Recruiter January 2019

www.recruiter.co.uk

INCORPORATING Recruitment Matters

01_COVER Jan.indd 1

STARRY NIGHT 05/12/2018 11:55

No Carol needed for this one.

We guarantee to save you up to 89% on your Payroll, and give your workforce access to additional work perks & benefits. :m gh ^qmkZ \hlm% p^ ikhob]^3 Hgebg^ @I% <hngl^eebg` H\\niZmbhgZe A^Zema :]ob\^ /%)))$ K^mZbe @rf =bl\hngml AK% >fiehrf^gm EZp :]fbg Lniihkm !b_ g^^]^]" @=IK <hfiebZgm ^IZrlebi =blmkb[nmbhg I^glbhg IeZgl =^]b\Zm^] <hglnemZgm

3 3 1 9 8 0 5 8 9

33

Average number of employees in an SME

x

£5

Average outsourced payroll cost per employee per month

= £1 ,98O

Annual cost for outsourced Payroll services

I_ rhn k^ ehhdbg` mh reduce your Payroll costs Zg] phne] ebd^ Z FREE business consultation, e^m l aZo^ Z \h__^^ Zg] Z \aZm'

E: sales@growthpartnersplc.co.uk W: www.growthpartnersplc.co.uk T: 0116 248 9459

REC.01.19.002.indd 2

89 %

Maximum percentage we can guarantee to save you on Payroll costs

@GrowthPartnersPLC

Some phones can scan QR codes in Camera mode. Try yours.

@GrowthPartnersPLC @GrowthPartnersPLC @GP_PLC 05/12/2018 17:10

C R ONT ENT S

18

38

INCORPORATING Recruitment Matters

A

NEWS

05 The inaugural Club HOT

07

07

08 10

B

1OO kicks off in style It’s the most exclusive recruitment club in the UK – the HOT 1OO most profitable recruitment companies gather to celebrate their success in making it on the list Alcohol tops addiction list for recruiters Recruitment professionals are travelling to a facility in Thailand to get help for their addictions Start-up of the Month: SESAME Emily Buckland on starting up her PR staffing business This was the month that was...

Contracts & Deals

TRENDS

D

FEATURES

18 THE BIG STORY

Recruiter’s HOT 1OO Overseas business has driven fee growth for many of this year’s 1OO most profitable recruitment firms in the UK

15

E COMMUNITY

30 Community: Upstart

33 35 36 38

40 41 42

Different strokes: Rhys Maddocks and JobSwipe Social Network The Workplace: Guy Hayward Business Advice: Alex Arnot My brilliant recruitment career: Becky Oram, Class People Movers & Shakers Recruiter contacts The Last Word: Alan Furley

12 Insight

15

C 16

17

Quality not quantity matters for in-house recruiters Tech & Tools New vibe in hiring: HireVibe’s blockchain model disrupts recruitment

42

INTERACTION Viewpoint James Taylor, MD at Macildowie Soundbites

I M AG E S | I STO C K / A LA MY

p03_recruiter_contentsNEW-3.indd 3

12 WWW.RECRUITER.CO.UK 3

06/12/2018 14:55

Search 13 million CVs and advertise jobs in all sectors!

REC.01.19.004.indd 4

05/12/2018 17:12

N E WS

UPDATE

WE LCO M E

LEADER

H

appy 2019 – the season of celebration is fully upon us!

Beginning with our Investing in Talent Awards in late autumn, we’re in full swing now with the reveal of our annual HOT 100

rankings at our recent high-level launch of Club HOT 100 – and in the pages of this issue, the full list of the most productive UK recruitment companies with an analytical narrative from Sue Dodd of Agile Intelligence.

In the shadow of Brexit, you’ll find Sue’s points

“Before your team breaks for the holidays, submit your entries for the 2019 Recruiter Awards”

about our sector’s high performers very instructional.

And so that your company can also join Club HOT 100, make sure that she has your most recent financials by mid-2019. Get

that in your diary now!

Before your team breaks away for the holidays, submit your entries – or at least start them – for the 2019 Recruiter Awards.

Make 2019 a winning year all-round for you, your team and your business.

Have a wonderful holiday season, and as your first resolution for the new year, resolve to keep us informed about your business successes, your innovations and all the ways you’re making recruitment the UK’s most dynamic profession and industry!

DeeDee Doke, Editor

The inaugural Club HOT 100 event celebrated the companies who made it into Recruiter’s HOT 100 list of most profitable firms per head. Turn over for more…

WWW.RECRUITER.CO.UK 5

p05_07_recruiter_newsv2.indd 5

06/12/2018 14:37

NE WS

UPDATE

HOT 100 mix at exclusive club

BY DEEDEE DOKE

ENJOYING A 360-DEGREE view of London, members of the elite Club HOT 100 gathered at Milbank Tower on 22 November to get the first glimpse of Recruiter’s HOT 100 2018.

Club HOT 100 membership consists of recruitment agencies who have been ranked in the prestigious annual listing since its inauguration in 2006.

Boosting spirits even higher on the night were musicians the Winklepickers, whose upbeat tunes matched the mood and ambition of the event.

6 RECRUITER

p05_07_recruiter_news .indd 6

JANUARY 2019

06/12/2018 14:21

37,542 FOLLOWERS

N E WS

UPDATE

AS OF 6 DECEMBER 2018

Alcohol tops addiction list for recruiters

IM AGES | CAPT URISE / ISTOCK

BY DEEDEE DOKE

ALCOHOL, METHAMPHETAMINE and heroin are the top three addictions for which recruitment professionals are treated at a leading addiction facility in Thailand, according to officials at The Cabin Chiang Mai. UK recruiters rank third geographically for numbers of recruitment professionals treated at the facility, part of The Cabin Addiction Services Group, with Australia and Hong Kong coming in on top and second, respectively, a spokeswoman for the facility told Recruiter.

Nearly half of those treated who work in the recruitment sector are aged between 27-37 years, and 87% are male.

“The recruitment industry is a high-pressurised sales environment with a ‘work hard, play harder’ culture,” Andrew Leach, counsellor and clinic lead at The Cabin Chiang Mai, told Recruiter. “It is typically dominated by young males. Recruitment can be a stressful job but also a highly fulfilling and financially rewarding career path.

“Some people with the disease of addiction are drawn to highly competitive and reward-based environments where acquiring status, power and money are regarded as the norm and are encouraged behaviours.”

Leach continued: “Such environments are common in the recruitment industry, which can attract people whose neurological reward system requires greater activation than others. These individuals are likely to experience boredom more acutely and require greater stimulation, greater reward and greater pleasure than the average person.

“This,” he concluded, “can lead into dependency and addiction.”

Among The Cabin’s UK clients overall, cocaine is the number two substance addiction treated, with alcohol in first place and heroin the third. Nearly 60% of those treated for cocaine addiction have a professional career or work in a white-collar occupation.

STA RT-UP OF THE MONTH SESAME The former head of brand communications at public relations firm Porter Novelli has set up PR staffing specialist SESAME after 18 years in PR. Emily Buckland (far left) told Recruiter the idea to set up her own recruitment agency came when she was handling talent management in her previous role and reached the conclusion that she could provide a better service than the one she had been receiving from headhunters and recruiters.

Buckland explained

all four of the firm’s staff have worked in PR before and it was that knowledge and network from working in the sector that sets the business apart. And in this ever-evolving sector the agency does offer some PR consultancy to a handful of clients, which has the added benefit of helping to keep on top of emerging trends.

She added that consultants don’t have targets, as their main aim is to ensure the right people are matched with the right roles.

While the agency recruits from graduate level through

to heads of PR, Buckland said the agency champions emerging talent.

“Often, particularly in comms and PR, when you get into the industry at that entry level it is about who you know or often it’s friends of friends that open doors… What we thought is our purpose is to open the doors for that emerging talent so that they have got an opportunity really to shine and get onto that career ladder, which is why we called the company SESAME because it is about opening up opportunities for people.”

Find more daily news stories at recruiter.co.uk/news p05_07_recruiter_news .indd 7

WWW.RECRUITER.CO.UK 7

06/12/2018 14:21

NE WS

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 December issue of Recruiter was published N O V E M B E R •‒‒‒‒‒‒‒‒‒‒→

T H U, 8 N O V E M B E R 2 0 1 8

GI GROUP ACQUIRES FINAL FIVETEN BRAND MARKS SATTIN Gi Group has acquired the last of FiveTen Group’s brands – Marks Sattin. The international recruiter revealed its UK business had bought the accountancy and finance recruiter for an undisclosed sum.

FiveTen Group first formed as Greythorn Group but changed its name to FiveTen back in 2007. It once operated six recruitment brands covering a number of sectors. These included marketing, digital and communications recruiter EMR; technology staffing specialist Greythorn; legal and compliance recruiter Laurence Simons; HR recruiter Ortus; Antal Russia; and Marks Sattin. Marks Sattin was the last remaining brand operated by the company to be sold.

Gi Group UK CEO Bev White (below) said Marks Sattin, which has offices in Birmingham, Dublin, Leeds, London, Manchester and Reading, would give the group “instant traction” in a key target sector: “Marks Sattin’s presence in Central London and Dublin also provides immediate access to areas of increasing commercial importance for us while the addition of high level search and selection expertise is perfectly aligned with our national and global growth strategies.”

A Gi Group spokesperson told Recruiter Marks Sattin’s existing management team would “very much” be part of the group’s future.

More: https://bit.ly/2Sv3IBu

MON, 12 NOVEMBER 2018

RECRUITMENT TECH PROVIDER WINS BIG AFTER DRAGONS FIGHT OVER INVESTMENT A recruitment technology provider is planning further international expansion of its business after securing a £100k investment on BBC TV’s Dragons’ Den. Online reputation management firm BrandYourself.com (above) secured £100k for a 2% stake in the business from dragon Peter Jones. On Dragons’ Den, entrepreneurs get three minutes to pitch their business ideas to potential investors – ‘the dragons’.

The firm’s software uses AI technology to scan users’ online presence, identifying risk factors, including unwanted search results, risky social media posts and images, and exposed private information, and then guides them through the process of building a better personal brand online.

Recruiter asked how BrandYourself.com planned to use the funding. CEO Patrick Ambron revealed the firm is set to continue investing in its product roadmap.

“This includes new features centred around a consumer’s privacy, doubling down on our AI/machine learning models to accurately find risk factors online, and expand the offerings we have for larger enterprises. We also plan to use the funds to continue our international expansion, particularly in regards to partnering with UK enterprises,” he added.

More: https://bit.ly/2U8XWHc

8 RECRUITER

FRI, 23 NOVEMBER 2018

GETTING NEW RECRUITS UP TO SPEED FAST KEY FOR HOT 100 SUCCESS Recruiting the right people and helping them hit the ground running is what makes Recruiter’s HOT 100 recruitment agencies stand out in the market.

That’s the view from the agency leaders Recruiter spoke to at the inaugural Club HOT 100 event (see above) at London’s Skyloft, near the Houses of Parliament [on 22 November].

At the event, assembled agencies heard first-hand which agencies had made this year’s prestigious list, which is produced in association with Agile Intelligence and ranks companies by their productivity, and where they came in the list. (The full list, produced in conjunction with Agile Intelligence, is published on pp21-22 of this issue.)

More: https://bit.ly/2Ed3o7e

JANUARY 2019

p8_9_recruiter_NOV18_month-that-was.indd 8

06/12/2018 14:22

MON, 3 DECEMBER

SECRETARY ROLE BY ROYAL APPOINTMENT Fancy swapping recruitment for working for Prince Edward? You’re in luck as Royal Central reports the Earl and Countess of Wessex are seeking a new private secretary to start work in 2019. The new recruit, based mainly at the Royal household of Bagshot Park, will be responsible for managing the royal couple’s household and to accompany them on engagements both in the UK and abroad.

The role has become vacant due to Tim Roberts leaving the position after five years in the job.

More: https://bit.ly/2PiM1TN

31

DAYS

I M AGE S | I STO CK / SHUT T ERSTOCK / JON ENOCH / CAPT URISE

←‒‒‒‒‒‒‒‒‒‒• D E C E M B E R

MON, 3 DECEMBER

W E D, 5 D E C E M B E R 2 0 1 8

RESOLUTION FOUNDATION CALLS FOR REPEAL OF SWEDISH DEROGATION

FORMER RECRUITMENT HEALTHCARE CEO CHARGED WITH ASSAULT

The Resolution Foundation has called on government to repeal the ‘Swedish derogation’ to stop firms from being able to avoid paying agency workers the same as directly employed staff.

The recommendation comes in a report, published by the think tank late last week. The think tank said they consider the pay penalty of 16p an hour it observed when looking at agency workers who have been in the same job for three months or more justifies the repealing of the Swedish derogation, as recommended in the Taylor Review.

In the summer of 2017 Matthew Taylor, head of the Royal Society of Arts and a former adviser to Tony Blair, laid out his recommendations after being asked by Prime Minister Theresa May in November 2016 to conduct a review into modern employment practices.

The foundation also calls for agencies to be required to provide a written, standardised statement outlining workers’ entitlements on their first day of work and for the Employment Agencies Standards (EAS) Inspectorate to take the lead role in fighting labour exploitation by piloting enforcement taskforces comprising the local authority, the police, the Gangmasters and Labour Abuse Authority (GLAA), HMRC and the Health and Safety Executive in key agency worker hotspots.

Tawhid Juneja, the former CEO of UK healthcare recruitment agency Primary Care Professionals (PCP), has been charged with two counts assault. He has pleaded not guilty.

Hertfordshire newspaper The Comet reports Juneja was charged with two counts of assaulting his wife by beating, and also charged with coercive and controlling behaviour towards his wife. Juneja pleaded not guilty to all counts at St Albans Magistrates’ Court and has been bailed pending trial.

In August 2017, multi-discipline recruiter McGinley Group acquired the trade assets of the healthcare recruiter after PCP fell into administration. McGinley Group confirmed Juneja left the business in July.

In a statement to Recruiter, his solicitors said: “My client deeply regrets that these allegations, which he strongly refutes, have been made by his ex-wife. Mr Juneja denies that he has acted unlawfully and will vigorously defend these matters at trial.”

More: https://bit.ly/2ANV2yR

W E D, 5 D E C E M B E R 2 0 1 8

RECRUITER HOT 100: THE HOT 10 TECHNOLOGY RECRUITERS As part of Recruiter’s HOT 100 list of topperforming recruitment firms in the UK, firstly we look at the HOT 10 technology recruiters.

(The full HOT 100 list, produced in conjunction with Agile Intelligence, is on pp21-22 of this issue.)

Technology (IT/Telecoms) specialists were consistent with last year, contributing 33 companies in this year’s HOT 100. This is by far the most frequently occurring sector in the HOT 100, while among the 20 companies ranked immediately below the HOT 100 there is even greater percentage representation with a record eight further Technology recruiters.

The Technology HOT 10 mainly offer a varying mix of contractors and permanent candidates; this year there are three or four recruiters who are biased very heavily towards contract placements, and two of these will command higher margin as they mainly supply specialists overseas. The UK market, especially for volume IT contractors, is substantially commoditised – even for the more niche markets and those with higher entry barriers, such as security-cleared candidates, margin remains highly competitive.

HOT 10 Technology Recruiters LA International The Bridge (IT Recruitment) Modis International Marlin Green People Source Consulting Red Commerce Ajilon UK WA Consultants CD Sales Recruitment Next Ventures Group

More: https://bit.ly/2QDp9mv

Gross profit/employee £174,172 £173,000 £162,492 £160,737 £158,595 £154,063 £143,712 £138,434 £135,286 £135,016

More: https://bit.ly/2zItCe7

Find more daily news stories at recruiter.co.uk/news p8_9_recruiter_NOV18_month-that-was.indd 9

WWW.RECRUITER.CO.UK 9

06/12/2018 14:22

NE WS

CONTRACTS SPONSORED BY RECRUITMENT MERGERS

CONTRACTS & DEALS

10x Psychology Psychometrics provider 10x Psychology has agreed a strategic partnership with HR consultancy Front Talent in a partnership that establishes 10x Psychology in the UAE region. The collaboration sees 10x Psychology provide its suite of predictive psychometric tools to bolster Front Talent’s existing services, allowing companies to understand the probability of success for each candidate and how their skills are likely to change over time.

