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Recruitment Trends remain steady 2012 to 2013

Posted By Natalie Singer, 06 June 2013
Updated: 06 June 2013

MCI Consultants, the largest distributor of staffing software in Southern Africa, announced the results of its 2013 SA HR Recruitment Trend Survey which saw the participation of 1012 HR professionals from across the country over a period of 30 days.

According to Rhett Davies, partner at MCI, "this is the second consecutive year that we have run this survey. Due to the overwhelming response, we can definitively say that this is the largest survey of its kind ever to be conducted in South Africa,”

"The results of this survey clearly indicate that HR departments and professionals of corporate SA have become extremely proactive and are managing a bulk of their recruitment internally. Interestingly though, there was an increase of 6% in the number of corporates utilising agencies as their first port of call. This year’s results also showed a remarkable increase of 5% in the number organisations utilising Social Media to recruit which aligns with the growing global trend," he said.

Thanks to @WeszMadz for his great job in comparing the 2012 and 2013 results (first appeared on the WeszMadz blog) that form the basis of our commentary.

 

GENERAL HR TRENDS

 

Organisations that use a recruitment management system [2012 52% / 2013 43%]

This is surprising given that the management of data and the ability to quickly extract value from this data is a critical requirement for successful recruiters.

 

Organisations that had an annual staff turnover rate of less than 10% [2012 58% / 2013 59%]

 

Organisations that attempt to source & place candidates internally before approaching recruitment agencies [2012 93% / 2013 87%]

Interestingly this figure has dropped, in favour of recruiters, and points to the fact that employers are beginning to realise/re-assess the value in using a recruitment specialist to assist in finding the right people. Perhaps this is an indication that the idea that access to job portals was the "pancea" has proven to be incorrect?

 

Organisations that rely on internal staff to refer candidates to HR for hiring consideration [2012 56% / 2013 52%]

This reduction is interesting and may speak to the corresponding increase (below) in formal employee referral reward programmes.

 

Organisations that have an employee candidate referral rewards programme in place [2012 58% / 2013 61%]

Unsurprisingly, South African employers are catching up with their International counterparts in realising the value of leveraging their existing employees' networks to find new staff members.

 

Organisations that do not primarily make use of recruitment agencies to fill their requirements [ 2012 58% / 2013 56%]

This is a minimal reduction and could speak more to the tight economy than to a bigger shift of employers away from utilising external recruiters.

 

Organisations that have between 1 and 5 recruitment agencies on their preferred supplier list [2012 40% / 2013 44%]

I would see this increase in a positive light if it means that more have LESSENED the number of agencies on their listings.

 

SOURCING CHANNELS


Organisations that use social media to recruit candidates [2012 53% / 2013 58%]

 

Organisations that use job portals to advertise vacancies [2012 64% / 2013 68%]

It would be interesting to delve deeper into this to determine whether the decision of CareerJunction to allow full functionality (search) to corporate employers had anything to do with the increasing use of job portals as a means of sourcing candidates.

 

Organisations that use print media to advertise vacancies [2012 65% / 2013 65%]

Overall the increases are relatively small and yet it does point to the need for recruiters to ensure that they stay ahead of their clients in best leveraging these social media platforms to source candidates.

Most successful Social Media platforms for recruitment in 2013 were:

  •  LinkedIn 69% 
  •  Facebook 18% 
  •  Twitter 7%
  •  Google+ 7%

 

PLACEMENT FEES


Fees charged 21% Cost to Company [2012 2.8% / 2013 3%]

Fees charged 16-20% Cost to Company [2012 16.3% / 2013 14%]

Fees charged 11-15% Cost to Company [2012 46.5% / 2013 46%]

Fees charged 6-10% Cost to Company [2012 17.6% / 2013 20%]

 

Fees have remained pretty consistent with the bulk of the industry working within the 11 - 15% bracket. Most interesting is the slight increase in the highest fee bracket indicating that clients are willing to pay top fees for recruiters who deliver the goods. The increase in the lowest fee bracket can also be attributed in large part to the tight economy and the need for clients to reduce costs and the corresponding requirement of recruiters to maintain business.

 

Tags:  fees  HR  incentives  internal recruitment  job portals  MCI  recruitment  rewards  social media  software  trends  WeszMadz 

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Keep calm despite apparent ANC u-turn on labour brokers

Posted By APSO, 06 June 2013

Recruiters may have seen this morning's headline article in the Business Day talking about the apparent u-turn made by the ANC caucus within the Parliamentary Portfolio Committee: Labour in respect to the issue of labour brokers.


APSO would like to assure members that we are working closely with our counterparts at CAPES and  BUSA and will keep members informed throughout this process.

Attached, please find the article in question as it appears this morning on Business Day Live.


Below, please find the Memo prepared by Johnny Goldberg, CAPES Chief Operating Officer.  


URGENT MEMO – PARLIAMENTARY PORTFOLIO COMMITTEE MEETING 5 JUNE 2013


The writer received a call at 18h00 on 5 June 2013 by the Business Day to ask about the Portfolio Committee meeting that was held on 5 June 2013. The reported indicated to the writer that the ANC caucus had voted for zero months for temporary employment services.  On questioning the reporter about more detail, she was scant on the detail so the writer then said, in our opinion, it would be tantamount to a ban. Hopefully the writer will be quoted correctly in the Business Day tomorrow morning.


This will be published prominently in the Business Day tomorrow and the writer firmly believes that we need to get a message out to our clients that they should do nothing in respect of their temporary employment staff until we get clarity and until this goes through the Parliamentary process. If the ANC caucus wishes zero months in the legislation it still must be approved by Parliament and Government has constantly called for regulation.


Let’s see what happens in the next day or two. The writer will have the minutes and be able to comment more definitively on this.
Kind regards, Jonathan Goldberg


 Members are encouraged to share this Newsflash with your clients and to advise them that no action should be taken in respect to their temporary workforces until, as Johnny indicates, clarity has been gained.

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