 years old.
I NSTAG RA M yorkshirestaffing Who’s ready for a productive Monday?? @recruitermagazine and a hot chocolate to get us started
the new Rick Hughes showcase athan Sanderson and its employees of n Company directors Jon dre chil the to Yorkshire Hub solar farm offices at the
CORECOM STAFF BRING KIDS INTO WORK IT recruitment agency Corecom Consulting opened the doors to its new headquarters at the Yorkshire Hub to employees’ children during half term. Home to the largest solar farm in Leeds City Centre, the children were treated to a tour of the Hub, a few table football matches and ‘pass the parcel’ with company directors and staff, and were given a short talk on how solar panels are used to generate electricity in the office and building.
@RecruiterMag instagram.com/recruitermagazine/ recruitermagazine.tumblr.com/
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The Workplace BY GUY HAYWARD
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The reality is that an increasing number of people want to work with companies that can show they are doing positive things for the environment or social issues – and absolutely for the right reasons, with causes directly linked to the direction of the company, and not just for the sake of it. Stephen Hahn-Griffiths, chief reputation officer of the Reputation Institute, supports this. “Tell the world what you’re doing to have a positive impact on society in a way that’s unique to your organisation.” Amoria Bond’s overall approach to CSR is fabulous, as is the success of its charitable trust over the past 12 years. Morgan McKinley’s ‘Million’ idea – contributing the equivalent of €1m to charities and worthy causes – surely impresses. Understanding and exploring our approach have taken us to a destination working within the social housing sector. Last year 94% of the world’s largest companies produced a CSR report – a 30% increase from 10 years ago. And there are some great examples. Adidas has organised a host of ‘Run for the Oceans’ events, raising money to combat marine pollution by plastic, raising more than $1m, in addition to working with environmental pressure
“An increasing number of people want to work with companies that can show they are doing positive things for the environment or social issues” group Parley to ‘upcycle’ plastic waste and turn it into high-performance sportswear. Last year, Lego started producing pieces made from plant-based polyethylene – the first of many steps in the company’s mission of making all bricks sustainable by 2030. It also has a goal of recycling 100% of its operational waste by 2025. In 2016, Walt Disney donated more than $400m to non-profit organisations supporting its mission statement to improve lives “by providing hope, happiness and comfort to kids and families who need it most”. And I love this example. Blake Mycoskie came up with the idea of TOMS while travelling in Argentina,
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CORPORATE SOCIAL RESPONSIBILITY. A significant and very relevant topic. Taken seriously by all, and implemented for all the right reasons? I wonder. By 2025, millennials will make up three-quarters of the workforce. And, according to a CONE Communications study, two-thirds of this demographic will not take a job at a company that does not have a strong approach to social responsibility. Socially responsible companies are even more important for Gen Z, who hold the belief that not only should they invest in improving society but in looking for solutions to make those improvements. The new generation of talent is drawn to these firms, firms that will be rewarded with hiring the very best. After asking the business what they thought about our approach, during January founder Paul Goodman and I listened to 21 different presentations from our people on their ideas. What struck us both was the genuine passion and interest in making a difference. Our global head of talent acquisition will tell you that questions about the maturity of our approach are her biggest discussion point during the attraction and recruitment process. I suspect it’s the same for you, too.
GUY HAYWARD – redefining the modern workplace CEO, Goodman Masson
seeing the difficulty that children suffered growing up without shoes. He committed TOMS to its ‘One for One’ campaign. This means that for every pair of shoes purchased, a child in need would also receive a pair. Since 2006, TOMS has donated more than 60 million pairs of shoes to people in more than 70 countries. So, while we might not all be the size of some global corporates, we all have it within ourselves to do something equally impressive. Maybe create your own charitable trust? ●
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BRING ON THE BRILLIANCE
↗ CARA DE LANGE is a burnout expert, speaker and author of Softer Success: prevent burnout, find balance, re-define your success
Can human connections prevent burnout? BY CARA DE LANGE
AT THE WORLD Economic Forum held recently in Davos in Switzerland, we learned that local clinics that used to treat tuberculosis are now treating burnout. In business and leadership teams, more people are suffering than ever before. The World Health Organization has called it a burnout ‘pandemic’.