LB Education Group/TeacherHub LB Education Group has expanded its portfolio of education recruitment firms with its investment in TeacherHub. With offices in Bristol and Watford, the TeacherHub deal enables LB Education to expand its geographical reach and footprint into the South-East, as well as strengthening its position as a brand of choice in the SouthWest. TeacherHub comprises five staff, including managing director Mark Fearon, who worked on a consultancy basis with LB Education firm Class People in 2011.

Morson Group Technical and engineering recruiter Morson Group has acquired multi-disciplinary engineering, technical and risk management consultancy Waldeck. Under the deal, Waldeck becomes a wholly owned subsidiary within the Morson Group, maintaining its own brand and contracts while working alongside other Morson Group companies.

Yolk Recruitment Cardiff-based Yolk Re Recruitment has been named as a supplier on the Crown Commercial Service (CCS) permanent recruitment framework. The CCS supports the public sector to achieve maximum commercial value when procuring common goods and services. The agreement covers recruitment for permanent appointments, fixedterm appointments and inward secondments, both for individual candidates and at volume.

Airswift Airswift, a global workforce solutions provider for the energy, process and infrastructure sector, has won a contract with oil & natural gas firm Repsol Sinopec to provide payroll and recruitment services. The contract win follows on from Airswift’s new office opening in Aberdeen, which will act as a support location for services including recruitment, client and contractor services to manage local projects, such with Repsol. Client service manager David Gibb has joined to oversee the office.

Zenjob Berlin-based tech start-up Zenjob has raised €15m (£13.3m) in a Series B financing round, led by AXA Venture Partners. Additional investors include current investors Acton Capital Partners, Redalpine and Atlantic Labs. The capital will be invested in technological product development and the expansion of the business across Germany and beyond. Zenjob is a platform that helps large and medium-sized businesses find student staff.

DEAL OF THE MONTH

nGAGE Privately-owned specialist recruitment firm nGAGE has acquired Henlow Recruitment Group, a QuantTech recruitment business operating in the UK, Europe, the US and the Middle East. Henlow was set up in 2013 by joint CEOs Matthew and Andrew Clarke. nGAGE Group CEO Tim Cook, chief

10 RECRUITER

p10 contract deals-NEW.indd 10

JANUARY 2019

financial officer Andrew Burchall and chief operating officer Adam Herron managed the transaction for nGAGE. Due diligence was carried out by RSM Corporate Finance and Grant Thornton. While terms of the deal were not disclosed, Recruiter can confirm Henlow’s joint CEOs will remain with the business.

For more information

www.recruitmentmergers.com charlie.watson@recruitmentmergers.com

More contract news at recruiter.co.uk/news 06/12/2018 09:33

ACQUISITION OPPORTUNITY REFERENCE CW0111 LOCATION East UK

HIGH-STREET AGENCY, EAST ENGLAND

Key business features

Overview

• Significant year-on-year growth since inception

Recruitment Mergers is currently representing a leading high-street

• Loyal, diverse customer base

agency based in East England which supplies both temporary and

• Substantial room for expansion

permanent personnel.

• 10 employees

After experiencing many years of successful trading, the business is

Financial Information

now for sale and seeking a strategic trade buyer.

• Long-established high-street agency • 90% temporary / 10% permanent • Consistent repeat business with excellent client relationships

Turnover: 3.4m The shareholder is looking to dispose of all the issued share capital

Gross Profit: 844,375

and is happy to commit to an earn out with deferred payments.

EBITDA: 231,919

Don’t miss out Please don’t hesitate to get in touch with us and learn more about this fantastic opportunity.

GET IN TOUCH...

Charlie Watson

Principal M&A Consultant +44 (0)7787 560 553 charlie.watson@recruitmentmergers.com

ARE YOU AIMING TO ACQUIRE OR PLANNING AN EXIT STRATEGY?

WWW.RECRUITMENTMERGERS.COM Mergers & Acquisitions for the recruitment industry

REC.01.19.011.indd 11

05/12/2018 17:14

TRE NDS

INSIGHT

QUALITY NOT QUANTITY MATTERS Quality of hire and having a strong employer brand top the list of priorities in the latest Forum for In-house Recruitment Managers’ (The FIRM) Annual Membership Report

BY COLIN COTTELL

T

he FIRM’S latest membership report highlights the membership’s focus on quality of hire. While in-house recruiters have sometimes been criticised for concentrating too much on cost per hire and time to hire to the detriment of quality of hire, the 2018/19 report indicates a growing recognition that in today’s market, where talent is scarce, quality of hire matters.

The report, based on an online survey of 393 in-house recruiters, the seventh such survey by The FIRM confirmed that quality of hire is now firmly at the top of the in-house recruitment agenda, with 28% describing it as the key metric for their success. This follows on from last year, when for the first time in the report’s history in-house recruiters said they regarded quality of hire as the most important metric of recruitment success with the business, when it was cited by 30% of respondents.

Emma Mirrington, managing director of The FIRM, tells Recruiter that quality of hire “is of paramount importance” because “hiring the right 12 RECRUITER

JANUARY 2019

p12-13_Recruiter_Insights.cc.indd 12

people in the first place” increases an employer’s chances of retaining key staff, something which she says is vital for employers in today’s competitive labour market.

“The only challenge is that quality of hire is also the most difficult recruiting metric to measure and assess, with no real consensus on how best to measure it,” adds Mirrington.

In comparison to quality of hire, time to hire was regarded as the most important metric of success by 23% (the same as 2017), while cost per hire – regarded as the most important metric by 16% – saw a significant reduction in importance from 22% in 2017.

Drilling down into the figures, the survey finds that the number of respondents who reported the average annual cost per hire as being under £1k has continued to rise from 39% in 2017 to 56% in 2018. According to the commentary accompanying the survey results, this reflects “the concentration of costs at the lower end of the spectrum”.

Similarly, the figures on average time to hire reflect that more of the hires undertaken by those surveyed are relatively simple and quick to process,

with 12% completed within four weeks and 52% completed between four and eight weeks, compared with 9% and 54% respectively last year.

Although the bare figures published in the 2018/19 report indicate that inhouse recruiters regard quality of hire as the key metric of their success, it is the qualitative aspects of the survey that provide deeper insight. In a summary of responses to the question “What are the biggest recruitment challenges facing you in 2018/19?” the report is unequivocal in stating that it boils down to one thing – “an ever increasingly competitive market”. In other words, there are not enough high-quality candidates available to meet the needs of employers.

According to the report, The FIRM’s members have particular difficulties finding good quality candidates for specialist roles, such as nurses and doctors, as well as for technology, digital and engineering roles – a situation exacerbated by counter-offers by their current employers. Mirrington says The FIRM’s members are concerned that the lack of talent impinges on their ability to deliver gender diversity, for example in STEM roles.

ILLUST RAT ION | ISTOCK

05/12/2018 16:51

T R E N DS

INSIGHT

POWER POINTS: TOP FINDINGS

To compound matters, volume recruitment is also a challenge, says the report, with employers finding it difficult to attract candidates for roles such as drivers, as well as for roles in construction and social care.

Other factors impinging on the lack of quality candidates are Brexit, and a shortage of young people for entrylevel roles.

In response to the lack of quality candidates available, the report says in-house recruiters are turning their attention to creating a strong employee value proposition (EVP) and employer brand. As with last year, respondents see EVP and employer brand as their top priority, above both direct sourcing and building talent

The quality of hire is also the more difficult recruiting metric to measure and assess

pools for future hires. “Having a strong employer brand will help you stand out from the crowd, particularly when skills shortages are coming into play,” says Mirrington.

Another response is the increasing popularity of structured initiatives, such as apprenticeships, work experience and graduate schemes, aimed at attracting and developing future talent. All of these have risen in popularity, particularly work experience programmes that have shot up from being used by just 5% in 2016 to 29% in 2018. After the teething problems following the introduction of the Apprenticeship Levy in April 2017, apprenticeships (used by 61%) have become the most popular structured initiative.

With UK unemployment not far off record lows, and the shape of immigration system post-Brexit still uncertain, measures such as these aimed at enhancing quality of hire look like they will be a continuing feature of the in-house recruitment landscape for some time.

1 2 3 4 5 6 7 8 9 10

Recruiters’ top priorities are: EVP/employer brand (44%), direct sourcing (41%), building talent pools for future hires (30%).

The number of recruitment teams with a dedicated employer brand function grew from 31% in 2017 to 34%.

Only 52% of respondents agree that their EVP/employer brand reflects their current business, highlighting the ongoing challenge of keeping them up to date.

The general dependency of inhouse recruiters on recruitment agencies remains low, with 48% using them to fill up to 10% of their vacancies.

The use of aggregators continues to grow from 56% in 2017 to 77% in 2018.

Telephone interviewing – used by 89% – continues to be the top screening mechanism used by inhouse recruiters.

LinkedIn has increased its dominance as the social media platform of choice, used by 98% of respondents. However, Facebook has now taken over from Twitter as the second-most popular social media platform, from 51% in 2017 to 67% in 2018/19.

Outsourcing is losing ground, with 78% of in-house recruiters not outsourcing any or all of their recruitment process.

Although recruitment teams are spending less overall on employee referral schemes, the number who say they are successful has risen from 84% in 2017 to 91% in 2018.

92% of in-house recruiters use an ATS in 2018, up from 65% in 2017, with 58% using it to track recruitment metrics.

WWW.RECRUITER.CO.UK 13

p12-13_Recruiter_Insights.cc.indd 13

05/12/2018 16:51

for CIS PAYROLL C O N S T R U C T I O N

Only

5

£

Just £5.00 per head per payroll

Flat fee regardless of earnings

Add your own margin/uplift (Profit Share)

No minimum number of contractors

FREE SMS notification of pay

Public liability insurance available

FREE emergency ‘out of hours’ payments

Payroll 7 days a week

Call us today on 01543 220903 or email info@propaye.co.uk for more information

www.propaye.co.uk ProPaye Outsourcing Ltd | Lombard House | Cross Keys | Lichfield | Staffordshire | WS13 6DN

REC.01.19.014.indd 14

05/12/2018 17:15

T R E N DS

TECH & TOOLS

New vibe of hiring Blockchain model disrupts recruitment SUE WEEKES

Technology is turning business models and processes on their head, and 2019 is likely to see the launch of some of the most disruptive recruitment platforms to date. A prime example is blockchain-based HireVibes, co-founded by former agency and in-house recruiter Daniel Dunne, and product designer Daniel Beere. It sets to change how candidates and employers interact with each other but also to address what the founders see as some of the inherent unfairness that exists in the recruitment system.

THE DECENTRALISED APPROACH

A NEW RECRUITMENT MODEL

The old model of a hiring platform is that it is run by one organisation, centrally, which facilitates interaction between employers, agencies and candidates. HireVibes is a decentralised application or DApp, which is run by what is called a ‘decentralised autonomous community’ (DAC).

The community, made up of candidates, employers and other stakeholders, has its own constitution and interacts directly on a decentralised network, in this case based on a blockchain technology called EOS.IO (see box).

Blockchain technology has liberated HireVibes to build a new model for recruitment that radically changes fee structures: successful candidates are rewarded with 4% of their annual salary and, if recommended by someone else, they split this with the referrer. A 1% fixed donation is also made to the charity or environmental initiative of the candidate’s choice. “I felt a portion of the agency fee should go back to the person doing the work,” says Dunne, who adds that building in a corporate social responsibility aspect was also a priority. As well as

helping recruitment address major global issues, Dunne says: “HireVibes is as much an employer branding platform as it is a hiring platform.”

POWER OF THE CROWD Candidates can signup to HireVibes and employers can post jobs as they would on any other jobs platform but there are a number of key differences.

Candidates can apply directly to employers; the transparency built into the platform means they can see the identity of the hiring company. Anyone can join the community because it runs on a public rather than private blockchain and

W H AT I S T H E E O S . I O B LO C KC H A I N ?

A blockchain technology providing the infrastructure for thousands of decentralised applications such as HireVibes. Dunne said it was chosen for its global reach that enables millions of transactions per second, and the education and resources it makes available to people curious to learn about cryptocurrency.

I M AG E | I STO C K

p15_Recruiter_TechTools.indd 15

HireVibes incentivises the public crowd to make referrals for roles with the split reward.

Employers are charged a 7.5% fee when they hire a candidate but have the option of adding a skilled recruiter to facilitate the search and hiring process for an extra 2.5-5% fee.

INCENTIVES AND REWARDS HireVibes is also one of the first platforms to introduce cryptocurrencies or tokens for rewards and incentives. One HireVibes Token (HVT) is currently worth less than 1p but this is likely to increase when the platform goes live and appointments are made. The 4% reward to successful candidates is based on the pound-to-HVT value on a cryptocurrency exchange at the point a candidate’s

position is confirmed.

HVTs are sent direct to a candidate or referrer’s token wallet. “Education on token economies and cryptocurrency is vitally important,” explains Dunne. “It is a challenge to communicate the benefits of blockchain and cryptocurrencies but one that we are enjoying.”

IN THE BIGGER PICTURE Initially, HireVibes is focusing on roles in the crypto sector but when fully live in early 2019 it will broaden out to all IT roles and all sectors.

Blockchain has been touted as a technology that could eliminate intermediaries such as agencies but this is not Dunne’s intention.

“HireVibes is a hiring ecosystem built for all stakeholders to maximise their time and value,” he says.

WWW.RECRUITER.CO.UK 15

05/12/2018 16:52

C

INTE R AC TIO N

VIEWPOINT

View from the top Make your mark as a new MD

BY JAMES TAYLOR

S

tepping up to your first role as managing director can bring ups and downs. As a first-time MD myself, here’s my advice for tackling the challenge of being ‘lonely at the top’.

You’re not alone Despite a calendar packed full of meetings and an endless stream of emails, it’s not uncommon for new MDs to feel isolated in their role if they solely rely on senior colleagues to speak to for advice and reassurance.

If you have seen the progression of the business from the beginning, the title alone can create some division between the ranks alongside your trusted peers. At social events in particular, all eyes are typically on the leader of the business. In my first two years as MD, I can understand the importance of having trusted allies to confide in, or a network of contacts who appreciate the challenges.

I recently launched a ‘mastermind group’ to discuss ideas and issues every three months with other recently appointed MDs. From the first session, it was clear there were some recurring challenges.

focusing on asking questions and listening to your employees. Get to know them, how they operate and work with others. You have to know your team inside out.

While many MDs I speak to view cultural transformation as a hot topic, they are still unaware of their company’s vision and ethos. If you want to make waves in your business, you need your team’s input in the values of the business. Recruiting the right talent, based on personality matches, should help you build this culture.

‘Open door’ policy

Rather than aiming to make significant changes straight away, focus on strong communication across the teams, giving every member of staff a voice. Promoting discussions between employees can also help to ward off any worries you may have about not being as ‘visible’ as you would like.

Communication Whether this is spending too much time in your When first appointed, it’s normal that new MDs will want to own office, or going out to client meetings, people put their stamp on the structure, vision and running of the sometimes see ‘think time’ as a luxury, rather than business as soon as they can. The typical approach involves an essential to sound decision-making. developing a 100-day plan. However, in my experience, this If you want to increase ‘visibility’ you may want should be your second priority, with your first few months to set up shop on a desk in the main office, or at least keep your office door open to let your employees know you’re there and available for open discussion. Keep your staff updated on your activities, either through emails, over the phone or weekly meetings. Make them feel involved in your day-to-day running of the business; they’ll be kept in the loop, but it’s also an important window into your role for aspiring MDs.

Hire someone ‘in the know’

+ JAMES TAYLOR is managing director at East Midlands-based recruiter Macildowie

Finally, just because you’re an MD, it doesn’t mean you have to do everything yourself.

Know where your talents lie and hone in on those. Never be too proud to hire specialists, or outsource to help with the things you can’t do. Don’t try to be a jack-of-all-trades – you’ll wear yourself out and achieve very little.

