TALiNT International UK Issue 5

THE ROAD TO DIVERSITY

Elevating gender parity in the workplace

INVEST FOR GROWTH

How to scale profitability

DEATH OF THE CV? OR ITS EVOLUTION?

Editor’s note

I recently worked as a poll clerk at our local elections in southwest Surrey. During our training, we were given instruction on what to do when prospective voters arrive without a now-mandatory form of photographic ID in order to vote. We were also told that we would be met with resistance because the new rule hadn’t gone down well, and we were instructed to give those who wanted to complain about it an email address to write to. I have to say I could not understand why people were angry about having to prove who they were in order to cast their votes; having photo ID just seems like it should be commonplace.

With that said, when I began investigating the digital ID and how everyone will have one eventually, I felt exactly the same way as I do about digital currency and health passes – a firm no, thank you. But why? It’s just a right to work check isn’t it?

The irony is, as I am here on a visa, I already have a digital ID and my employers have made

About

Debbie Walton Editor, TALiNT Partners

use of digital right to work checks rolled out during the pandemic, but the plan for the digital checks is so much bigger and, dare I say, exciting, and if all goes according to plan, the system will mean that the UK has the fastest hiring process in the world. Exciting indeed; read about it on page 12.

I recently attended a High Growth Lunch & Learn at the lovely Haymarket Hotel in partnership with IMS People Possible, Gambit Corporate Finance and Sonvate, and it was a relief to hear that the economy is set to improve in Q4.

Also in this issue is an interview with Emma Parry, Head of the Changing World of Work Group at Cranfield School of Management. We talked about creating workforce solutions that suit everyone that aren’t a one-size-fits-all, and of course, about ChatGPT. Who isn’t talking about that?

TALiNT Scene

TALiNT Partners events give a�endees unrivalled access to industry experts who lead conversations around trends and challenges currently faced by TA teams, staffing and tech firms from across the talent ecosystem. They offer a wonderful opportunity to network and learn while feasting on delicious meals and enjoying fine wines.

11 May

TALiNT Partners hosted leaders in the recruitment space and spoke about AI in recruitment and how it is impacting the industry now, and in the future.

AI is already enhancing recruitment, and the better use of data and analytics is enabling recruiters to be more effective, predictive and grow more profitably. This compelling theme was discussed over a delicious dinner in the Art Deco-inspired Long Room.

The Long Room, Marylebone Hotel, London

11 May

The Gibson Hotel, Dublin, Ireland

TALiNT Partners’ Ireland TA Leader’s summit looked at the big talent issues facing employers in 2023. The Gibson, owned by U2’s Bono, was a great venue to host this event. The drum cymbols on the ceiling are real Gibson cymbols and apparently help with the acoustics of the room – we are sure the guests heard every word of this dynamic and interesting workshop.

As the world of work evolves, organisation are exploring new avenues to harness and develop talent in every form it takes. And when it comes to confident decision-making there is nothing more enabling than great insight.

TALiNT Scene

16 May

The Haymarket Hotel, London

TALiNT Partners hosted the High Growth Lunch & Learn in the Shooting Room at the Haymarket Hotel in London. Panellists included Denise Walker, Founder and Director of Absolutely Business, Tim Cook, Group CEO at nGage and Geraint Rowe, Partner at Gambit Corporate Finance.

The Ivy, Temple Row, Birmingham

TALiNT Partners and Guidant Global headed north to host a dinner for talent acquisition leaders at the lush The Ivy – one of our favourite venues. The theme for the night’s discussion was shaping talent in an evolving world of work and building a contingent workforce with DE&I. Some of the critical questions asked covered harnessing to power of data to shape your organisation’s DE&I strategy and the crucial role your MSP can play in the success of contingent led DE&I initiatives. It was a great night where both good food and knowledge were consumed.

The missing 2.5 million

According to the ONS Labour Market Report, UK employment figures rose to 75.9% in January to March 2023, which is an increase of 0.2% from October to December 2022. This growth was primarily driven by part-time employees and self-employed individuals.

The unemployment rate for January to March 2023 increased by 0.1% from the previous quarter, reaching 3.9%. The rise in unemployment was largely influenced by individuals who had been jobless for over 12 months.

On the other hand, the economic inactivity rate declined by 0.4% in the same period, down to 21% in January to March 2023. This decrease in economic inactivity was mainly driven by individuals aged 16 to 24 years. Among the reasons for economic inactivity, the decline was primarily attributed to students or those inactive due to other reasons, while the number of individuals inactive due to long-term sickness reached a record high. According to Parliament UK, this figure has reached an alarming 2.5 million.

Analysis of flows between October to December 2022 and January to March 2023 reveals a record high net flow of individuals

transitioning from economic inactivity to employment. This shift was responsible for the increase in employment.

Between February and April 2023, the estimated number of job vacancies declined by 55,000 from the previous quarter, amounting to 1,083,000 vacancies. This marks the 10th consecutive quarterly decrease in vacancies, reflecting industry uncertainties as survey respondents cite economic pressures hindering recruitment.

In January to March 2023, average total pay growth, including bonuses, was 5.8%, while regular pay growth, excluding bonuses, stood at 6.7% for employees. The private sector experienced a higher average regular pay growth rate of 7%, compared to the public sector’s 5.6% in the same period. The public sector’s growth rate exceeded the private sector’s for the first time since August to October 2003 (5.7%).