But why is this happening and what can we do about it?
“The most important factor in workplace contentment is positive social relationships with others”
There are several reasons why burnout syndrome is becoming more common: managers making ever-increasing demands on staff to the point where they are skipping holidays or working during them; employees being afraid to set boundaries; the stigma associated with admitting to feeling stressed or not being able to cope; the fear of being passed over for promotion or a key role on a project if you admit to feeling overwhelmed. Another factor is emerging from the research: loneliness and social isolation in the workplace. In an article in the Harvard Business Review (‘Burnout at work isn’t just about exhaustion. It’s also about loneliness’, Seppala and King, June 2017), the authors analysed the results of the US General Social Survey 2016 in which, compared with around 20 years ago, people were twice as likely to report being exhausted. They found a significant correlation between feeling lonely and work exhaustion. Author Emma Seppala says: “In researching the book The Happiness Track, we found that 50% of people across professions, from the non-profit sector to the medical field, are burned out. This isn’t just a problem for busy, overworked executives.” The link between loneliness and burnout suggests that improved human connections at work may be key. The authors refer to a UK IMAG E | ISTO C K
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study that showed that the most important factor in workplace contentment is positive social relationships with others. Having experienced workplace burnout at first hand, I agree that enhanced human connections at work can be beneficial. However: • If you have a difficult manager, even if you do socialise with your colleagues, you might not choose to share your challenges with them. In many workplaces there is still a significant stigma around stress, burnout and mental health issues. Admitting to a problem can be regarded as a sign of weakness. • Many of us have a tendency to put up a front at work. It’s not always easy to be yourself, especially when under pressure, and this in itself can cause loneliness. This was certainly my personal experience. • The incidence of burnout is high among executive staff who, by virtue of their role and place in the hierarchy, are unlikely to socialise with members of their team. Often in large companies, teams and departments work in silos, so even socialising with their peer group might not be possible for senior managers. What can you do in your company or organisation?
• Encourage warm, friendly and understanding relationships between people. Jane Dutton, professor at the University of Michigan and co-author of Awakening Compassion at Work, argues that compassion fosters great workplace resilience • Help your employees build networks. Assign onboarding partners from the moment someone joins the company. • Offer workshops where teams and groups get together to work together and deepen the human connection ●
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ASK THE EXPERT I’m worried that low morale is hitting our productivity. What can I do? The results of studies into the correlation between levels of morale and productivity are not definitive, but in my experience good morale at a team level results in low staff turnover. Given that high retention rates are efficient in terms of both recruitment cost and productivity, I have no doubt that morale is key to maximising long-term profits in the recruitment sector, particularly when combined with effective performance incentives. Changes in morale – especially negative ones – can be sparked by an infinite variety of things, many apparently insignificant. They often have root at an individual level, but the dissatisfaction will typically spread to the rest of the team. To make morale even harder to manage, the root causes of problems may simmer almost imperceptibly before becoming exacerbated by other factors. For example, a team may tolerate poor management until missed targets increase individuals’ insecurity or make them feel under greater pressure.
Pre-emptively minimising problem(s) Responsibility for morale starts at the top. The leadership team needs to define the values and culture that will be most effective for the company, and then take ownership, in word and deed, for delivering that. Nurturing a generally positive atmosphere will make it easier to address the causes of morale problems. I encourage boards to ensure they are always celebrating positive news and behaviours, even when targets are being missed. Celebrating wins and individual successes, however small, is motivating and minimises discontent spreading as you resolve specific issues of morale.
