Issue 43 November 2016
RECRUITMENT MATTERS The View and The Intelligence
Member of the Month
Legal update and the IRP
O’Neill & Brennan Group p4
10 years of age discrimination law
IRP AWARDS BOASTS RECORD ENTRIES The 2016 IRP Awards will be the most hotly contested yet, with a record number of REC and IRP members putting themselves forward. The number of entries rose by 20% on 2015. Fifty individuals and 48 companies were shortlisted and will contest a record 17 categories at this year’s awards. Head of the IRP Richard Charnock says record number of entries reflects a strong year for the recruitment industry.
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Events and Training p6-7
professionalism is continuing to grow. “This promises to be the most tightly contested IRP Awards ever and the judges will have a big task in front of them to choose this year’s winners,” Charnock says. This year’s IRP Awards will be presented at a glittering
IRP Awards shortlist p8 ceremony in London on 7 December. For more information about the IRP Awards, visit www.irpawards.com • Turn to page 8 for the full shortlist.
“We’re extremely pleased to have received a record number of entries for this year’s IRP Awards. 2016 hass been a great year for the e recruitment industry and the level of professionalism on display has been fantastic,” he says. “Shortlisting was extremely difficult. Not only did we have the highest number of entries this year, but the standard of entry is the best we’ve ever seen. It’s clear the industry’s high level of
www.rec.uk.com 12/10/2016 15:16
Leading the Industry
Brexit dominated this year’s party conferences, says Tom Hadley, REC director of policy and professional services
Getting the right people to lead your fee earners is critical, says Kevin Green
The number one issue that recruitment leaders say hinders growth is their ability to find and retain good people. At a recent Scale Up event, we explored this issue with 80 recruitment leaders. The answer was easy and difficult at the same time. I mentioned in my introduction to the session that the industry needed 20,000 new consultants across the next few years. It became apparent that most recruiters attempt to grow their own talent, be that via apprenticeships or graduate programmes. In the process of attracting potential to their businesses, most said they had learned to be transparent and open about their expectations and culture to avoid a high failure rate. Most recruiters were investing in training and development, but the key factor between those who got it right or not was the capability of their front line managers. Do your mangers inspire and motivate your future capability or do they micromanage?
Getting the right people to lead your fee earners is one of the critical success factors in scaling up a recruitment business. Our research points this out time and again. It’s also clear that the more training is linked to professional qualifications, the more it’s valued by trainee recruiters. The REC is there to help you – whether that’s taking on an apprentice or training your managers, talk to us about how we can help you succeed. Finally, I wanted to let you all know that our global body previously known as Ciett has had a rebrand and is now known as the World Employment Confederation. It an exciting time for our industry and it’s great that we have a global body seeking to influence how the industry is perceived by global stakeholders. If you want a more regular feed on what’s going on in the world of recruitment, why not follow me on Twitter @ kevingreenrec or on LinkedIn
“DO YOUR MANGERS INSPIRE AND MOTIVATE YOUR FUTURE CAPABILITY OR DO THEY MICROMANAGE?” 2 RECRUITMENT MATTERS NOVEMBER 2016
Just over a year ago you’d have got long odds on Theresa May being Prime Minister and Jeremy Corbyn winning not one but two leadership contests. The recent party conferences were an opportunity to take stock of the political scene and to ensure that our industry is at the forefront of post EU referendum debates. The Conservative Party conference was a high octane, highfiving affair. The PM’s speech focused on the value of work – a good hook for our ongoing engagement with government – and support for strategic sectors like life sciences, technology and the creative industries. Elsewhere, it was good to discuss the government’s review of working practices with Employment Minister Damian Hinds. This will provide a good platform for driving our industry’s agenda around compliance and good recruitment practice. Access to staff and skills remains a major concern for recruiters. Chancellor Philip Hammond acknowledged the need to “attract the brightest and the best to work in the UK” and at a number of fringe events we underlined the fact that recruiters are regularly reporting shortages of workers in sectors like hospitality, logistics and care. We got this point across to key figures including David Davies, Secretary of State for Exiting the EU. The previous week we were checking the latest vibes following Jeremy Corbyn’s re-anointment. At the ‘Labour Business’ reception, Shadow Chancellor John McDonnell underlined the party’s commitment to building a better relationship with business. Although different ways of working are still seen by some as reprehensible, we took forward our message that flexible working options are a genuine choice for many people, providing a stepping stone into work for millions of jobseekers. The strapline of the Conservative conference was ‘A Country that Works for Everybody’; we need an apprenticeship levy that works from everybody, which clearly isn’t the case at present. Our underlying priority is to take forward a clear vision of what a post-EU jobs market should look like, and to inform key debates around jobs, skills and immigration so that our industry has a voice in developing the post-EU landscape.
