Gareth H.’s Post

"There are 600 recruitment companies unfortunately gone bust in the last 18 months, and there are 32% fewer recruiters than 18 months ago." “It seems that headcount has been about ego and a lot of people have sailed very close to the wind because of ego and no longer exist right now. This is not about ego. It’s about productivity.” This morning I read these two quotes from Sid Barnes which really hit home. The last 18 months have been tough for a lot of agencies, really tough in fairness. I've heard stories of agencies of all sizes going under. The positive though is that what we have been relentless about hammering home - the agencies outperforming the market are those who have prioritised NFI growth whilst reducing their operational costs. The old model of adding more heads to hit targets is a luxury that almost nobody can afford these days and early data from the Firefish Software annual agency survey confirms this. Agencies are forecasting sales growth but not headcount growth at the same level which is refreshing. There are also some really interesting trends on strategic priorities for agency leaders next year which align with revenue growth without headcount growth. Positively, when looking at the Firefish Software customer estate, average revenue per recruiter, per company, is up 39% as users make better use of their data to prioritise profit-making activities and sources. Survey is still open for a couple more weeks too: https://lnkd.in/gyExaRJM

👀 UK labour insights for April 2024 👀 In the latest market update for April 2024, several trends are particularly relevant for Sales Professionals... 🔸 Employment Dynamics While there was a slight decrease in payrolled employees in March by 67,000, the annual increase of 204,000 highlights a gradual recovery, signalling growing stability in the job market. 🔸 Unemployment Insights The unemployment rate has risen to 4.2% as of February 2024. This uptick suggests a more competitive environment for job seekers, including those in sales roles, emphasising the importance of differentiating skills and expertise in the market. 🔸 Economic Inactivity There's been an increase in economic inactivity among those aged 16 to 64, now at 22.2%. This trend might hint at the potential untapped talent and a need for strategic hiring in sales-driven organisations. 🔸 Wages and Job Vacancies Despite a quarterly dip, job vacancies remain high at 916,000, well above pre-pandemic levels, indicating sustained demand for skilled professionals. Sales roles, often linked to business growth, might see robust opportunities. Wage growth has been promising too, with regular pay up 6.0% and total earnings increasing by 5.6% year-over-year. For Leaders and Business owners, these insights suggest the need for a proactive talent acquisition strategy to leverage the available workforce. And for Sales professionals, the need for continuous personal development to stand out in a competitive job market. 📞 01793 230469 ✉️ [email protected] #FindYourNiche #LabourMarket #SalesProfessionals #CareerDevelopment

𝗙𝗮𝗹𝗹 𝗼𝗳 𝗶𝗻𝘁𝗲𝗿𝗲𝘀𝘁 𝗿𝗮𝘁𝗲𝘀 As someone who has only recently got into recruitment I hear so much about the "post-covid boom", the fall in interest rates is definitely a very warming sign for better times but we still have a long way to come. Starting my career in what is described as a "hard market" is something I am very grateful for (although I would be happy for it to pick up a little now) as it really made me perfect the basics. Tough markets require recruiters to become more adaptable and creative in their approach- allowing you to think outside of the box. Mastering recruitment in a tough market gives you a competitive edge over others who may struggle in similar circumstances- positioning you as knowledgeable and allowing you to deliver results even in challenging conditions. I appreciate individuals who joined in the boom may be finding the current market difficult (especially to your take home pay) but with every downturn comes an opportunity for growth- with better things to come. #rec2rec #recruitment

The UK staffing market grew to £41.7 billion in 2023 and it's expected to grow even bigger in 2024, there's never been a better time to focus on the staffing agency business model. But which industry to focus on? 🏥 Healthcare: With 2 million jobs annually, healthcare is booming. 🔨 Construction: Skilled workers are in constant demand. 🏭 Manufacturing: The UK is heading for a push back into manufacturing, be ahead of the trend. 🍽️ Hospitality: Hotels and restaurants always need reliable staff. 🎯 Niche Focus: Consider niche agencies for agriculture, sports, or fashion. 📚 Education: Schools and universities are seeing higher turnover forcing them to rely on teacher recruitment agencies. 🔨 Construction: Skilled workers are in constant demand. 💼 Finance: Banks and accounting firms seek staffing solutions and temp workers. 🎨 Creative: Advertising and marketing firms need creative talent. With Easy Tech, our all-in-one recruitment software solution can specialise on all the above industries and more. Try our free 14-day trial and see for yourself how Easy Tech can help you grow a profitable staffing agency. #recruitment #hiring #recruitmentsoftware #staffing

