Economic statistics place the U.S. economy further and further down the road to economic recovery. During this transition time, it is easy to get caught up in just making the journey to recovery. However, it is critical during this time for businesses to plan for what happens once the economy reaches full recovery. As a surviving business, do not forget your competitors are also traveling down this road with you. In order to survive and grow in the new economy, your competitors will approach your existing employees and compete with you for future employees.
Employees are the driving force behind your business, the force that determines your business’s success or failure in the new economy. It is vital for business managers, during this time of economic transition, to put strong workforce strategies in place that attract and retain top talent.
In a recession, employers have the luxury of a large supply of talented candidates; however, as the economy continues to recover, this candidate market will shift toward a talent demand market. During times of prosperity, job turnover increases, as talented employees are promoted and recruited away by top companies. In order to acquire new talent and retain top talent currently on staff, managers must put comprehensive workforce strategies in place now.
Retaining Top Talent
Your company’s rebound success depends on retaining your talented employees who drive your business’s growth. Beyond the growth opportunities core employees bring to your business, it’s important to remember that retaining current employees is more cost effective than recruiting and training new talent.
According to Spherion’s 2010 “Emerging Workforce Study,” in order to preserve company talent, you must understand what it takes to retain your top performers. This means knowing employees’:
- Backgrounds
- Career goals
- Current job satisfaction
- Satisfaction with career progress
Your employees have career plans and personal goals they want to achieve. It is vital not only to be aware of these goals, but also to provide a workplace that is conducive to achieving them.
“Employers believe only 14 percent of their workforce will leyet 26 percent say they will look for a new job in the next 12 months,” the study states. Will you be ready for the high demand in the new economy if your workforce is cut by 26 percent? What will you do if the 26 percent of employees who leave are the talent engines that power your business?
The study states that the top eight retention drives, in order of importance for current employees, are:
- Financial compensation
- Benefits
- Growth and earnings potential
- Management climate
- Culture and work environment
- Time and flexibility
- Supervisor relationship
- Training
How is your company meeting these top needs for employees? Are you weighing other retention factors as more important? It is time to realign your retention factors with those of your employees.
How to Recruit the Best
During a recession, the demand for business products and services decreased and hence took fewer employees to meet demand. In a recovering economy, demand starts to grow and so, too, must your business output. This means bringing more capacity on board to meet the new demands of the new economy. So how do you attract and recruit the top talent you need?
According to Christine LaFave’s “The 10-Minute Manager’s Guide to Attracting Top Talent,” one of the best ways you can recruit new employees is by creating a unique recruiting message that stands out from the crowd of “now hiring” signs. Your message should take into account your business’s brand and company culture. When advertising job openings, it’s essential to create comprehensive position descriptions that are unique, while disclosing all job responsibilities in a clear, positive light.
A great way to find top candidates is through employee referrals and social networking. This means leveraging your company’s social media networking sites to recruit and inform potential talent about your business. If your business is not already on Facebook, Twitter or Linked In, it’s time to get connected.
Finally, be honest with all applicants about the details of the position; this means the job responsibilities, salary, scheduling and advancement opportunities.
Using Staffing Professionals
An alternative to doing the lengthily recruiting networking and time-consuming interview process is partnering with a professional search and staffing service. Staffing professionals have specialized recruiting methods that target the most qualified candidates and have vast databases full of top, proven performers who stand out of the crowd of regular candidates. These agencies cultivate an in-depth knowledge of your organization to create customized, unique staffing solutions that are right for your specific working environment.
When partnering with an employment service, look for a staffing agency where every candidate placed undergoes a thorough screening process. This process should include a personal interview, reference check, criminal background check and pre-employment drug screening. Make sure the agency you choose has a strong reputation for attracting top talent, and keep in mind that low mark-ups/fees are not always a bargain, but a discount due to poor quality. Ask yourself if you would send your own resume to that agency if you were looking for a job.
The New Economy, Will You Be Ready For It?
As you travel down the recovery road, remember to set workforce strategies that retain your core staff and create strategies that attract new talent. It is easy to get caught up in the journey to recovery, but do not forget a restored economy is just on the horizon, and there will be a high demand for your business in the near future. Will you be ready for it, or will you let your competition beat you to it?
Linda Jordan, President of L.K. Jordan & Associates, A Professional Search and Staffing Agency.