You can follow Tom on Twitterr @hadleyscomment ment
THE INTELLIGENCE WITH REC SENIOR RESEARCHER, NINA MGUNI-JONES Persisting labour shortages According to the September report for the Office for National Statistics, there are 31.77m people in employment in the UK, an employment rate of 74.5%, a joint highest rate since records began in 1971. And yet we may see a further tightening of candidate availability. In the ‘JobsOutlook’ report published in October, one in three employers (33%) stated that they have no capacity and they would have to take on new staff if they were to take on more work. In addition, one in five employers (22%) plan to increase the number of permanent workers in the next three months, and one in four (25%) plan to increase the number of permanent
workers in the next 4 to 12 months. The data suggests that staff availability is already contracting. The ‘Report on Jobs’ survey published in October found a deterioration of availability amongst temporary and permanent staff, though the rate of contraction has slowed when compared to the previous month. But skill shortages persist. In the CBI education and skills survey, published in July 2016, 77% of businesses expected to have openings for higher level skill roles. Also, 69% of businesses are not confident that they will be able to find available people with the higher level skills to fill these roles – the highest yet recorded, an increase from 55% in the previous year. Some of the demand for high skilled workers is met and will be met by labour from overseas. At the end of June
74.5% ONE IN THREE EMPLOYERS (33%) STATED THAT THEY HAVE NO CAPACITY AND THEY WOULD HAVE TO TAKE ON NEW STAFF IF THEY WERE TO TAKE ON MORE WORK
THERE ARE 31.77 MILLION PEOPLE IN EMPLOYMENT IN THE UK, AN EMPLOYMENT RATE OF 74.5%, A JOINT HIGHEST RATE SINCE RECORDS BEGAN IN 1971
2016, 93,935 Tier 2 skilled work visas were granted, which was 1% more than the previous year. Tier 2 visas are issued to migrants with a job offer from a Tier 2 licensed employer (otherwise referred to as the sponsor) based in the UK. There was a 2% rise in the number of sponsored visa applications, with 56,914 applications in the year ending June 2016. The four largest sector areas were information and communication (up 1%), professional, scientific and technical activities (up 1%), financial and insurance activities (up 2%), and human health and social work activities (up 8%). But changes to migration
IN ADDITION, ONE IN FIVE EMPLOYERS (22%) PLAN TO INCREASE THE NUMBER OF PERMANENT WORKERS IN THE NEXT THREE MONTHS
22% law and changes in sentiment towards EU migrants following the EU referendum may hinder access to skills. For instance, a survey by the London Chamber of Commerce found that less than a quarter of London business executives believe that their business can pay the £1k annual charge for non-EU employees, which comes into effect in April 2017. So despite high levels of employment, the question persists on how to access the skills they need to meet demand.
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Member of the Month
O’NEILL & BRENNAN
Recruitment Matters talks to O’Neill & Brennan Group’s Julian King about why they’re keeping optimistic 4 RECRUITMENT MATTERS NOVEMBER 2016
Recruitment Matters: How did you get into the industry? Julian King: I graduated from the University of Limerick with a degree in Manufacturing Management back in 2007 and things weren’t looking too optimistic at home on that front. So I went to a trade fair and learned about recruitment as an industry and career. Next thing, I was on a plane to London for an interview, and I’ve been in the industry ever since. I started out in O’Neill &
Brennan’s London office until I was drafted to Fareham to head up the branch there. We started out turning over £2m but we are now posting more than £14m.
RM: What’s your focus? JK: We have three core sections: white collar recruitment – so everything from administration through to executive level in construction – through to blue collar jobs focused on labour
and fixed price logistics. We started as a labour supplier but have become a more rounded recruitment company across different disciplines in the construction industry. It’s what we know – you don’t want to get too wide and into areas you’re not familiar with. The future looks bright, particularly around the construction of the Hinkley Point nuclear plant. In fact, we had a meeting in October to discuss ways we can help with that project.
permits or what the state of workers from the EU will be – a lot of labourers and trade people are from the EU, as well as myself of course. That said, we’re pretty optimistic about the recruitment industry and hopefully this is a chance to build a larger and more diverse candidate pool for our clients from labourers up to executive positions.
RM: Candidate shortages mean recruiters will be looking further afield for talent. What kind of recruiter appeals to you?