16 RECRUITER

IMAG E | ISTOCK

p16 Viewpoint.indd 16

JANUARY 2019

05/12/2018 16:52

I N T E R AC T I O N

SOUNDBITES

L ET T ER S/ WEB CHAT

DON’T PLAY THE GENDER CARD WITH FATHER CHRISTMAS In response to your article ‘Be wary of equality Clauses when hiring Santa’ (29 November), this is typical lawyer speak.

The answer is clear cut, as the Equalities Act allows gender or race preference for reasons of authenticity with acting and hospitality (front of house jobs in ethnic-based restaurants). And as playing the part of Santa is obviously acting (defined as playing a character for entertainment that is not you) and Santa Claus is a male character – and is defined as such in pretty much every story, film and cultural reference going – it would be perfectly acceptable to say that Santa Claus is to be played by a man for reasons of authenticity.

It comes under the Genuine Occupational Qualification section.

ADAM JONES

A BILL THAT INTERN STUDENTS DESERVE I read your article ‘Recruiters are urged to review internship programmes’ (28 November) with interest.

‘Preventing unpaid work experience placements lasting more than four weeks passing through Parliament early next year’ is a Bill that students deserve!

Many students in the duration of their placements will be giving equal effort to their work as their colleagues who are being paid. Sometimes, students are seen to work harder than a permanent employee in the workplace to impress their employers. If a student is being paid while on internship, it will help motivate them even more.

ZOEK UK

ROBOT RECRUITING – THE FUTURE FOR UNBIAS HIRING I am pleased to see this article regarding our co-operation with Furhat Robotics and the work of creating the world’s first unbiased recruiter robot called Tengai Unbiased (‘Furhat robot aims turns to turn recruitment bias on its head’, 20 November).

At TNG we specialise on recruiting without bias and prejudices, and have for many years developed a solid and objective process to rule out many of the preconceived thoughts and bias within the process. By excluding things like age, name and image at the time of application, and pre-screening all candidates with occupational psychological tests, we can exclude much of the subjective assumptions that otherwise colour the recruitment process.

Tengai Unbiased will be able to conduct skill-based interviews to further ensure the objective process and help more people undergo recruitment processes with less bias and prejudice, as part of our vision of creating a more sustainable labour market that is accessible to all.

ELIN ÖBERG MÅRTENZON, TNG

What is the most important characteristic recruiters will need throughout 2019?

JAMES BALLARD FOUN D IN G PA RT N ER A N D EX EC U T I V E S E A RC H L EA D, A N N A P URN A H R

“I think the ability to make people productive, so the ability to engage, to motivate. Innovation is going to be massive because there is so much happening in HR, technology, resourcing and being able to be search-focused. I think it’s three or four things. You’ve got to be adaptable as well.”

FR ANK NIBLOCK S EN I OR COMMERCI A L MA N AG E R , FA LCO N G REEN

“I always say from day one in 2019 or any year, we’ve all got clients that we deal with and I think being honest with your clients is most important. In responding to your clients, you can feed them this, that or whatever but honesty is the best policy when it comes to recruiting. I think clients see that as well. If they can trust you to recruit for them, then I think that’s the key.”

PEDRO TSIAMAS MA N AG ER – S P ECI A L I ST D I V I S IO N , PE RT E M PS N ET WORK G ROUP

“The days of canvas calling 100 calls a day has pretty much died.

For 2019, the most important requirement recruiters will need is that they have got to be digitalsavvy. They’ve got to be social media-savvy and work on those relationships from scratch.”

WWW.RECRUITER.CO.UK 17

p17_recruiter_nov_soundbites.indd 17

05/12/2018 16:53

RECRUITER HOT 100 COMPANIES 2018

OVERSEAS DRIVES HOT 100 FEE GROWTH The recruitment companies that have made this year’s HOT 100, compiled by Agile Intelligence on behalf of Recruiter, have earned the most profit per head in the UK – despite the economic and political uncertainty B Y S U E D O D D, D I R E C T O R O F A G I L E I N T E L L I G E N C E

TEN LONG YEARS ON from the financial crash and despite a recovery of sorts, the world economy has not much progressed – nor is it more settled geo-politically than in 2008. If anything, geo-politics have polarised as differences escalate both between and within many countries, while the economic fallout from the recession remains.

Financially there is now concern that the same mistakes could be repeated and, even if that prospect could be avoided, the withdrawal of the huge monetary support from central banks known widely as Quantitative Easing (and its 18 RECRUITER

p18-26 Hot 100 2018.indd 18

various alternative guises) will have unknown impact upon the real economy. Intervention on this scale was unprecedented and untried, with the final chapter in this particular ‘text book’ still to be written. Financial markets currently reflect this uncertainty.

Against this global backdrop, UK recruitment companies have still expanded, exported and branched out overseas – suffering some setbacks, but generally progressing business at a challenging time for many markets. At home, here lies true uncertainty – there is still, as this issue goes to press, the quagmire of

Brexit and, amid political turmoil, an understandably subdued economy.

Yet the labour market has tightened overall as job creation persisted and certain skillsets became scarcer.

These past few years have not offered recruiters universally stellar growth rates or rapidly rising returns but the right companies in the right markets have enjoyed significant benefits.

Success can be measured not only by sales or profitability but also by the level of M&A activity and rewarding business exits.

However, conditions are far from plain sailing. Recently, UK employer costs and legislative changes, especially reporting requirements on IR35, have led to difficult conditions, particularly for public sector recruiters where funding constraints also created a barrier. Private sector specialisations saw varied outcomes, from retail market weakness to niche IT skills’ strength, with Brexit-related economic uncertainty touching several markets, including more senior permanent placement activity.

Technology advancements continue both to challenge and benefit the recruitment industry (and its clients), while digital solutions to more direct market delivery may threaten traditional recruiters and their methods.

The HOT 100 celebrates the old and the new, blended or more traditional, proving that rewards still come when the right people are employed in their best role and supported to do a sterling job. This one single key performance indicator (KPI) – gross profit per head/employee (GPH) – encompasses so much about how a company operates. Business models have changed significantly over the years and still evolve. Branch networks are far less extensive, and sourcing candidates has substantially become a digital exercise. Neutral vendors are now mainstream ‘facilitators’, HR solutions encompass myriad client services, operational processes are progressively automated and algorithms are increasingly

JANUARY 2019

06/12/2018 11:21

RECRUITER HOT 100 COMPANIES 2018

The HOT 100 proves that rewards still come when the right people are employed in their best role overseas business of all the HOT 100 is stripped out of the figures, that GP growth rate drops from 10.4% to hover just below zero.

It is clear – if aggregated, overseas expansion has entirely driven HOT 100 GP growth in the 2017/18 reporting period and any aggregate UK-only gain will be negligible.

Of course, an aggregate also hides companies’ individual stories, and for each one seeing a decline in UK business the analysis shows that another is recording growth.

The largest professional recruiters have remained – SThree, Hays and Robert Walters are all ranked in the third quartile of the HOT 100 and, combined with higher-placed Page Group and Harvey Nash, they do influence the aggregated data. But the breadth and depth of the HOT 100 investigation still ensures a diverse list of recruiters, across a wide range of sectors and delivery models. This year, individual productivity growth was also again measured to offer a more rounded perspective on performance and ranged from +52% to -40%.

10.4% gain in gross profit in this HOT 100

6.9% Rise in HOT 100 companies’ in-house headcount

↗

used for matching skills, especially by market disrupters. Technology automation is a given, wherever investment funds are committed and available. However, while artificial intelligence (AI) will continue to advance, true interpersonal skills still require human input and achieving HOT 100 status, especially serially over the years, highlights those companies best structured and managed to extract optimum performance from their most important asset – their people.

GPH remains one of the best all-round measures to compare companies across regions and sectors.

After two consecutive years of an expanding gap between top and bottom, this has now narrowed by 11.5% as the bar for entry or ‘cut’ has risen 1% to £86,130. Simultaneously the HOT 100 winner saw its productivity dip sharply below last year’s peak to £181,687. Aggregated average GPH (productivity) growth of this HOT 100 rose 3.3%, like for like, as GP gained 10.4%, while employee numbers were expanded by 6.9%.

However, a hidden truth in these figures belies the simple headline story of robust growth. While predominantly a measure of earnings derived within the UK, many of the HOT 100 constituents lead the wider industry with their exposure to overseas business – whether through international offices or ‘exports’ from a UK base. Analysis now shows us that in the past year it is overseas fees expansion that has substantially, if not completely, driven the growth in net fees. If the large British multinational recruiters’ overseas business together with known

Calendar 2017 was again a year of barely any real growth on average (excluding payroll cost inflation) across the whole UK recruitment industry with its sales value rising by just 3%, according to the Office for National Statistics (ONS). Once again, the industry navigated a year of increased employer costs such as the National Minimum Wage, pension contributions etc. bulked out payroll (billings) growth, effectively accounting for all of that 3% sales value gain. This suggests that underlying ‘volume’ growth averaged across the industry in 2017 was once again close to zero.

Comprising mainly calendar 2017 results, the 2018 HOT 100 list grew its total sales by 9.1%, while individual company sales growth ranged from +77% to -52%. However, unlike in previous years, domestic growth has hit rock bottom and, as mentioned earlier, HOT 100 sales growth is overwhelmingly driven by overseas operations (with increased fees derived from both UK-based sales to overseas customers and also from overseas branches).

Overseas sales would have been boosted in 2017 from the translation back into Sterling compared with 2016, given the sharp depreciation in the pound post the Brexit vote. This, together with targeted expansion, could well account for all of the growth in HOT 100 aggregated sales.

Agile Intelligence Agile Intelligence has compiled the HOT 100 report on behalf of Recruiter to determine which companies are best at leveraging their intellectual assets.

By rigorously measuring the gross profit (net fees) per head/employee (GPH) this indicates how effectively

an organisation uses the skills of all its own people to generate a profitable return for stakeholders.

All in-house employees (excludes temp workers or contractors) are included in the calculation – not just feeearners; this is a standard senior management key performance indicator

(KPI). Notwithstanding wild cards, companies emerging strongly from this analysis, especially if featuring regularly, are primarily those that operate the most productive organisation, balancing the need for good, well-trained, directed and motivated staff against the need to minimise costs.

WWW.RECRUITER.CO.UK 19

p18-26 Hot 100 2018.indd 19

06/12/2018 11:21

RECRUITER HOT 100 COMPANIES 2018

53% of HOT 100 firms expanded their workforce either organically or by acquisition

29% achieved a simultanious growth in productivity and internal headcount

upon productivity. Executive level recruitment was also negatively affected.

On aggregate the 2018 HOT 100 saw individual growth in net fees rise to 66 companies. The average size of the 2018 HOT 100 member again edged higher, to 370 employees, with most of the same largest players included through their group accounts. A slightly lower 53% of constituents also oversaw some net organic expansion of their internal workforce.

In the 2017/18 accounting year, gross margin edged upwards by 20 basis points to 20.6% overall within the HOT 100, at a level well above the wider industry, which had also seen its rate decline as estimated from further analysis. In fact, 43% of the HOT 100 reported an actual rise in gross margin. Given other findings here, it is likely that this gain derives mainly from overseas growth.

The UK permanent market has experienced only intermittent growth across the past three years but the 2017 reporting year under review proved even patchier and generally favoured temporary/ contract placements. Furthermore,

the number of overwhelmingly temporary recruiters, signalled by gross margin below 15%, continued to rise and now stands at 31 (versus 29 last year), while the number of predominantly permanent recruiters has also risen.

Tellingly, the dream growth combination, of both employees and productivity, remained close to the recent historic low-point, achieved by only 29% (27% last year) of constituents.

This indicates continuing caution from many recruiters, almost certainly in the light of external economic sentiment, as productivity gains are being achieved by 63% of companies. But less than half of these have expanded their workforce. The focus has been placed upon extracting increased return on investment in existing staff including those maturing from newly-hired staff.

Which companies derive most ‘added value’ from their own employees (before allocating overheads) yet still nurture the right atmosphere over the long term to encourage a profitable and sustainable sales approach? Here is the 2018 HOT 100 list of companies (pp21-22).

↗

Among the specialisation HOT 10s in the year under review, there was clear division between the four key sectors (see recruiter.co.uk for full HOT 10 reports). Both the HOT 10 IT and Technical sector recruiters each reported acceleration in GP growth versus last year, at 16.9% and 10.1% leading to similarly strong GPH gains as this was achieved with minimal expansion in headcount.

Professionals, on the other hand, proved pedestrian, adding just 1.2% to GP, although a cautious 1.5% reduction in headcount enabled a 2.7% rise in GPH. By contrast Public Sector suffered a sharp decline of 10% in GP. This was pegged back to a 4.7% decline in GPH by contraction in the headcount of 5.6% over the year. Public Sector lost further ground following weakness reported last year, materially affected by the IR35 reporting implementation alongside known funding constraints. In particular, these were in frontline services such as Healthcare and Education, where substantial shortfalls in fees across most suppliers were seen, albeit partly offset by reductions in headcount to diminish the impact

Methodology The data has been rigorously filtered by turnover, gross profit and employee numbers.

The companies featured in this edition employ almost 37,000 in-house staff and generate £18.9bn of industry sales revenue; very many more were evaluated as part of the overall analysis.

Latest available accounts have been used – dated 2017 or 2018 for all companies – a few companies are excluded due to filed accounts timing.

Companies filing abbreviated 20 RECRUITER

p18-26 Hot 100 2018.indd 20

accounts and not providing their full figures separately are excluded. Increasingly, with the internationalisation of many UK recruitment firms, group accounts are now used for UK corporations where these prove more up to date – examples would be Hays, Harvey Nash, Robert Walters, Page Group, SThree and several IT and technical recruiters. Companies operating primarily overseas have been excluded, although UK engineering specialists

placing talent worldwide are included.

Overseas-based groups eg.

Adecco, Randstad or Hudson may be included, using their UK operating companies if filed or group disclosed UK divisions.

Two prominent exclusions from the analysis are Manpower and Reed, due to accounting differences, which invalidate comparisons. Furthermore companies combining temporary employees in their employee count are not included

as this grossly underestimates their performance. The most specialist of search, or headhunters, are omitted for a variety of reasons – incomplete disclosure, overseas business, incompatibility and a shortage of data for peer group comparison.

Disclaimer: while every effort has been made to ensure accurate reporting and analysis, no guarantees are made regarding the information portrayed in this document.

