the new employment marketplace: myths and realities · the new employment marketplace: myths and...
TRANSCRIPT
The New Employment Marketplace: Myths and RealitiesPresented by Margaret Resce Milkint, Managing Partner
Changing Environment
Requires
Fresh Ideas, Change in Approach
A Changing Marketplace
Agenda
• Review the current state of the marketplace.
• Understand current hiring trends and strategies.
• Market your company in the current environment.
• Keep employees engaged and motivated during economic shifts.
A Changing Marketplace
Review the Current State of the Employment Marketplace
There are many talented insurance professionals available in the employment market.
A Changing Marketplace
In Reality…
As companies try to build staff back up, they are finding that the talent pool is not as plentiful as they thought.
-Jackie Greener, North American Practice Leader, Towers WatsonSource: Knowles, Francine. "Firms Rebuilding Talent Pipelines." Chicago Sun-Times 13 Sept. 2010.
“Companies have had to downsize and a lot of good talent has had to leave. There has definitely been a shrinkage of available talent for the pipeline because there’s a thinner and smaller talent pool.”
A Changing Marketplace
Current State of the Industry
• U.S. unemployment rate for August, 2010– 9.6 percent
• Unemployment rate for insurance carriers and related industries, as of August 2010 – 4.9 percent
Source: Bureau of Labor Statistics
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Difficult Disciplines to Recruit
On a scale of 1-10 (10 being most difficult)
Actuarial 6.9
Executives 6.5
Technology 5.7
Underwriting 5.4
Product Management 5.3
Sales and Marketing 5.1
Compliance 4.8
Claims 4.7
Accounting 4.3
Source: The Jacobson Group and Ward Group 2010 Labor Outlook Survey
A Changing Marketplace
Industry Growth 2008 to 2018
According to the Bureau of Labor Statistics, the finance & insurance industry is expected to grow by 5 percent from 2008 to 2018.
– Securities, commodity contracts, financial investments & related activities expected growth: 12 percent
– Credit intermediation & related activities industry (banks) expected growth: 5 percent
– Insurance carriers & related activities expected growth: 3 percent
A Changing Marketplace
Industry Job Growth: 2008-18
Insurance industry labor market is expected to grow at 2.9 percent.
Source: Bureau of Labor Statistics
3.0
8.4
11.1
3.6
11
14.1
Total U.S. Employment
Claims
Computer Systems Analysts
Agents
Customer Service Representatives
Accountants
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Expected Growth
61.4%19.7%
13.4%
5.5% 12-Month Revenue Plan
Increase Revenue 61.4%
Flat Growth 19.7%
Decrease Revenue 13.4%
Don't Know 5.5%
39.4%
45.7%
15.0%
12-Month Staffing Plan
Increase Staff 39.4%
Maintain Staff 45.7%
Decrease Staff 15.0%
Source: The Jacobson Group/Ward Group July 2010 Insurance Labor Market Study
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12-Month Staffing Plans
Source: The Jacobson Group/Ward Group July 2010 Insurance Labor Market Study
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Significant Trends
• High unemployment rate universally, yet lower unemployment rate for insurance/financial industry
• Lack of qualified/skilled candidates
• Age of qualified talent pool/mass retirement
• Lack of interest in industry
• Decrease in company loyalty
• On-boarding/training
Source: The Jacobson Group/Ward Group July 2010 Insurance Labor Market Study
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Significant Trends
• Company factors (reputation, stability, leadership)
• Location (cost of living, commute)
• Compensation/benefits (flex schedules, telecommuting options, career pathing/advancement)
• Work/life balance
• Generational expectations
Source: The Jacobson Group/Ward Group July 2010 Insurance Labor Market Study
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The New Marketplace
• Career security vs. job security
• No more job for life
• Strategic contribution vs. tactical production
• Required soft skills vs. hard skills
• Work life vs. personal life
A Changing Marketplace
Understand Current Hiring Trends and Strategies
As the economy strengthens, so does the confidence of hiring managers.
A Changing Marketplace
In Reality…
Overall, confidence in hiring managers is disturbingly low. (key finding, Towers Watson Global Workforce Study, 2010)
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Top Hiring Trends
• Pursuit of passive job seekers
• Hire for fit, train for skill
• Formal employee retention and engagement strategies
• Reliance on recruiters
• “Recruitment culture”
• Hiring from within
• Strategic succession and leadership development planning
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The Changing Career Market
• Career security vs. job security
• No more job for life
• Strategic contribution vs. tactical production
• Required soft skills vs. hard skills
• Work life vs. personal life
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Change Never Stops
• Cultural Issues
• Business Issues
• Societal Demands
• Environment
• Technology
• Demographics
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You Have a Need, Now Make a Plan!
