Job market supply vs. demand - who has the advantage today?

Remember this graph from an economics class when you were younger?  We all know about how it applies to the basic framework of our economy, but we don't always know how it translates into a job search.  Quite often I hear assumptions from both the candidate and employer side that are based on nothing but pure speculation.  That is a slippery slope for both parties, so I thought I would explore the idea for this week's blog topic.

During the worst stretches of the recession in 2009 and even into 2010 we saw a devastating combination of layoffs/re-organizations and very little interest in growth-oriented or newly created positions.  In other words, there was a lot of subtraction but very little addition.  This created a surplus on the candidate side and gave employers incredible leverage to wait for the "right" candidate.  The supply/demand curve was clearly in favor of the employers for quite some time.  It impacted the way that candidates interviewed and actually led to even more trepidation from employers as candidates were stretching the truth regarding their past experiences and current skill set just to get the job.

Fast forward to today and the curve is bending back in favor of the candidates, but it leads to a few cautions on both sides of the hiring equation.  Here are a few to consider:

Candidates 

Although the market is rebounding, I like to compare it to gas prices recently.  They seem to go up quickly without any explanation, but come back down to a "normal" level more slowly than we all would like to see.  Just because we are seeing more job openings and an increase in salary ranges, don't incorrectly assume that you can begin demanding a 20-25% increase in salary to make a job move.  You have to continue to look at all factors (company culture, employee benefits, career progression) to consider making the move.  This is especially important when in final stages of negotiating an offer.  Yes, you can ask a few questions and possibly seek a higher base salary or a few more days of PTO.  If the answer is "no" that does not mean the employer is not interested in hiring you or that you automatically need to decline.

Employers

Timing is the biggest obstacle we have seen lately on the client or employer side of the equation.  With the market rebounding we are experiencing candidates who have more than one interview going at the same time.  As much as we try to clearly communicate timing of a candidate's search, it remains difficult at times to encourage employers to move more quickly so that they don't lose out on the candidate.  It has happened several times this year already and employers are shocked when it happens to them.  When you meet a candidate that you really like, make a move and make it first.  That will help when it comes to final negotiation, as I outlined above that candidates are not just saying "yes" the minute the offer comes any longer.

The bottom line as the supply/demand curve continues to shift is that the improving economy benefits everyone.  The perfect spot where the two lines on the curve intersect will continue to shift, however, and we all have to be able to adjust to have ultimate success in the hiring process.

Where do you think the curve is at in today's market?  As always, I would be interested in your feedback!

How many career changes will you have by age 50?

I heard recently that the average person will make a job or career change eleven times by the time they reach the age of 50.  If we make the broad assumption that many professionals start their careers after college when they are 22 or 23 years old, that is a job change nearly every 2.5 years.  There are many ways to pick apart this data, but today I simply want to explore one idea - is this a good thing or a bad thing that on average a working professional makes this many job changes by the age of 50?

Let's start with why it may not actually be such a bad thing.  First of all, how many college seniors do you know that are absolutely convinced of the career path they want to take?  I would argue that it is a very low number.  So perhaps this data is skewed because an individual might make 6-7 of those changes very early in their career as they figure out what they want to be when they "grow up".  Then they settle down and after the age of 30 they only have a couple of job changes.

Another reason why it may not be so bad is that an individual might participate in a leadership training program where they spend time in several divisions before finally being pegged to an executive level role.  In the insurance industry for instance you could spend time in underwriting, claims, administration, and much more before finally moving into a higher level management role.  But sitting in each of those chairs early in your career, you will better understand how to manage the overall operation.

Now the downside of frequent job changes is that at first glance your resume may look like you are a job hopper.  That is one of the worst titles you can be labeled with as a job seeker.  You will often be overlooked in the in interview process because it may show a lack of commitment.  If you are a victim of some downsizing or other circumstances that are not performance-related, be sure to list those somehow in the body of a cover letter or even on your resume.  List it as "reason for job change" or something similar.  That gives the reader an opportunity to have an objective glance into why you have made those changes.

Another potential downside/pitfall of frequent job changes is that the individual may have been chasing money, especially earlier in their career.  Some people think that making changes with only money in mind is actually a wise career move.  I believe that it is a terrible idea as it is bound to catch up with you at some point.  I have even spoken with candidates in the past that it backfired so badly that they are now making less money than they were 8-10 years ago.  Be careful what you wish for if you are only chasing dollars.

The bottom line is that regardless of whether you think this is an astounding statistic, you must be prepared for both realities if you find yourself in the middle of the pack on this bell curve.  My professional opinion is that a candidate with fewer job changes and longer average tenure will always trump someone who has had four jobs in the past five years.

Would you agree?

Two unexpected interview tips - napping and procrastination

I bet you are wondering how I am going to tie these two activities into the interview process.  Or perhaps you are wondering if my next blog title will be "How to eat more desserts to lose weight".  But hear me out as this ties into some scientific data that is much more accurate than any hunches I might have that could sound like a late night infomercial.