JANUARY 2019

06/12/2018 11:22

Company/ trading n ame

181,687

193,227

Falcon Green Personnel

5.1

4.1

Construction, engineering

176,511

169,263

Green Park Interim & Executive

7.9

6.4

Public sector, retail, HR, charities, finance, IT, procurement

3

N

175,926

174,300

TRS Staffing Solutions

4.8

3.5

Engineering & technical professionals into oil & gas, rail, renewables

4

▲

174,172

166,716

LA International Computer Consultants

19.2

18.3

IT professionals: national security, public sector, international

5

▲

173,000

132,009

The Bridge (IT Recruitment)

4.7

3.2

IT

6

▼

166,504

181,142

Shilton Sharpe Quarry

22.1

22.6

Legal

7

–

165,650

153,595

Sheffield Haworth

17.7

19.2

Financial services: executive search, interims

8

▲

162,492

145,090

Modis International

10.6

9.7

IT – dev, SAP, infrastructure, BI, aerospace, defence/engineering, digital

9

▲

160,737

148,183

Marlin Green

5.1

3.7

IT – SAP, business intelligence, Big Data

10

▲

158,595

123,864

People Source Consulting

6.3

5.5

IT/Technology

11

▲

154,063

137,193

Red Commerce

22.2

19.2

IT

12

▲

151,804

100,022

NRL

11.4

8.2

Engineering, construction, oil & gas, energy, technical

13

N

146,952

151,586

Odgers Group

73.5

72.3

Executive search, interim managers

14

▲

145,539

135,048

NES Global Talent

88.8

74.7

Technical/engineering into oil & gas, infrastructure, chemical, life sciences, rail

15

▲

143,712

117,794

Ajilon UK

16

▼

138,434

151,091

WA Consultants

17

▲

135,286

91,388

CD Sales Recruitment

6.5

4.1

UK & European software sales, IT technical

18

▲

135,016

100,941

Next Ventures Group

11.3

7.9

IT: SAP, data, business apps, development & integration, cloud & infrastructure

19

▲

134,439

125,731

Investigo

21.6

20.6

Financial services, change management, procurement, property, HR, SAP

20

N

133,372

123,158

CMA Financial Recruitment

4.3

4.1

Accounting & finance, executive search, HR

21

▲

133,095

122,862

Penta Consulting

12.6

11.5

Telecoms, IT, software engineering and consultancy

22

▲

130,111

108,927

William Alexander Recruitment

2.9

2.6

IT, business change

23

N

128,376

121,189

Vector Resourcing Holdings

4.5

4.6

IT/Technology

24

▼

127,665

130,396

Resource Solutions Group

29.4

28.9

IT, business change, corporate services, public sector

25

▼

125,484

123,191

The SR Group Holding Company

40.2

36.5

Legal, compliance, HR, marketing, digital, tax, executive search

26

▲

124,738

89,265

Oil Consultants

2.9

2.6

Oil & gas, niche technical skills

27

▲

124,647

101,544

Interim Partners

New Street Group

4.4

4.1

Interim executives into many sectors

28

▲

122,923

104,429

Roevin Management Services

Adecco SA

3.2

2.9

Engineering

29

▼

121,216

164,151

Rullion IT Plus

Rullion

30

▲

120,836

101,488

La Fosse Associates

31

–

120,464

112,543

Shorterm Group

32

▲

119,800

103,901

Rullion Engineering

33

▼

118,871

177,415

Mayday Healthcare

9.3

18.1

Healthcare

34

▲

118,210

109,647

Interact Medical

8.0

7.6

Locum doctors including niche technical skills

35

▼

117,365

121,481

Walker Hamill

6.1

6.3

Accountancy/finance, debt & structured finance, private equity and M&A

36

▼

116,361

113,322

GatenbySanderson

13.1

12.9

Executives in health, education, government, NFP

37

▼

115,905

137,288

Law Morgan (t/a Morgan Law)

6.4

8.2

Healthcare, central & local govt, charities/NPF, education, Housing Associations

Parent gro (where d up if name) ferent

Gross pro head/em fit per previous ployee year (£)

– ▲

Rank 1 2

Change

Gross pro head/em fit per latest ye ployee ar (£)

Gross pro latest ye fit ar (£m) Gross pro previous fit year (£m) Sector coverage

RECRUITER HOT 100 COMPANIES 2018

Fluor Corporation

Morson Group

Adecco SA

Adecco SA

Rullion

7.5

8.0

IT plus office/admin, HR, non-clinical healthcare, supply chain & logistics

3.7

3.5

IT/Technology

9.1

11.2

IT

17.2

12.7

IT/Technology, digital – perm, contract, interim and executive search, change

16.9

14.3

Engineering – aerospace, aviation, construction, electronics, energy, transport

8.0

8.1

Engineering and infrastructure

38

▼

112,905

110,774

Airswift Holdings

74.9

75.2

Engineering,technical/bus support staff into oil & gas/energy, infrastructure

39

▲

112,427

93,640

Eximius Group

3.5

4.2

Law, finance, operations, risk, technology, secretarial

40

▲

112,074

97,597

PSD Group

21.2

22.1

Executive, finance, engineering, HR, technology, supply chain,retail, hospitality

41

▼

110,585

115,627

PPF

9.7

10.2

Drivers, logistics

42

▲

109,477

107,160

Montreal Associates (Systems)

6.2

4.5

ERP, SAP, Microsoft, CRM, BI & Big Data, devel, infrastructure, cyber security

43

▲

109,132

107,089

Harvey Nash Group

100.1

97.9

Technology, CIO, digital, finance/banking, HR, executive search, interims

44

▼

108,770

110,440

Oakleaf Partnership

7.0

5.9

HR

45

▲

108,653

103,782

PageGroup

711.6

621.0

Finance/account, legal, engin, retail, sales & marketing, energy, HR, constr

46

▼

108,431

110,847

Phaidon Group Holdings

47

–

108,385

106,589

Resourcing Group

48

▼

108,310

128,605

SystemsAccountants

4.4

5.4

Finance systems, finance transformation, EPM, BI, ERP

49

▼

106,349

107,353

Parity Professionals

6.7

7.3

IT/Technology, professional resources – especially in govt, utilities, health

50

▼

105,055

129,743

Workforce People Solutions

2.8

3.1

Skilled staffing into automotive, manufacturing and healthcare sectors

Key:

▲

Up

▼

Down

p18-26 Hot 100 2018.indd 21

– Unchanged

N New

nGAGE Specialist Recruitment

46.2

32.7

Banking/financial services, engin, life sciences, procurement, technology

11.3

10.1

Built environment, public sector

WWW.RECRUITER.CO.UK 21

06/12/2018 11:22

Parent g (where droup if ferent name)

Gross pro latest ye fit ar (£m) Gross pro previous fit year (£m) Sector coverage

▼

104,823

113,475

Caritas Recruitment

nGAGE Specialist Recruitment

6.5

6.9

52

▲

104,694

96,553

Hallam Medical

5.2

6.3

Primary care and community nursing

53

N

104,656

83,883

Orion Engineering Services

27.4

27.3

Energy, life sciences, construction, mining, nuclear, marine, rail, IT, finance, office

54

▼

104,652

107,149

McGinley Support Services (Infrastructure)

11.8

12.4

Construction/infrastructure – track, trades & labour, professional & technical

55

▼

104,618

113,573

Cornwallis Elt

4.1

3.9

Technology, ops & change roles within banking, insurance, digital & media

56

N

104,514

104,944

PSR Solutions

6.0

5.0

Construction, civil engineering & infrastructure, rail

57

▼

103,365

105,466

Orion Electrotech

6.3

5.9

Technical/engineering

58

N

103,286

101,701

MRL Group

4.4

3.7

IT/Technology, software & infrastructure, logistics, automotive, energy, finance

59

▼

102,192

103,556

The Oyster Partnership

4.9

4.8

Construction/property, building consultancy, GP, office support/HR

60

▲

101,984

96,622

Eames Consulting Group Holdings

12.2

11.9

Actuarial, audit, broking & underwriting, change, compliance, risk, technology

61

▲

101,124

100,015

Experis

34.4

39.4

IT, finance and engineering professionals

62

▼

100,828

108,559

Goodman Masson

16.2

15.5

Financial services, taxation, Treasury, public sector & NHS, cyber security

63

▲

100,725

91,181

SThree Group

287.7

258.7 ICT, banking & finance, energy, engineering and life sciences

64

▼

100,646

104,295

Twenty Recruitment

6.3

5.0

Technology & change, risk, financial services, energy, digital & commerce

65

▲

100,424

100,896

Eden Brown

13.3

14.5

Built environment, public sector

66

▲

100,069

99,866

Advantage Resourcing UK

19.0

21.2

Engineering, banking & financial services, professional services, technology

67

▲

100,009

99,025

Hays

1,072.8 954.6 Finance, constr, healthcare, pharma, educ, IT, legal, oil & gas, professionals

68

▼

98,897

100,064

Coyle Personnel

15.4

15.8

Tech, constr, medical, rail, road, energy, public sector, commercial, industrial

69

N

98,288

89,187

LMA Recruitment

4.0

3.4

Financial services (incl risk, compliance, insurance, actuarial), secretarial, HR

70

▲

98,199

91,178

Oliver James Associates Group

28.0

24.3

Financial services, commerce & industry incl actuarial, compliance data & tech

71

▲

97,246

92,677

Opus Professional Services Group

23.2

18.4

IT & telecoms, financial services, public sector, energy

278.3 Accounting, finance, banking, legal, HR, IT, sales, marketing, supply chain, tax

Rank 51

Change

Gross pro head/em fit per latest yeployee ar (£) Gross pro head/emplfit per previous oyee year (£) Company/ trading n ame

RECRUITER HOT 100 COMPANIES 2018

ManpowerGroup

nGAGE Specialist Recruitment

Social care into public, voluntary and private sectors

72

▲

97,144

92,071

Robert Walters

345.2

73

▼

96,669

109,150

Prime People

13.1

13.1

Real estate, built environment, energy, environmental, insight, analytics

74

N

96,641

117,294

Carrington West

3.0

2.7

Built environment – including highways, utilities, water and others

75

N

96,398

80,631

Amoria Bond

12.1

9.5

Technology, SAP, engineering, banking & finance, life sciences, energy

76

N

95,424

75,170

Optimus Search

3.9

3.1

IT/Technology, life sciences, data, incl BI/analytics, data science, Big Data

77

▲

95,281

93,436

Futureheads Recruitment

3.6

3.2

Digital media, IT/Technology, change management, data analytics, marketing

78

N

94,935

78,048

Annapurna HR

6.0

4.5

HR, IT/Technology, business change & transformation

79

▼

93,952

107,639

First Call Contract Services

8.5

7.0

Industrial, logistics, care, aviation

80

▼

93,247

99,578

Morson Group

72.1

68.5

Engineering, technical – all major sectors plus IT and scientific

81

▲

93,033

91,908

Badenoch & Clark

22.6

25.9

Finance, accountancy, banking, legal, IT, HR and marketing

82

N

92,213

154,097

Deploy UK & Rail

2.6

3.2

Contingent & professional resources into rail, construction & security sectors

83

N

92,016

68,374

SmartSourcing

2.3

1.8

IT, project management, business change, digital, cyber security & related areas

84

▲

91,701

89,793

Gattaca

78.9

74.7

Engineering, technology, IT & telecoms, professional, education

85

▼

91,517

105,465

Petroplan Holdings

8.4

10.0

Oil & gas, energy

86

▼

90,940

111,227

SEC Recruitment

5.6

6.6

Pharma/life sciences, IT/Technology within SAP, ERP, JD Edwards or NetSuite

87

N

90,412

82,968

Spencer Ogden

30.3

31.1

Energy, infrastructure and engineering professionals

88

▲

90,236

90,774

G2V Recruitment Group

12.5

13.2

IT, engineering, construction, pharmaceuticals, rail, town planning, oil & gas

89

N

89,594

76,508

Jark (now Jark Ventures)

14.1

14.1

Commercial, construction, driving, healthcare, industrial, power & engineering

90

▼

89,500

104,451

Venturi

4.4

4.0

IT: design & development, BI, Big Data, data science, infrastructure

91

▼

89,411

102,979

Options Resourcing

4.4

4.1

Construction, building services, office, sales, business support

92

▼

89,210

103,611

Fawkes & Reece

4.6

5.2

Construction, built environment, civil engineering, residential

93

–

89,169

79,896

Impact Recruitment

2.2

2.1

Temp & perm placements in logistics, manufacturing and commercial

94

▼

89,117

94,503

Forrest Recruitment

5.1

5.4

Office, accounts & commercial staff

95

N

87,824

82,715

X4 Group

8.0

5.9

Technology, life sciences, engineering, construction

96

N

87,800

61,988

Now Careers (prev. Now Recruitment )

4.0

3.6

Construction & property, trades, accountancy & finance

97

▼

87,141

86,289

Office Angels

27.2

29.0

Secretarial, admin & office staff

98

N

87,039

74,024

Morgan McKinley Group

14.6

14.4

Accounting & finance, audit, compliance, HR, IT, legal, marketing, risk, sales, tax

99

N

86,708

85,381

Square One Resources

9.8

10.1

IT – SAP, Oracle, PeopleSoft, DACH, ERP, infrastructure, telecoms

100 N

86,130

76,724

Merje

2.8

2.4

Compliance, risk, finance & audit, financial fraud, risk management

22 RECRUITER

p18-26 Hot 100 2018.indd 22

JANUARY 2019

Adecco SA

RDL Corporation

Adecco SA

Key:

▲

Up

▼

Down

– Unchanged

N New

06/12/2018 11:22

01332 480999

FUNDING FOR PAYROLL

Up to 4 Weeks Unlimited Free Credit

FUNDING FOR PAYROLL

NEW WEBSITE Į ƏĨè ĮţŞ ħĮŐì ÆáĮţŞ ĮţŐ ìžâġţŖċŸì ĮƌìŐ Įā ţō ŞĮ ʑ ŹììĞŖ ţĨġċħċŞìè āŐìì âŐìèċŞʫ ōġìÆŖì ŸċŖċŞ ĮţŐ ĨìŹ ŹìáŖċŞì èìèċâÆŞìè ŞĮ ŞĈċŖ ţĨċŏţì âĮħħìŐâċÆġ ĮōōĮŐŞţĨċŞſʲ

1.

Outsourced Payroll

2.

Up to 4 Weeks Credit

3.

Full Market Exposure

ċħōġċāſ ċŖ ĨĮŹ ÆĨ Į ƍġċÆŞì aìħáìŐʫ ŹĈċâĈ ċĨ ōÆŐÆġġìġ ŹċŞĈ ĮţŐ ŐĮāìŖŖċĮĨÆġ ÆŖŖōĮŐŞ ÆââŐìèċŞÆŞċĮĨʫ ĈċĂĈġċĂĈŞŖ ĮţŐ âĮħħċŞħìĨŞ ŞĮ âĮħōġċÆĨâìʲ

4.

Total Compliance

5.

Contractor Loyalty

VISIT STAND D23

6.

GDPR Compliant

7.

Marketing Initiatives

8.

Agency Support

www.fundingforpayroll.co.uk

ACCREDITATION COMPLIANCE CREDENTIALS

JOIN US AT OLYMPIA

AĂìĨâſ ìĨìƏŞŖ

ċħōġċāſ Źċġġ áì ìžĈċáċŞċĨĂ ÆŞ ŞĈì ìâŐţċŞħìĨŞ ĂìĨâſ *žōĮ ÆŞ hġſħōċÆ ÆĨè Źì ġĮĮĞ āĮŐŹÆŐè ŞĮ ħììŞċĨĂ áĮŞĈ ĨìŹ ÆĨè ìžċŖŞċĨĂ âġċìĨŞŖ ÆŞ ĮţŐ ŖŞÆĨèʲ

Please Contact Simplify to Arrange an Initial Consultation funding@simplifybusiness.co.uk - www.fundingforpayroll.co.uk REC.01.19.023.indd 23

05/12/2018 17:16

RECRUITER HOT 100 COMPANIES 2018

Calculations Gross margin is the gross profit (or net fees) as a percentage of sales turnover.

Gross profit (GP) is a combination of permanent fees (at virtually 100% margin) plus the profit on temporary supply after subtracting payroll and other

‘temp’ employment costs.

The mix of business between temporary and permanent placements influences the level of gross margin as does the trend in temporary pricing and employmentrelated costs.

With larger contract

KE Y FINDINGS 2018 HOT 100 group sales turnover rose 9.1%, again three times faster than the wider recruitment industry sales turnover growth of just 3% reported for calendar 2017 by the ONS. Like for like, comparing this group against their own figures for the previous year: ● The 2018 HOT 100 companies collectively reported a sales increase from their previous year in latest available accounts of 9.1% to around £18.9bn. ● HOT 100 combined GP reached £3.9bn, a gain of 10.4% versus their prior year. ● HOT 100 companies’ in-house headcount rose 6.9% to total 36,974 employees. ● Productivity (GPH) for this group of HOT 100 companies rose by 3.3% over the year to an aggregated average £105,349 to stand 2.7% above last year’s HOT 100 group average.

However, a simple average of each of the GPH figures, negating the lower quartile high weighted skew of those large employers across both years, stood at £114,062 and 2.1% ahead of the 2017 HOT 100. ● HOT 100 average gross margin increased slightly for this group of companies to 20.6%, attributed to business mix and overseas growth. ● This HOT 100 group in their past financial year added £368m in net fees with an additional 2,391 staff at an incremental gross margin of 23.4%, making an incremental £153,910 additional GPH. This incremental margin and with a 24 RECRUITER

p18-26 Hot 100 2018.indd 24

business notoriously competitive compared with SME or ad hoc placements, the type of business and delivery model/cost structure play a crucial part both in determining temporary margin and also bottom-line profitability.