An actual look at the UK Jobs Market (Using actual data - not just 'gut feel') I've seen a lot of posts about the state of the UK jobs market over the last few days, but there's almost never any actual data to back up people's opinions, so I thought I'd share some. All figures are benchmarked against Feb 2020 (pre-Covid) Some quick notes about recruitment levels: - We're down 20.2% compared to Feb 2020 - The height of recruitment after Covid was March 2022 - up 40.2% We've been on a slow decline in recruitment since. This is across all industries, obviously some are doing better than others: - Education is up 46.6% ✅ - Catering & Hospitality is up 11.8% ✅ - Wholesale and Retail is up 21.9% ✅ While others are really suffering: - Travel/Tourism is down 42.2% 🔻 - Health & Social Care is down 40.9% 🔻 - IT & Technology is down 43.3% 🔻 While it's definitely a more difficult jobs market than 2 years ago, there are still loads of good opportunities floating around. And with Interest Rates likely to fall this year, hopefully there will be a big knock-on effect and companies will begin hiring at scale again. My take - if you're a company who has the budget to hire, now is the perfect time to do so. There's a lot less competition for the same talent, and if you're clever, you could have your pick of some incredibly skilled candidates. It probably won't be like this for much longer. I'll link the dataset from the ONS in the comments. What are your thoughts on this?

💭 Thought for the Day: Why Do Research Agencies Embrace Milestone Payments for Their Work but Expect Recruiters to Work Without Guarantees?? 💭🧐 Imagine this: You’re a research agency/insights consultancy, meticulously planning every step of your project - defining objectives, crafting methodologies, and delivering insights that shape strategic decisions. Your payment structure? Crystal clear. Milestone-based payments that reflect the value of your expertise and the time you invest. Now flip the scenario. What if a client said, “We’ll engage three research agencies. The one whose findings we like best will get paid”? Would you even start the work? Would you give it your all, knowing there’s no guaranteed return? Yet, this is exactly the expectation many market research & insights businesses place on their recruitment partners. • No retainer • No milestone payments • Only pay if you make a hire (and maybe not even then!) But here’s the REAL question (if you're still reading! 😂): How would the quality of research - or hires - change if market research agencies or recruiters weren’t compensated fairly for their efforts? Would you give 100 plus % to a project if payment depended entirely on outcomes beyond your control? It’s worth considering: structured payments and trust are what drive COMMITMENT QUALITY and RESULTS in any professional partnership. If this resonates with you, I’d love to hear your thoughts. How do you approach payment structures with your trusted RECRUITMENT PARTNERS? Is there a better way forward, i.e. fractional/embedded TA model (aka PAYG), fixed fee, or a retainer at a fixed fee (no matter how high the salary)? Which model will work with you? ⬇️👇 #Recruitment #Research #Partnerships #MilestonePayments #BusinessThoughts #MarketResearch #ResTech #Recruting #TalentAcqusition

Why would anyone invest £25/50/75k+ in a Recruitment Fee? You might be surprised by the reasons. Here’s one. Because depth of search matters. And if you're a business that's or in scale-up mode Then your leadership team, and people in high-impact roles determine the success or failure of your business. With the wind behind you at full speed ahead, or on a sinking ship. Regular sourcing techniques tap into just 20% of the total addressible market, and this segment, is generally seen as being of a low quality. A headhunting, taps into 100% of the potential talent pool, enabling you to hire from a higher performance applicant pool. And the best candidates can be expected to drive superior business outcomes. ➡➡➡ A recruitment fee becomes a strategic investment, delivering returns in growth, innovation, and performance. It’s about ROI. ➡➡➡ When the stakes are in the hundreds of thousands, millions or tens of millions, landing an “A” player makes a £25/50/75k fee feels like a drop in the ocean. ➡➡➡ It’s about focusing on long-term impact and payback. If you're curious about what we do... We help companies move on up:) 🕵 We headhunt commercially focused leadership (CXO) and senior specialists, primarily in sales, marketing, consulting, and operations for digital and SaaS vendors in the USA and UK. 🕵 Typical base salaries range from £100k to £300k / $140-450k. 🕵 We work exclusively for employers and do not register candidates or help individuals find jobs. #emotionalintelligence #strategy #culture #compassion #digitalinnovation

