LinkedIn recently released its 4th annual Report on global recruiting trends and it provides for some interesting statistics looking forward to 2015. The report, while no doubt somewhat biased from a social media giant with a social media agenda, nevertheless provides us with some thought-provoking insights.
The first statistic that hit me was the fact that the average length of time an employee stays in a company is 4 years. In some ways, this is a relief to me as with all the research telling us what Gen Y’s in particular want from their work, I was concerned that this would be even lower. In every other way of course, this is alarming and should be a catalyst for Recruiters to work with senior management to develop strategies to ensure longevity with their company.
The other interesting statistics (and there were quite a few) was the fact that 75% of talent acquisition leaders globally say that a company’s talent brand impacts significantly on hiring great talent.
Not only that but, a strong talent brand (this is how the talent views the company brand) reduces the cost of hire by 50%, and lowers turnover by 28%.
So with the trend toward moving on apparent for the most valuable talent (and indeed all talent) now is the time for companies to focus heavily on getting their talent brand right and in 2015, social media is a big part of this.
I recall reading a week or two ago that our city mayor had just employed someone to Tweet, that is facilitate the council twitter account, in effect and quite literally tweeting all day! That was the job. At the time it sounded ludicrous however, in light of these figures perhaps not so.
After all, if you think about the average cost of hire… a 2014 article in Forbes, quoting research conducted by the Centre for Economics and Business Research (CEBR), estimates that, for a medium size business, the average cost of hire is $40,165 per employee well, reducing it by 50% or down to $20,083 is indeed significant!
With social media taking a much bigger role in recruiting and spreading your talent brand it makes good business sense to engage with it. The cost of the annual ‘twitter’ salary would be covered in no time with these figures!
So, take heed. If your company has not yet engaged with social media as a tool (and an important one at that) for raising brand awareness and attracting talent then be warned as you may well be selecting from the discards of your more aware competitors!