GPH at only a third of last year’s, is evidence that the growth was driven by temporary rather than permanent activity but still retaining a strong focus on productivity. ● Entry level GPH (ranked 100) to the 2018 HOT 100 was £86,130, standing £847 above the previous year threshold for the ‘cut’, which was at £85,283. Extending below the HOT 100, once again the following pack of companies ran close with GPH only beginning to fall away, below £80k, at the 115th ranked. ● Just 29% of HOT 100 companies achieved the dream combination of expanding productivity simultaneously with increasing their internal headcount. This compares with a similar 27% last year and 29% the previous year. It is now three years since the figure was materially higher at 49%, a clear indication of the challenges faced by the industry. There was again a strong bias towards the largest employing recruiters.

COM PANY TRE N DS The bar for HOT 100 success this year turned very modestly upwards to £86,130 GPH and the gap between top and bottom narrowed slightly. Across the HOT 100, company numbers expanding their workforce either organically or by acquisition has been falling for the past few years – now only 53% (60% last year), reflecting reducing business confidence. A rather higher 63% increased GPH, a definite improvement on recent years

and signalling strong focus upon productivity from existing staff.

However, that elusive dream combination of expanding workforce and rising productivity was achieved by just 29% of the 2018 HOT 100, versus 27% last year. Of these 29 companies, firms employing below 50 employees were fairly represented with nine constituents. However, with just a further 10 banded between 50 and 200 employees these companies are grossly under-represented, while larger recruiters, which exceeded 200 employees, had a stronger than proportional presence with 10 constituents.

A breakdown of these 29 companies shows Technology as the stand-out performer, with almost double the companies achieving this combination versus last year.

Engineering/Technical/Science (Technical) reversed sharply, Public Sector retained last year’s low-point and Professional was almost stable in numbers. The numbers this year compared to last year are: Professional 8 (9), Technical 4 (7), Public Sector 2 (2) and Technology 15 (8).

Among the leaders, the HOT 10 sees four companies (Green Park, TRS Staffing Solutions, The Bridge (IT Recruitment) and Marlin Green) achieve productivity growth, while simultaneously expanding headcount.

This is an improvement on last year’s two companies but still indicates a degree of caution, although two further companies did increase their headcount. It seems that there is a long way to go before recruiters will be confident enough, in their market and the key political-economic influences upon it, to return to the expansionary strategies of past years.

Among six companies included in both the top 20 of the HOT 100 and the productivity growth top 20, there are some impressive performers.

NRL exceeded 51% productivity growth with strong gains in GP on a reduced headcount, while CD Sales Recruitment added 48% while successfully expanding headcount.

Next Ventures and The Bridge (IT)

JANUARY 2019

06/12/2018 11:23

RECRUITER HOT 100 COMPANIES 2018

both exceeded 30% productivity growth while also adding to headcount.

SEC TOR PROFILE: ● In the top 20, five Professionals were listed, only two of which are in the HOT 10. Ten IT staffing companies are listed in the top 20, and five of these also make it into the HOT 10, while the top 20 balance comprises just one Public Sector firm (executive level) and four Technical recruiters but no blue collar skills this year. ● The HOT 10 by sector comprises a

sector/not-for-profit presence and seeing growth across the board, Green Park edged ahead to become HOT 100 runner-up through expansion in headcount and an especially strong push in its interim management business and workforce solutions. TRS Staffing, Fluor-owned energy technical specialist, moved back in at third place with around 36% gains in GP and headcount, maintaining its high GPH despite extremely low margin (5.8%), a product of the environment in which its sector

varied mix of specialised recruiters.

Falcon Green (construction & engineering) has retained its hard-earned spot at the top operating offices in London, Birmingham and Manchester, further expanding its workforce by around a third yet only sacrificing a small drop in GPH. It is only three years since this company was below the size threshold to enter the HOT 100 but has since gone from strength to strength.

While investing in its core pillars, including its substantial public

Gross margin breakdown Margin distribution of 2018’s HOT 100 versus previous issues signals a halving of pure play permanent specialists from four to two, but a rise in companies with substantial but not exclusive permanent business. Middle margin bands were in decline, while the low-margin recruiters, below 15% margin, continue to increase their presence as the market seems increasingly polarised.

● The long-term trend on the chart still shows a gain in the ‘nearly 100% temporary’ lower margin bands (up to 15%) but a rebalancing occurred in the 2017 reporting year with some recovery in higher margin (>40%) representation at the expense of middle margin 15-30%, as companies shifted towards a more even balance of perm and temp business. ● 31 agencies in the HOT 100

now achieve gross margin below 15%, with an increase to 12 in those below 10%. This is a record high for low margin band presence in the HOT 100. ● The most represented group (24 companies) remains those companies with margin between 20-30% – ie. temporary-biased but with a strong permanent fees presence. However, last year’s gains were reversed.

● Biggest losers: middle margin, driven by sharp falls in both the 15-20% and 20-30% band widths. ● Permanent recruitment fortunes in 2017 believed to be split between the more senior level appointments, which were most affected by Brexit uncertainty, and the remainder of the market wherever skills scarcity encouraged some needs-based hiring regardless of the broader picture.

H O T 1 0 0 C O M P A N I E S B Y G R O S S M A R G I N B A N D (in accounting year) 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

30

25

20

15

Source: Company accounts

10

5

0 less than 10%

10% to 15%

15% to 20%

20% to 30%

30% to 40%

40% to 50%

more than 50%

Gross market band range WWW.RECRUITER.CO.UK 25

p18-26 Hot 100 2018.indd 25

06/12/2018 11:23

RECRUITER HOT 100 COMPANIES 2018

operates. LA International moved up to 4th and is still the top-placed Technology recruiter, benefiting from an improved margin mix in its contract business. The Bridge (IT) completed the top five – recently acquired by Morson Group and posting exceptionally strong gains in sales and GP while also adding to its headcount. Legal recruiter and past table topper SSQ (Shilton Sharpe Quarry) is followed by another former number one, Sheffield Haworth – both still retaining a high presence in the HOT 100. Adecco’s Modis International, Marlin Green and People Source made up the final numbers of the HOT 10. The strength of IT in the HOT 10 is self-evident. This is despite notoriously low margin in the IT contract market, which has been mitigated here by a combination of overseas business, client mix, key candidate scarcity and permanent recruitment.

JOB TYPE PROFILE: ● The HOT 10 profile now offers only two purely permanent recruiters and still without any of the major multi-sector or generalists, although Adecco subsidiary, Modis, is in the mix. SSQ and Sheffield Haworth are the two recruiters heavily biased towards permanent placement (both estimated at well over 80% of net fees). Falcon Green, TRS Staffing, LA International and Marlin Green are all biased towards the temp/contractor market along with Green Park, The Bridge (IT), Modis and People Source – with varying proportions of both permanent and temporary business.

SIZE PROFILE ● Among the large corporate groups in the HOT 100 where it makes sense to separate out the UK subsidiaries these have again been listed individually – Adecco still has five, while nGAGE 26 RECRUITER

p18-26 Hot 100 2018.indd 26

(formerly HCIG) this year has three companies in the HOT 100.

Randstad subsidiaries are omitted this year due to late timing of their accounts. Manpower’s Experis retains its presence. Rullion’s Engineering and IT subsidiaries, Morson’s The Bridge (IT) and RDL’s SEC are also separately listed. Overall, 20% of HOT 100 companies again employ more than 200 staff, identical to last

year. A further 22%, similar to last year, employ between 100 and 200 staff. The number of very small firms has slowly declined, with just 11 employing between 20 and 30 staff. The 30-49 band grew from 18% to 20% and the employee band 50-100 reversed slightly to 27% from 29%. Overall this suggests a fairly stable employee size profile for the HOT 100 this year relative to recent years.

Conclusion and outlook As the benefits of the last few years of targeted headcount growth began to pay off, the industry – or at least this HOT 100 – has hit the road again with further expansion.

However, through a combination of international market opportunities, weak Sterling and the need to spread earnings exposure geographically, the 10.4% net fees growth seen in the 2018 HOT 100 is now substantially driven by overseas interests.

Meanwhile, on aggregate, the 2018 HOT 100 has still out-performed the wider market but not as emphatically as in previous years. Margin has increased slightly. This compares favourably with the wider industry, which displays a further reduction in gross and most likely temp margin, with the latter under erosion as an increasing proportion of UK temp business is transacted via managed service contracts.

Sector fortunes were one-sided, with net fees growth in three of the four HOT 10 sector specialisations – strong gains from both Technology and Engineering/ Technical/Science (Technical) and a very modest plus from

Professionals. Public Sector again posted a material decline. Only Technology increased both their headcount (marginal) and productivity (exceptionally strong).

Job roles in demand are changing with the economy but the future availability of staff from overseas is unclear – the list goes on and forward planning is hazardous. Added to this are government plans

turnover has risen just 3% in each of the past three years, easily cancelled out by payroll cost inflation, and with fees estimated to be in the same ballpark, this demonstrates the importance of productivity gains to the whole industry.

Yet, on a much more positive note, year-to-date in 2018 suggests robust acceleration in recruitment industry sales to around +7% (including inflation growth) albeit that temporary hiring remains the preferred choice during these (still) uncertain times.

With specific challenges in the current environment, future market conditions uncertain and an everpresent but changing impact from external influences such as technology, staff mobility and skill shortages, the recruitment industry presents an evolving story.

Already these HOT 100 best-in-class companies have proved they are strategically astute, and many are now ideally positioned to navigate a route through the shifting sands that form their future marketplaces. But it may not be a smooth journey.

These HOT 100 firms have proved they are strategically astute to extend the latest IR35 implementation from public sector, where it had a negative impact upon recruiters and contractors, to the private sector.

This really does not make ideal reading for the recruitment industry, which is so dependent upon business and candidate confidence.

The temporary market for much of calendar 2017 and beyond into 2018 still appears to have been mainly favoured by employers unwilling to risk permanent hires. Official industry sales

JANUARY 2019

06/12/2018 11:23

THE VIEW AND THE INTELLIGENC E

Responding to the challenges for 2019 P2 BIG TALKING PO INT

Adapting to the changing labour market P4 LEGAL UPDATE

RECRUITMENT MATTERS

Opting out of Conduct Regulations P6 Issue 69 January 2019

WHAT’ S C O MING UP

IRP Awards: the winners P8

C R I M I N AL R E C O RD S

Supporting candidates with a criminal record back into work T

he Recruitment & Employment Confederation has published a criminal records guide designed to support and advise recruiters on best practice for candidates with a criminal conviction. This includes advice on speaking to candidates about criminal records and a checklist for recruiters.

Over 11 million people in the UK have a criminal record. The majority of them have been convicted on only one occasion and more than 90% of the people convicted each year do not serve a prison sentence. Yet 75% of employers admit to discriminating against applicants with a criminal record and 1 in 7 said that they would exclude any candidate with a criminal conviction, regardless of the offence.

Holding a criminal record should not be a damning indictment on all future job prospects. The vast majority of people who hold a criminal record are good, honest and keen to work and have learnt from their past mistakes.

Employment is a crucial

@RECPress RM_January_2019.indd 1

opportunity that reduces the likelihood that an individual will reoffend. Conversely, failure to give employment to people with convictions increases crime and costs society billions of pounds every year.

Removing the barriers faced by people with past convictions will not only provide these candidates with a fair chance at finding employment but broaden the talent pool for recruiters and employers. With candidate shortages across the UK economy, even before the UK has left the EU, UK business can no longer afford to discriminate against such a large talent pool.

This makes sense for the UK’s society and economy, as well as an individual’s wellbeing.

Recruiters have an important

“75% of employers admit to discriminating against applicants with a criminal record”

role to play. They are well placed to encourage employers to be as open as possible by raising awareness of inclusive recruitment initiatives like Ban the Box and Fair Chance. The REC’s Good Recruitment Campaign promotes an inclusive approach to recruitment across the board and provides tools to help employers benchmark and reinvigorate their hiring processes.

The REC believes that everyone should be able to pursue their chosen career regardless of their background.

Chris Russell, REC policy advisor

www.rec.uk.com 05/12/2018 17:00

L E A D I N G T H E I N D U S T RY

the view...

The year ahead will bring its challenges, but the sector has the will to succeed, says NEIL CARBERRY, REC chief executive

A

new year is upon us! I hope it brings you and your business success.

2019 is full of promise – and of uncertainty. Our path on Brexit, and any related economic changes, is still unclear.

Where we end up on this will affect the labour market – and therefore recruitment – so the REC will be working hard to support recruiters throughout the process.

But we know that there are other big, long-term challenges out there. Many of them are bigger than Brexit in their impact on our daily lives and our sector – technological changes, shifting societal expectations around good work, and clear skill and labour shortages are just three.

But for the new year, let’s adopt the mindset of 70% of our members in a recent poll who see these issues as more of an opportunity for recruiters than a threat. In the UK, recruitment is a mature £35bn industry, as REC’s new industry trends survey shows. We are a sector that can influence the path of change – and in so doing boost the role and growth of our businesses.

Every day, I hear about members who are working with clients in new ways to address challenges. In Westminster too – despite the Brexit fog – our voices are being heard. Delaying IR35 reform, reforming the Apprenticeship Levy and ensuring there is a flexible lower-skill visa were our key asks of the government in the autumn. We have seen progress on all three.

So there is much to be proud about. But lots still to do. And as I enter my first calendar year leading the REC, we are focusing on how we help recruiters in new and better ways.

So what are our new year’s resolutions?

The REC will be all about brilliant recruitment – championing good practice, speaking up for great recruiters and helping them to succeed. It is this focus that saw our member numbers grow last year and it will guide us in the months ahead.

This year, we’ll be investing in supporting members in new ways, with high standards in practical business support, but also market-relevant data and analysis and a more campaigning approach in how we use our voice in public and with the government.

These things are essential to us supporting brilliant recruitment – and to better supporting individual members.

Because this is your organisation, and it will always put you first.

If you want to keep up to speed with all things recruitment then follow me on Twitter @RECNeil

2 RECRUITMENT MATTERS JANUARY 2019

RM_January_2019.indd 2

Despite Brexit uncertainty, there are reasons to stay positive, says TOM HADLEY, REC director of policy and professional services HADLEY ’ S C O MMENT

Riding the storm As we try to make sense of the latest Brexit maelstrom, it isn’t easy to prognosticate about the end destination. But, like most recruiters, I’m an optimist at heart. So here are a few masts of positivity to grab hold of as we sail into 2019.

• Shelter from the storm – Our jobs market could face a perfect storm with both demand and supply of staff impacted. Our JobsOutlook report paints a weather-beaten scene of plummeting confidence in the economy. But, so far, the UK jobs market has risen above the Brexit turbulence. The UK labour market (and recruitment industry that supports it) is once again demonstrating its resilience!

• All hands on deck – On the supply side, the REC/KPMG Report on Jobs shows that candidate availability has been decreasing month on month since May 2013. Recruitment will get harder in 2019. The solution for employers is to get better at hiring, which is why some REC members are being contacted by clients they haven’t heard from for five or six years.

• Charting new routes – Necessity is the mother of invention.

Employers need to innovate to attract the skills they need.

The opportunity for recruiters to have different, more strategic conversations with clients was a core theme of our ‘Recruitment 2025’ White Paper. The main criteria used by employers to select and agency include quality of service (78%) and specific expertise (73%), according to JobsOutlook. Competing on quantity rather than cost is where the tide is heading.

• The flexible crew – In times of extreme uncertainty, access to a vibrant temporary, contract and interim market is more important than ever. The number of employers saying that a main driver for using temp/contract staff is the ability to respond to fast-changing requirements has jumped to 62% (from 51%) in the last year.

Recruitment professionals will provide a crucial outlet for employers and workers in 2019.

JobsOutlook shows that 76% of employers are satisfied with the agencies they worked with, despite the tightening availability of candidates. Recruiters are already stepping up to the tiller. And they will have a pivotal role to play as we navigate the choppy political seas of 2019.

You can follow Tom on Twitter @hadleyscomment

www.rec.uk.com

05/12/2018 17:00

11%

the intelligence...

