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    Entries in Recruiting (199)


    One way legacy companies can change the recruiting and retention equation

    One challenge most older, 'legacy' companies can face when recruiting and attempting to retain their most desired people and keep them from flocking to the newer, more exciting, and often more lucrative startups in their industries is their very own legacies and brands.

    One could argue that 25 year old hotshot developers are not that interested in joining say an IBM, when they could jump on a new AI or blockchain startup. Or in finance, the allure of say a JP Morgan Chase might not hold all that much resonance when that same 25 year old has been immersed in crypto currency exchange technology for the last few years. Or in retailing, what would draw someone who has many options to a company like Walmart or Target, when modern, fast-moving, and tech-driven startups like Stitchfix seem to be much more exciting?

    Well, one 'legacy' company is trying a really clever strategy for to address this challenge - the legendary auto manufacturer GM is looking to improve its success in recruiting and retaining talent for its new self-driving unit named Cruise, by offering new employees equity directly in the Cruise unit, and not in legacy GM. From a recent piece in TechCrunch describing the plan:

    In what will be seen as a big recruiting and retention win for Cruise, employees will be offered equity in GM’s self-driving technology subsidiary rather than shares of GM. The securities offering was disclosed in a recent SEC filing for GM Cruise Holdings LLC.

    The equity structure gives all Cruise employees the chance to own actual shares of Cruise, not in GM. It’s a critical development for a company, even one flush with new capital like Cruise, that is working to deploy autonomous vehicles on a commercial scale.

    “The goal was primarily to create a new equity structure so that we could recruit and retain the best talent by giving them direct participation in potential upside in Cruise through owning actual shares in Cruise, which we didn’t have before,” Cruise CEO and co-founder Vogt told TechCrunch.

    So how does a company like GM better compete for in-demand talent, that may be drawn to their smaller, upstart competitors? By making it seem for the most part that this talent doesn't really work for GM, they work for a self-driving car startup called Cruise that just so happens to be subsidiary of GM. And this allows GM not only to get a lift from not being wed to 100+ years of GM history from a branding perspective, it allows loosens up the compensation purse strings for these Cruise employees, as large, legacy companies like GM have much more rigid and formal methods of allocating compensation - ones that their startup competition usually are not encumbered by.

    And if things work out for Cruise, the prospect for employees of really cashing in with a spinoff and an IPO add the carrot of potential future millions that 'legacy' GM would never be able to match. It's a clever way to combine the strengths of GM's legacy and history with some new ideas that shore up some of the weaknesses in that legacy.

    And yes, I am a GM owner. But I am still driving my own car. For now anyway.

    Have a great day!


    PODCAST: #HRHappyHour 336 - Hiring Success with Recruitment Automation

    HR Happy Hour 336 - Hiring Success with Recruitment Automation

    Sponsored by Virgin Pulse - www.virginpulse.com

    Host: Steve Boese

    Guest: Madeline Laurano, Aptitude Research Partners

    Listen HERE

    This week on the HR Happy Hour Show, Steve Boese is joined by Madeline Laurano of Aptitude Research Partners to discuss some new research they've recently published on Recruitment Automation. More than just a method to make recruiting processes more efficient, modern recruitment automation technologies are focused on candidates - helping to create trust, improve the method and frequency of communication throughout the hiring process, and to create more personalized recruitment experiences. 

    Additionally, Madeline shared specific examples of how and where recruitment automation technologies can be leveraged throughout the hiring process, and offered some advice for organizations looking to get started with these modern, innovative technologies and approaches to recruiting automation.

    You can find the full report we talked about on the show at www.aptituderp.com.

    Listen to the show on the show page HERE, on your favorite podcast app, or by using the widget player below:

    Thanks to Madeline for joining us, it was a fun and interesting show!

    Remember to subscribe to the HR Happy Hour Show on Apple Podcasts, Stitcher Radio, Google Podcasts, or wherever you get your podcasts - just search for 'HR Happy Hour.'


    PODCAST: #HRHappyHour 330 - Why is Hiring Still So Hard? (and How to Make it Easier)

    HR Happy Hour 330 - Why is Hiring Still So Hard? (And How to Make it Easier)

    Host: Steve Boese

    Guest: Frida Polli, CEO and Co-Founder of Pymetrics

    Sponsored by Virgin Pulse

    Listen to the show HERE

    This week on the HR Happy Hour Show, Steve is joined by Frida Polli, CEO and Co-Founder of Pymetrics, a company using neuroscience and AI to help match candidate with jobs. On the show, Frida shared her path from earning her PhD in Neuroscience to taking on the problem of hiring - and trying to solve or at least improve and modernize the traditional hiring process.

    Frida shared how traditional approaches to hiring - resumes that become the first screening tool, common methods of interviewing - 'Tell me about a time when...', and relying on homogenous internal networks and referrals to fill roles are not the most effective, fair, and optimal ways to best match candidates with jobs. The first year failure rates of candidates being so high bears this out. 

    Pymetrics have taken on this problem with a modern, science-based and technology-driven approach that helps both organizations and candidates find their best fit and match. Rather than rely on traditional tools and methods like personality and cognitive tests, they use a different way of tapping into these traits by looking at behaviors, and leveraging modern technology - machine learning and AI - in order to help match the traits of high-performing incumbent employees with candidates by putting both groups through the same tests and comparing the results. The bottom line: technology is advancing and helping to make hiring easier after all.

