| As of the past few weeks, owning a recruiting firm, I | | | | more than likely, want to see what is "out there." Since |
| have seen a dramatic shift in the job market and it's | | | | a lot of recruiting firms work on contingency fees |
| not pretty. I do hope that this hiring downturn is partly | | | | which means that they are only paid when somebody |
| due to the fact that it is summer; however this does | | | | is hired, it is of no cost to the employer. |
| not seem to be the case. It is in my strong opinion that | | | | 2. The "I Want An Employee, But I Don't Want To |
| this unemployment wave is the real-deal. The main | | | | Pay" Client - these too, are slowly poking their heads |
| reason I can judge this quite accurately is that, | | | | out of the ground. People have this very peculiar |
| statistically speaking, my agency (and I'm sure my | | | | thought process which consists of the presumption |
| competitors) is still receiving the same amount of hiring | | | | that people would want to work for them for free (no |
| inquiries from employers. Though, the quality of leads | | | | base salary - commission only). There is an inverse |
| coming in the requests we're receiving from employers | | | | relationship between a good job market and the |
| shows that it is a bad job market...again. For instance, in | | | | number of "free employee" calls a recruiting agency |
| a good market, 40%+ of incoming leads from a new | | | | receives. After all, if there weren't so many people out |
| client are worth a recruiter's work effort, in a bad | | | | of work and hiring was still going strong, nobody would |
| market it's more like 15%. Right now, we're pushing | | | | get the melancholic idea that people want to offer free |
| towards the latter. | | | | labor. |
| Though, as I will do my best to explain, these leads and | | | | 3. The "And The Base Salary Is..." Client - these are |
| the quality of them, tell a lot about the job market both | | | | the firms who want to pay their employees under |
| currently and in near the future. Again, this is from the | | | | $50,000 per year. This is a bad sign as it tells a |
| sales and marketing job market as it is what I know, | | | | recruiting agency that salaries are going lower and |
| though it is probably indicative of the overall | | | | firms are set on what they want to pay. The amount |
| employment scene. | | | | of jobs which are paying less than $100,000 on the |
| 1. The "I'm Not Sure What I Want" Client Is Making a | | | | base salary, has drastically declined. To any recruiter, |
| Comeback - many clients who come to recruiters | | | | this is scary. |
| these days are not 100% serious about hiring a sales | | | | 4. The "We Want To See More Applicants Crowd" - |
| or marketing professional. There are a few tell-tale | | | | again, since most recruiters work on contingency fees, |
| signs of this. First, an employer will not know what | | | | companies can feel free to see as many applicants as |
| background they want in the person. Yes, everybody | | | | they wish (or until that recruiter gets fed-up). As of the |
| wants someone who is intelligent, well-spoken, etc., etc. | | | | past two months, companies have been consistently |
| Conversely, when a potential client gives these very | | | | asking to see more and more applicants prior to filling a |
| broad mandates to a recruiter, it means that they, | | | | job. Again, this is quite negative. |