JK: Fundamentally, they must be well-educated. If you’ve gone through uni and got a degree, it shows you can work without being pushed – that’s important. It also comes down to personality. If they’re too extroverted or introverted, they’re going to alienate people. We need to be able to adapt and work with people from all industries, blue collar and white collar. We’re on a massive internal recruitment campaign right now and we’re proud of the fact we don’t have a high turnover of staff. Once they’re in, that’s it. RM: So 2016 has been good? JK: Turnover has been steady but our margins have decreased. We have clients keen to work with only one company – one of our clients wants to spend £140m on recruitment alone. There has been a lot of change in the construction industry, particularly around payment methods, which has created some difficulties for us. And of course, the candidates aren’t there either. It’s difficult finding
people on a regular basis, particularly in skilled areas of construction.
RM: You’re looking to grow – what kind advice would you give another company looking to move up?
RM: How will Brexit affect business?
JK: It’s difficult to say – we haven’t seen any negative side effects from Brexit at the minute. All of our clients are still busy. Our regional offices are still quite strong but London has slowed down. We’re keeping an eye on how Brexit affects things like work
JK: You need a strong client base. You’ve got to work with companies who will pay you on time since it’s a very cashintensive business – money comes in and goes out quickly. Secondly, as I said, it’s about having the right staff. We need to treat our candidates as well as our clients – perhaps even better. Treating people with
“ IF YOU’VE GONE THROUGH UNI AND GOT A DEGREE, IT SHOWS YOU CAN WORK WITHOUT BEING PUSHED – THAT’S IMPORTANT” respect is important because it builds your reputation within the industry, particularly the construction industry. It helps when you do the basic things well. We’re not scientists, we’re not reinventing the wheel, so doing the simple things correctly makes a huge difference.
RM: What’s the focus for 2017?
JK: I’m excited by infrastructure work coming our way, like Hinkley Point. A lot of our clients are getting involved there. Internally, we’re changing the way we do things. We’re moving our timesheets online and investing in new systems to become more of a paperless business. We’re also developing an app which will allow job searching, job posting, timesheets, and checking cards to ensure compliance. It’s a bit slow in the construction industry but we’re looking to embrace any advance we can to make our candidates’ and clients’ lives easier.
RECRUITMENT MATTERS NOVEMBER 2016 5
AGE DISCRIMINATION 10 Years of Age Discrimination Law Bunmi Adefuye, REC solicitor UK age discrimination law is now 10 years old. The Employment Equality (Age) Regulations 2006 came into force in October 2006. They have since been subsumed into the Equality Act 2010, together with all other antidiscrimination law in force at the time. Subsequently in 2011 the default retirement age was also repealed. Age is one of the nine protected characteristics covered by the Equality Act. Section 5 broadly defines age as a reference to people of a particular age or people who fall within a particular range of ages or are in the same age group. It is unlawful to directly or indirectly discriminate against or to harass or victimise a person because of their age. Both workers and employees are protected from less favourable treatment because of their age, as are both
younger and older people. Age discrimination can occur during the recruitment process as well as during employment; a recruiter or employer will only have a defence to an age discrimination claim where they can objectively justify their decision to treat an individual less favourably – eg. simply trying to save costs by employing younger people will not necessarily be an objective justification. Damages in age discrimination claims are uncapped. There have been a number of age discrimination cases in recent years. One of the most prominent cases, Seldon v Clarkson Wright & Jakes, dealt with the forced retirement of a partner from a law firm. This case reached the Supreme Court, which referred the matter back to the Employment Appeal Tribunal, which ultimately concluded that 65 was a justifiable
6 RECRUITMENT MATTERS NOVEMBER 2016
retirement age. It also concluded that implementing a compulsory retirement age for partners in a law firm was a proportionate means of achieving the legitimate aim, as it assisted with workforce planning and supported staff retention. Later cases have found that the use of the nickname ‘gramps’, together with ‘old-fashioned’ and ‘long in the tooth’ constituted harassment of an older colleague – he was awarded over £63k against his employer (Dove v Brown & Newirth Ltd ). In contrast, a teenager was successful in her claim for harassment. Her line manager described her as a “kid” and “a stroppy little teenager”, stereotypes relating to her age and therefore discriminatory (Roberts v Cash Zone (Camberley) Ltd and another ). The National Minimum
Wage and its latest incarnation, the National Living Wage introduced in April 2016, raise interesting questions about age discrimination by making workers aged 25 and over more expensive. In Greer v Coulter (t/a Alphreso Café) (2011), a claimant succeeded in her ET claim when she was dismissed on reaching the age of 18 as she was entitled to a higher NMW. The judge described the actions of her employer as “callous”. The age discrimination provisions of the Equality Act stem from an EU directive. We still don’t know whether or how any EU-based legislation will change after Article 50 for Brexit is triggered but we will watch this space. This article is a summary of a lengthier article which appeared in the September/ October edition of the REC’s legal bulletin.
