In 30 years, I have yet to see a retention bonus retain, let alone motivate, anyone. – Kate D’ Camp, former VP of HR at Cisco
Let’s face it: only a few people voluntarily spend any time thinking about the use of employee retention bonuses (ERBs). I wouldn’t either, except for the fact that a majority of major firms use them instead of much more effective retention approaches. The use of retention bonuses is at an all-time high but I wonder why, because they’re expensive and only occasionally do work. In my over 20 years of work as a thought leader and practitioner in retention, I have been unable to find any credible corporate data that even comes close to demonstrating the effectiveness of retention bonuses.
The major flaws of employee retention bonuses fall into three categories, which include:
- ERBs are evil because they are a form of “paid servitude,” where you buy rather than earn employee loyalty.
- ERBs don’t actually work in a time when turnover rates have gone up 45 percent.
- ERBs have many negative unintended consequences that unintentionally create damage.
Maybe the lack of data proving the effectiveness of retention bonuses is not such a big surprise, because almost nothing in corporate retention is data-driven. There is also no data to prove the effectiveness of most other common “retention resource wasters” like improving benefits for all, engagement efforts to improve retention, or offering a coach/mentor or profit-sharing. Despite their lack of supporting evidence, the use of retention bonuses has doubled since 2010 (according to a recent WorldatWork survey). If you are a corporate manager or a talent management professional who is considering offering retention bonuses, review the following 25 ugly reasons thoroughly before you act. In my book, they rank at the very bottom as the least effective commonly used retention tool.
The Top 25 Reasons Why Retention Bonuses Don’t Work keep reading…
Social Media Dos and Don’ts for Recruiting
This upcoming Jobvite-sponsored webinar will be featuring some of the best tips and practices from the “Ultimate Recruiter’s Guide.” Hosted by Matt LeBlanc, this webinar is guaranteed to shed light on some new social media tricks as well as give you a reality check in other areas of current practices. Take-homes will include the following and much more:
- Use social media to create a powerful talent pipeline that builds itself
- The realities when using social media and what you can and cannot expect
- Various pro-level tips and tricks that will allow social media to work at even the most “corporate-y” of functions
Far more will be covered in this groundbreaking webinar and it really has to be attended to appreciate the full value of knowledge being offered. Register now and you won’t miss out!
Date/Time of Webinar: September 23, 2014 at 2 p.m. EST
Registration Link: https://cc.readytalk.com/r/mnnasgrtb7be&eom
Improving Candidate Quality: Through a Marketing Lens
Coming at you from a different angle in this upcoming Indeed webinar is your host Marvin Smith, as he encourages you to shift from the role of talent acquisition and into the role of marketing product manager, with the “challenge” being improving the product quality of candidates. The depth of this webinar exceeds description, but expect the following to be covered:
- A look at the “three areas of impact”: the hiring teams, the talent sourcer/recruiter, and the target talent
- How to shake things up for you/your organization and what that entails
- And so much more!
This is guaranteed to not only be a incredibly informative webinar. Register today and develop your recruiting abilities even further.
Date/Time of Webinar: September 25, 2014 at 2 p.m. EST
Registration Link: https://cc.readytalk.com/r/7fw9ayb2xf7a&eom
- Wednesday, October 15, 2014, 2:00 pm ET
- 60 minutes
- Register for this free webinar
presented by Shanil Kaderali
Hiring metrics are becoming a benchmark to achieving business goals,especially so by the leaders in HR, Recruitment, and Talent Management areas, and if this is the case it’s helpful to know WHAT they are looking for. Please join Shanil Kaderali in this upcoming iCims webinar as she shares the following:
- What defines both pre and post “quality of hire” metrics
- The link between financial performance and talent metrics
- A comprehensive, analytical (yet summarized) session for talent acquisition and HR leaders
- And so much more!
If you are ready to take your understanding and experience of metrics to the next level then this is one webinar you can’t afford to miss, hurry and register now!
