Well here it is, folks!

When writing this newsletter, I realized I had too much to say, so this is our first 2-part series. Part 2 will come out next week.

These two posts are crucial in today’s macroeconomic environment. Brew yourself a cup of coffee and let’s dive into the basics.

Have You Really Thought About Your Recruitment Choices?

Over the past two years, the recruiting industry has been turned on its head. Companies are cutting costs, people have been let go, and TA teams have been dismantled.

Daily, we hear “BREAKING NEWS” about layoffs. Many in my network have been affected, and more will be in the months to come.

Making Smart, Data-Driven Recruiting Decisions

In this uncertain environment, making smart, data-driven recruiting decisions is essential. Here’s why:

1. Cost-Cutting: Companies are either not hiring at all or hiring a fraction of the people they need.
2. Data as Your North Star: Base decisions on data to avoid expensive mistakes.

Two Ways to Bring in Candidates

There are two main approaches:

1. Using a Recruitment Agency
2. Creating an Internal Recruitment Team

Let’s explore both.

Using a Recruitment Agency

Recruitment agencies are professionals who specialize in finding candidates for you. Here’s a simplified cost breakdown:

• Agencies charge about 20% of a yearly salary per placement.
• For 10 hires with an average salary of €50,000, you’d spend around €100,000 a year.

Advantages:

• Fixed cost per hire.
• Costs are spread out over the year.
• Agencies save you time on the initial candidate search.

Considerations:

• You still need to spend time interviewing final candidates.
• The cost of a bad hire can be more than 30% of the yearly salary.

Creating an Internal Recruitment Team

If your company wants to cut costs, internal recruitment is crucial. Here’s how to do it:

1. Be Selective with Channels: Focus on channels that provide the best ROI.
2. Base All Decisions on Data: Make data-driven decisions to optimize spending.
3. Promote Internal Mobility: Can you promote or reskill existing employees to fill roles?

Steps to Take:

• Evaluate Learning Opportunities: Promote juniors to seniors if possible.
• Assess Over-Invested Skills: Reskill employees to fill gaps.
• Encourage Internal Mobility: Use internal moves to fill vacancies and save costs.

Tools and Insights

To optimize recruitment, you need visibility into your initiatives. The best tool I know is LinkedIn Talent Insight, which provides actionable insights for decision-making.

Conclusion

Start building the habit of making the right choices. In Part 2, I’ll share a 3-step guide to setting up your recruitment strategy for this uncertain year. Stay tuned!

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Stay Tuned for More Tips!

With a clear and concise strategic goal in mind, it’s time to put your employer brand into practice. Make sure to follow Techruit on LinkedIn for more insights and updates. Also, subscribe to our blog on techruit.se to get the latest tips and best practices for employer branding on LinkedIn straight to your inbox.