First, allow me to provide some context.  I was watching a show on National Geographic Channel that provided me the inspiration (and data) to write about this topic.  While they were relating the data to being more productive at work and creating long term wealth, I took some creative freedom to apply it to the interview process instead.  But I think the data would support my ideas as well.

The picture above is actually a popular attraction at larger employers that have employees working long hours.  Usually software or IT related companies.  They have conducted research that the optimal power nap should last about 26 minutes and created exponential amounts of productivity.

I will take even further creative liberty here and not suggest a nap before, during, or after your interview, yet definitely suggest getting plenty of rest during the interview process.  The best example I can give of this is candidates that get back to me one day after taking a personality profile test at 2:00 am on a Saturday morning because they couldn't sleep.  Not surprising at all, they almost always have bad results when that happens.  I could write about dozens of other ways to take care of yourself as you interview, but this is a pretty basic one that often gets overlooked.

The second topic is perhaps more interesting - the idea of procrastination being beneficial.  That word generally has a negative connotation, but if you really think about it procrastinating can have many great side effects if used effectively.  I will also caveat up front that I'm not advocating days and days of procrastination, but rather dividing it up into even hours or down to a few minutes.

One great example can be the idea of sending a thank you note or email.  You may come out of an interview on an emotional high and want to send a message right away to show how interested you are.  I have even had candidates send it directly from their smartphone, thinking that it will be impressive to see something so quickly.  But you're really not being objective, you could have a message filled with grammatical errors, and you may think of something more you want to say later that evening.  Do you really want to have to send another thank you email just to get another point across?

Sometimes taking just a little time to gather your thoughts and maybe even sleep on some ideas can have a great impact.  Plus then you can combine these two ideas into one - procrastinate and send the thank you email the next morning AFTER a good night's rest!

How do you build your brand?

Have you noticed more competition for good talent in the marketplace in 2013?  We sure have, and it has manifested itself in a myriad of ways recently.  Counter offers, multiple offers for one candidate, passive candidates sitting tight, exceptions and concessions being made on things like PTO and benefits, and much more.  Even if you have not experienced any of these trends recently, there are some effective strategies we have seen employed that can be good to know.

The key word I will be focusing on in a three-part series this spring and summer is BRANDING.  The three perspectives I want to bring to bear about what is being said about your organization are:

1) What do your current employees say?

2) What does the market say?

3) What does your competition say?

All three are inter-related, but I really want to dig into each one individually as the small things can make all the difference between landing the prized candidate you are after and just missing.  The first one is quite possibly the most important as it can have an impact on the other two in a profound manner.  Your employees talk amongst themselves, with their outside vendor partners, with former employees, and even with friends and neighbors. 

So what can you proactive do to create a working environment that creates a positive brand image in the market?  Facebook can actually be one of the first places to go.  Some of my best clients are actively posting pictures of their staff volunteering in the community.  Or celebrating someone’s work anniversary.  Or perhaps a work-related accomplishment like a professional designation.  This is an effective (and free) way to promote the culture within your organization. 

Secondly, provide ongoing communication to employees regarding benefits, culture, opportunities for growth, etc.  Recently I had a candidate interview with a team member of a client of mine who really struggled with answering basic questions regarding the overall benefits provided to employees.  That left a really bad impression with the candidate, and whether or not it is fair, the company itself.  I wouldn’t expect an employee to have all details memorized down to the last detail, but it would be another great FREE advertisement about  your company to have your employees bragging to everyone they knew about the benefits of working for your company.

Lastly, define your company culture early and often and in an open and honest manner.  Another recent example I can give is a client of mine who had several people act as advocates to my candidate before, during, and after the interview.  Some of the items that were communicated were of small concern to the candidate, but overall there was a ton of respect for openly discussing the current working environment.  At the end of the day it was actually what motivated the acceptance of the offer. 

Bottom line is that the job market is an ever-evolving beast that may force you to make some changes regarding how you have branded your company, especially as it relates to recruiting.  So why not stay ahead of the curve and be the leader in your market?

Spring cleaning and goal setting

This picture doesn't do justice to what I saw driving around my neighborhood yesterday afternoon.  It was spring garbage pick up/clean up day, so all of my neighbors were setting old unused items by the curb.  Then all afternoon beat up trucks, vans, trailers, and everything in between were seen driving around the rubble and picking up the items intended for the landfill.

At the end of the day, however, it was a fabulous feeling to have some extra space in the garage and I was even tempted to get out my lawn mower after officially "retiring" my snow blower to the far corner of my garage until next winter.  I always get revved up this time of year thinking about what I get dust off, clean up, and organize both inside and outside of my home.