This webinar is sponsored by iCIMS.
Are you looking for a new job, or filling recruiter positions? Being on either end of the spectrum, it may be useful to know what the labor markets are like in North America. We used WANTED Analytics hiring demand and talent supply data to analyze and compare hiring trends for recruiters in the U.S. and Canada. keep reading…
A strange thing started happening in the UK throughout 2011 and 2012. While the economy continued to flatline and people all over the nation struggled through the hangover of the recession, we were told time and again by government spokespeople that the job market was exploding. Unfortunately for the 2.6 million unemployed people looking for jobs at this time, this surge in the job market was being driven mostly by self-employment and people starting up micro-businesses. In fact, since 2010, more than 40 percent of newly created jobs are held by the self-employed, and a whopping 16 percent of the total workforce, around 5 million people, fall into this category.
This is not only the highest ever level of self-employment in the UK, but it also makes us the self-employed capital of Western Europe.
However, is this entrepreneurial boom solely the byproduct of the recession and a broken economy, or does it tell of a deeper shift in the UK’s attitudes towards work? Furthermore, what effects will this trend have on the UK’s economy and society in the future?
What Really Caused the Rise of Entrepreneurialism in the UK? keep reading…
In a large or small organization, there is a need for a recruiter to take charge at times. Below are scenarios that occur in almost every organization. The key steps underneath will improve your time to fill, relationship with the hiring manager, and establish yourself as a trusted advisor.
Scenarios: keep reading…
A new report examines 16 factors that drive the performance of a talent acquisition department. The big winner is four times as influential as the second-place factor. keep reading…
Employers and talent acquisition professionals are still trying to grasp what it takes to retain the millennial generation, making sure that they are unleashing the full human potential of Gen Y. Clearly this topic of engaging and retaining millennials in the workplace is proving to be an ongoing struggle for those in corporate America and around the globe. In fact, a Bentley study found that about two-thirds of employers (63 percent of business decision makers and 68 percent of recruiters) say their organizations struggle to manage millennials. According to the U.S. Bureau of Labor Statistics, by next year, millennials will account for 36 percent of the U.S. workforce and by 2025, they will account for 75 percent of the global workplace.
Using what I shared in my first article to attract millennials into your organization, below are ideas to keep them retained and engage the full potential of Gen Y. keep reading…
Recently, I’ve become immersed in some unfamiliar recruiting territory — collegiate sports! As I work with my son, a student athlete, to navigate the college exploration process, I’m noticing many similarities between these two worlds of talent search.
Last month, I met Jay, a sports recruiter/scout who has placed numerous incredible college athletes through the years. Many of his “picks” have gone on to play sports professionally. Jay and I spoke at length about our industries and I asked him the secrets to his success as a recruiter, albeit in another realm.
If you find solutions to your professional challenges by looking to other industries, read his valuable perspective on sports recruiting success, as well as my related observations. keep reading…
Take a little trip with me. Don’t worry; you don’t need to pack any bags and your passport can remain safely stowed away. We’re just going to take a step back in time to when we were college students. Reflect for a moment on the months leading up to your graduation. What thoughts were weighing most heavily on your mind at that time? Aside from your immediate concerns of making it to every big party that week (without missing any classes the day after), you probably had some big questions about your next step. What would life in the real world be like? And how would you find a job that you were overjoyed about — or at the very least, a company that would hire you?
University recruiters have the opportunity to help provide some answers to those tricky questions that plague 20-somethings. keep reading…
I work in the Silicon Valley, where we have a long-established mantra of “faster, cheaper and better.” But now no matter where you work in the world, almost everyone can sense the fact that every aspect of global business now seems to move significantly faster than it did even 10 years ago. You could even label the 21st century as “the century when speed dominated.” This increased speed means that new products and product features come to market at an amazing rate, copying is almost immediate, everything you rely on seems to become quickly obsolete, and long-established businesses routinely lose out to faster moving startups.
