Recruiting During Turbulent Times: A Headhunter’s POV
LET’S START WITH THE TOUGH QUESTIONS: HOW DO TURBULENT TIMES IMPACT TALENT ACQUISITION AND BUSINESS EXPANSION? HOW SHOULD I APPROACH TEAM BUILDING WHILE I’M MANAGING RISK?
We aren’t economists, but we’ve been through a recession or two, and helped dozens of businesses grow in spite of them. Whatever your position on the direction of the economy as 2023 starts to fly by already, here are some perspectives on managing growth during a time of uncertainty.
Back when we started Summit Search 12 years ago, the U.S. was just starting to recover from the Great Recession. The Great Recession lasted for 18 months from 2007-2009, and economists say the economy didn’t fully recover until 2014. In other words, we started Summit Search Consultants right in the middle of the recession recovery period.
We’ve weathered the storm, and if you’re a tech start-up looking to grow despite impending economic uncertainty, read on…
ECONOMIC DOWNTURNS OFFER RECRUITMENT OPPORTUNITIES
If your business is expanding and looking for innovative talent, retain a headhunter during a recession. You may find more readily available, highly skilled people during times of uncertainty who are looking for a strong, relatively safe opportunity. If they fit your culture, you’ve gained someone for the long haul to drive growth in the years to come.
UNDERSTAND HOW THE RECESSION IMPACTS THE JOB MARKET
No matter what the economy is doing, you should factor job market conditions into your talent acquisition decisions. Base your decisions on data. A broader economic downturn may be dragging down your demand, but if your local conditions are rosier, you’re still competing on those terms. If you’re recruiting for a tech startup in a growing, suddenly-really-competitive space, use this to your advantage. Look at salary history in other downturns. Find ways to outmaneuver the competition for the leaders, engineers, and sales professionals you’re after. In 10 years of data, we can see: Salary isn’t everything. You may find perfect-fit candidates who are unwilling to work at an office or travel, especially as Millennials become 75%+ of the workforce. We track indicators like these, too, helping to steer our tech-industry clients toward recruitment among professionals they didn’t think they could attract.
RECRUIT STRATEGICALLY DURING A RECESSION
Don’t institute a hiring freeze. A recession makes it difficult to justify ambitious recruitment, but as a leader, you are responsible for finding strategic opportunities. If you simply freeze hiring, you risk losing revenue, accelerating employee burnout, and worse. If you’re a Series-C tech startup hiring a COO, do the same analysis you’d do in normal conditions. What are the gaps, opportunities, and risks? We’ve helped companies narrow in on highly specific needs, so we could leverage our recruiting software to headhunt individuals who aren’t just qualified — they’re ready to help you grow. Prioritize recession hiring based on your business objectives. One experienced professional can be as productive as several less-qualified individuals. Find people who can remove barriers, motivate the team, and lead successful projects that achieve your key goals. Leaders like these aren’t easy to find. We can help.
PRIORITIZE EMPLOYEE ENGAGEMENT DURING A RECESSION
According to Gallup’s 2022 State of Global Workplace report, only 35% of U.S. employees report being engaged in their workplace. During recessions, increased pressures can only drive this down. Engaged employees work towards common goals. They’re more effective. They show up. It takes an engaged workforce to drive strong performance and emerge from a downturn on top. When it comes to your talent acquisition strategy, choose leaders with a track record of building and developing successful teams. Did their people go on to become leaders themselves? Work to build a culture where people can grow and develop.
SHOW YOU’RE A SAFE OPTION
Why would a senior leader jump ship to a tech startup in times of economic uncertainty? Attracting and recruiting tech leaders takes a special approach that’s about more than just salary and benefits. Demonstrate cultural fit. Show the company trajectory. Explore ways that they’ll help build something innovative. And yes, emphasizing financial security. In short: build trust and interest. When we recruit tech leaders, we always take a step back and build a candidate profile. This allows us to very quickly zero in on specific individuals and headhunt them instead of blasting away at job boards.
RECRUIT FAST IN A RECESSION: STREAMLINE THE PROCESS
If people are making a move during a time of uncertainty, it’s possible their own job is in jeopardy. Do you have the bandwidth to scoop them up before someone else does? This is what makes specialized tech industry recruiters like Summit Search Consultants so powerful. We use specialized software to bypass job boards and go straight to individuals. Paired with our job market data and candidate profile, we can quickly weed out people who aren’t quite right and get interested candidates on your desk in 2 days.
Our goal is to fill roles in 30 days or less.
The speed to placement is even more important during economic turbulence for both the candidate and your company.
FINAL WORD ON RECRUITING DURING A TURBULENT TIME
Let’s face it, everyone is stressed. Company leaders, employees, job seekers, and even recruiters. We all want what’s best, and to regain some stability and predictability. The most powerful way to get a little stability back into our lives is through honesty and transparency. Be clear about what you need. Stay honest about the state of your company and what it’ll take to drive success. On the recruiter side, share everything, and share often. We like to share resources so our clients can see who we’re talking to, who’s interested, and what motivates them. We don’t want to waste anyone’s time. And for job seekers, your transparency matters too. Feeling uncomfortable about an opportunity? Or is one factor making you leery? Be honest. Headhunters who act as true partners can quickly get to the heart of the matter.