Adjusted for inflation, both total pay and regular pay experienced a decline in real terms in January to March 2023. Total pay fell by 3%, while regular pay decreased by 2%. The report indicates that unemployment is still a concern, which remains above pre-pandemic levels largely because of those who have been out of work for over a year.

Resignation numbers show no signs of slowing

A global Talent Trends survey of almost 70,000 working adults has uncovered seismic shifts in employee attitudes and motivations.

Conducted by global recruitment consultancy PageGroup, the survey is one of the largest studies of skilled, white-collar professionals to date. Of the 2,145 UK respondents, 50% classified themselves as active job seekers, either looking for a new role or planning to look in the next six months. A further 36% are on the fence about looking elsewhere –waiting for the economy to improve.

For employers, these figures suggest only 1 in 10 current staff members are confident they will stay put this year.

The year 2022 witnessed a staggering increase in resignations, with levels almost three times higher than the previous year. In 2021, the resignation rate stood at 15%, but it skyrocketed to 44% in 2022, highlighting a significant shift in employee loyalty and commitment.

The survey also explored the changing landscape of work arrangements. While traditional full-time office roles still accounted for 26% of UK workers, the dominance of remote and hybrid working models became increasingly evident. Fully remote positions accounted for 19% of workers, while a majority of 55% embraced the hybrid approach, combining remote and in-office work.

Economic conditions also played a vital role in employees’ decision-making processes. The study found that 53% of workers were more inclined to seek new employment during periods of poor economic performance. This correlation was even more pronounced in Europe and globally, with percentages reaching 58% and 70%, respectively.

Notably, salary emerged as the most important factor when considering a job, with 23% of respondents ranking it as their top priority. However, a concerning 32% of UK respondents revealed that they had not received a pay rise in the past two years, indicating a potential source of dissatisfaction for a significant portion of the workforce.

In terms of overall wellbeing and work/life balance, the survey revealed that UK workers prioritise these aspects over career success. An overwhelming majority of 76% indicated that they would prioritise a better work/life balance and mental health over climbing the career ladder. Comparatively, in Europe, this percentage was slightly lower at 73%, and globally, it stood at 67%.

Furthermore, the study highlighted that 57% of UK workers would reject a promotion if they believed it would negatively impact their wellbeing. This finding underlines the growing importance of maintaining a healthy work/life balance and prioritising personal wellbeing in the face of professional advancements.

Salaries

Number of respondents who’ve not had a salary increase in 2 years 23% 32%

Number of respondents ranking salary as a top priority

Digital ID. Death of the CV?

Recruiters and employers have been talking about the death of the CV for decades, but until now, there’s never been a suitable replacement. Sure, LinkedIn profiles provide some of the information needed to make informed hiring decisions about a candidate, and now with the advancement of Talent Intelligence hi�ng the hiring market, is the Digital ID, finally the death of the CV?

At the start of the pandemic, major adjustments were made to Right to Work (RTW) checks and a shift towards online identification verification became the norm. Fast forward three years, numerous meetings of parliament and toing and froing between axing digital RTW checks and keeping them, in October 2022, the government decided that since Digital ID (DI) verification met all the legal requirements needed to roll it out, it was here to stay. With one caveat: employers had to choose one or the other form of ID checking potential employees.

Digital Identity in the employment sector has become the star use case for its implementation.

Reed Screening Group Risk Director, Keith Rosser is on a mission to create a safer world of work; safer for workers, for work seekers and employers and has been the main driver and fierce evangelist for the approval and adoption of the DI.

“UK hiring can be a shining example to the world” Keith told a Commons Committee a few weeks ago on DI. He said that DI and the provision for greater government data sharing through the Data Information Bill can help make “UK hiring the fastest globally”.

But is the roll out of the Digital ID the death of the CV? This question has been debated for years and while some will say it’s time to axe the CV, there are others who are still very much in favour of keeping it.

Debbie Walton Editor at TALiNT Partners

WHAT INFORMATION WILL BE KEPT ON THE DIGITAL ID

As it is today, DI allows for RTW checks and offers the capability to prove that a person is who they say they are. But in terms of what could be added to it will depend on whether the Data Protection and Digital Reform Bill gets passed in Parliament. As mentioned before, DI in employment has created the best use case and additional information that could be added to the DI may include HMRC payroll records, for example, where a candidate worked, how long they worked there and how much they earned. Taken a few steps further, information on qualifications, payroll data and more, this could potentially exclude the use of CVs altogether. But this poses certain privacy infringement issues because candidates legally don’t have the disclose salary figures to potential employees.

“The process around DI is all consent-led and will always be so,” said Keith. “Right now, if you go on the HMRC gateway and look somebody up with their consent you can access all that information already. But it’s imperative we hard-wire consent into the process.”

This, however, can lead to some ethical hiring concerns. What would happen if a candidate doesn’t give consent to these checks, but another candidate in the running for the same role does? Would the recruiter choose the candidate who gives consent simply to speed up the hiring process?

Another ethical concern is that the DI could potentially turbocharge the recruitment by Artificial Intelligence debate. “Imagine we eventually just end up with a few robots that takes care of all hiring? Candidate X applies for a job and gives consent; the robot carries out the checks and decides whether Candidate X is more suitable than Candidate Y, and chooses the candidate who gave consent. It does sound a bit space age, but I don’t think it is,” commented Keith.