In this environment, even notable fast-mover firms like Google and Apple occasionally don’t move fast enough. This was the case where they both failed to effectively seize on the amazing social media and microblogging opportunities that the faster-moving startups Facebook and Twitter quickly dominated.
In the past, the business domination rule was simple … Large and established firms will dominate the smaller ones.
However the new rule has become “It’s the fast-moving and rapidly adapting firms that now dominate the slower ones, whether they are large or small.”
If Your Firm Changes Slower Internally Than the External World, it Has No Future keep reading…
Editor’s note: ERE neither encourages nor endorses the watching of any of the videos in this post during the time you should be working. But if you must, we suggest taking these job security precautions: 1) Turn down the volume; 2) Open a second tab to LinkedIn so you can quickly switch away; 3) Avoid laughing out loud; 4) Share this post from a computer other than your own.
Never let it be said that Roundup doesn’t know what recruiter reality is. Over the years your Roundup correspondent has dutifully brought you the entertaining, the culturally unique, the over the top (or is that the first one in this inventory?), and even a winning IKEA recruiting video. (Keep IKEA in mind. We will return there shortly.)
Today, however, I bring you a genuine peek at 57 seconds in the life of a staffing keep reading…
You see, popular coverage of the role of part-time jobs in the economy often attributes the rise of these positions to employers who have turned some full-time jobs into part-time ones. While there are 7.5 million Americans working part time for economic reasons (they’d like to work more hours but can’t find a full-time job), there are millions of others who are actively interested in more flexible work options or reduced hours — and this interest isn’t isolated to low-skilled workers. keep reading…
Most recruiting leaders have had coffee-shop or happy-hour conversations with each other about “having a seat at the table” or being a “more strategic partner” to the business. There is no doubt these clichés are played out (and there’s a good chance you’re rolling your eyes at the thought of reading another article about this). The truth is, there are talent-acquisition departments that talk about having a seat at the table; heck, they might even lobby so hard to get to this “table” they get a pity invite.
But, for as many of those that are worrying about a “table” there’s the other side of the house: departments hard at work building teams that help their business use human capital to win in the marketplace.
This is no easy task. It’s a grind. But there’s great work going on in our industry right now by many talent-acquisition leaders showing a commitment to this approach. Some of those very leaders you’ll meet at ERE next week.
At CDW, we built a high-performing talent acquisition team by developing business- and HR-savvy recruiters. keep reading…
When searching for the right developers to hire, recruiters face a number of challenges. One of the biggest difficulties is that there is a small pool of developers in the market, and other recruiters are likely reaching out to them, too. The high demand for developers means that developers are used to, and often annoyed by, recruiters’ attention.
It doesn’t help that recruiters often can’t relate to developers. keep reading…
After a decade of slowly declining workplace drug test results, Quest Diagnostics said the trend reversed last year with more workers testing positive, particularly for marijuana and amphetamines.
Although the total positive results are small — of 7.6 million urine tests 3.7 percent were positive — it does represent a 5.5 percent increase from 2012′s 3.5 percent positives and it is the first increase since 2003, when 4.5 percent of the samples found traces of drugs. keep reading…
- Wednesday, September 24, 2014, 2:00 pm ET
- 60 minutes
- Register for this free webinar
presented by Chris Stanzione
Employee referrals can be a great source of talent for growing organizations. However, this usually takes a considerable amount of time and energy. Please join host Chris Stanzione in this upcoming webinar as he covers:
- Adding value instead of simply more applicants to your talent pipeline
- Finding and soliciting excellent referrals in your workplace
- Create an ongoing culture of referrals
- Rejecting referrals without alienating your current employees
- And much more!
Register now and avoid any chance of missing out on an employee referral webinar that will surely add to your knowledge regardless of skill level or experience with these programs.
This webinar is sponsored by Greenhouse.