    You can listen to the show on the show page HERE, on your favorite podcast app, or by using the widget player below:

    This was a really interesting conversation - thanks so much to Frida for joining us.

    Remember to subscribe to the HR Happy Hour wherever you get your podcasts.


    How tight is the labor market? One retailer is already taking applications for the holidays

    You've seen the headlines, (or heard me talk about them on the HR Happy Hour Show), unemployment is really low, the number of posted job openings has never been higher, and companies of all kinds are reporting that finding and retaining talent continues to get tougher.

    Just how tough is it out there?

    Well here we are in late June and Kohl's, a major US retailer is already accepting applications for holiday (think Christmastime), seasonal workers for their stores. Here's the details from a piece on CNNMoney:

    The department store announced Wednesday that it is already accepting applications for seasonal positions. Kohl's is staking an early claim in a tight job market that has made it hard for companies to find workers.

    Kohl's is filling jobs at 300 of its 1,100 US stores for the back-to-school and holiday seasons. Additional jobs at stores and fulfillment centers will come open later in the year.

    It's the earliest Kohl's has ever started hiring seasonal workers, said Ryan Festerling, the store's executive vice president of human resources.

    Unemployment is 3.8%, the lowest since 2000. For the first time in at least 20 years, there are more job openings than people looking for work.

    A couple of quick thoughts on this move by Kohl's to get a jump start on holiday seasonal hiring:

    1. Kohl's is signaling, and I bet they have the internal data to back it up, that holiday hiring is going to be really, really tough this year for lots of reasons we've mentioned above. Starting as early as they can, they are hoping, will help them fill the roles they need by the dates they need them filled by.

    2. For the talent pool for retail holiday season help, Kohl's has gotten ahead of the likely competition for these workers. This story has been in the news a fair bit, and people who are thinking about looking for these kinds of jobs this year might consider Kohl's before other retailers - especially since they can apply right now.

    3. Despite all the talk about the end of retail and the inevitable domination of online shopping and Amazon, physical retail still matters. Lots of people work in these stores, and with a strong US economy, most of the large retailers will be looking to add staff for the holiday rush. Heck, maybe I will pick up a few hours this year over at the local mall.

    That's it for me for a summer Friday - have a great weekend!


    If not enough candidates fail your drug screening, maybe the problem is you not them

    While catching up over the weekend on the latest from Willamette (Oregon), Week, (I mean, who doesn't spend at least part of their Sunday catching up on all things Willamette?), I hit this beauty of a headline - Oregon is Running Out of Workers Who Can Pass a Drug Test.

    Since I think from the headline of the piece you probably have an idea where this is going, so I won't bother setting it up too much and just take you to the money quote from our friends in Willamette:

    “One labor issue that continues to crop up is drug testing. At least anecdotally, more firms are reporting trouble finding workers who can pass a drug test,” the economists write.

    Ok, so maybe I should have set up the quote a little. Oregon, like a lot of the rest of the country, is seeing unemployment levels at almost twenty year lows - about 4.0%. That, coupled with Oregon's decriminalization of marijuana for most uses in 2014, and many employer's slow reaction to changing existing and traditional screening practices has led to a bit of a conundrum in the Beaver State - plenty of open jobs, and also plenty of candidates who are 'failing' old-school employment drug screens.

    As the trend/tendency for more and more states to adopt more permissive laws concerning recreational drug use - typically marijuana - I think organizations still conducting pre-employment drug screens and who are facing a shortage of 'acceptable' candidates in these states have three main options as to how to proceed:

    (Note, all of the rest of this assumes jobs/roles that are not directly in public safety domains, i.e. I am not going to advocate that airline pilots for example are not screened for drug use)

    1. Do nothing - What at least some employers in Oregon and elsewhere are doing. Maintain your strict policy of pre-employment drug screening, knowing that in places like Oregon you will effectively screen out more and more candidates as time/social mores evolve. The potential positive? Not everyone is so permissive about recreational drug use, and you might be able to score some points with that crowd - both candidates and customers. "We're the drug-free burger place" - that kind of thing.

    2. Better segment their jobs and screening protocols - Ok in almost every organization there exists some jobs that are more, say, 'sensitive' than others. The payroll manager has access to lots more information (and can do more damage if she chooses), than say, the person who manages the cafeteria. The point is that not all jobs in the organization need to have the same strict pre-employment screening protocols. And chances are you know that, the CEO knows that, everyone knows that. If you are an employer facing 'clean pee' issues, maybe its time to think about how universal your policy needs to be?

    3. Throw in the towel - Or, said differently, let a little bit more of the world in, realize you are recruiting (largely in Oregon), from a candidate pool who considers recreational pot use just fine, (and by the way is also legal). Sure, make or continue to enforce 'on the job' rules of conduct as you see fit, no one is arguing that, but let go of this kind of old-fashioned idea of having a 'drug-free' workforce. Because you know what? You don't have one of those anyway, despite whatever rules or policies you have. Said differently - a drug-free 'workplace' is your right (and the right thing to have), and drug-free 'workforce' is more or less none of your business and is out of your control.

    Organizations usually often are slow in adapting to changes in the world around them. The great Grant McCracken wrote recently that "organizations are great at keeping things out, not so great at letting things in", (I might be paraphrasing a bit, but that is the gist.

    The smart HR/talent leader not only know what is happening out there, they also know how their talent strategies have to adapt. Even in Oregon.

    Have a great week!