BEHIND THE SCENES AT THE INSTITUTE OF RECRUITMENT PROFESSIONALS
Emily Bruce iss an associate director ctor at Send Resourcing
Mandy Brook is the managing director at RSE Group Ltd
WHAT I KNOW
How did you get into recruitment? Having worked in internal recruitment during my summers at uni and then having temped through various great agencies, I’m a typical recruiter who after seven ski seasons fell neatly into recruitment as a second career.
How did you get into recruitment? I’d gone on holiday and decided to leave my very highpressured, 90 hours a week sales role. I walked into an agency and said I needed a temp job until I had decided what I wanted to do. They said: “Come and temp for us!” They gave me a copy of the Yellow Pages and a phone and told me to get on with it. I’ve been in recruitment ever since.
What do you love about the job? I love working in recruitment because (at the risk of sounding overblown and cheesy) we change people’s lives. There is no better feeling than matching a candidate with a job that you know that they will absolutely love or knowing that you’ve perfectly answered that hiring manager’s prayers in a way that will transform their team. I love working for Send because I still get to experience all of the above at the same time as having complete professional freedom. I work when, where and how I want, set my own fees and don’t have to worry about invoicing, credit control, marketing or any of the hassle of running a recruitment business. If I want to go to the gym for two hours in the middle of the day or move my office to the South of France for a week, then I do it. I honestly feel like I’m living the dream. What keeps you in this industry? Being at a point in my career where I have gained great work/life balance, real professional freedom and a deep level of industry expertise, I’d be crazy to consider a change. Given your time again would you do anything differently starting out? Wow! It’s the first time I’ve been asked that and I’m delighted to find that no, I don’t think I have any professional regrets. My path has not been straight, but as Sheryl Sandberg suggests in her book, Lean In: Women, Work, and The Will to Lead, it’s better to think in terms of a career jungle gym than a career ladder.
What do you love about the job? I love the variety, meeting people from all walks of life. The difference you make is measurable and so rewarding. It’s challenging and different every single day. You are part recruiter, part counsellor, part employment expert, happiness giver and superhero rolled into one. What would you say to jobseekers thinking about a career in recruitment? If you love people, can easily start conversations and want to make a difference as well as earning good money, and you are excellent at people matching, then this is the job for you. Honestly, don’t do it if you aren’t the person in the room ‘that matches your mates up with the one’! If you can do that, then either recruitment is for you or working for a dating agency – similar principle. You need to make people feel comfortable and be the best that they can be; you need to educate clients and make people feel special because they are. If you think you bring out the best in people and can people match – not just skills but ethos, work ethic – then this job will be the best job you have ever had. What keeps you in this industry? It’s ever evolving, never boring and a challenge every day, mostly in a good way. My team rock and exemplify what is great about our industry – they just ‘get it’.
