This a guest blog by Dave Neilson. Dave is chief executive of Fusion21, the organisation that set up Employer Pool. Lots of companies talk about corporate social responsibility but here is a really great way of making it mean something.
So why do people group recruiters in the same boat as those ‘love to hate’ jobs such as traffic wardens, used car salesmen or estate agents?
My organisation has established a recruitment agency and job seekers are often wary when they first get in touch. Many candidates speak of negative experiences where recruiters don’t communicate well – failing to provide feedback or advice after job interviews and ignoring calls or emails. Some people feel that recruitment firms focus all their attention on filling the vacancy rather than finding the right job for the candidate.
Employers who work with us have their own stories. I’ve heard a number talk about the pressurising sales tactics of some agencies. Others mention expensive advertising and finders’ fees.
Despite this, I know a large number of excellent recruiters right across the country, all of whom are attentive to both clients and candidates and deliver a cost effective service. The problem lies with a minority who chase profit above all else. It is their approach that has gained the sector such a mixed reputation.
One way to turn things around could be a more ethical business model. Adopting socially responsible processes doesn’t mean the end to big profits. Instead it’s a way of winning additional business, attracting more candidates and finding new talent.
So what do I mean by ethical recruitment? Finding employment for people or getting job seekers back into work can change communities. As recruiters, we know that employment can have a major impact on someone’s life. It provides purpose and boosts confidence. It offers a sense of achievement. Even being on a training scheme or temporary work placement can provide structure and routine to someone’s day, improving their motivation and sense of identity.
I believe more recruitment agencies should use the transformational potential of their work to generate wider community benefits as well as sales figures.
Last year my organisation set up Employer Pool, a recruitment agency that aims to do just that. We are a self sustaining business, generating income by charging a percentage fee on a worker’s hourly rate. The difference is that we try to create social value from every aspect of our business.
This isn’t about socially responsible add-ons – donations or charitable work. I’m not knocking this type of CSR but often it happens separately to every day operations. Instead we support local communities through our entire business model. Every time we place a worker we want to deliver much more than financial value.
Our model creates as many temporary jobs and training opportunities as possible to avoid the damaging effects of long term unemployment.
Amid the uncertainty of the current economic climate, many employers can’t see beyond the next six months in their order books. The result is that more companies are hesitant to take on staff, particularly for apprenticeships or permanent contracts.
Our research shows that short term contracts do lead to permanent roles. Once a candidate has the chance to prove themselves, whilst also earning wages, then employers often take them on for longer term work.
On the basis of these findings, our approach encourages employers to give candidates paid work opportunities without having to offer them permanent contracts. We do this by adopting the role of ‘host’ employer for every candidate we find work for. This offers employers a risk-free way of taking on workers, without the burden of dealing with paperwork and payroll issues.
We don’t charge finders’ fees if companies want to employ workers long term. We operate a shared apprenticeship model so firms don’t need to provide trainees with full two year placements. Employer Pool arranges for apprentices to be ‘shared’ by different companies with the aim of encouraging more SMEs to take on apprentices.
When Employer Pool candidates are not in work they can attend free training courses and work clubs to gain qualifications and improve their job application and interview skills.
The response from job seekers has been very positive so far. They tell us that Employer Pool staff are attentive and focused on improving each candidate’s personal situation, not just trying to shoe horn them into a role. Our team provide advice and support through CV clinics and social media plays a big part in offering tips on preparing for an interview or writing a cover letter.
Employers are also highly supportive of our approach. We help them find high quality staff but at the same time they are hitting CSR targets – supporting local communities and improving people’s lives.
This ethical recruitment model isn’t rocket science. We generate a respectable turnover and operate as a normal business. It’s just that profit isn’t our one and only focus.
Unemployment is at an all time high in the UK. Recruitment firms could make an even bigger impact on local communities if they put social value at the heart of all their business operations.
This sounds like an excellent way to start with apprenticeships or take on a new person when you are not sure how long the busy period will last. In my opinion Employers above all are looking for people who are keen and motivated to work. This sort of program which is not mandatory is more likely to have them and without the risk.
Sounds brilliant! Employers continually say they put mindset above skills. In practice, accountabilities and incentives can sometimes lead to perverse behaviours among both hiring managers and recruiters at the expense of ethical considerations and what is right for the candidate or applicant. Actions always speak louder than words.