What’s Next for Staffing Agencies?

Modern-day staffing dates to the 1940s. With soldiers leaving to serve in World War II, businesses scrambled to fill open positions. The first employment agencies sprung up to recruit housewives on the home front.

Eighty years later, around 20,000 staffing and recruiting firms operate around 39,000 offices in the U.S. according to the American Staffing Association. What’s next for this dynamic industry? Here are a few predictions for the upcoming year.

More Creative Marketing Techniques

Finding candidates is no longer as simple as writing job descriptions and posting to a job board. Record low unemployment rates and recent policy changes by Indeed have made traditional advertising methods less effective for staffing firms. To stay competitive, recruiting agencies must find other ways to attract talent. These may include paid online advertising, remarketing, social recruiting and inbound marketing. In a candidate’s market, all employers need to catch people where they are and sell their brand, rather than assume potential employees will come knocking at their door.

Greater Interest in the Candidate Experience

Employment firms work for two markets: businesses (clients) and job seekers (candidates). In a slack labor market, clients receive more attention, while in a tight labor market, candidates have the upper hand. To find great employees, recruiting agencies must treat candidates like customers. Although user experience, or UX has always been important, now it is vital. Ongoing and timely communication is a key ingredient. Candidates need to know where they stand in the hiring process and what options are available to them. Recruiters who are slow to respond may lose top performers in as little as ten days.

An Emphasis on Talent Pools

The talent shortage has made hiring more difficult, and as a result, unfilled positions are common. Between unfinished work and additional stress on current employees, this situation quickly becomes undesirable and costly for companies. To counteract the negative effects of open seats, many organizations are working to create talent pools or talent pipelines. By continuously interviewing and sometimes hiring, these businesses have a line-up of qualified candidates. Although this model may be difficult for individual companies to maintain, staffing services build talent pools as part of their day-to-day operations. By working together, employment firms and businesses can generate faster and better hiring results.

Automation, Artificial Intelligence and Data-Driven Recruiting

Advances in technology, such as Applicant Tracking Systems and Recruitment Marketing Software, have made finding, engaging, nurturing and converting candidates faster and more efficient. Today, software programs can sort resumes in the blink of an eye, automatically generate personalized emails and crunch numbers to deliver informed hiring metrics. Like talent pools, these tools can be a significant investment for individual organizations. Employment agencies that offer these programs can provide a significant advantage to the companies they serve.

Can a Staffing Firm Make Your Business Better?

If your organization finds hiring time-consuming and expensive, and you are still having trouble finding qualified workers, the answer is YES! Learn more about how working with an employment agency in Arkansas will help you overcome your staffing challenges today.


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