Archive for the ‘Employment Trends’ Category

A Targeted Approach to Hiring Employees

Wednesday, January 27th, 2010

Hiring employeesHuman Resources pros and business owners are facing unprecedented numbers of applicants for limited—or zero—job openings. It’s nearly impossible to review every single resume, and it’s not efficient to even try.

Hiring has become more about recruiting than passive receiving of applications and resumes. Some employers are avoiding the resume onslaught by eliminating job postings altogether, preferring to use outreach strategies instead. Here are some tips to target your employee search and avoid the time-waste of reviewing hundreds of resumes:

  1. Go online! LinkedIn.com is the go-to professional social networking site. If you’re unfamiliar with LinkedIn, do yourself a favor and join. It’s free (they do have a paid option), and it’s a great place to “meet” other professionals from across the country—or across the ocean. Start building connections, join appropriate groups, and let everyone know when you’re looking for new talent. LinkedIn even has a search-by-industry feature.
  2. Check out your industry’s continuing education opportunities. Whether you’re looking for an accountant, a finance professional, support staff, or a marketing manager, you’ll find online and face-to-face training courses geared toward them. Find out where and when they are happening, and let the course or workshop leader know you have a hiring opportunity. People who are working on improving their skills could make great employees.
  3. Ask around. Talk to your vendors: they probably know lots of companies in your industry. They may know a fantastic worker who just left one of them. Talk to your employees. Chances are very good their friends and family members know someone who’s looking for a job.
  4. Be social. Attend local business events and networking opportunities. Hand out cards, make new contacts, and let folks know what you need. Your next recruit could be right in front of you. If not, you’ll make valuable contacts who might send someone your way in the future.
  5. Be social online. Twitter is probably the fastest way to send word around to the largest group of people. You can’t set up your account and instantly have thousands of followers (unless you’re Bill Gates or Oprah), but it’s a great way to build connections over time. When you need those connections, they’ll be ready to help you find a good employee.

Next time you’re hiring employees, try a more targeted approach—and spare yourself the time you would have spent reading all those unacceptable resumes, hoping for the right one to jump out of the pile!

When Economy Recovers, Will You Have an Employee Exodus?

Wednesday, January 20th, 2010

help wanted on employee screening blogCatherine is a business owner we know who recently shared a concern that’s been on her mind; a fear that other employers probably share. Her staff of six has weathered the bad economy with her, through layoffs of a few of their friends, no raises for themselves, and increased job responsibilities. Catherine has expressed her appreciation for their sacrifices, but was also proud that she was able to keep six people employed through such a difficult time.

Catherine’s business looks like it will come through the recession in pretty good shape—and she will be relying on her seasoned staff to bring it back to its former level of profitability. Her main concern? That her staff will abandon her for other job opportunities, just when she needs them most.

Catherine’s story is not unique, and she’s smart to be thinking about this possible problem before it begins. Worrying about it, however, will not accomplish much. But what can Catherine and other employers do to keep good employees around after the economy recovers? How does an employer prevent a mass employee exodus?

First, recognize the reality: a survey last summer reported that nearly half of employees surveyed plan to seek a new job after the recession ends. 30% were already actively seeking new work. Generationally, the Xs are least likely to stay with their current employer, while the older Baby Boomers are most likely to stay.

Assure your staff of their job security. If your business is strong, let your workers know. Eliminating the unknown may be enough to keep your employees from bailing on you. Job security is the number one reason for employees to seek a new job. It’s not the increase in job responsibility or too much work for each staff member—employees do not see those as reasons to leave your company.

Find out what your staffers want. Now is a great time to sit down with your employees, either in a group brainstorming session, or one-on-one, and really understand what they want from their relationship with your company. Then, realign your procedures and retention strategy to match their most important wants and needs.

Employers don’t have to face the economic recovery by losing good employees. If retaining your best workers is important, find out what they need to stick around!

The best pre-employment screening process includes employee background checks, employee credit checks, and criminal background checks. You’ll know you’re hiring safe when you screen employees before offering a position.

Employment Outlook for 2010

Wednesday, December 30th, 2009

Employer and employeeEmployment numbers are lagging indicators of the economy. While Gross Domestic Product gained 3.5% in the third quarter of 2009, payrolls continued to fall. Job losses announced in November were 11,000. The number is the lowest monthly job loss since December 2007 and the eighth consecutive month where losses were fewer than the month before. As we close out 2009, what is the U.S. employment outlook for next year?

Unemployment is expected to peak sometime next year, and remain around 10% through 2010 and into 2011. However, the huge losses suffered at the beginning of 2009, when 700,000 jobs were lost per month appear to be behind us.

In addition, temp jobs increased in November, and unemployment fell by 0.2% to 10%. Economists had expected an unchanged rate, so the drop is a good sign. The Labor Department also revised job losses for September and October, form 190,000 to 111,000 in October, and from 219,000 to 139,000 in September.