“We need to start thinking about hardwiring in the right to have a human make the final decision on candidate suitability for a role”, he added.

The process around DI is all consentled and will always be so, Keith Rosser , Reed Screening Group Risk Director

DE&I DOUBTS

This leads to significant concern about the potential for discrimination and not only about who does or doesn’t give consent.

Qualifying documents to use for DI are reserved for those who hold work visas and in-date British and Irish passports. “This clearly creates a second-class job seeker because all of a sudden, whilst it’s illegal to discriminate, if two job seekers present themselves for a role and only one can go through the digital system when the company wants someone to start next week; it’s likely the recruiter or employer will choose the candidate who can go through a RTW check in three minutes and is ready to start the next day, and not the candidate who can only make a three-hour commute to ID verification in three weeks’ time,” said Keith.

Jo Major, Founder at Diversity in Recruitment said, “Adopters must consider accessibility in design. Systems must be made available for

Systems must be made available for everyone

Jo Major, Founder at Diversity in Recruitment

everyone, and physical, cognitive, and technological limitations must be carefully considered. As with all technology, there must be an alternative as we cannot find ourselves in a ‘computer says no situation.’”

But who are the DIs currently excluding?

Companies can still shortlist and interview candidates before conducting identity checks if they choose to do so. However, adopting immediate identity checks makes blind recruitment difficult unless the company has robust practices in place. Interestingly, the current digital system disproportionately affects white British individuals who lack an in-date passport, while newer generations and immigrants often possess right-to-work clearance, leading to unintended harm to certain groups. Social exclusion and the issue of diversity primarily affect economically disadvantaged individuals, including poor white individuals and various ethnic groups.

DATA PRIVACY CONCERNS

There have been interesting questions raised regarding intergovernmental data sharing, including employment history, pay, and qualifications. It’s also highlighted the importance of interoperability between governments, where the digital identity from one country can be used in another. Keith questioned the need for individuals to repeat the digital identity verification process when applying for jobs with different companies. There are challenges in achieving commercial viability and addressing concerns of the identity service providers who may see reduced profits but the issues of reusability and interoperability across governments, along with sharing additional government data, pose significant questions that need to be answered.

Keith suggested that consent should be built into the system to address these concerns and ensure individuals, like temporary and contract workers have control over their identities. Limiting the distribution of personal data is crucial, as civil liberties groups raise concerns

about maintaining control over identity information. Furthermore, there are challenges for employers, as the traditional method of storing physical documents no longer applies. With a candidate’s digital identity stored in a recruitment firm or employer’s data system, regulations must be established to ensure proper usage, preventing unauthorised resale or forwarding of the information. Privacy concerns arise as the organisation in question could potentially hold a significant number of digital identities on its platform.

One would think that digital verification could partially address identity theft, assuming no major hacking incidents occur. A positive trend is being seen where technology successfully detects fraudulent documents. However, the crucial concern lies in what happens next.

Anecdotal evidence suggests that individuals whose fake documents are identified by digital systems, may resort to alternative methods. They approach companies directly or send physical documents to bypass the digital route, knowing that the system would expose their falsified identity. This shift in tactics transfers the problem to individuals who are aware of

their fake documents and intentionally exploit face-to-face or postal channels to secure employment. While the current system flags more fakes, it does not effectively eradicate the issue of identity theft.

Julieanne Fouad, Director of Sales at IMS People Possible believes, however, that the digital ID could address the issue of fraudulent documents. “Using digital identity technologies, employers can now rely on certified providers to conduct thorough pre-employment checks, including criminal record verifications. This will significantly reduce the risk of hiring individuals based on falsified credentials. Suppliers with accredited services can also do Digital Disclosure and Barring Service identification checks, right-to-work, and right-to-rent checks for British and Irish passport holders.”

WHAT’S THE VERDICT?

The Digital ID, as it is today, is simply a Right to Work check but with much greater potential to house an online CV of sorts. While there are clearly many creases left to iron out, the positive affects it could have on recruitment process in the UK are undeniable. Digital identification confirms the hard facts, but the CV and in-person interactions with candidates during the hiring process will continue to enable TA teams to build a rapport with candidates and identify the softs skills that will determine whether they’d fit into the culture of the business etc.

Darren Topping, Director of Solutions and Insights at Lorien Global believes that despite the death knell tolling loudly over the years, the CV still is alive and well.

Major, Founder at Diversity in Recruitment

Recruitment technology can and does limit our opportunities to reach everyone

Jo

“Rightly or wrongly, and regardless of the arguments against the CV, most organisations, and in particular the people that keep it alive – hiring managers – rely on this detailed profile of a person to truly bring to life their achievements, job roles and capabilities.”

In specific industries, where mass hiring is taking place, such as the NHS, the pros of DI are undeniable. Julieann said that the introduction of digital identification could revolutionise the hiring process, particularly in a skills-strapped sector, like the NHS. By providing a secure and verifiable online link to an individual’s qualifications, it can expedite the screening and selection of candidates, saving valuable time and resources.

Jo Major said that just because we are in a race for recruitment to become faster, slicker, and more immediate in everything, we are

inevitably and without realising, excluding some groups. “Recruitment technology can and does limit our opportunities to reach everyone, it can cause missed perspectives in assessment, amplify bias and preference, and can we fail to spot much-needed adjustments and accommodations. As with any form of technology that learns from predetermined rules, machine learning and algorithms, we must check, recheck and continue to recheck for bias that makes life easier for one group but creates barriers for others.”