• Keep up with the changing market by updating your hiring process.
• Think outside of the box.
– Social networking
– Referrals and warm introductions
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Market Your Company
We don’t need to market our company to potential employees in this market. With a high unemployment rate, quality talent is easy to find.
A Changing Marketplace
In Reality…
Now more than ever employers must communicate their brand to potential employees to ensure a successful, lasting hire.
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Employer Branding
• Attract the right fit.
• Build brand advocates .
• Potentially repel “non-fits” and lower rate of bad hires.
• Reduce time to fill positions.
• Create greater internal engagement.
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Creating Your Employer Brand
Employment Brand Market Strategy
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Candidate’s Upper Hand
• Potential employees seek companies that provide values/opportunities that match their needs.
• Your company must be able to present itself as a desirable option.
• You must be more aggressive in positioning your company as an employer of choice.
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Always Be Recruiting
• Use any and all candidate sources, including those previously untapped.
• Promote diversity; consider unique backgrounds and experiences.
• Be able to articulate your company culture and vision with passion at all times.
• Enlist your current successful employees to help get the word out.
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Always Be Recruiting
• Consider rewards for employee referrals.
• Know your company perks and benefits.
• Advertise and promote your jobs with pizzazz!
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Sell Your Company to Potential Employees
• Your Website
– Know your site and where people go.
– Partner with marketing and human resources.
• Social Networking
– Utilize Facebook, YouTube, Twitter, and LinkedIn.
– Have a plan and policy.
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Keep Employees Engaged
Most of my employees are NOT actively seeking a new job.
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In Reality…
While employers believe that only 37 percent of employees are actively or passively searching for a new job, 65 percent of employees are actually engaged in a job search.
Source: Towers Watson Global Workforce Study
“Competitive employers are thinking about a lot more than just pay. They’re thinking about all the things they can use to attract, motivate and retain.”
-Ryan Johnson, Vice President of Research, WorldatWork Source: Knowles, Francine. "Firms Rebuilding Talent Pipelines." Chicago Sun-Times 13 Sept. 2010.
A Changing Marketplace
Three Levels of Engagement
• Cognitive Engagement: employees focus very hard on work, are rarely distracted and think about very little else during the work day
• Emotional Engagement: employees are emotionally engaged with their work, put their hearts into their jobs and are excited when they perform well
• Physical Engagement: employees are willing to go the extra mile for their employer and stay until the job is completed, while exerting the energy to perform
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Engagement Spectrum
Actively
DisengagedEngagedDisengaged
19% 54% 29%
Source: 2008 BlessingWhite Employee Engagement Report and 2003 Gallup Management Journal Study on Engagement
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Critical Levels of Discontent
• 60 percent of employees intend to leave their jobs in 2010.
• One in four are networking and updating their resumes.
• Only 13 percent are not job searching and intend to stay.
• According to the Bureau of Labor Statistics, it costs one-third of an employee’s salary to replace him/her.
Source: Right Management 2009 Survey
A Changing Marketplace
How Does Employee Engagement Affect the Bottom Line?
• It is estimated that actively disengaged workers cost U.S. businesses approximately $300 billion per year.
• Organizations with engaged employees experience the following advantages:
– Reduced turnover (-24%)
– Higher business scorecard (+7%)
– Higher customer satisfaction ratings (+2%)
– Higher revenue growth (+10%)
Source: 2008 BlessingWhite Employee Engagement Report, 2003 Gallup Management Journal Study on Engagement, 2008 DecisionWise engagement survey
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Create a Positive Work Environment• Provide honest feedback, early and often.
• Offer variety in the position.
• Bring human touch into the workplace.
• Reinforce the right behaviors to get the right results.
• Show your appreciation at the time it is deserved, not just at the holidays or quarter-end.
– Gift certificates
– Early starts to holidays/weekends
– Paid days off
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Empower Talent
• Develop your own.
• Involve the employee in the development process.
• Understand each employee’s individual career goals.
• Create individual development plans for each employee.
• Define measurable objectives and goals.
• Give the employee ownership of the process.
“Change is the only constant.”
-Proverb
A Changing Marketplace
Questions & Answers
Thank You!
Contact:
Margaret Resce Milkint
Managing Partner
The Jacobson Group
(800) 466-1578