Other indicators are strengthening as well. The stock market is up and business investment in equipment and software increased in the third quarter.  According to economists, meaningful job growth is expected by the end of 2010, spurred both by federal government investment and private employer hiring. Additional indicators: consumer spending was up in November by .5%, while personal incomes were up .4%.

The average number of hours worked each week has fallen throughout the recession. But in November, the average workweek increased by .2 hour to 33.2 hours. The manufacturing workweek increased .3 hour to 40.4 hours. Still, there are 15.4 million unemployed persons in the U.S. and the number of folks working part-time due to cut hours or inability to find full-time work was little changed at 9.2%.

Americans are working hard; productivity is growing. Output rose by 4% while number of hours fell by 5%. This indicates that employers are doing more with less—and may not need to add workers just yet.

But in the long run, increasing productivity is expected to increase demand for workers, as well. What is your company’s employment plan for 2010?

Pros and Cons of Moving to a Smaller Space to Save Cash

Thursday, December 10th, 2009

cubicle-farm on employer screening blogEmployers are surviving the economic downturn in a variety of ways. Some have cut staff, while others instituted hiring and wage freezes.

Thousands of businesses have downsized their space in an effort to reduce rent. To compensate, cubicles are getting smaller. Some employers have eliminated their “cube farms” in favor of open floor plans. Cubicle walls are becoming shorter, too. All of these efforts to squeeze more people into smaller spaces affect workers—sometimes positively, sometimes not.

If you are an employer considering a move to boost cash flow, consider these pros and cons that a tighter working conditions have on employees.

Pro: Increased accessibility. Lack of walls naturally leads to more personal interactions and in some cases, more mentor relationships.

Con: More interruptions can be counter-productive.

Pro: Increased productivity. Fewer walls mean employees tend to cut down on personal conversations and web surfing. They might fear getting caught without a cubicle to protect them!

Con: Too much interaction can lead to problems. One law firm deemed its open floor plan a failure and returned to cubicles because of too many disruptions and personal conversations.

Pro: More people in a smaller space leads to eavesdropping opportunities. It can be motivating for employees to hear each other at work. Newer staff can pick up work style and sales ideas from more experienced workers.

Con: Smaller spaces mean it’s easier for employees to pick up bad habits from each other, become stressed when listening to their quirks (such as crunching through a snack or tapping on their desk), or learn far too much personal information about their peers. All of this closeness can lead to a level of tension that might not have existed in the larger office.

Plan for Employee Retention Before They Plan to Leave

Thursday, November 19th, 2009

happy employer and employee on employee screening blogWhat makes employees happy and loyal? Company culture, extra perks, feeling appreciated by their employers—all of these factors are important, but they are not the deciding ones when employees are faced with the decision: “should I stay or should I go?”  The two things employees put at the top of the list are pay and benefits.

According to a survey conducted for the last three years by a Florida staffing firm, compensation and benefits are the most important thing in their relationships with their employers.

Although fewer workers have quit jobs this year (according to the U.S. Department of Labor), history suggests that workers who are unhappy will start looking for employment elsewhere as the economy improves. And the main reason they’re unhappy?  Their pay has been cut during the recession.

One study, conducted last May, showed that employees at 235 large U.S. firms are less committed to their employers—so those firms who managed to keep their strongest people during the recession may be at risk of losing them.

What can employers do to hold on to good employees?

1. Make up for pay cuts: it’s a sure way of making affected employees happier. And if you plan on giving raises, say so! Now is not the time for surprises—people need reassurance more than ever. So don’t keep plans to yourself, or use a pay raise to bargain with an employee after they announce they’re quitting.

2. If you promise a pay raise, follow through: nothing is worse than making a promise and not delivering on it.

3. Be flexible: We’ve shared lots of ideas in this blog about boosting morale and supporting employees’ needs. Sometimes it can make up for lower pay—but not always.

4. Pay a performance bonus: If you can, write a bonus plan that rewards your staff for meeting objectives. Pay-for-performance is a good way to give a sense of ownership and commitment.

5. Be open and accountable: if management is getting raises and bonuses, and staff is not, be prepared to explain why.

Be sure to check out our Pre-Employment Screening services. Protect your business, increase your peace of mind and lower turnover by hiring smart!

How Employers are Boosting Productivity

Wednesday, November 11th, 2009

happy employees on employee screening blogEmployers who cut staff to deal with a business slowdown, often experience a slowdown in worker productivity, too. Here are some free ways to boost it back up.

Be flexible: Not only do employees who work for managers they consider flexible produce more work, they are healthier. A recent study undertaken by eight federally-funded research teams in the U.S. show that employers’ policies affect employees in ways they might not have imagined. Cardiovascular disease is twice as prevalent in employees who have bosses unwilling to work with them on family issues like caring for sick children.