Base Model vs. Draw Model for Executive Recruiters: An In-Depth Comparison As 2024 nears its end, the debate between a base salary model and a draw against commission gains relevance, especially with an anticipated job market improvement in the United States in 2025. What makes this debate intriguing is that the draw model, a unique concept not found elsewhere in the world (being akin to self-employment), is being scrutinized in the context of a Company. So, which model is best suited for you - Base Model or Draw Model? The Base Model Definition: A base model entails a guaranteed monthly salary along with Health Benefits. Pros: ➡️Financial Stability: Recruiters receive a consistent paycheck ➡️Focus on Relationships: Less emphasis on immediate commission enables recruiters to prioritize building strong Client/Candidate relationships ➡️Investment: Companies provide a base salary to acknowledge the expertise and revenue you bring to their organization Cons: ➡️Limited Earnings Potential: Base salaries typically offer lower commissions ➡️Flexibility: Most firms expect you to be part of a team and present in the office regularly under a base salary as an "employee" The Draw Model Definition: A draw model allows recruiters to receive a monthly advance against future commissions. Pros: ➡️Higher Earnings Potential: Top performers can significantly boost their income ➡️Motivational Structure: Earnings directly correlate with performance ➡️Flexibility: As you are essentially "self-employed", except for health benefits and a LinkedIn license, you are not mandated to be in the office five days a week and can work remotely Cons: ➡️Financial Risk: You are practically self-employed except for health benefits and a LinkedIn license ➡️Clients' Delayed Payments: The possibility of delayed client payments can push your draw into the negative for the following month, necessitating invoice chasing When to Consider Each Model Base Model: ➡️Recruiters/Headhunters Associates in Your 1st & 2nd Year: A draw model is not recommended during the initial two years of your career. Firms should be investing in you during this period as it may take up to eight months to establish consistent billing. ➡️Managers/Professionals with 4 Years of Experience Building Divisions/Teams: A draw model is unsuitable for experienced professionals as a base salary from the company acknowledges the investment made in your unique skills or billing track record. Draw Model: ➡️Experienced Headhunters in Executive Search Retained Firms with Over 4 Years of Experience: Ideal for senior professionals seeking flexibility and autonomy. ➡️Senior BDM Recruiters with Established Relationship Portfolios: A draw model may be appropriate for those with significant experience and relationships in place. For a confidential discussion on this matter, please contact Katherine Murray at Hunter Global Search at 203-904-7616.

Stop chasing oversaturated sectors. It’s impacting your billings!    Firstly, how do you even identify an oversaturated sector?   ·      Too many recruiters are fighting for the same candidate. ·      Too many recruiters are fighting for the same client. ·       It’s difficult to separate yourself and stand out from everyone else. ·       A client’s job is being tendered out to multiple agencies. ·      You’re subsequently forced to reduce your fee. ·       You’re faced with contacting an endless list of potential companies to consider.   All these issues point towards you not having cornered a niche.   If you don’t have a niche, what happens? Your demand is drastically diluted.    This then directly impacts what you can bill and earn.   The problem here is when we’re not performing, we tend to dive into our own head and blame ourselves.    But have you ever thought that actually, you could be doing everything right but…   You’re just in the wrong space!    Over the next couple of weeks, I’ve put time in my diary to run through the importance of having a niche and how that will help you bill.   Ping me a message and we’ll get something booked in. #everythingaboutrecruitment #recruitment #recruiters

With the October budget announcement looming, UK businesses are feeling the pressure. This year’s economic uncertainty has significantly impacted the recruitment market, leading to a noticeable sense of caution. The recruitment sector is reflecting this sentiment in the markets. Year-to-date share price changes for some of the UK's largest recruiters tell the story: Hays: down 22.91% Michael Page: down 24.41% Adecco: down 30.07% Robert Walters: down 25.56% Randstad: down 22.36% These are significant shifts. While some clients are hesitant to make permanent hires, we’re seeing opportunities in specific sectors, particularly in the interim market. Businesses with critical projects to deliver are turning to interim solutions to bridge the gap. If you're facing challenges in the current talent landscape or planning your next steps, we’re here to help. Let’s talk about how you can navigate the current market and prepare for the inevitable demand surge ahead! Feel free to reach out for a conversation. Cruinn Consulting