How the Hiring Process is Changing

For job seekers, few resources are as invaluable as CareerXroads’ annual employment and hiring report. The staffing company recently polled 43 large companies in search of their hiring methods and strategy, aiming to gain an understanding of how the hiring process is adapting to technology, the ever-changing economy, and the shifts in qualifications that are present today.

What’s most visible in the report is a sense of urgent change in the way large companies hire and promote their employees. Internal promotions, which once made up less than one third of all full-time hires, now make up over half of all new full-time positions.

The value of a solid reputation is increasing as companies lower their tolerance for risk in new employee hiring and promotions.

For job seekers, this could shift the target of a new position from a different organization to another division within their current company. Employers are looking for long-term commitments from any new employees and promotional potential from current workers.

Highlighting your value to hiring managers within your company may be more productive than shopping around with your resume.

Secondly, the importance and value of professional relationships is continually increasing. Just over one quarter of all new hires stem from personal referrals, cementing beliefs that it’s best to search in your rolodex for opportunities before you shop around.

While social media services accounted for a small percentage of new hires, offline networking continues to produce most new external hires.

However, a growing number of large companies are investing in social media as a major recruiting strategy. Search and other community-based online hiring practices are becoming more common in major organizations, although total hires from social media platforms still make up just one percent of new hires. Niche job boards and company websites continue to attract under 15 percent of hires.

The data suggests that social media, while small and relatively expensive on a per-hire basis today, will expand into a more fruitful labor source for employers.

Almost eighty percent of all employers were represented on one or more major social media services, suggesting that future hiring could be an active effort for companies with dedicated social media presences.

Professional social network LinkedIn accounted for almost two-thirds of all social media hires, with prominent social media platforms such as Facebook and Twitter producing little in the way of long-term connections for recruiters. While social media is projected to expand into a major recruitment platform, today’s job seekers are more likely to land a position as a walk-in candidate than online.

In fact, walk-in candidates accounted for as many full-time positions as recruitment firms, with the total percentage of positions filled through recruiters dipping to 2.3 percent. This statistic can mean two things for job hunters: there’s no reason to fear not being found by recruiters, and there is huge value in developing in-person persuasion skills.

Other sources of new hires include job fairs (2.3%), print advertising (2.5%), and temporary staff moved into full-time positions (1.6%). Traditional hiring sources such as colleges and career fairs appear to be decreasing in importance to employers, while online sources continue to account for more new full-time hires every year.