Taking into consideration the speed at which technology is evolving – one only has to think of ChatGPT – a Digital ID housing a full scale, all-encompassing CV could very well be just around the corner but where we are now and what it is currently used for, it’s easy to see that it’s not the death of the CV, but simply its evolution.

Invest for growth

slowing

Despite the boom in recruitment in the last two years, and a record 168 M&A transactions in 2022, many recruiters across the sector have seen a slower than anticipated Q1 in 2023.

The protracted conflict in Ukraine, high inflation and rising interest rates have made employers more cautious about recruitment – with vacancies falling for their ninth consecutive month to 1.1m in April (ONS). Sectors such as hospitality, farming, healthcare and construction are still challenged by the legacy of Brexit, with a 330,000 shortfall of workers (Indeed, January 2023).

“The most visible result of an inflationary environment is the sharp increase in the cost of debt, which has had a considerable impact on buying activity in 2023, especially among investors,” said Ronny Grosman, Managing Partner at Blackwood Capital, speaking at TALiNT Partners M&A Lunch & Learn on 27th April. “Strategic buyers are pursuing growth acquisitions of scale, at a discount, with increased appetite from large US strategic buyers for STEM-focused targets in Europe within the last few months.”

Whilst 41 transactions in the first quarter of 2023 looked like a good start to the year, deals have been delayed by monthly targets not being hit.

“Valuation multiples had recovered to pre-Covid levels in 2022, but we are experiencing some set-backs due to uncertainty over the permanent recruitment segment and concerns about a potential global recession,” added Ronny.

Mishcon de Reya partner, Nick Davis, who advised nGage Talent backed i-Resource on the acquisition of Ryalto in January, observed that strategic buyers still have a strong appetite for tech-enabled recruiters.

INVESTOR CAUTION

While advisors agree there is still abundant capital available, a tighter debt market means investors and buyers are being more selective.

“We have seen lots of small deals so far in 2023, but few mid-market deals,” said Geraint Rowe, Managing Partner of Gambit Corporate Finance, speaking at our High Growth Lunch & Learn on 16th May. “Buyers are willing to pay higher multiples for niche businesses in markets with strong fundamentals. Scale, geographic coverage and differentiated services are key value drivers.”

With recruitment growth and investment

in recent months, what should leaders invest in to build value and scale profitability this year?

Alex Evans MD, TALiNT Partners

“With the comparative strength of the US dollar against sterling, it is a matter of time before US acquirors significantly increase their engagement with UK assets,” added Geraint. “Constraints in the debt markets will reverse in the second half of the year, when private equity acquirors return to the market. Momentum and optimism remain, but the current environment offers a precious window to create, enhance and maximise value ahead of the next wave of consolidation in H2 2023.”

So what can recruiters do to maximise value and grow profitability over the coming months?

VALUE DRIVERS

TALiNT Partners invited some members and industry experts to share the secrets of their success in sustaining growth and building the foundations for scale over the last year.

Tim Cook, Group CEO of nGage Talent, has built a portfolio of 21 businesses operating in 24 global offices across 70 countries. Its first

acquisition in 2023 was Ryalto, a tech business specialising in workforce communications, engagement and flexible work management.

“Recruitment is only part of the solution, it’s about managing talent and keeping it,” Tim explained. “We’re moving from a tactical to a strategic partnership with clients, with platforms like Ryalto enabling us to support them in managing and redeploying contractors.”

Tim added that he has embraced outsourcing to not only reduce fixed costs but flex up and down for different projects and clients – with a third of his own workforce sourced through partners like IMS People Possible. “Margins are being eroded by demand for higher salaries, so outsourcing to access specialist talent makes a lot of commercial sense,” he explained. “Data is vital to see how to make our workforce work smarter for us and our clients.”

“Recruiters of all sizes are outsourcing for agility and bandwidth to augment their offering and

bolt on people as they scale,” said Julie Fouad, EVP Director at IMS People Possible. “It means recruiters can scale delivery in new markets and leverage wider solutions expertise.”

Staffing firms have looked at ways to recover lost revenue from lockdown and grow new revenue streams by offering a wider range of high value services. Mark Thompson, Group Head of Sales at Sonovate explained that it had lent £1.1 billion to recruiters in 2022 – which has allowed them to support their growth through acquisitions, investment in analytics and talent strategies such as train and deploy, which differentiates them to compete for higher value clients.

“It’s harder for large, corporate recruiters to change their models and processes, which is why we’re seeing trade buyers active in acquiring more agile businesses with good tech and well-managed candidate networks,” Mark explained. “Mid-market agencies that haven’t pivoted quickly enough have lost out to competitors able to offer more indemand services.”

“The growing contractor workforce has created opportunities for those able to capitalise on them, particularly in the re-deployment of talent. Everyone is moving towards strategic TA and we’re seeing higher adoption of talent intelligence to build business cases for train and deploy and other solutions.”

SMART USE OF DATA

Talent intelligence (TI) was explored in a panel on the new models for future growth in recruitment in April. “Better use of tech and talent insight is helping recruiters to choose the right clients and projects, price more confidently and deliver more cost-effectively - which improves

profitability and enhance valuations,” said Alison Ettridge, CEO of TI platform Stratigens. “Talent intelligence is also enabling the ‘Zoopla-risation’ of talentmore accurate comparisons of candidate market value and tracking the premium around key skills.”