Employers with a culture of flexibility, such as remote work programs and flex hours, have workers who sleep an average of 30 minutes more per night. The same study reported that nearly 80 percent of workers want flexible work schedules, but many believe they will be overlooked for advancement if they ask for it.

The study also shows that businesses with open and flexible cultures have more engaged and supportive employees, and much less turnover.

Be supportive: Employers and workers are both feeling the strain of job cutbacks, losses in sales and profits, and an uncertain future. However, employers should try to be as supportive of their remaining employees as they are demanding of them. Listen to employees’ needs and suggestions, especially when re-prioritizing duties are necessary. Some tasks may have to be eliminated when staffing is decreased. Be empathetic to what your employees can physically and emotionally take on.

Be inclusive: When employers ask workers to take on more responsibility, productivity can be negatively affected. Consider giving your best workers leadership roles and the titles that go with them when you ask them to work longer and harder. A sense of ownership can boost morale and productivity.

New Ways Employers are Boosting Morale

Wednesday, November 4th, 2009

vegetable_garden on employee screening blogAfter layoffs, benefits cuts and asking staff to do without, employers look for ways to boost employees’ spirits. Some buy lunch, while others encourage fun with Halloween costumes. But some inventive employers seek ideas beyond the norm to improve morale and keep employees productive.

Start an employee garden: One Indiana business owner invested $600 in a 1,500 square foot garden on her business property. Four employees shared the workload and the bounty, estimated at $2,400 worth of vegetables and herbs. Free produce is a sure bet for a crowd-pleasing morale booster, helping employees stay healthier by increasing the fresh vegetables in their diets and saving them money, too.

Take an afternoon off to play: Close the doors, turn on the voice mail, and take your crew to the movies, a comedy show, the ball park, or a pottery class. While it’s true that not all businesses can close the doors during regular hours, with proper planning, many can. Give customers plenty of notice, and do what’s necessary to meet their needs. Most customers can tolerate doing without your services for one afternoon a year—and knowing your business invests in your employees creates goodwill.

Throw a party: Thinking of cutting this year’s holiday bash? Think again—it could kill employee morale. (Unless the annual holiday party is lame, in which case it could boost it.) If funds are tight, ask your employees for ideas. They might come up with a celebration that costs less and is more fun than the one you’ve been doing for years. Try a gathering at your home instead of an expensive banquet room or restaurant. Do put out some nice finger foods or a big pot of chili with all the fixings. Do have a silly gift exchange, play some music, and relax. Don’t ask you staff to bring a dish, pitch in for a gift for the boss, or provide their own drinks. They’re likely already strapped for time and money.

Buy the coffee, tea, or hot chocolate this week: Many employers have cut the “free coffee” perk. Bring it back for a week—or one week a month. Anything helps!

Let the dogs in: Allowing employees to bring their dogs to work is a huge morale booster, when it works. First, all must be in favor of having canine companions around. Allergic staff members must be accommodated. Dogs must be well behaved—both on their own and in a group. If your business cannot handle every Molly, Spot, and Chance at once, set up a rotation schedule. Your employees will love having their furry family members close by, and studies show that dogs in the workplace lower stress.

National Work and Family Month: Balancing Work and Family is Good for Employees and for Business

Thursday, October 29th, 2009

work-and-family-month on employee screening blogThe US Congress designated October as National Work and Family Month to remind employers to consider employees’ family needs when making business decisions.

When your staff is stressed out about family issues, work performance will likely suffer.

So encouraging a healthy balance of work and life can increase productivity. It also reduces turnover and increases employers’ gain on the investment they make in hiring and training staff.

How can employers accomplish good work/life balance in their businesses?

Tuning in to your employees’ needs is important to maintaining a happier work place for everyone. Look for cues of discontent and listen when your employees are expressing their needs.

Don’t meddle into your workers’ personal lives. Do offer concrete solutions to employees’ family life challenges. If one staff member is experiencing trouble with a day care provider, or another wants to accompany his mother to a doctor’s appointment, help them find ways to get these needs met.

Improve your staff’s physical health and your business will benefit, too. Healthy employees have lower levels of stress, illness and injuries, miss fewer days of work, and are more productive. Encourage wellness with company-wide gym memberships, by installing bicycle racks, and awarding employees for walking or biking to work.

Try flex schedules, such as position sharing and work-from-home options. If you have two employees who want to work fewer hours, perhaps there is a full-time job they can share. Do you have employees who could work from home a day per week or month? Just reducing those employees’ commutes can add valuable hours to their home lives.