General causes of morale issue(s)
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The SME Coach • Personnel management issues: micromanagement; bullying/ harassment; lack of consistency; unrealistic expectations (perceived or actual); lack of recognition/ appreciation; ill-defined progression path; lack of accountability; lack of support; and too little positive reinforcement. • Individual level issues: lack of job security; poorly defined job scopes and targets; bullying/ harassment; personal conflict; attitude; and a lack of a sense of achievement.
Pinpointing your problem(s) Reviewing employee 360s and staff exit interviews can help identify some problems, but formal and informal one-to-ones at all levels will typically generate a more holistic insight. Focus on the views and opinions of: 1 the people in the business it is most important you keep; and 2 individuals you rarely speak with. This second group can often feel ignored and disenfranchised and seeking out their insights may both give you a new perspective and make them feel a more valued part of the business, which can in itself improve morale. Consider speaking with former employees who, having got a little distance from the business, may now be willing to be more candid than they may have been at their exit interview. Finally, consider putting in place surveys and other feedback mechanisms, generally anonymous, that specifically monitor and address morale. These are becoming commonplace for a good reason. ●
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Team-building days, drinks evenings and so on can paper over cracks in morale and may provide a temporary boost. However, the benefit will be smaller and shorter-lived than it should be unless you address the root cause(s) of any problems, whether they are company-wide or relate to individuals. In terms of identifying issues, the most common factors that erode morale include: • Cultural management issues: lack of leadership or confidence in it; bullying/harassment; poor vision or planning; unrealistic expectations; mismatched communication and behaviour; lack of recognition; poor understanding of workforce needs (technology, support and benefits); and a lack of positive reinforcement.
Alex Arnot
ALEX ARNOT is founder of MyNonExec and board adviser to more than 30 recruitment companies
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e “I have been fortunate to work with some ave fantastic role models in this space who have d sage mentored me over the years and provided advice on how to juggle those plates”
MY BRILLIANT RECRUITMENT CAREER What was your earliest dream job? I’m passionate about languages and from an early age was brought up speaking French. I always wanted to be a primary school teacher and incorporate languages into the early years curriculum.
I worked as a retail operations manager and helped set up a small business. When the credit crunch hit in 2008, it hugely affected trade. I put my CV on various job boards and was inundated by recruiters asking me to switch career. I was fortunate to be offered an opportunity with a FTSE 250 firm to specialise in accountancy and finance recruitment.
Who is your role model in life or in recruitment? In life – my father. He instilled a strong work ethic in me from early on and taught me how to value relationships. I don’t have a specific role model in recruitment, but, as a working mother in a demanding leadership role, I have been fortunate to work with some fantastic role models in this space who have mentored me over the years and provided sage advice on how to juggle those plates.
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What was your first job in recruitment and how did you come into it?
HAYLEY PACKHAM, operations director, Procurement Heads
HAYLEY PACKHAM a team that has been formed only in the past 15 months. Some of the consultants are graduates in their first ‘real’ job. We are about to have the best year in our trading history.
What is your signature dish?
What would you consider to be the most brilliant moment of your career?
The same candidate kept pulling out of interviews because of their nan dying. They’d lost three nans in as many months, so I was a little sceptical.
We have moved into a new office space recently to help achieve further growth. I feel proud when I drive to the office, knowing what we’ve achieved in such a short time.
at What do you most about current role?
love your
well-
I thrive on successes and achievements. We are
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others’
What’s your top job to fill the moment? greenfield head of procurement role for a known insurance organisation in Hampshire which has never previously had a procurement function.
I make a mean lamb rogan josh.
Laugh or cry, what did your most memorable candidate make you want to do and why?
What’s the best or worst interview question you have ever heard? The worst was for a head of finance role – If you were a sandwich, what type would you be and why? The best – in five minutes, could you explain something to me that is complicated but you know well?
What would you regard as your theme tune? Don’t Stop Me Now by Queen.
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AUDLEY GROUP The provider of luxury retirement villages has appointed Lisa Rickman as group HR director.
appointed Brian Johnson as managing director.
GATENBYSANDERSON Tessa Harrison has joined the executive permanent & interim recruiter as partner in its education team.