WITH REC SENIOR RESEARCHER, THALIA IOANNIDOU

2

018 was marred by tense Brexit negotiations, persistent labour and skills shortages, and a cautious – if not pessimistic – economic outlook.

At the time of writing, ongoing uncertainty over Brexit continued to impact on business confidence. Following three months of positive sentiment, employers’ confidence in the prospects for the UK economy returned to negative territory (JobsOutlook, August 2018). Confidence further plummeted in July to September, returning to levels witnessed at the turn of the year. Survey data published in November showed 11% more employers thinking economic conditions were worsening rather than improving.

But despite this, employers remained confident in making hiring and investment decisions throughout 2018.

Sentiment towards permanent hiring in the short- and medium-term stayed buoyant in the second half of the year and well above hiring intentions reported for the same period in 2017. Similarly, the net balance of short- and medium-term forecast demand for agency workers in the second half of 2018 remained significantly higher.

During 2018, an average of three quarters of employers reported they had little or no capacity to take on more work without needing to hire additional staff. While staff appointments continued to increase at a quick pace, the latest data showed growth of demand for staff remained

HEADCOUNT GROWTH GRINDS TO A HALT

Q1 2018

0%

Q4

1%

7%

Q3 2017

6%

8%

Median RIB recruiter

Q2

Q3

Total employees versus last year (%), for the median recruiter, Q3 2017-Q3 2018

www.rec.uk.com

RM_January_2019.indd 3

historically sharp at the start of the fourth quarter (Report on Jobs, November data showed 11% more employers November 2018). The Office for thinking economic conditions were worsening National Statistics (ONS) revealed rather than improving. the number of job vacancies reached staff rose, year-on-year, from 42% 845,000 for August to October – the to 48% and from 40% to 53%, highest number of vacancies since respectively (JobsOutlook, November comparable records began in 2001.

2018). Recruitment and employment Growth in demand for staff is consultancies have also signalled a generally a welcome development. sustained fall in overall candidate However, UK labour market availability – this has declined at trends point to declining staff the quickest pace for nine months availability which, in turn, puts a in October. Staff shortages are fast considerable strain on businesses. The becoming business critical, especially unemployment level in the country in areas such as health and social is at a record low, while the number care, logistics and hospitality. of EU nationals working in the UK Labour and skills shortages will has been falling. Comparing the latest remain a pressing challenge for estimates for July to September UK businesses in 2019. The 2018 with those of a year earlier, recruitment industry has the number of EU workers a vital role to play in in the country fell by addressing heightened 132,000 to 2.25 million business concerns, – this is the largest supporting annual fall since The number of job vacancies employers in comparable for August to planning their workforce records began in 1997.

October, according effectively and ensuring the Employers’ concern to ONS long-term health of the jobs over the availability of market. permanent and temporary

The latest real-time information from the RIB Index shows that, having hovered around 6-7% across H2 2017 and Q1 2018, headcount growth subsequently slowed – and flat-lined in Q3 2018.

Set in context of total billings, headcount growth declined, hand-

845,000

in-hand with a decline in revenue growth experienced over the same period.

Having averaged 10% growth year-onyear across 2017 and remained buoyant across the majority of H1 2018, total turnover growth for the median RIB recruiter

subsequently fell to just 2.9% in Q3 2018.

As such, the industry – known for its remarkable agility – eased off from adding headcount while recruiters, and their client base, await the clarity and certainty required for them to return to hiring in confidence.

BELINDA JOHNSON runs employment research consultancy, Worklab, and is associate knowledge & insight director of Recruitment Industry Benchmarking (RIB) – a strategic partner of the REC. The RIB Index provides bespoke confidential reports on industry benchmarks and trends. See www.ribindex.com; info@ribindex.com; 020 8544 9807.

JANUARY 2019 RECRUITMENT MATTERS 3

05/12/2018 17:00

THE FUTURE OF JOBS

big talking point

Tackling workforce challenges head on The REC’s latest Future of jobs whitepaper highlights why recruiters need to take urgent action to adapt to changes in the labour market. Recruitment Matters explains how they can make a difference wo thirds of children entering primary school today will end up working in jobs that don’t yet exist. The scale and speed of change in the labour market potentially has massive ramifications for the recruitment sector – and in turn, recruitment professionals have an increasingly important role to play in helping individuals to navigate it.

But to create a world-leading jobs market that works for everyone by 2025, those who can influence it need to get on the front foot.

That was why, a year ago, the REC’s Future of jobs commission set out recommendations for policy makers, employers and recruiters. After all, the best way to pre-empt the future is to create it.

The REC called on employers and recruiters to: • Plan for disruption by developing workforce plans that reflect demographic, technological and labour market changes • Re-imagine hiring procedures to find new ways of attracting staff and skills • Make inclusion the norm by delivering tangible progress on diversity & inclusion and embedding flexible hiring • Be future of jobs ambassadors, working with local schools and colleges to help prepare future generations for the changing world of work.

The future for public sector jobs A year on, the REC is keeping up the pressure by launching a second follow-up white paper focusing on the future of jobs in the public sector. And with concern about the impact of Brexit reaching a crescendo at the end of 2018, it highlights that there has never been a more important time to review the latest workforce trends and find solutions to current and future challenges.

4 RECRUITMENT MATTERS JANUARY 2019

RM_January_2019.indd 4

77% of REC’s health and social care members say staffing shortages over the next five years will increase significantly

Staff shortages among NHS workers and teachers are headline grabbing concerns. Not only have 10,000 EU staff left the NHS since the Brexit referendum, the NHS could be short of 51,000 nurses (enough to staff 45 hospitals) by the end of the Brexit transition period alone, says the National Institute for Economic and Social Research.

Among REC’s specialist recruiters, 77% say health and social care staffing shortages over the next five years will increase significantly – and 47% say the same for teachers.

Evaluating the impact that postBrexit immigration models could have on staffing in the public sector – and pre-empting the effect – is therefore an immediate priority.

But the public sector also needs to develop a new generation of leaders – from a much more diverse range of backgrounds – to implement the wide-ranging transformation projects needed to create services fit for the future.

Poor management is cited as a key factor in poor UK productivity levels.

The UK currently has an estimated 2.4 million untrained ‘accidental managers’ – and, according to the OECD, it costs UK employers around £84bn a year.

And as skills shortages persist, the public sector faces stiff competition

www.rec.uk.com

05/12/2018 17:00

THE FUTURE OF JOBS

ADAPTING TO CHANGE: POTENTIAL SOLUTIONS TO CURRENT AND FUTURE TRENDS Scoping future skills and leadership needs

Re-inventing workforce management and working patterns

• Understanding how skills needs are likely to evolve

• Enhancing workforce management

• Pre-empting the impact of Brexit on the workforce

• Embedding flexible work across the public sector

• Building a cadre of future leaders and project managers

• Harnessing external expertise

Finding new ways of retaining and attracting people into the public sector

Future of jobs in the public sector

• ‘Re-branding’ jobs in the public sector • Re-imagining hiring procedures and leading the way on inclusion • Driving ‘good work’

Pre-empting the impact of AI and automation on public sector jobs • How will public sector jobs evolve?

• How will technology impact on hiring procedures?

• What will recruitment supply chains look like in 2025?

• Promoting jobs in the public sector to future generations

from the private sector for talent. This is especially true for technology roles needed to maintain cyber security and to deliver the public sector’s ‘digital by default’ approach.

New ways of attracting staff Once the scale of the challenges are clear, the burning question is how employers and recruiters can make a difference. Already many are looking at new ways of attracting staff.

These include rebranding public sector careers to make them more attractive, and focusing on positive ‘hooks’, including workplace culture, progression and purpose.

Revamping hiring practices, embedding flexible working and inclusive recruitment will also drive better results.

And 69% of REC health and social care members say increasing salaries would help to attract more people into health and social care roles over the next five years, while 85% believed flexibility and work-life balance are the main reasons why healthcare workers choose to work via an agency.

Meanwhile, 72% of REC education members think improved working conditions and support infrastructure will attract more people into teaching roles.

www.rec.uk.com

RM_January_2019.indd 5

New ways of working The public sector will also have to adjust to new ways of working – whether that’s using flexible staffing models to ensure cost-effective and safe staffing levels; harnessing artificial intelligence and other new technology; or learning from best practice in other fields and tapping into external expertise to find cost-effective ways of working with freelancers, contractors and recruitment specialists.

It also needs to get better at training from within to create future leaders and managers equipped to navigating a fastchanging landscape.

New ways of speaking up To support the findings of the Future of jobs commission, the REC launched The ‘Future of Jobs Ambassadors’ network – a group of forward thinking and innovative recruitment leaders who help young people on their journey by working with schools, universities, and Local Enterprise Partnerships to provide work experience placements, jobs, advice and coaching.

Building a better bridge between education and the world of work remains fundamental to the long-term future of work – and the more recruiters that get involved, the bigger the difference they can make.

JANUARY 2019 RECRUITMENT MATTERS 5

05/12/2018 17:00

O P T- O U T S

legal update Opting out of Conduct Regulations

By ALEX CAVE – legal advisor, REC

G

iven the proposed changes to tax legislation, the supply of limited company contractors (LCCs) has received increased scrutiny by both HMRC and the media.

Employment businesses should certainly remain diligent throughout the IR35 determination process. But they should also take care to ensure that if the LCC opts out of the Conduct of Employment Agencies and Employment Businesses Regulations 2003 (Conduct Regulations) that the opt-out is valid.

Why opt-out?

Calling the REC legal helpline, many members ask why LCCs would decide to

6 RECRUITMENT MATTERS JANUARY 2019

RM_January_2019.indd 6

opt out of the Conduct Regulations in the first place.

Historically, LCCs that opted out of the Conduct Regulations could use it to help demonstrate that they were genuinely self-employed, due to being less protected by legislation and subject to greater financial risk. However, in practice, it is the nature of the assignment that will indicate the IR35 status and HMRC would not be persuaded by an opt-out of the Conduct Regulations alone.

One of the key protections under the Conduct Regulations is that work-seekers are protected from having their pay withheld, even in the event of non-payment by the client. This is a key right that can be problematic for employment businesses.

However, with an opted-out LCC, employment businesses can mitigate their own financial exposure by inserting a ‘pay when paid’ clause into

their contract with the LCC (excluding certain construction contracts).

How do I opt out?

An LCC (who is not working with anyone under the age of 18 or with vulnerable adults) needs to provide written notice to the employment business that they intend to opt out of the Conduct Regulations. The notice needs to be signed by both the individual and a representative of the limited company and it must be received by the employment business before the start of the assignment.

The next step is one that is frequently forgotten: the employment business must then notify the client that the candidate has opted out of the Conduct Regulations before the candidate is introduced or supplied to the client.

Overall, employment businesses should always check that the opted-out process has been followed correctly.

An incorrect opt-out means that the Conduct Regulations would continue to apply as if there had been no opt-out.

This can have significant consequences on employment businesses that rely on ‘pay when paid’ clauses as the Conduct Regulations would then render that clause unlawful.

www.rec.uk.com

05/12/2018 17:01

I N S P I R AT I O N To keep up to date with everything the Institute of Recruitment Professionals is doing, please visit www.rec-irp.uk.com

KARLA KEATING-NEL operations

& AllenDay Recruitment, on what makes a sustainable business

There’s more to doing business than the day job

You were named Best Business Woman in Recruitment at the 2018 Best Business Woman Awards.

Judges cited your record for client retention. What are your top tips?

A small business can do CSR We only have 12 staff members. We don’t have a dedicated person thinking about our values, or what links the CSR we already do. But you need a champion to do it well. That’s now me. And I’ve found that organisations are so open to your offer of

RM_January_2019.indd 7

KATHY DORAN director, Morestaff

manager at HumanOne, on giving something back

We all want to make money, but we also need to stand for something.

As a company, we’ve recently decided to formalise our CSR work and focus on helping youth who haven’t found it easy to get on in life.

We’re still working out how best to get involved, by fundraising, offering mentoring and, for those who want to get into hospitality and leisure, CV writing and interview skills.

www.rec.uk.com

Q&A

What I know

BEHIND THE SCENES AT THE INSTITUTE OF RECRUITMENT PROFESSIONALS

help, they’ll show you how it can be done in an impactful way, despite the limitations you have.

Talking to clients can open up opportunities too.

The industry should pull together to tackle its challenges At the beginning of 2018 we held a meeting with the security management teams from different London hotels to discuss thefts over the summer months – when temps are often blamed. We came up with an action plan to minimise the problem. But since then that initiative has evolved into something far bigger, with meetings every 4-6 weeks, including general managers, heads of departments and a guest speaker to discuss other issues. We’re now setting it up as an organisation called Leaders of Industry.

It feels good to be part of something bigger.

Make sure your client sees you as part of their operation. Have regular meetings and solve issues together. Be completely honest at all times. Inform them of any challenges they or you could be facing.

Offer them solutions.

We’ve been with some clients since we started out 28 years ago, but managers change, so you’re forever building new relationships.

The history of what you’ve done for them opens doors, but they will base their relationship with you on what you do going forward.

What drives you to do that?

The belief that I will not fail. When I take decisions that other people view as risks, I don’t think they are.

I’ve looked at the worstcase scenario and tried to find solutions. I’ve always looked at what I needed to do to get to the next level.

I think being a single mum has fuelled my need to be successful.

What are you most proud of?

When candidates – or clients – come back after several years. It shows we’re not far from people’s minds when they need help.

What’s next?

I’d like to use my experience to help other people. I’d love to mentor and get more involved with different industry bodies The judges also or charities. I’d also like to highlighted your do more travelling – and commitment to evolving your business maybe open up somewhere else in the world. to stay competitive.

JANUARY 2019 RECRUITMENT MATTERS 7

05/12/2018 17:01

AWA R D S

IRP Awards 2018 The winners Best Company to work for (Up to 20 Employees) Winner InfoSec People

Individual awards Recruitment Apprentice of the Year Winner Matthew Stimpson, Human Capital Ventures

Best Company to work for (Up to 50 Employees) Winner Hyper Recruitment Solutions Highly Commended Bramwith Consulting

Newcomer of the Year Winner Chris Forsyth, Redline Group Highly Commended Sariat Adeniji, Hyper Recruitment Solutions Jobs Transform Lives: Best Candidate Experience Winner Adriana Brito-Brito, One Step Recruitment Permanent Consultant of the Year Winner Kristy Potter, Acorn People Highly Commended Matthew Covell, Search Consultancy Temporary Consultant of the Year Winner Mehreen Ayub, Admiral Recruitment Highly Commended Sophie Banks, Monarch Education

Company awards Back-office Support Team of the Year Winner Compass Associates Highly Commended Star People Development Business of the Year Winner Amoria Bond Recruitment Campaign of the Year Winner Guidant Global

Business Manager of the Year Winner Chris Pritchard, Search Consultancy Highly Commended Beth Daniels, Jane Lewis

Corporate and Social Responsibility Practitioners of the Year Winner Thorpe Molloy Recruitment

Business Leader of the Year Winner Raj Tulsiani, Green Park

Advocate Company of the Year Winner Serocor Group

Best Company to work for (Up to 150 Employees) Winner VHR Best Company to work for (Over to 150 Employees) Winner Amoria Bond

Overall awards Lifetime Achievement Award Winner Carmen Watson Recruiter of the Year Winner Kristy Potter, Acorn People

With thanks to our event partner and sponsors:

RECRUITMENT MATTERS

The official magazine of The Recruitment & Employment Confederation Dorset House, 1st Floor, 27-45 Stamford Street, London SE1 9NT Tel: 020 7009 2100 www.rec.uk.com

8 RECRUITMENT MATTERS JANUARY 2019

RM_January_2019.indd 8

Membership Department: Membership: 020 7009 2100, Customer Services: 020 7009 2100 Publishers: Redactive Publishing Ltd, Level 5, 78 Chamber Street, London E1 8BL Tel: 020 7880 6200. www.redactive.co.uk Editorial: Editor Pip Brooking Pip.Brooking@rec.uk.com. Production Editor: Vanessa Townsend Production: Production Executive: Rachel Young rachel.young@redactive.co.uk Tel: 020 7880 6209 Printing: Printed by Precision Colour Printing © 2019 Recruitment Matters. Although every effort is made to ensure accuracy, neither REC, Redactive 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 Redactive Publishing Ltd. No responsibility can be accepted for unsolicited manuscripts or transparencies. No reproduction in whole or part without written permission.

www.rec.uk.com

05/12/2018 17:01

Advertorial A DV E RTO RIAL C Q S ( C E R T I F I E D Q U A L I T Y S Y S T E M S ) L I M I T E D

How can ISO Certification benefit your Business?

