Recruiters as retainers – a new paradigm in uncertain times

July 16th, 2019 | Industry News

The traditional view of recruiters is that retention is their enemy. Today’s employment uncertainty means that retention has become a key issue, not just for companies hiring staff but for recruiters trying to fill vacancies. A survey has shown that the number of people offered permanent jobs via recruitment agencies fell for the fourth month in a row in June. While temporary hiring rose slightly, the first six months of 2019 have been the slowest growth period since 2013. Employers are struggling, but aren’t necessarily turning to recruitment agencies because of this old, and today profoundly out-of-date image as the spivs of the hiring world.

Recruiting software, applied with sophistication, can not only improve recruitment but work towards retention. For a new hire to stay, three factors have to be considered:

  • Are they right for the job?
  • Are they motivated?
  • Are they adequately rewarded?

Recruitment CRM software can deliver responses to the second two questions BEFORE the candidate is hired. How? Because recruitment database software, allied to good communications from recruitment consultants, builds a composite of each candidate that reveals what their motivations are and what rewards will satisfy them. For example, a candidate who regularly travels abroad to run marathons in aid of a water charity is likely to be highly motivated by an employer who gives time off to volunteer. Rewards for such a candidate will be as much intrinsic as financial – the chance to contribute to research into environmental issues or to lead on social responsibility activity such as Prince of Wales or Duke of Edinburgh initiatives will fulfil them. Conversely, a candidate who travels abroad to follow Formula One, is probably more likely to respond to team building events that involve strong competitive elements. Incentive rewards like horse racing days or bonuses will inspire them. A smart recruiter can ensure that their web-based recruitment software extends beyond qualifications and experience to look at company fit and longevity of hire.

Why should recruitment agencies focus on retention?

It sounds counterintuitive to suggest that recruiters will do better by trying to ensure the permanent staff they place stay in post as long as possible. However, in periods of uncertainty business decision-making tends towards the conservative. Where decisions are often based on past results, and when everybody needs to feel confident that money is being well spent, the best recruitment CRM delivers credible long-term results. This means that where a recruitment consultancy has a proven record of producing the best candidates (i.e. those candidates who stay around!) they will be given the opportunity to recruit for positions that aren’t opened to their competitors, because conservative decision-making naturally inclines towards smaller, more formalised processes. In a shrinking market, evidence of candidate fit may be one of the best advertisements a consultancy can offer – and the best recruitment software for agencies is going to be able to produce candidates who stick around.


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