GREYCOAT LUMLEYS
CHILWORTH PARTNERSHIP Ruth Snell (centre) joins the Hampshire recruiter leadership team as director.
CV-LIBRARY The careers site welcomes Darren Baker as head of finance and Paulo Favinha as head of development.
EAMES CONSULTING GROUP The professional services recruiter welcomes Sean Kennedy as associate director. Emma Davie is also promoted to operations manager.
FORWARD ROLE The Manchester-based marketing, digital and IT recruitment firm has
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The private household and corporate recruitment consultancy welcomes back Diana Cheal, who has returned to the agency to head up its corporate sector. In her previous role at the firm, she managed the catering & hospitality team.
Spaceflight company Virgin Galactic has appointed Diane Prins Sheldahl as its executive vice president of people and organisation. She will be responsible for leading Virgin Galactic’s people organisation for both Virgin Galactic and The Spaceship Company (TSC). Her team will also be responsible for Virgin Galactic’s and TSC’s organisational design and execution of the organisation’s HR strategic initiatives. George Whitesides, CEO of Virgin Galactic, said: “I’m delighted to have Diane join our team. Her appointment signifies the growing scale of our operations as we continue to build towards commercial spaceflights. We need the best and brightest and Diane’s appointment will help us ensure that Virgin Galactic remains a preferred employer in the commercial space industry at this pivotal and exciting time.”
search and talent advisory business has appointed Mark Lewis to its board of directors.
HORTOR
MCGREGOR BOYALL
The Yorkshire-headquartered recruiter has appointed Gill Robinson as client services director.
The global recruitment specialist has appointed Mark Hibbs as head of practice – finance and audit for its UK operations.
IMPELLAM GROUP The multi-sector recruiter has appointed Tim Briant to its group board as group chief financial officer.
IMULTIPLY The finance and executive search specialist has appointed Kris Flanagan as managing director.
LIVINGSTON JAMES GROUP The Scottish executive
Email people moves for use online and in print, including a short biography, to recruiter.editorial@redactive.co.uk
MERJE Michael Brennan joins the multi-sector recruiter as head of business development.
OSBORNE APPOINTMENTS Best International Group founder and entrepreneur John O’Sullivan has joined
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the multi-sector recruiter’s board as non-executive director. The agency’s founder Steve Thompson stays on in a strategic marketing and business development capacity.
recruitment company has appointed Darren Wells as EMEA CEO.
TALENT INSIGHT GROUP The research firm welcomes Sarah Wrigglesworth as recruitment manager.
WILLIAM BLAKE GROUP
PERTEMPS Evelyn Costello has joined the nationwide recruiter in its specialist professional services recruitment team in Scotland as senior consultant – HR & training division.
REDLAW
The finance and accounting staffing specialist welcomes Ben Townson as head of its digital solutions practice focusing on digital transformation, data analytics, and project and change roles, both for permanent and interim vacancies. James Gray is promoted to lead the firm’s permanent and temporary finance and accounting business, focusing on senior qualified professionals.
The legal recruiter has promoted Mark Neal from head of business services and paralegal recruitment to associate director.
STAFFLINE CEO Chris Pullen has stepped down for personal reasons after a challenging year for the recruitment and training group.
STANTON HOUSE The transformation, technology and professional services recruitment consultancy has made two strategic internal appointments. Nick Eaves, co-founder of Stanton House, has taken on the role of global development director; succeeding Eaves as chief customer officer is director Kevin Culverhouse.