To keep up to date with everything the Institute of Recruitment Professionals is doing, please visit www.rec-irp.uk.com
RECRUITMENT MATTERS NOVEMBER 2016 7
Events and training
IRP AWARDS SHORTLIST 2016 The wait is over! We’re pleased to announce the full shortlist for the 2016 IRP Awards. If you’ve been shortlisted below make sure you’re with us on the night and book your table or place at irpawards.com INDIVIDUAL AWARDS Best Newcomer of the Year Robert Michael Hingley, Advanced Resource Managers Laura Garratt, Chefs Job UK Alina Taslaca, Human One Despina Kefala, Hyper Recruitment Solutions Alexander MacGinty, Lawes Consulting Group Anj Popat, Penna Matthew Covell, Search Consultancy Ltd Michael Walker, Search Consultancy Ltd Dominic Joyce, Sheldon Philips Ltd Jodie Vaughan, Supertemps
Kirk Willoughby, Cento Claire Donaldson, Give A Grad A Go Sarah Lane, Meridian Business Support Andy Cox, ReThink Group
Recruitment Apprentice of the Year Bradley Carton, BPS World Mac Christian, GPRS Recruitment Chloe Vincent, MiddletonMurray Shannie Cole, Morson Human Resources Limited
Business Manager of the Year Kelly Laine, BPS World Leanne Storey, Dynamite Recruitment Lee McDonald, ICG Medical Ltd Cheryll Breed, ID Medical Group Mel Trott, Meridian Business Support Tracy Murphy, University of Birmingham Chloe Baptiste, Veredus Executive Search and Selection
Best Candidate Experience Jamie-ann Wall, Boyce Recruitment Susannah Lawson, Chefs Jobs UK Laura Cannon, Darwin Recruitment Katherine Anderson, Guidant Group Sophie Webster, Headway Recruitment Shamella Shahid, ID Medical Group Jacqui Maxwell, Love & Tate Plc Simon Hill, National Locums Ltd Permanent Consultant of the Year Peter Donnelly, Appointments Personnel Ltd Graham Brown, ARV Solutions Natalie Mitchell, Boyce Recruitment
Temporary Consultant of the Year Adam Razzell, Advanced Resource Managers Blayne Cahill, Carrington West Danielle Dorney, ICG Medical Ltd Dale Robinson, Kennedy Recruitment Les Berridge, Gattaca Mandy Wheeler, Redline Group Ian Barnett, Total Assist Group
Business Leader of the Year Gary Irvine, 4c Executive Search Tony Goodwin, Antal International Ltd Paul Kirby, Darwin Recruitment Ricky Martin, Hyper Recruitment Solutions Deenu Patel, ID Medical Group Nick Simpson, MSI Group Sam Martin, Quintessentially People Helen Lacey, Red Berry Recruitment
COMPANY AWARDS Advocate Company of the Year Serocor Solutions Meridian Business Support Best Back-Office Support Team Cathcart Associates Ltd DP Connect Ltd ea Change Group GPRS Recruitment ID Medical Group Impellam Group Plc Liquid Personnel Ltd Morson Human Resources Ltd Total Assist Group Best Company To Work For (up to 20 employees) Class People Dynamite Recruitment Solutions Ltd Give A Grad A Go Holt Recruitment Love Success People First (Recruitment) Ltd Think Global Recruitment Best Company To Work For (up to 50 employees) Carrington West Charity People Group Consilium Group Ltd DP Connect ea Change Group Hyper Recruitment Solutions Oscar Primary Care People Understanding Recruitment Best Company To Work For (up to 150 employees) Amoria Bond Limited BPS World Caritas Recruitment Darwin Professional Staffing Group Ltd One Way Total Assist Group X4 Group
Best Company To Work For (up to 250 employees) Encore Personnel Evolution Recruitment Solutions Ltd ICG Medical Ltd MSI Group New Directions Penna Best Company To Work For (more than 250 employees) Blue Arrow Group Capita Resourcing ID Medical Group Nurse Plus UK Ltd Pertemps Network Group Phaidon International Search Consultancy Ltd Your World Recruitment Group Best Corporate & Social Responsibility Practitioners Charity People Group Equal Approach Gi Group Hyper Recruitment Solutions MiddletonMurray Morson Human Resources Ltd Best Recruitment Campaign Pertemps Network Group Total Assist Group Penna Best People Development Business Award Amoria Bond Ltd Carbon60 GPRS Recruitment ID Medical Group Liquid Personnel Ltd MiddletonMurray Phaidon International Serocor Solutions
Congratulations to everyone on the shortlist. Make sure you’re there to celebrate your success in person on 7 December. Visit irpawards.com to book now.
Membership Department: Membership: 020 7009 2100, Customer Services: 020 7009 2100 Publishers: Redactive Publishing Ltd, 17 Britton Street, London EC1M 5TP. Tel: 020 7880 6200. www.redactive.co.uk Editorial: Editor Michael Oliver email@example.com. Production Editor: Vanessa Townsend Production: Production Executive: Rachel Young firstname.lastname@example.org Tel: 020 7880 6209 Printing: Printed by Precision Colour Printing
The official magazine of The Recruitment & Employment Confederation Dorset House, 1st Floor, 27-45 Stamford Street, London SE1 9NT Tel: 020 7009 2100 www.rec.uk.com
© 2016 Recruitment Matters. Although every effort is made to ensure accuracy, neither REC, Redactive Publishing Ltd nor the authors can accept liability for errors or omissions. Views expressed in the magazine are not necessarily those of the REC or Redactive Publishing Ltd. No responsibility can be accepted for unsolicited manuscripts or transparencies. No reproduction in whole or part without written permission.
8 RECRUITMENT MATTERS NOVEMBER 2016