Martin Ewings, MD of Outsource, explained that the firm has used TI to identify when a lack of available talent and skills creates the need for train and deploy solutions – and has helped the firm to price projects more confidently.

As more employers have adopted a ‘talent anywhere’ strategy, contributing to the growth in demand for contingent workforce solutions, TI has become a fundamental part of a recruiter’s offering to map where skills and talent are located. Tech, payroll and umbrella partners are enabling SMEs to compete with larger competitors at home and abroad - with compliance and analytics helping recruiters to de-risk for clients and themselves.

“‘Growth compliance’ has become a way for recruiters to deliver a more high value service for clients, particularly those accessing overseas talent,” said Greetje Brosens, CRO of Workwell. “Tax and regulation changes have opened up new talent markets, in various US states and the DACH region, but Brexit complexities delayed by Covid are now posing new challenges. Recruiters need the right partners to help them manage costly risks.”

Julie Fouad, EVP Director at IMS People Possible

Recruiters of all sizes are outsourcing for agility and bandwidth to augment their offering and bolt on people as they scale.

Pay and bill is becoming another key area of differentiation for those looking to capitalise on contingent workforce solutions. Access Recruitment has seen an opportunity to differentiate from its own competitors and help recruiters add value with its same day pay solution. “Our EarlyPay app allows people to drawdown on their salary before payday or take pay in increments,” said Jason Martin, Head of Strategy at Access Recruitment. “We can also enable shift workers to be paid after completing shifts, which helps recruiters to deploy and re-deploy contractors. This will be a game-changer for recruiters.”

GROWTH LEADERSHIP

Finding, incentivising and developing recruitment talent has become a higher priority for recruiters looking to build value and scale profitably as competition has intensified over the last couple of years.

Employee ownership schemes are becoming more popular to keep growth leaders in the business and dissuade them from becoming a competitor. SF Recruitment announced a £1.2 million EOS in 2021 where the management team became owners and everyone else became shareholders. “Employee ownership has improved retention and accountability but also made senior managers better advocates to attract more of the right people,” said Saira Demmer, CEO of SF Recruitment.

NEDs, board advisors and coaches are in higher demand to help recruitment leaders manage complex transformations or investors. “A new generation of NEDs and board advisors are helping founders to gain more value from investors and access tech, funding and data expertise,” said Dave Pye, co-founder of Jump Advisory Group.

James Strickland works with a range of staffing and talent solutions businesses - including Talent Works, HCRG and Daniel Owen - as a NED and advisor. “Investors want to see strong leadership teams with good financial management and governance, but they now want to see a depth of expertise in tech, data and marketing to underpin new solutions,” he observed.

So what skills do recruitment leaders need to navigate a route to sustainable growth over the next few years? “Agility and the ability to pivot is key,” said Saira Demmer, with IMS People’s Julieann Fouad adding that adaptability and being able to listen – to what clients and their own people want – are important leadership traits.

“Strategic thinking is the most important leadership skill in the rapidly evolving recruitment industry,” said SME coach Denise Walker, Founder of Absolutely Business. “Leaders need to find time to step out of their business, gain a new perspective and discover new ways to grow – and that’s why peer networks are vital.”

With further interest rate rises expected to bring down inflation, and both employers and investors expected to be more cautious over the next few months, recruitment leaders need to maximise data, partners and networks to stay ahead of the competition.

Buyers are willing to pay higher multiples for niche businesses in markets with strong fundamentals. Scale, geographic coverage and differentiated services are key value drivers.

Geraint Rowe, Managing Partner of Gambit Corporate Finance

Grand designs

TALiNT International spoke to Emma Parry, Head of the Changing World of Work Group at Cranfield School of Management and TIARA Recruitment Awards judge, about the complexities of designing a people strategy to suit a diverse workforce, and how AI won’t take TA and HR jobs, but will enhance the relationships they have with their employees.

TI: How do you design a people strategy to suit a multi-generational workforce?

EP: It is important to recognise that people have different needs, preferences and expectations of work and to design an approach that looks to attract, engage and retain workers regardless of their age – or gender or ethnicity. So this is not about designing packages for particular age groups but rather about allowing flexibility in people’s rewards, career paths and ways of working. Flexible benefits systems that allow employees to choose from a range of benefits (within a total budget) can be a useful tool for this.

Broadly, it is about moving away from a onesize fits all approach and allowing people some choice and control over their careers.

Emma Parry

Head of Changing World of Work Group, Cranfield School of Management

TI: Who isn’t talking about generative AI… it’s going to dramatically change the way we work. What do you think the greatest impact of AI will be?

EP: There has been a lot of hype about generative AI – tools such as ChatGPT are certainly a sign of what is to come, but I would warn employers against making any drastic moves in relation to these just yet. That said, there is no doubt that AI will have a significant impact in the workplace; most notably I think this will be on the nature of the jobs that we do and the skills that we need to do them. As we see more and more routine and cognitive tasks being digitised or automated, we will see some skills (such as data analysis and information processing) become less important, while others (such as dealing with higher level complexity, emotional intelligence and creativity) become more important. This means that both individuals and organisations will need to be more agile in relation to the capabilities that they focus on. We will see organisations

move away from recruiting fixed skills sets and developing rigid career structures and talent management processes to systems that focus on continuous up-skilling, reskilling and redeploying of talent in order to address changing skills needs.