TALENT The global technology
Redactive Publishing Ltd 78 Chamber Street, London E1 8BL 020 7880 6200
CONTACTS EDITORIAL +44 (0)20 7880 7603 Editor DeeDee Doke
RECRUITMENT ADVERTISING Recruitment@recruiter.co.uk
+44 (0)20 7880 6215
deedee.doke@recruiter.co.uk
Reporters Colin Cottell, Graham Simons colin.cottell@recruiter.co.uk graham.simons@recruiter.co.uk
Contributing writers Sue Weekes Production editor Vanessa Townsend vanessa.townsend@recruiter.co.uk
Art editor Sarah Auld Picture editor Akin Falope ADVERTISING +44 (0)20 7880 6213 Sales manager Paul Barron paul.barron@redactive.co.uk
+44 (0)20 7880 6231 Senior sales executive Joanna Holmes
PRODUCTION +44 (0)20 7880 6209 Senior production executive Rachel Young rachel.young@redactive.co.uk
PUBLISHING +44 (0)20 7880 8547 Publishing director Aaron Nicholls aaron.nicholls@redactive.co.uk
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40-41 PEOPLE MOVES_RECRUITER APRIL 2020_Recruiter 41
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E THE LAST WORD CO M M UNITY
“It’s clear that for good quality candidates, taking a longer-term business view is inherently useful”
Alan Furley Stop the ‘Yes sir/No sir’ rot by giving your recruiters the confidence to challenge
ecently, I’ve been hearing how candidates hold all the power, so recruiters have to bow to their demands and forget about trying to influence their decision. Compared to when I started in recruitment nearly two decades ago there’s no doubt the current lack of top talent changes how recruiters need to engage – but it shouldn’t be at any cost. Recruitment leaders need to instil confidence in our teams to be able to push back on a candidate that may have high-market value but ill-defined or unclear demands and expectations. If a hot candidate wants to accept a counteroffer, why wouldn’t a good recruiter explain how often they see this decision play out badly once six months has passed? If a great candidate is tempted to take the extra £10k for a dead-end job,
R
42 RECRUITER
when they are leaving their job because of lack of progression, why not help them make a logical decision rather than run to the cash and be unhappy? While ‘back in my day’ the approach of making time for candidates would have been the sole preserve of developing client relationships, it’s clear that for good quality candidates, taking a longer-term business view is inherently useful.
Adding value Time and again I see this is where good recruiters really add value. If you are making a market in an area, the overview and insight you can add to someone looking to move is collateral itself and obviously paves the way for a longer-term relationship that will come back to pay dividends. And this is not just for the top-of-the-tree candidates. We need to be focusing time
and energy on those who are coming through the ranks. In our industry of technology, that might mean a mid-level software engineer who is looking to make a step sideways or move up the chain. This standard of individual will also, in my experience, respond well to being taken seriously and make them less likely to scattergun the market with their CV just to see what happens. But only if you, and they, are having clear conversations on the value a good recruiter can add, and what the rules of the game look like. It’s a process that has the added benefit of allowing the recruiter to take a view on whether the candidate is actually just in the game to get a counteroffer in the first place. The truth is that, no matter how lofty our ambitions, giving our recruitment teams time to do this effectively is a
challenge. Even as our profession moves into more progressive mindsets, this can seem like a significant cultural shift to many.
Building relationships After all, it’s easy for people like me, in director roles, to leave the office and develop relationships without having to answer to anyone or explain our actions, but it may feel difficult to allow a more junior team member the same freedoms – especially for a candidate. But we shouldn’t forget the value of the thousands of conversations with candidates about their priorities in a new role and how we have reaped the rewards of what that insight has given us. It’s this that we should be prepared to pay for because in the long term we will see the greater return. ●
Alan Furley is a director at ISL Recruitment
APRIL 2020
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83%
Of contractors we surveyed said they have not yet been spoken to about IR35 by the business or businesses they contract for.
MAKE SURE YOUR RECRUITMENT AGENCY IS PREPARED FOR THE CHANGE! With only a few months left to prepare – speak to the experts for a FREE IR35 education session.
Get in touch with our agency support team: 01925 694 521 | agencies@brookson.co.uk | brooksonone.co.uk/recruitermagazine
*Conducted by Brookson Legal, between 15th April 2019 – 30th June 2019. Based on 502 Brookson contractors working in the private sector.
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03/03/2020 14:37 10:15 07/01/2020