Tara Ricks
Managing director, Joslin Rowe

Towards the end of last year, some recruitment experts proclaimed the war for talent was over. On the face of it, it was easy to see why. The temporary implosion of the economy and resulting recessionary pressures on the bottom line caused a complete reversal of fortunes. All of a sudden, after years of scrambling for talented professionals, organisations were the ones able to cherry pick. The argument seemed obvious: if there was any war at all, it was among candidates desperate for jobs that were now few and far between.

However, jobseeker trends soon highlighted a far more complicated story. At the height of the market in 2007, 96% of candidates registering with Joslin Rowe were working already. Fast forward to Q1 2009 and just 20% of applicants were securely employed; the remainder were only looking for a new job because they had been made redundant or were at risk. Conversations with previously active Joslin Rowe candidates indicated that most felt their best bet was to sit tight in their current role - unless they were forced to move on.

This ‘last one in, first one out’ fear has persisted and although Q2 saw a rise in passive job seekers (to 41% of all candidates registered at Joslin Rowe) many are still sticking with the devil they know. While there’s no denying the sheer volume of immediately available candidates on the market, this volume hasn’t relieved the old problem of skill shortages, especially at a time when clients are only using recruitment firms for their most difficult-to-fill roles. The problem is talented top tier professionals with niche skills, that you’d move around the marketplace, are staying put.

Restoring confidence is key. But despite the continued rise in job vacancies, bombarding candidates with job opportunities will have little effect unless it’s accompanied by an explanation of the market’s current and long-term prospects and that employer’s strategy for the future. Ultimately, whether you’re an agency or direct hirer, it won’t matter which innovative recruitment tool you adopt if prospective job hunters remain paralysed by perceived market instability. Put simply, there’s no point twittering unless your tweets are falling on receptive ears.

This is where recruitment firms can add real value because of their unique view of the market as a whole as opposed to a one organisation vision. As the recession has played out, Joslin Rowe has been constantly educating our candidate database via bi-monthly online newsletters on what’s actually happening in our sector (the financial services industry).

To do this, we’ve pulled together real-time stats based on actual job flow, numbers of placements and candidate applications across the market to give candidates the most accurate picture on which to base their decisions. Because these are facts not feelings, they have been well received as a trusted source of information. Analysis shows up to 45% of the 14,000 passive candidates we communicate with are reading these market updates and then navigating on to apply for jobs in the growth areas highlighted - three times higher than the click ratio to completely job-orientated e-shots. We’re also helping clients to spread their message via our newsletters - in a sector where damage done to one or two firms has unfairly tainted many others.

A word of warning, though. Adopting this approach does mean taking a long term view. In slow months, we’ve still relayed the bad news when job volumes have continued a downwards trend and recruitment freezes have been announced. Only by doing this, can your data be received with credibility when you do sign post the green shoots.

The remainder of the recession will undoubtedly be defined by the constant fight to secure pockets of talent for bursts of hard-to-fill vacancies through innovative sourcing methods.

And even when it’s over, the recession will cast a long shadow over the way people job seek. For many the promise of job security will carry as much weight as a great pay rise. In other words, while the war for talent as we know it may have ended, a new form of what can only be described as guerrilla warfare is only just beginning. Recruitment firms who rise to this challenge will be best positioned to constantly reassure, and ultimately attract, risk averse passive candidates, who will remain entrenched in their bunkers for some time to come.

19 % fewer new London financial services jobseekers registered during August compared to July, according to Morgan McKinley’s London Employment Monitor for August

Power Points:
Attracting passive candidates: How recruitment firms can add value

• The true picture: Passive candidates aren’t moving whether the position is via an agency or a direct competitor. This isn’t just a knee jerk reaction. This recession has fundamentally changed people’s attitudes towards employment.
• Confidence is key: Every job vacancy needs be positioned in a way that prospective candidates feel reassured to apply. The traditional incentives such as pounds signs, even brand names, aren’t enough of an enticement anymore.
• TBe transparent: The economy has never been such a hot topic. Passive candidates are watching market movements avidly so the more information you share - whether good news or bad, the more trusted your insights will be.
• Partnership is the answer: Recruitment firms can spread messages on behalf of clients to the widest possible audience - affecting not just job seeker sentiment but market perception too.