Encourage employees to go for a walk on breaks and lunch hours. Fresh air and movement can make a huge difference in a worker’s day. Don’t require employees to stay onsite for lunch. Getting away is healthy, and could help employees keep their lives in order by allowing them to run errands.

It’s up to both sides of the employment equation to keep things healthy: employers should be creative in helping staff members achieve a healthy work/life balance, and employees should communicate their needs and take advantage of their employers’ attempts to help.

Be sure to check out our Pre-Employment Screening services. Protect your business, increase your peace of mind and lower turnover by hiring smart!

Employee Cell Phones Mean Employer Liability

Thursday, October 8th, 2009

Employees texting while drivingEmployers are liable for most of their employees’ actions, especially when they put others in harm’s way. Most employers know that having staff members driving company-provided vehicles, or their own vehicles if on company business, must protect themselves with proper liability coverage.

Over the past several years, distracted driving by employees has been named the culprit in several liability cases—and employers have had to pay big settlements. In these cases, the cause of distraction was the ubiquitous—and dangerous—cell phone; these employers where found to be liable for permitting employees to use cell phones while driving for business:

In Florida, a jury awarded $16 million to a woman struck by a salesperson who was talking on the phone while driving. The employer was found liabile.

A Virginia court allowed a claim against a law firm for $30 million when an attorney struck and killed a 15-year-old girl while talking to a client on the phone. The law firm settled for an undisclosed amount.

Another case involved International Paper Company, who paid a defendant over $5 million after she was rear-ended by an employee who was talking on a cell phone.

The IPC case is interesting because the company had a policy in place that only allowed employees to use hands-free phones in their company vehicles. Obviously, the policy didn’t protect the company from the lawsuit!

Several states have either banned or are regulating use of cell phones while driving. Employers everywhere are following suit, especially in light of several tragic mass-transit accidents where operators caused injuries and fatalities because of texting.

Last week, President Obama banned federal employees from using cell phones to call or send text messages while driving federally owned vehicles, using cell phones to conduct federal business while driving private vehicles, or using federally-owned cell phones in any manner whether driving public or private vehicles.

Well, that ought to cover it. Employers might consider using the federal ban as a guideline to protect their own companies, their employees, and the public from needless accidents and lawsuits. The important lesson is to institute a cell phone use policy, communicate it, and enforce it!

US Unemployment Rate Reaches 26-year High in June

Thursday, July 2nd, 2009

June 2009 Job Losses on Employee Screening BlogEmployers slashed 467,000 jobs in June, to bring the US unemployment rate closer to double-digit levels. The jobless rate is now 9.5%, up slightly from May’s 9.4% figure.

Jobs fell farther than the 350,000 economists were predicting, and June marked the end of a declining trend that began after January’s peak job loss figure. Since then, the number of jobs lost each month had declined—until June’s number increased over May by 145,000. (May’s job decline had been reported at 345,000, but has been adjusted to 322,000.)

Since the recession began in December, 2007, the number of jobless Americans has increased by 7.2 million; the unemployment rate has increased by 4.6%. Blacks, Hispanics, and teenagers have higher rates of unemployment than the general population, at 14.7 percent, 12.2 percent, and 24 percent, respectively. These numbers show little change from May’s figures.

unemployment image on employeescreeningblog.comThe number of long-term unemployed, who are classified as jobless for 27 weeks or more, increased by 433,000 in June, to 4.4 million.

Construction and manufacturing jobs continue to take the biggest hit in the sliding U.S. economy. Manufacturing dropped over 136,000 workers, and construction employment declined by 79,000 in June—a smaller decline than the rest of the year. Since the start of the recession, manufacturing employment has decreased by 1.9 million, and construction by 1.3 million.

The professional and business services sector lost 116,000 jobs, and federal government jobs were cut by 49,000 in June—mostly workers hired to prepare for the 2010 Census. Even temporary help services are on the decline: by 38,000 in June and 848,000 since the start of the recession. Automobile dealership closures affected June’s numbers: 9,000 jobs were lost in this category. And overall retail jobs declined by 21,000. Losses in retail jobs have leveled out over the past three months.

Financial services continue to shed jobs: 27,000 in June, to bring the total lost in financial services to 489,000 since the recession’s beginning in December, 2007. The information industry lost 21,000 jobs in June, and is down by 187,000 since the recession began. Publishing has accounted for about half the total job losses in this category.

The only real increase was seen in education and health care, which added 34,000 jobs in June. Health care job increases have averaged 21,000 per month, which is down from 2008’s average of 30,000 per month.

A broader indicator of the state of unemployment is the number of Americans who have given up looking for a job, or who are working part-time when they want full-time work: this number rose to 16.5% in June.

June’s unemployment figure tempered signs of progress in the US economy, and reiterate the fact that the job market remains weak—something 14.7 million Americans know only too well.

Source: United States Dept. of Labor, Bureau of Labor Statistics