Global Recruitment Insights & Data have recently released the results of their study into the impact of COVID-19 on global staffing and recruitment. We look at some of the key findings of the report and what they might mean for JMK clients.
30% of respondents report that their business is doing better than, or as well as, they were doing this time last year. However, unsurprisingly, 28% reported that their bottom line had taken a dip. Permanent staffing agencies appear to be suffering more than contract and temporary agencies, with 42% of them reporting a significant decrease in business. This mirrors the general restraint we have seen across recruitment in general, with many businesses avoiding hiring permanent staff during the pandemic.
And not only are businesses avoiding taking on new staff, sadly many have also had to lay off existing staff. Almost half of staffing companies have been required to reduce their number of internal employees due to the pandemic, with the largest businesses reporting the most layoffs. These are global numbers however, and the picture is even worse when you look at the UK in isolation, with 82% of UK businesses having to lay off at least some of their workers.
But optimism for a return to normality is high, 33% of respondents say they believe the economy will begin to recover by the end of 2020, and very few predicted a long drawn out recession.
Asked about their priorities for the rest of the year, most recruitment professionals state that they will be focusing on improving relationships with clients and candidates, including finding ways to better engage candidates and improve the candidate experience.
Never has it been more important to nurture relationships with new and existing candidates and clients. Making improvements to onboarding processes as well as looking at ways to better the candidate experience will help ensure that candidates remain engaged and feel supported during difficult times.
Respondents also understandably prioritised managing cash flow and optimising remote working, notably neither of these responses ranked this highly in the study carried out at the beginning of 2020.
GRID asked what challenges recruitment professionals faced because of COVID-19, and by far the biggest challenge reported is the huge decrease in the number of job requests, followed closely by the increased difficulty in winning new customers. This again demonstrates the importance of building and maintaining strong relationships with existing clients, as many new businesses impose hiring freezes while they wait for the dust to settle.
These findings show that a focus on your current candidates and clients is key during this unpredictable time. Maintaining a consistent and reliable service offering, with excellent HR provisions, will help ensure that you retain clients and candidates. JMK can help even the smallest companies maintain dependable staff support. Call us today for more information on our PEO and Back Office Support services.
Since 2002, JMK have been compliantly consolidating back-office, accountancy and payroll functions.
We have evolved to provide a range of expert services; such as Professional Employer Organisation (PEO), or Back Office Support (BOS) or Funding, becoming a leading provider to the contracting industry.
We know every agency is different in some shape or form, even if only by a little, but important bit. Combining our knowledge and experience of multiple sectors enables JMK to support you all from recruiters and payroll, through to finance, compliance and management.
With JMK as your trusted partner, even the smallest team can process the largest payroll, regardless of payroll type.
Have a look at the wide range of services our Professional Employer Organisation (PEO) or Back Office Support (BOS) can provide to you and your business, it is far more than just payroll and finance.