TI: Is it going to take our jobs? Especially HR and TA roles?

EP: Not in the near future. If anything, HR and TA is becoming more important to help organisations navigate the changing environment and its environment and its people implications. We will see the skills that HR and TA need change as aspects of our jobs are digitised. For the foreseeable future I would expect AI to be used to augment humans, to digitise those parts of our roles that can be better performed by AI. I would actually see AI as providing opportunities in HR and TA to make better use of people data in decision-making and to remove some of the transactional cognitive work that takes up so much of our time so that we can provide more value to customers.

TI: How are organisations going to successfully get the older workforce back into work?

EP: We need to create an employee experience that provides people a job that has meaning, that allows them to develop and use their skills, make a contribution to the organisation, rewards them fairly, gives them flexibility in their careers and ways of working and provides a culture that focuses on aspects such as communication, support, inclusion and recognition. Ultimately, the evidence suggests that all employees (regardless of age) want to feel valued and that they belong within an organisation. Unfortunately, we still see discrimination against older workers in the labour market so that they are not made to feel valued, particularly in the job market, which doesn’t help.

TI: You’re a judge at the TIARA Awards! What innovations do you think you’ll see in the entries this year?

EP: I’m expecting to see a development in the use of AI and digitalisation in the TA process – I am hoping to see this move away from being about process efficiencies (although these remain important) and focus on how we can use AI to engage with the target workforce better. I’d also like to see more of a focus on inclusion in TA and how we can engage with under-represented groups as part of a TA strategy, particularly perhaps in relation to social mobility, and how we can support organisations in considering aspects such as sustainability and responsibility, and their broader values, in their TA strategy.

TI: What sets the TIARAs apart from other awards programmes? Besides it being the largest global awards programme there is.

EP: I think it’s the sheer diversity of entries –there is a real variety in the types of organisations that enter and the stories that they tell that makes this a fascinating set of awards to judge. It’s also really heartening to see the progress that is being made in the TA industry over time.

TI: Looking ahead, what trends do you think we’ll see that will affect the world of work?

EP: We will see digitisation and emerging technologies continue to influence working in relation to the types of jobs that we do, ways of working and the skills that we need. Changing skills sets will lead employers to consider more flexible approaches to strategic-workforce planning, succession planning and talent management as they aim to create a more agile workforce. Unfortunately, though, I think we will continue to see the tug of war between employees wanting to work remotely and employers trying to get everyone back to the office for a while yet.

I’d also really like to see us move away from our obsession with buzz words – “Quiet Quitting”, “Quiet Firing”, “The Great Resignation” and so on – and focus on getting the basics right in attracting, engaging and retaining employees.

This is about focusing on creating a positive employee experience and an organisational culture rather than following every fad or fashion that comes our way!

Happy clients, healthy business

TALiNT Partners spoke to Mark Kieve, CEO of Pixid, about how its approach to customer success won a TIARA Talent Tech Star Award last year – and why recruiters should recognise their back-office teams.

Customer success management has become an important differentiator for talent tech providers as both employers and recruiters look beyond adoption to integration and orchestration.

The legacy of lockdown is a keener understanding of how tech and data can improve all aspects of HR and recruitment – but only if you know how to make the most of it.

As recruiters have invested in digital transformation to automate more - and enable a wider range of high value, advisory servicestalent tech providers are offering more end-toend solutions to build and manage their candidate and contractor communities.

Pixid has focused on customer success as a differentiator – and very successfully. In 2022, Pixid won the TIARA Talent Tech Star Award for Client Service with judges praising “its impressive client retention, referral rates and its investment in staff development that has enabled great customer service.”

“Customer success is about building long-term relationships with our staffing agency and MSP clients and supporting and training their end clients,” says Mark Kieve, CEO of Pixid. “Our business model is built around ensuring satisfaction with our system, critical as we have a transactional based charging model. We provide training and materials at multiple levels to enable users to make the most of our platform at no cost.”

Pixid was founded in 2004 by Adecco, Randstad and Manpower to provide a vendor management system (VMS) to support the complex French temporary staffing market. Following a private equity backed management buyout in 2015, Pixid became completely independent from its founders. With its new found independence, Pixid has significantly grown, and its VMS is now deployed to over 130,000 client locations by 8,500 agency branches, enabling the management of 250,000 worker assignments daily.

“Through our collaborative approach, we have effectively enabled the advantages of a VMS, usually reserved for large accounts, to be rapidly deployed, with a transactional charge basis and on a cross-border, multi-currency and multi-lingual basis,” adds Mark. “Our full two-way integration with Bullhorn has further boosted the potential for Pixid VMS to deliver great service for MSPs, staffing agencies and their clients.”

Speaking on a panel at TALiNT Partners’ Growth Lunch & Learn in Dublin on 20th April, Mark observed that the integration of solutions like Pixid on marketplaces like Bullhorn are not only levelling the playing field for SME agencies developing project and mid-market RPO, they’re helping staffing firms to expand their offering internationally as well.

“Integration with front and back-end systems such as Bullhorn make a difference,” he explained. “This gives staffing firms the agility and the ability to quickly deploy a platform to

meet the needs of clients for non-complex projects and the scalability to accommodate growth - sometimes on a multi-country basis.”