CQS (Certified Quality Systems) Ltd specialises in ISO 9001:2015, ISO 14001:2015, ISO 45001:2018 & ISO 27001:2013 certification along with other management system standards. We have been certifying companies globally for over 20 years and our team of dedicated consultants and auditors work with you to ensure that you maximise the benefits of achieving certification, whilst also adding value to the business.

Certificate can be achieved “Quite Simply” with the help and support of CQS.

ISO 9001 Quality Management Many organisations opt to invest into ISO 9001:2015 Certification to provide a vital foundation for the continual development of their business and to demonstrate compliance.

Certified companies see improved quality management procedures and a reduction in cost through process improvements in line with the requirements of ISO 9001. As with any organisations wanting to excel it is imperative to have a high level quality system in place and by having third party certification, you can demonstrate these improvements to everybody from staff to clients to suppliers.

↗

Our team of experienced business consultants take a practical down to earth approach ensuring certification is achieved simply and efficiently. Our mission is to provide businesses with a professional, affordable service to a realistic timescale in order for them to meet their objectives without the need for extensive internal resource commitment.

information of EU residents must adapt their data handling, information security, compliance processes and contractual relationships. Failure to do so can bring fines of up to 4% of annual worldwide turnover or €20 million (whichever is greater). The ISO/IEC 27001 provides an excellent starting point for achieving the technical and operational requirements necessary to prevent a data breach. ISO 27001 promotes a culture and awareness of security incidents in organisations and can assist with GDPR compliance. ●

CQS (CERTIFIED QUALITY SYSTEMS) LIMITED Britannia House, Britannia Business Centre, Enigma Park, Malvern, Worcestershire, WR14 1GZ For further information please visit: www.cqsltd.com Telephone: +44 (0)1684 571 350 Email: info@cqsltd.com

ISO 27001 & GDPR Information Security Management & General Data Protection Regulation Since the GDPR implementation deadline passed on the 25th May 2018, every organisation that processes the personal

WWW.RECRUITER.CO.UK 27

REC.01.19.035.indd 35

05/12/2018 17:19

REC.01.19.036-37.indd 36

05/12/2018 17:19

REC.01.19.036-37.indd 37

05/12/2018 17:20

E UPSTART EARPIECE CO M M UNITY

Rhys Maddocks: shaking up recruitment

Swipe left, swipe right…

DIFFERENT STROKES

BY COLIN COTTELL

S

ometimes, it takes a person with a different perspective and background to really shake things up in the recruitment industry.

Based in a converted barn near Totnes in Devon, Rhys Maddocks, founder of a technology designed to improve the candidate experience by revolutionising search, is frank in admitting that recruitment is not something he can put on his CV. “No, I have never worked in recruitment, I don’t know a lot about the recruitment industry,” he admits cheerfully, although he says he has often thought he should go and work in a recruiter’s office. “It would be a good thing to do. I would learn a hell of a lot.”

Maddocks’ lack of recruitment experience certainly hasn’t held him back, however. Indeed, if anything his unconventional background and career, and his ability to see the world differently have been integral to his contribution to the industry.

30 RECRUITER

p38-39_recruiter_upstart.indd 30

In 2015, Maddocks began work on an intelligent search technology designed for mobile and aimed at the Uber/Tinder generation. That technology was AdSwipe, which was quickly adapted to create JobSwipe. The technology works by allowing job hunters to quickly whittle down their search from the 1m plus jobs provided by job boards and aggregators that are available on the app. Job hunters swipe left on the app to remove jobs – potentially many thousands at a time – that aren’t of interest, and swipe right to find jobs that they like.

According to Maddocks, the machine learning at the heart of the technology means the maximum number of searches to find any job from out of the more than 1m available is 13. In theory, Maddocks says this makes searching four times faster than Google.

Maddocks spent a further two years getting around the problem of jobseekers having to leave the app to upload their CV every time they applied for a job supplied by a different aggregator. “The whole of the job board industry is built from the perspective of their client – the agencies and employers – not the candidate. Our whole focus is how can we make it easy to apply for jobs.”

Maddocks says his approach has never been to ask people what they want, citing Henry Ford’s famous quip, ‘If I had asked people what they wanted they would have said faster horses’.

“You have to think above that. What would people need? What would be good?”

Game-changing technology With between 1,000 and 1,500 new registrations a day and the aim of between 3,000 and 5,000 registrations a day from now

JANUARY 2019

05/12/2018 16:54

CO M M U N I T Y

UPSTART

E

JobSwipe aims to help people apply for jobs more easily

technology and want to take that extra step, you can get really great companies. Mark Zuckerberg is a programmer. Bill Gates is a programmer,” he adds.

Maddocks says his background, from a family of academic high achievers, and spending time discussing ideas around computers “has been a big thing” in shaping his career. Having dropped out of the London School of Economics, where he studied geography to focus on his entrepreneurial interests, among his other talents are producing house dance music. He also had his own record label in the 1990s.

Looking forward While Maddocks is confident that the business is on track, he is continues to look ahead. He talks excitedly about including the capability for recruiters to ask applicants who swipe left on a job three questions why they did so. “If they reply because the salary is too low, we could feed that back to the clients who could potentially up the salary,” he says.

He also recognises the potential for the JobSwipe technology to be applied to other sectors, particularly cars and property, for which he already has trademarks in place. “I wouldn’t “I kknew this hi was rule out entering these markets,” he says. game-changing Maddocks has had his struggles to get onwards, it’s an approach that certainly appears the business to where it is today. Having to be working. After launching the enhanced because the job been turned down by a host of UK banks version in February 2018 that can handle higher boards were and venture capitalists, it was only after a volumes, Maddocks says his two-year target was approaching me” US funder came forward that he was able to achieved in just seven weeks. “I knew this was a get the capital he needed to further develop game-changing piece of technology because the his ideas. It appears that his sense of being let job boards were approaching me. It was solving a down has now dissipated. “When you start problem, and when you do that the business grows proving yourself as a company, of course you become itself really,” says Maddocks. more part of the establishment, I guess,” he says.

Having run global jobs portal XpatJobs and rental property For a man, who by his own admission doesn’t portal XpatRentals for more than a decade, Maddocks describes know a lot about the recruitment industry, and as himself as a software developer. “I understand the technology, someone badly let down by the UK investment and which gives you a huge advantage,” he says. banking community, that is some statement. ● “When you do get founders of companies, who understand

WWW.RECRUITER.CO.UK WWW.RECRUITER.CO.UK 31 31

p38-39_recruiter_upstart.indd 31

05/12/2018 16:55

Looking for senior talent?

Choose the right solution to reach the best executive level candidates

exec-appointments.com, the dedicated recruitment site of the Financial Times, is the leading job board for executive-level positions across multiple sectors with an average of 33 high quality applications per C-suite role.

Our recruitment advertising packages target a broad and talented group of C-suites, business leaders, banking and finance professionals that can add real value to any business, maximising the exposure of your role and providing you with a great branding opportunity.

Contact us at +44 (0)207 873 4909 to discuss advertising opportunities on exec-appointments.com

REC.01.19.040.indd 40

05/12/2018 17:21

CO M M U N I T Y

SOCIAL NETWORK WHAT HAVE YOU BEEN UP TO? GET IN TOUCH!

E

What a great fundraising year it’s been for recruiters.

Here are just a few of the charitable events and challenges you’ve been involved in…

FIRST CALL CLOSES IN ON FUNDRAISING TARGET

£53k pays for a Macmillan nurse for a year

First Call Contract Services charity champions are heading towards their end-of-year target for Macmillan Cancer Support. The team is trying to achieve an amazing £53k by the end of 2018, and at the time of going to press at the start of December, had raised a whopping £37k. £53k will pay for a Macmillan nurse for a whole year.

FORWARD ROLE HOSTS WELLNESS DAY FOR FOREVER MANCHESTER Forward Role staff took part in a Wellness Day at their city centre office to support local charity Forever Manchester, who fund and support community activities across Greater Manchester.

SOURCE TECHNOLOGY’S FUNDRAISING YEAR FOR GOSH Source Technology is about to reach its 2018 £3k fundraising target for Great Ormond Street Hospital (GOSH). The firm’s Charity Challenge day raised the most money, with staff taking part in a spinathon, a karaoke, a sponsored silence (apart from speaking to clients and candidates, of course), a stepathon, a marathon Twister game and a pool competition. £2.5k was raised on that day alone.

CLASS CYCLING ACT FROM CEO BASSETT Lynis Bassett, CEO of education recruiter Class People and the LB Education Group, is back home after completing a gruelling five days and 465km riding a bike in India for charity Women V Cancer.

JOBSHOP UK SWINGS INTO ACTION FOR MONTACUTE SCHOOL Bournemouth-based recruiters Jobshop UK presented a swing to Montacute School, a school for children with special needs and learning difficulties. Jobshop UK held a charity Grande Masquerade Ball and raised more than £15k for the specialist swing, which gives children at the school in wheelchairs the chance to play with their friends.

CUMMINS MELLOR RAISES OVER £15K FOR BLACKBURN YOUTH ZONE Blackburn-based recruitment and employment specialists Cummins Mellor organised a Quiz Quest for the Blackburn Youth Zone at the Dunkenhalgh Hotel & Spa. The £15,170 raised on the night will go towards the Youth Zone’s ‘Get a Job’ programme, which supports young people aged 16-24 to gain the right skills for employment.

L-r: Blackburn Youth Zone interim CEO Raz Mohammed, BYZ chairman Rt Hon Jack Straw, Cummins Mellor MD Michelle Mellor, BYZ Quiz Quest Champions Napthens, Cummins Mellor chairman Richard Mellor

WWW.RECRUITER.CO.UK 33

p41_Recruiter_nov18_Social.indd 41

05/12/2018 16:55

REC.01.19.042.indd 42

05/12/2018 17:22

CO M M U N I T Y

CAREERS

E

The Workplace

BY GUY HAYWARD

no longer be served meat at work events or be reimbursed for meals that include poultry, pork or red meat. The move reaffirms its company values, which include sustainability and community, however it does raise the question of how much influence we should have over our people’s life choices.

Encouraging healthier choices has become integral in the modern workplace and you’d be hard-pushed to find a London office that doesn’t have regular fruit drops, but is an outright ban on unhealthy choices overstepping the mark? Lee Biggins, founder of CV-Library, puts it succinctly when he says, “you don’t want to make employees feel uncomfortable by enforcing unnecessary rules”.

Rules such as at sportswear firm Bjorn Borg, where they enforce mandatory weekly workouts and state that “if you don’t want to exercise or be part of the company culture, you have to go”. I love my fitness but I’m not sure I agree with this approach.

I love seeing companies be wonderfully creative in the way they aid (not force) their people to take care of themselves by giving choice and exposure to ‘things’ that maybe normally they wouldn’t explore. Wellbeing Weeks are a great way of introducing a whole raft of benefits:

“You don’t want to make employees feel uncomfortable by enforcing unnecessary rules” breast and prostate cancer awareness talks, reflexology, meditation classes, learning to draw and guitar lessons are some of the most creative I have seen. Nothing forced, just an offering of new wellbeing experiences.

Nestlé’s approach has a fun quirkiness: they allow their people to bring dogs into the office, encouraging walks at lunch without enforcing mandatory exercise or sending everyone to the gym. For the same reason, I don’t think I would join the 1,300 businesses Fitbit work with every year to set up ‘wearable devices’ schemes… it seems too much like enforcement.

We all know how we like to balance the office and our life outside – we should be allowed that choice. ●

↗

HERE’S A THOUGHT-provoking question: ‘Have company wellness programmes failed?’

Are they something forced on people rather than for them? Do they really elevate company culture, inspire commitment and influence business performance?

Do the programmes make a difference? Do we ever achieve the magical balance between work and our lives outside of our job?

I raise the question because twice in the past month I have heard from two CEOs of medium-sized companies that have told me this is how they feel… I figured that others might feel the same.

I hope not but I guess it is a possibility.

Interestingly, the term work-life balance does seem rather unattractive and old fashioned. It conjures up images of just doing work ‘at work’ and enjoying total switch-off when you leave the office. We don’t leave work behind when we arrive home and our lives continue when we’re working.

As employers we should create an environment where our people can enjoy both and choose how to balance the two.

That’s why I find the approach from shared workspace organisation WeWork a controversial one.

Their 6,000+ employees will

GUY HAYWARD –redefining the modern workplace CEO, Goodman Masson

WWW.RECRUITER.CO.UK 35

p43 Recruiter_nov18_Workplace.indd 43

06/12/2018 12:10

E BUSINESS ADVICE CO M M UNITY

ASK THE EXPERT I hate budgeting. With such uncertainty around Brexit is it even worth doing?

Budgeting is fundamental to running a successful business and even more so in times of economic uncertainty. It dictates who you hire and when. It provides you with an early warning system about potential cashflow issues and gives you an invaluable sense of control. It will make you more efficient and increase your chances of success.

Reframe your mindset around budgeting and try to think of it as something exciting rather than a chore.

After all, your budget is the financial manifestation of your road map to achieving your goals. In the current environment there may be detours, the journey may take longer and the destination may even change, but at least you will know where you are versus where you intended to be.

Planning your journey • Start long-ish: given the economic uncertainty don’t feel the need to plan beyond a three-year vision.

What will gross profit/net fee income (NFI) and profit be at the end of year three? How many senior consultants, consultants and researchers do you need to deliver those figures? And what will be your support staff and other costs?

• Work back year by year: calculate how many people you will need at the start of year 2 to deliver your numbers for Y3. And the numbers you will need in 12 months’ time for your Y2 goals to be realistic.

Remember to build in headroom for any staff turnover.

• Planning year 1: break your Y1 targets down into quarters initially. What GP/NFI will you need to achieve in each quarter? And what staff will you need in which divisions to deliver that? Next, break the quarters into months and then turn these into individual targets across your team. Set your team’s targets 20% higher than your budget to give headroom and hopefully drive on increased growth.

The process is time consuming but also essential.

Building in contingency

36 RECRUITER

The SME Coach

going to plan as they enable you to take action and regain control – control is impossible without a plan. Building contingency into your budgeting (I am advising clients 20%) further reduces your potential for stress because even when you miss monthly targets occasionally you will still be on track to invest and achieve your long-term vision.

Budgeting, financial management and flexibility Given economic conditions could change rapidly in coming the months, it’s more important than ever to track financial performance against budget, and act both swiftly and decisively if targets are regularly missed or become unrealistic. Resetting targets or interim targets shouldn’t be done lightly but should be done proactively to avoid inefficient use of resources and to maintain your team’s confidence in the company’s prospects and your leadership.

Make budgets relevant to the whole team Sharing your vision and showing how each individual contributes to delivering the overall target will give the team confidence – and help achieve your plan.

At an individual level show that targets are both considered and achievable to relieve the pressure that some consultants feel otherwise. Demonstrate the direct link between activity and fees generated using each individuals’ key ratios (jobs on to jobs filled; candidates interviewed to placements made; business development calls made to new jobs etc) so everybody understands what they need to do every week to exceed their targets even in a bad month.

↗

The principal reasons budgeting stresses people are: • worrying about the impact of unknowns • the fear of missing targets (which some people see as failure).

Actually budgets reduce stress even if things aren’t

Alex Arnot

ALEX ARNOT is founder of MyNonExec and board advisor to more than 30 recruitment companies

JANUARY 2019

p44 recruiter_careers ASK EXPERT.cc.indd 44

05/12/2018 16:56

REC.01.19.045.indd 45

05/12/2018 17:23

E CAREERS CO M M UNITY

‘My dad has always told me to believe in myself and don’t let anyone tell you that you can’t do anything’ MY BRILLIANT RECRUITMENT CAREER What was your earliest dream job?

