2. Summary Key Findings
The recession, the rise of social networking and an increase in the Corporate HR departments still spend the largest portion of their budgets
use of technology are three key factors influencing current trends in on traditional job boards and 3rd party agencies, but this is changing.
corporate recruiting. A recent survey among corporate HR Directors In 2009, companies still plan to spend 27% of their recruiting budget on
and above, in the US and Canada, shows a change in spending traditional job boards (32% among small companies), followed by
habits and the adoption of new, more efficient solutions. 3rd party agencies at 15%. This isn’t surprising given that traditional jobs
Highlights of the feedback from these corporate recruiting boards source the largest percentage of hires (25%). While 3rd party
leaders include: agencies don’t bring in as many hires (10%), since they are typically
used for higher level positions, they are seen by half of companies as
Corporate recruiting budgets are shifting, with less spent on 3rd
‚‚
‚
the most effective source for hiring top talent into difficult-to-fill
party agencies and traditional job boards. Spending will increase on
managerial positions.
internal referral programs, corporate websites, hiring from within,
and social and professional networks. Research confirms a shift is occurring, however, with 50% of companies
spending less resource on 3rd party agencies and 40% spending less on
During this recession a high priority is being given to efficiency
‚‚
‚
traditional job boards than they have in the past.
improvements. However, it is also critical to prepare for the recovery
and most companies are giving top priority to nurturing a strong Where is the money going instead?
talent pool.
Plan to spend more time and money on
‚‚ key component to developing a strong talent pool is getting
A
‚
to passive talent. Internal referral programs are the top source for 37%
delivering passive talent. Other top sources are 3rd party agencies/
Internal Referral Programs
staffing firms, local networking events, and LinkedIn .
Using social/professional networks and upgrading employment
‚‚
‚ 34%
branding are the top two recruiting trends cited by corporate Corporate website
recruiting leaders.
34%
When thinking about their competitive position, these leaders are
‚‚
‚
most nervous that their competition will build and nurture a strong Hiring From Within
talent pool, invest in employment branding, and learn to use social
30%
networking/social media more effectively.
Professional and Social Networks
To make your recruiting efforts more effective in 2009, what did you decide to spend more time
and money on?
About one in three companies will increase spend on hiring from within,
internal referral programs and corporate websites. These are all sources
that currently produce a moderate percentage of hires, around 15% each.
Another shift is the intention to spend more time and money on sources
that, in the past, have each sourced fewer than 10% of hires. These
growth areas (and the percentage of companies planning to spend more
on them) are:
professional and social networks (30%),
‚‚
‚
specialized/niche job boards (23%)
‚‚
‚
college recruiting (17%).
‚‚
‚
The first two sources are seen as particularly strong in finding top talent
for difficult to fill managerial positions.
Corporate Recruiting Trends | Talent Advantage 1
3. Corporate recruiting teams are giving a high priority to efficiency When it comes to hiring passive talent, over half of companies believe
improvements. At the same time, they believe it is critical to nurture a their best hires come from passive candidates and focus on recruiting
strong talent pool in preparation for the recovery. them. This is particularly true in larger businesses with 66% focusing on
hiring passive talent.
Two-thirds of companies are giving high priority to efficiency improve-
ments during the current downturn. In fact, one in five say it is their top Internal referral programs are the top source for delivering passive talent
priority. Larger businesses are even more focused on this, with one in (57%). Most companies have an active employee referral program. Four
three making efficiency improvements their top priority. in ten say “most” or “many” of their employees actively refer candidates.
Other top sources for passive talent are 3rd party agencies/staffing firms
Nurturing a strong talent pool is critical. It is the most widespread action
(37%), local networking events (29%) and LinkedIn (22%).
being taken to prepare for the recovery (49%). Among larger businesses,
61% already have or plan to build and nurture a strong talent pool. It
Sources delivering the most passive talent
is also a key action that corporate HR leaders are most nervous will be
implemented by their competitors. 57%
Internal Referral Programs
Most nervous competitors might do
37%
35%
3rd party agencies/staffing firms
Build and Nurture a Strong Talent Pool
29%
34%
Local Networking Events
Invest in Employment Brand
22%
26%
LinkedIn
Learn to Use Social Networking / Social Media more effectively
4%
21%
Facebook
Improve Referral Program
2%
11%
Twitter
Prepare Hiring Managers
What sources have delivered the most passive talent hires?
8%
Train Existing Team Members
5%
Prioritize Positions to Focus on First
What are the things that your competitors could have done or plan on doing that would make
you most nervous?
Corporate Recruiting Trends | Talent Advantage 2
4. The main avenues for building relationships with passive talent The top two essential and long-lasting recruiting trends cited by
are connecting on LinkedIn (37%) and manually gathering contact corporate recruiting leaders are using social/professional networks
information (37%). and upgrading employment branding. At the core is the need to save
money and attract better talent.
Sources used to build relationships
Corporate recruiting leaders believe utilizing social and professional
37% networks (68%) and upgrading employment branding (52%) are the top
Connecting on LinkedIn two essential and long-lasting trends in recruiting. In fact, two of the
top concerns making HR leaders most nervous are that their competitors
37% will invest in building their employment brand (34%) and will learn to
Manually Gathering Contact Information use social networking/social media more effectively (26%).
24% Most essential and long-lasting trends in recruiting
Company CRM Tool 68%
Utilizing Social & Professional Networks
23%
Online Groups 52%
Upgrading Employment Branding
11%
Connecting on Facebook 34%
Reducing Spend on Staffing Firms
2%
Twitter 31%
How do you build relationships with passive talent? Boosting Referral Programs
What do you consider to be the 3 most essential and long-lasting trends in recruiting?
Methodology
LinkedIn conducted an online survey using the LinkedIn Research
Network in late May 2009. All respondents are corporate recruiters or
corporate HR (no staffing agencies) in companies with over 200
employees. Only Director level (58%) or above (42%) took the survey.
Respondents were mostly from the U .S . (228) with a few from Canada (34).
LinkedIn hired Customer Insights, an independent research company,
to lead the research effort. Customer Insights worked with LinkedIn
to develop the survey, analyze and report the data. The survey was
administered through the LinkedIn Research Network.
Contact: beth@customer-insights.com
Corporate Recruiting Trends | Talent Advantage 3