SMARTER USE OF DATA

A key theme at this growth event was the increasing use of analytics by recruiters to become more trusted advisors on workforce planning and a range of solutions. This is another area of differentiation for talent tech providers like Pixid.

“We provide robust data analytics and reporting through our BI module, which helps staffing firms make data-driven decisions to improve efficiency and profitability,” adds Mark. “We help our agency clients use data to report not just on what they are doing but on what their end-client is doing too.

By providing support for all these customer success elements, we help staffing firms optimise their technology and data usage, driving greater efficiency, cost savings and, ultimately, better results for our agency clients and their end clients.”

We will continue our significant investment in R&D, exploring new features, technologies and innovations while staying ahead of industry trends.

BACK OFFICE CHAMPION

In 2023, Pixid is championing the support that underpins growth for agencies as a campaign partner of the TIARA Recruitment Awards UK & Ireland and sponsor of the Business Services Team of the Year Award – which recognises an exemplary services team within any staffing back-office function that has best supported growth, enabled innovation or improved performance.

“Back-office teams are often the unsung heroes in recruitment, from credit control to marketing to compliance, all of which have proved how vital they are to profitable

growth in recent years,” said Mark. “Pixid is proud to sponsor the Business Services Team of the Year Award to recognise the contribution of one team’s impact or how different support teams have collaborated to improve productivity, profitability, client loyalty or candidate engagement.”

Having successfully navigated the TIARA Talent Tech Star Awards as a finalist and winner with Pixid, Mark will see it as a judge on the TIARA Recruitment Awards this year. So what will he be looking for from the top recruiters shortlisted? “The best balance of tech and talent to deliver improvement but also how teams are uniting behind a shared purpose and goal – whether it’s to be the best recruiter in its market specialism or to transform recruitment with new models, solutions or approaches.”

Pixid has been shortlisted again this year for the TIARA Talent Tech Star Awards, for Client Service and Workforce Solution of the Year. How is Pixid enabling transformation and adapting to the changing recruitment market to deliver more value to staffing and talent solutions clients?

“We will continue our significant investment in R&D, exploring new features, technologies and innovations while staying ahead of industry trends. This will involve embracing new and emerging technologies, including AI.

We’ll also be facilitating seamless integrations with further back and front office systems for streamlined workflows across multiple platforms,” Mark confides.

“In addition, we will continue our expansion into new markets, where the demand for mid-market VMS solutions indicates good growth potential, while continuing to offer the comprehensive customer support and training resources to maintain long-term client relationships.”

Customer success and back-office support are the new battlegrounds for vendors looking to differentiate, increase loyalty and build the foundations for resilient and profitable growth.

The road to diversity: Elevating gender parity in the workplace

Companies in the top quartile for gender diversity on executive teams are 25% more likely to have above-average profitability than those in the bottom quartile, according to reports. When people feel comfortable being their true, authentic selves at work, they’re happier, more engaged and more productive.

It wouldn’t be possible to think about diversity and ignore the gender parity that exists. From Lady Nancy Astor’s historic election as the first female MP in 1919 to the first all-woman spacewalk in 2019, women have made significant strides towards diversity.

However, the truth remains - after two centuries of progress, women are still woefully underrepresented in leadership roles, with just 29% of senior management positions held by women worldwide. This gaping chasm in the workplace is a large

problem that throttles diversity, authenticity and female career progression, with inequal pay adding to this mixture.

International Women’s Day 2023 celebrated the ‘Accelerate Equality’ movement to smash gender gaps and power up women and girls to spark real change. But the root of gender inequality in the workplace is multi-faceted, from entrenched stereotypes and biases to systemic obstacles that hinder women’s growth. The fallout is severe, and it’s time to face it head-on.

HOW GENDER INEQUALITY IMPACTS TALENT ACQUISITION

The majority of women (58%) and nearly half (44%) of men believe that unconscious hiring bias is the culprit holding women back in their careers.

Diversity is more than just a buzzword, it can be the superpower that transforms an organisation and enables them to reach their full potential. It’s a win-win situation with the prize being increased job satisfaction, staff retention and peak performance.

This not only limits qualified female candidates but also stifles diversity in the talent pool. But it’s not just that - the lack of mentorship opportunities and work-life balance policies that promote women’s careers also contribute to this issue.

Finding a mentor is easier said than done, when there are so few women in senior positions that can support. Women often hit a dead end when opportunities for growth and development are scarce, or when workplace culture is hostile. This not only limits qualified female candidates but also stifles diversity in the talent pool.

Not only do women have to deal with the challenges of climbing the corporate ladder, but they also frequently bear the brunt of caregiving responsibilities. The lack of worklife balance policies that support women in these situations is a serious problem that causes decreased productivity, high employee turnover and damage to a company’s reputation.

But there is a solution - diverse and inclusive workforces. By creating a gender-balanced space, companies can reap the benefits of a happier, more engaged workforce.

So, it’s time to stop treating work-life balance as a social issue and start seeing it as a crucial business strategy.

Further, it has been proven to be a key factor in attracting and retaining the best talent. According to a McKinsey & Company study, companies with more women in leadership roles were 21% more likely to rake in above-average profits than their less inclusive counterparts.

But it’s not just about the bottom line, gender inequality affects everyone in the workplace including 35% of non-binary employees who experience discrimination or harassment due to their gender identity.