What was your first job in recruitment and how did you come into it?

In construction and engineering. I was at a bit of a crossroads where I was doing some marketing work for the NHS and decided I wanted a career change. The agency was advertising for trainee recruitment consultants. I just thought I had everything they were looking for, so I went for the interview and got the job.

Who is your role model – in life or in recruitment?

↗

A solicitor. I used to watch [US comedydrama series] Ally McBeal and think I wanted to do that as a job.

BECKY ORAM head of SEN (special educational needs), Class People

Becky Oram I have placed, it just makes my job worthwhile – that’s why I love it.

What would you consider to be the most brilliant moment of your career?

My dad – he’s always told me to believe in myself and don’t let anyone tell you that you can’t do anything. He’s instilled that in me over the last 39 years.

Three or four years into my recruitment career, I was working with a large corporate and I managed to bill £21k in one month – I’d only been at the company four or five months.

What do you love most about your current role?

What’s your top job to fill at the moment?

Every day is different. Working with schools and TAs [teaching assistants] – it’s really rewarding when I put the right TA into the right school to work with the right child. A lot of it is they are working with children with special educational needs [SEN], so when I hear about the progress the children have made because of the TA that

A lot of my appointments are SEN TAs working in either mainstream or specialist schools.

38 RECRUITER

JANUARY ARY 2 2019 019 0 01 119 9

p46_recruitermybrillcareer.indd 46

What is your signature dish?

I make a mean homemade lasagne.

Laugh or cry, what did your most memorable candidate make you want to do and why?

One of my TAs had

taken her lunch break and was sitting in her car having a cigarette. She looked out the window and spotted two year three pupils wandering around the car park. So she threw her cigarette out the window, jumped out of her car, bundled the two children into her car and took them back to school. She didn’t even think that if anyone saw her it could have looked like she was kidnapping two school children! She had me in hysterics when she told me that story.

What’s the best or worst in interview question you’ve u’ve ever heard?

Please sell me this pen.

What would d you regard as your theme tune??

Eye Of The Tigerr – Survivor.

IM AGES | ISTOCK / A LA MY

05/12/2018 16:56

,Q \HDUV WKH ZRUOG RI UHFUXLWPHQW PD\ KDYH FKDQJHG EXW RXU YDOXHV KDYHQèW -1h L1; "Â&#x2020;rrou| ";uÂ&#x2C6;b1;v v|-u|;7 _;Ń´rbm] u;1uÂ&#x2020;b|l;m| -];m1b;v o= -Ń´Ń´ v_-r;v -m7 vbÂ&#x152;;v ruovr;u -m7 ]uoÂ&#x2030; Â&#x2030;-Â&#x2039; 0-1h bm Ć?Ć&#x2013;Ć&#x2013;ќĺ "bm1; |_;mġ Â&#x2030;;Ä˝Â&#x2C6;; -Ń´vo ruovr;u;7 -m7 ]uoÂ&#x2030;mÄť- vÂ&#x2020;11;vv 0Â&#x2020;bŃ´| om -Ń´Â&#x2030;-Â&#x2039;v =oŃ´Ń´oÂ&#x2030;bm] |_; v-l; 1ou; rubm1brŃ´;vÄş Â&#x2020;মm] oÂ&#x2020;u 1Ń´b;m|v Cuv|ġ 0;bm] Y;Â&#x160;b0Ń´; ;moÂ&#x2020;]_ |o C| -uoÂ&#x2020;m7 Â&#x2039;oÂ&#x2020; -m7 o@;ubm] -Ń´Ń´ |_; vÂ&#x2020;rrou| -m7 -7Â&#x2C6;b1; Â&#x2039;oÂ&#x2020; m;;7Äş ;;rbm] ;Â&#x2C6;;uÂ&#x2039; ruolbv; -m7 -Ń´Â&#x2030;-Â&#x2039;v Ń´oohbm] |o blruoÂ&#x2C6;; Â&#x2030;_-| Â&#x2030;; 7o =ou Â&#x2039;oÂ&#x2020;Äş $_;Â&#x2039;Ä˝u; |_; Â&#x2C6;-Ń´Â&#x2020;;v oÂ&#x2020;u 0Â&#x2020;vbm;vv bv 0Â&#x2020;bŃ´| omÄş m7 |_; u;-vom Â&#x2030;_Â&#x2039; Â&#x2030;; 1-m _;Ń´r 0Â&#x2020;bŃ´7 Â&#x2039;oÂ&#x2020;uvÄş

2XU FRUH SULQFLSOHV Â&#x2020;| oÂ&#x2020;u 1Ń´b;m|vÄ˝ m;;7v Cuv| Keep our promises Check and double-check.

Then check again.

Always ask why Take pride in what we do

6HH KRZ %DFN 2IÄ&#x2020;FH FDQ KHOS \RXU EXVLQHVV JR IXUWKHU &DOO XV RQ 01260 280290 RU YLVLW EDFNRIÄ&#x2020;FHVXSSRUWVHUYLFHV FR XN RXU ZD\

Time to review your PSL Make sure your service providers are FCSA Accredited

To help you make informed decisions when reviewing your PSL, we now only offer one category of membership, that of FCSA Accredited Member.

One category of membership, one standard for all.

Providing you with complete clarity and peace of mind that every FCSA member has been rigorously tested by truly independent assessors to demonstrate their compliance with our stringent codes.

Take a closer look at your PSL. Check theyâ&#x20AC;&#x2122;re an

Accredited Member

0203 772 8622 | info@fcsa.org.uk | www.fcsa.org.uk

REC.01.19.047.indd 2

05/12/2018 17:24

E CAREERS CO M M UNITY

ALEXANDER MANN SOLUTIONS: The global talent acquisition and management solutions provider has appointed Jon Harding OBE as chief commercial officer and Neil Jones as regional head of AsiaPacific.

the executive search firm as a director within its HR team.

Financial services company Bibby Financial Services (BFS) has appointed Paul Lomas as global HR director. Lomas joins from Oxford University Press, where he was also group HR director.

Before joining Oxford University Press, Lomas was HR director at payment processing company WorldPay, where he was responsible for creating and implementing an HR agenda delivering transformational performance across the organisation following the private equity buy-out from RBS. Commenting of his appointment, Lomas said: “Retaining and acquiring leading talent is at the heart of BFS’s strategy…

We have ambitious growth plans over the coming years and we are committed to developing a commercially-focused people strategy that delivers for our business, colleagues and the communities in which we work.”

AQUENT/VITAMIN T: Aliza Sweiry joins the specialist recruiter for creative, digital and marketing talent as managing director UK.

ATHONA RECRUITMENT: The medical and education recruiter has promoted Tanya Ironmonger to director for acute doctors. Ironmonger has worked at Athona since 2007, starting as a compliance officer, before being promoted business manager of Athona’s consultants’ team. Athona also welcomes Toby Colley as business development director in its healthcare division.

AUDELISS: The executive search firm welcomes Eric Contreras as head of executive search.

BIE EXECUTIVE: Catherine Osaigbovo joins 40 RECRUITER

JANUARY 2019

p48-49_Recruiter_MoversShakers.indd 48

BOND WILLIAMS PROFESSIONAL RECRUITMENT: The Bournemouth-based recruiter appoints Emma Rudd as business manager.

manager and Danny Stockwell joins as an associate focusing on research, data and insight roles.

HIBOB: Joel Farrow joins the people management platform as managing director.

OPTIONIS GROUP: HARNHAM: CONCEPT RESOURCING: Paula Jones joins the sales, engineering and technology recruiter as sales manager.

ELEVATION RECRUITMENT GROUP: Joanna Dobson joins the multi-sector recruiter as commercial director.

Stephen Lawrence joins the data and analytics recruiter as its new chief financial officer.

HASSON ASSOCIATES: The research staffing specialist has promoted Anna Soares Dos Santos to the new post of data & resourcing

The professional services provider for contractors has appointed contractor accountancy firm First Freelance founder Mark Beal-Preston as chief commercial officer.

PURE: The international search and recruitment firm welcomes Neil

Email people moves for use online and in print, including a short 06/12/2018 09:34

Redactive Publishing Ltd 78 Chamber Street, London E1 8BL 020 7880 6200

Dyball as business head for Pure Asia-Pacific.

specialist has promoted Cameron Rumph to executive consultant from principal.

TML PARTNERS: The marketing staffing specialist welcomes Tom Morgan-Harris as associate director.

WILLIS TOWERS WATSON: QUANTA CONSULTANCY SERVICES: The life sciences, renewable energy and ICT staffing specialist has promoted five members of staff to the newly-created role of associate director. They are (l-r): Andrew Pieri – associate director of sales; Ben Alger – associate director of sales; Jackie Robinson – associate director of finance; Lauren Potter – associate director of delivery; Richard Allen – associate director of sales.

SHINE.COM: The Indian job portal welcomes Amardeep Vishwakarma as chief technology officer.

STHREE: The STEM staffing business has appointed Denise Collis as employee representative nonexecutive director.

The global advisory, broking and solutions company has appointed Steve Allan to lead its mergers & acquisition (M&A) advisory business within its global human capital & benefits business.

The US-based executive search firm welcomes Terry Petzold as MD and Don Davis as principal in its aerospace, defence & intelligence practice.

YOU R NE X T M OV E A selection of vacancies from recruiter.co.uk Buchanan Search Trainee sports headhunter Healthcare, rec-to-rec City of London £24k basic, up to £45k SW6 Associates Trainee recruitment consultant Healthcare, rec-to-rec Borders and South Scotland £20-22k, up to £40k + bens

For more jobs, people moves and career advice go to

The technology staffing

● recruiter.co.uk/jobs ● inhouserecruiterjobs.co.uk ● internationalrecruiterjobs.com

biography, to recruiter.editorial@redactive.co.uk p48-49_Recruiter_MoversShakers.indd 49

EDITORIAL +44 (0)20 7880 7603 Editor DeeDee Doke

jack.stevens@redactive.co.uk

deedee.doke@recruiter.co.uk

+44 (0)20 7880 7633

Reporters Colin Cottell, Graham Simons colin.cottell@recruiter.co.uk graham.simons@recruiter.co.uk

Contributing writer Sue Weekes Production editor Vanessa Townsend vanessa.townsend@recruiter.co.uk

Designer Craig Bowyer Picture editor Akin Falope ADVERTISING +44 (0)20 7880 6213 Sales manager Paul Barron paul.barron@redactive.co.uk

ZRG:

BlackBook Executive Search Director Rec-to-rec Piccadilly, Central London £competitive salary

SOURCE TECHNOLOGY:

CONTACTS

+44 (0)20 7880 6245 Sales executive Jonathan Adebayo

RECRUITMENT ADVERTISING Sales executive Jack Stevens

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

RECRUITER AWARDS/ INVESTING IN TALENT AWARDS +44 (0)20 7324 2771 eventsteam@redactive.co.uk

jonathan.adebayo@redactive.co.uk

CIRCULATION and SUBSCRIPTIONS Recruiter is the leading magazine for recruitment and resourcing professionals. To ensure each issue of Recruiter magazine is delivered to your desk or door, subscribe now at https://subs. recruiter.co.uk/subscribe. Annual subscription rate for 12 issues: £35 UK; £45 Europe and £50 Rest of the world • Recruiter is also available to people who meet our terms of control: http://bit. ly/RecruiterCC • To purchase reprints or multiple copies, or any other enquiries, please contact mysidekick@recruiter.co.uk or +44 (0)20 8950 9117 CONTRIBUTIONS Contributions are invited, but when not accepted will be returned only if accompanied by a fully stamped and addressed envelope. Articles should be emailed. No responsibility can be taken for drawings, photographs or literary contributions during delivery, transmission or in the editor’s hands. © 2019 Redactive Media Group. All rights reserved. This publication (and any part thereof) may not be reproduced, transmitted or stored in print or electronic format (including but not limited to any online service, any database or any part of the internet) or in any other format in any media whatsoever, without the prior written permission of Redactive Media Group.

Redactive Media Group accepts no liability for the accuracy of the contents or any opinions expressed herein. The publishers cannot accept liability for any loss arising from the late appearance or non-publication of any advertisement for any reason whatsoever. ISSN 1475-7478

Total average net circulation between 1 July 2017 & 30 June 2018 – 14,837. is also sent to all REC members

Recycle your magazine’s plastic wrap – check your local LDPE facilities to find out how.

Scan here to get your own copy of

06/12/2018 09:34

E THE LAST WORD CO M M UNITY

Alan Furley

Trust is for life – not just for Christmas

As we try to move through numerous Christmas parties and make a plan into 2019, PR and marketing teams of growing companies across the country will no doubt be looking at raising their employer brand propositions.

They will be keen to create a great hook to attract top talent, and trusting employees understandably seems to be playing a big part. One particular trend that is making headlines is the idea of ‘unlimited holiday’ for all employees.

Often offered by Silicon Valley tech outfits and made famous in the UK in 2014 by Richard Branson, it’s based on the idea that you get to take as much holiday as you like, as long as it doesn’t damage the company.

The outcomes of this approach may not be as beneficial as you think

– and may even have an opposing effect. I know of firms who have put an unlimited holiday policy in place and conversely people take less annual leave – and not just by a day or two either, but by as much as a whole week. And this is secretly celebrated by their management team!

The same applies to the promise of flexible working.

Many argue that offering this from day one indicates you trust your employees, suggesting the only alternative is that you do not and will not ever have faith in your team to do their job.

This might sound a bit Grinch-like, but is trust really best fully given from day one? If you own a business or manage a team where staff have unlimited holiday and can work from home from day one, then how will you feel if your new

This might sound a bit Grinch-like, but is trust really best given from day one?

42 RECRUITER

p50_recruiter_lastword.indd 50

recruit is a little off the pace after month one and you’ve only seen them on occasion?

And if you’ve been attracted by the promise of working whenever and wherever you want, then you’ll be hoping that it’s been offered as a genuine benefit. But can you trust that it won’t be used against you if you don’t get up to speed quickly – or only as long as you’ve hit target for the last two months?

Take a step further and why worry about contracts and lengthy terms of business at all?

The key here is to trust that people will act with integrity, but don’t make it blind faith and risk breaking it irreparably. Don’t be afraid to talk about trust being earned, from both sides of the employment equation.

I’ve learnt that listening

ALAN FURLEY is a director at ISL Recruitment

and talking has made a massive difference with these difficult issues.

We listened to our employees and they didn’t want us to offer all these benefits from day one as they were concerned about the chances that trust could be eroded far too quickly.

The truth is that ‘amazing sounding’ promises are often more about the employer than the employee.

So when planning next year’s benefits, try to understand what your current and future employees will value rather than try to ride a PR trend. Put a bit more thought into it than you do for your Secret Santa and you’ll be pleased with the return on your efforts.

JANUARY 2019

05/12/2018 16:57

WE’VE GOT A LOT TO SHOUT ABOUT...

AND YOU CAN READ ALL ABOUT IT ON THE BOOMERANG FUNDING™ BLOG! With some of the biggest names in the recruitment industry acting as our key contributors, the Boomerang Funding™ blog is the ideal place for you to catch up with the latest news and views from thought leaders in the UK recruitment industry.

To get updates directly in your inbox visit : www.boomerangfunding.co.uk/subscribe

CONNECT WITH US BoomerangFundin BoomerangFunding Boomerang Funding

www.boomerangfunding.co.uk/blog

REC.01.19.051.indd 2

05/12/2018 17:25

CHANGING THE SHAPE

F PAY AND BENEFITS

ATTRACT, REWARD, ENGAGE AND RETAIN WORKERS Hive360 offers a robust, fully compliant and future proof alternative to the traditional umbrella company solution for temp payroll management. Our innovative and highly commercial employment support services streamline your payroll administration, manage your pension auto enrolment, and deliver ground-breaking employee beneďŹ ts and welfare support, via our Pay & Perks App. In a changing economic climate, looking after your workers is key. Take the ďŹ rst step towards joining the employee engagement revolution and call us on 0121 661 4851 for a demonstration. www.hive360.com

REC.01.19.052.indd 52

05/12/2018 17:26