Are recruiters losing their mojo?
In our current world where there is more talent than jobs, widespread job cutting and easy access to job sites, where do recruitment agencies fit in? Our insiders reflect on the evolving role of recruiters and how hiring managers and jobseekers can work it to their advantage.
“Today, it is much easier for jobseekers to see which company is currently hiring and apply for 30 jobs in a single day”
- Pawel Michalak, VP of Sales at Adyen.
Last month, we polled our talent pool to find out how they landed their most recent jobs. What caught our attention is that only one in ten candidates found a placement through recruitment agencies. The remaining candidates mostly turned to job boards like LinkedIn, or networked their way towards a referral.
The figure was notable because it reflected how a combination of technology, knowledge and easy access to otherwise “strangers” via networking sites like Linkedin, may be slowly transforming the hiring scene and jobseeking practices.
Today, it is much easier for jobseekers to see which company is currently hiring and apply for 30 jobs in a single day, said Pawel Michalak, VP of Sales at Adyen. LinkedIn, Telegram groups, instant messaging and social media have also made it easier for candidates to maintain professional relationships that could lead to new job opportunities.
With these evolving practices, what role do recruiters play, and how can you work this to your advantage? ConnectOne speaks to a hiring manager, two recruiters and two jobseekers for insights.
If you are a HIRING MANAGER, a recruiter will help you…
#1 Find the superstars
“They help me hire the cream of the crop who is not actively looking”
- Jason Teo, Head of Product Management at Trust Bank
“The recruiters I work with bring in passive jobseekers,” said Jason Teo, Head of Product Management at Trust Bank, adding that many of these are top performers.
“If I want to hire someone who is actively looking for a job, that is easy. But if I want to hire the cream of the crop who is not actively looking but who could be working at any company, that is more challenging. Recruiters do a very good job of surveying the landscape, and helping to find people who are really good at what they do,” he shared.
Another reason is that talent at senior levels tends not to apply-direct to companies, preferrig to go through a recruitment agency or internal referral. “If you are a senior, it doesn’t come across so well if you apply directly,” explained Pamela Tan, Consultant and Talent Community Lead at ConnectOne.
#2 Accelerate a complicated process
“When I want to hire, I want to hire fast”
- Jason Teo, Head of Product Management at Trust Bank
Technology may make it easy for candidates to blast off a staggering amount of CVs to employers, but that does not make hiring any easier. A successful placement requires the hiring manager to not only sift through a massive pile of CVs, but also look beyond the CV to understand each candidate’s drive and culture fit within the organisation.
“I believe that the resume is only 30 to 40 per cent of the story. A good recruiter should not just come in to screen but also help to evaluate the candidates,” said Teo.
This makes hiring a long process. “Sometimes companies don’t have the time and resources to be searching,” said Tan.
“Having that middle person also helps. Recruiters can find out important things about the candidate that potential employers won't be able to find out immediately. They may have known the candidate from before, journeyed with the candidate for years and know about family situations,” she explained.
This outsourced help speeds up the entire process, which makes a huge difference for hiring managers.
“When I want to hire, I want to hire fast. One reason is because I need someone to fill the role, and secondly, in this climate, it is best to hire fast in case there is a hiring freeze,” Teo noted.
#3 Access their strong network and domain knowledge
Good recruiters that focus on a certain niche have built strong relationships and trust with talent over time. This is helpful for companies that may not have strong employer branding, especially those new in this part of the world, said Tan.
“As a recruiter, we can be a mouthpiece and an extension of their brand to help them sell their company, what they stand for and who they are,” she explained.
Because of their powerful network, recruiters are also able to offer hiring managers useful market and competitor insights.
“When I talk to recruiters who add a lot of value, they give me insights and insider news. What are other companies hiring for these days? Is it really competitive? What’s hot in the market right now?” said Teo.
If you are a JOBSEEKER…
#1 Ditch the middleman mindset: Recruiters can be a powerful extension of your network
“Candidates should view recruiters as an extension of their networking efforts”
- Philip Tnee, Head of Small Medium Business, Singapore, Malaysia, Philippines, Cambodia at TikTok.
To be fair, there are good reasons jobseekers shun certain recruiters. “Some agencies have a reputation for chasing the commission,” observed Philip Tnee, Head of Small Medium Business, Singapore, Malaysia, Philippines, Cambodia at TikTok.
“Candidates have shared with me that some recruiters broadcast their CVs to many clients without even informing the candidate. These recruiters treat candidates like a commodity or asset, which is not right and also not respectful,” agreed Tan.
This breaks trust, and also raises concerns of reputational damage from being misrepresented, especially for candidates in senior roles, added Tnee.
It would help if both candidates and recruiters re-frame the relationship as an extension of their networking efforts, rather than a middleman pushing to close the deal at all costs. Instead of a transactional relationship, trust-building is paramount.
“Many candidates come to me via a referral from another candidate, building on an existing relationship,” Tan explained. “Additionally, sometimes, when I reach out to a candidate, it may not result in an immediate job placement but one later down the road. In the meantime, there is a lot of trust-building interaction,” she added.
#2 Think of recruiters as an internal referral
Good recruiters develop strong relationships, trust and synergy with hiring managers in their niche.
“For agencies that focus on the quality rather than the quantity of the candidates, I see many similarities between an internal referral and an agency lead,” Michalak noted. “As somebody who has both hired and been hired via a referral, I consider referrals to be the best way to connect both sides. It allows the recruitment process to start from a much higher level of trust compared to any other channels.”
This can make a huge difference for candidates who did not have such a pretty exit from their previous role.
“There are always two sides to the situation. Maybe both the ex-employer and candidate weren’t totally in the wrong. It might have just been a misfit or misalignment of expectations. But the candidate may still be very emotional about certain things, creating negativity on both ends. A recruiter can bring things to a very neutral ground and help potential employers understand that it was nobody’s fault,” Tan explained.
Jobseekers whose resumes may not look so good on paper may also benefit from this “internal referral”.
“A candidate with only O-Level qualifications came to me for coaching because his CV was going nowhere with direct application. I was impressed by his experience and passion for the food industry, his entrepreneurial spirit, and how sharp and articulate he was so I convinced a client in food tech whom I knew well to interview him and they gave him a role in operations. He has since been promoted multiple times”, shared founder of ConnectOne Elena Chow.
#3 Broaden your search perimeters
“As a recruiter, we become an extension of their brand to help them sell their company – who they are and what they stand for – until they become more established”
- Pamela Tan, Consultant and Talent Community Lead at ConnectOne.
If you have been unsuccessful in your application for your dream companies, it may pay to be open to suggestions you may not have considered before. This could include more nascent segments like Web 3, or companies that you may not be so familiar with.
“Sometimes we may represent companies that are relatively new in this part of the world. As a recruiter, we become an extension of their brand to help them sell their company – who they are and what they stand for – until they become more established,” said Tan.
“We assess their business model, cash flow situation and leaders to ensure that we present the best opportunities to our talent,” shared Chow. “If we know that there are serious problems with a company, we won’t work with them as we don’t want to recommend candidates into a sinking ship.”
In fact, early stage organisations can present valuable opportunities for ambitious candidates.
“Oftentimes, candidates say they are looking for more established companies because they want more stability. I think this stability is overrated. In the past year, there have been huge layoffs from unicorn companies deemed stable. So I think it’s time to redefine what stability equals,” said Tan.
“Early stage organisations offer a more expansive scope compared to more established companies, and this positions you better for a broader or more senior role in future.