In today’s fast-paced economy, retaining female talent is critical for any business looking to stay ahead of the game. With the ongoing tech layoffs and advancements in AI technology, competition for top talent is fierce. More than competition, the recent surge in inflation has hit many employees hard, especially those who have traditionally been paid less than their male colleagues. Now more than ever, it’s crucial for companies to create an environment where women feel valued and supported.

FOSTERING A MORE INCLUSIVE ENVIRONMENT

According to research, diverse teams make better decisions and are more likely to innovate.

Companies should take tangible steps towards creating a more inclusive culture by offering diversity and inclusion training for everyone. This training can help raise awareness of unconscious bias and promote inclusivity. But it doesn’t stop there - mentorship programmes are also a key factor in helping women advance in their careers by providing networking and skill-building opportunities.

The Women’s Business Network (WBN) at Fujitsu is an important source of insight and influence in our inclusion strategy, providing a platform for women to connect, share experiences and learn from one another. Members of the network provide valuable feedback on areas where the company can improve to be more inclusive of women so they feel heard.

Because women are frequently underrepresented in the technology industry, we realise the importance of highlighting their contributions and encouraging employers to do the same. We’re proud to be one of the

BITC Times Top 50 Employers for Women, and for our employees’ consistent inclusion in the Top 100 Most Influential BAME Leaders in Tech and TechWomen 100 lists.

At our company, we believe that everyone deserves a seat at the table, and we’re committed to making sure that happens. But this is an ongoing journey, one that should not, by any means, fall off the priority list.

CELEBRATING BRINGING UNIQUE SKILLS

In today’s fast-paced working environment, ignoring gender inequality is not an option if we want to break the vicious cycle.

It’s no secret that when any person feels valued and supported, they are more productive, have higher job satisfaction and are less likely to leave their employment.

So why not prioritise gender equity to attract and commit to creating a workplace that is attractive to all employees, no matter what pronoun they connect with? It’s time to step up and quit thinking of diversity as a ‘requirement’ - it’s time to join the movement and empower everyone to bring their authentic selves to work, as a non-negotiable.

Kelly Metcalf is the head of diversity, inclusion and wellbeing for Fujitsu northern and western Europe. She has held a variety of senior roles during her 15 years at Fujitsu, including head of organisation design and change and European-wide HR generalist roles.

The rise of AI was hardly unforeseen, just ask the talent world’s Mystic Meg aka me!

With all the talk about the impact of AI on jobs, here’s another run out of something I wrote in 2019. I’m not saying ‘I told you so’...

THE ELECTION ‘ELEPHANT’ THAT WASN’T EVEN IN THE ROOM

Way back in 2019, I reflected on the December election, which lacked debate on the very topic that will define the decade to come – the impact of technology on jobs.

Now that some of the dust has settled from the election (with a few sandstorms since), for me what was striking was the absence of debate

from any of the major parties about the impact of technology on jobs.

I happen to think this is the biggest and most urgent challenge our society and economy faces right now. Yes, even more than climate change and the NHS. And whilst we seem to have reached a consensus that climate change is real and must be addressed, it also seems to be generally accepted that ‘AI’ (note to purists, I’m using the term as a catch-all) will create more jobs than it destroys. It will also improve productivity and increase GDP. I pretty much subscribe to this view, but the social dislocation and potentially profound impact for millions of peoples’ livelihoods seems to be hugely underestimated.

THE BEGINNING OF AI’S IMPACT

There are a variety of reasons for the loss of jobs in recent years; fundamentally it is being driven by technology-led innovation leading to new consumer behaviour. And yet, in many respects, the impact of AI is only just beginning.

There have been numerous studies trying to assess the impact of AI on jobs with the most conservative seeming to suggest that only 10% of jobs will disappear. Only 10% – that’s three million people! And, if the impact on the high street is replicated across other sectors it’s really not hard to see how we get to that number pretty quickly.

For those of us old enough to remember the impact of rapid change on traditional industries in the 1980s without the provision of government support, the prospect of this happening across multiple sectors simultaneously is terrifying.

THE SOLUTION(S)?

So, what can those of us involved in the world of talent actually do? On a practical level, we are already seeing employers move away from hiring for ‘relevant experience’ to hiring for ‘relevant attributes’ – attitude, empathy, flexibility and resilience, for example. In short, it’s hiring for long-term employability.

Another development is a greater shift towards much more flexible employment patterns (for both temporary and permanent workers) to engage with a more diverse pool of talent. The flexible way of hiring also extends to young people and the re-balancing of opportunities between apprentices, direct school leavers and graduates.

From an organisational standpoint, what we are seeing is the integration of talent acquisition and talent management and ultimately a move towards ‘workforce solutions’ or total talent management.

Finding the balance between technology and optimum workforce management will be neither quick nor easy and, with politicians struggling to catch up on the broader implications of what this means for society more generally, employers are going to do a lot of heavy lifting on their own.

From our position at TALiNT Partners, what is clear is that the amount of energy and time being deployed to find solutions (because there won’t just be one) to this challenge is enormous. Ultimately, this is something that will benefit all of us and in ways we’re only just beginning to understand.

According to the Centre for Retail Research, the UK has lost between 250,000 and 300,000 retails jobs in the last two years.

If you haven’t guessed it already, my New Year’s resolution is to share more of the insight we get from our work in a regular weekly blog! Make sure you have a read.

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