It also got me thinking about work goals as well.  There is no reason to limit my motivation to landscaping and honey-do lists.  Now is a great time to be thinking about career goals, new opportunities, turning over a new leaf (pun intended for spring), hiring a new employee, and much more.  One of our busiest times all year is May and June and this year is shaping up to be no different.

So if you haven't already thought about it, shake the dust off of your resume.  Revise and update that most recent job description for a role that should probably be filled by mid-summer.  Take the opportunity to write down a to-do list of things you want to accomplish before the end of summer.  This time of year always goes by so quickly with kids' activities, summer vacations, and days off here and there to go golfing or swimming.  So why not plan ahead and put down on paper some goals to commit to in the next 5-6 weeks.

If you are anything like me yesterday, you will feel a sense of accomplishment and new beginning afterward.

What goals might you want to achieve by the Fourth of July?

Finishing second in a job interview does not make you the first loser

Three times in the past two weeks I have had clients tell me that they had a tough time picking the top candidate out of two finalists.  While we can all agree that is a happy problem, there is still the issue of telling one candidate that they didn't get the job.  I have been the messenger many times in ten years of recruiting to the candidate that finished in second place.  There are several reasons why it isn't as bad as you might think.

First of all it provides an incredible amount of credibility to your search.  Although you did not get the position you were ultimately seeking, the company obviously thought you were a solid candidate to consider and would even possibly consider again.  This means that other companies will likely feel the same way.  I know as a third party recruiter, I am extremely motivated to work with that individual again.

Secondly, you never know when the company will come back around and have interest in your candidacy again.  Most times when it is a tough final decision, that means the company would have been absolutely fine with hiring the candidate that finished in "second place" out of the gates.  The candidate finishing in first place may accept an offer, only to turn it down a few days later.  Or perhaps not work out after 3-6 months and the company comes calling for the second candidate.  I have even had companies create positions for the second candidate, which turn out to be an even better long term match.  It all depends upon how the second candidate takes the news at the outset of finishing in second.  If you handle it with grace and professionalism, that will always bode well.  If you are bitter and look back with regret, that gets you nowhere.

Lastly, it might be that the position simply wasn't meant to be at that particular time.  When deep in the throes of the interview process the competitive juices are always flowing.  You may not be thinking truly objectively and you just want to get the offer for the sake of getting the offer.  Once you have some time to reflect you may see that it was a good thing for your long term career development.  Or another position may come along that turns out to be an even better match.

Bottom line is that you must always be thinking ahead while in the interview process.  Prepare yourself for the possibility that you might finish in second place and how you will handle that.  You can view it as defeat with victory your only goal.  But to me that seems short sighted.  I remind candidates that I represent that them finishing in second place also means I finish in second place.  For the reasons I outlined above (and the list could be much longer), you will be someone I will want to work with again and again.

Have you ever finished in second place?  How did it shape your thoughts about future interviews?  I would welcome your thoughts and stories as always!

Has your job search bracket been busted?

March Madness is always filled with competing emotions - joy and jubilation for the teams that win, while sadness and disappointment fill the hearts of the teams (and fans) on the losing side of the equation.  Some handle both sides with class, while others lash out via social media or post-game interviews.  There was even a coach who was criticized for dancing after a victory while his wife was recovering in the hospital from an emergency appendectomy.  Some felt as though he should have been more subdued considering his personal situation.

Although I hope most interviews don't start with a 68-candidate pool, there are some similarities that can be drawn with the idea of a bracket and I want to explore some of the ways to handle both the unexpected "wins" as well as the heart-breaking losses.

First, let's consider how to handle things when an interview ends in unexpected heartache.  You may feel like you prepared accordingly, really presented well and had a great conversation, but ultimately received the "Dear John" letter from the company.  You now have a choice.  You can "shake hands" and tell the company "good game" just as if you had lost the basketball contest.  Or you can pout and head toward the locker room, only to complain to the reporters that you were robbed on a bad call or felt like it wasn't fairly officiated.

Unfortunately I have seen things go very badly when a candidate is told "no", especially if it is final stages.  But you have to look at it from an objective perspective or it can affect future interviews and/or new roles.  Once I had a candidate send a scathing email after being turned down, indicting the hiring manager for not following through on promises to hire the candidate.  My client wisely chose not to reply and start a huge online fight, but it was certainly not the right approach.  Now the candidate looks like a sore loser and will be forever tarnished within that organization.  Additionally those people may end up working for another company and paths could cross with the candidate.  Perhaps not likely, but always possible in this small world we live in today.

What is interesting about the NCAA tournament is that the losses sometimes galvanize a team and they come back stronger the next year.  So if told "no", use it as an opportunity to dig deep, ask tough questions, and maybe even recognize some weaknesses.  Use this momentum for the next interview and learn from the experience.

Now what about celebrating when things go right?  There are many things that can actually go wrong here, believe it or not.  I can recall a candidate going through 10-12 grueling steps in an interview process and was about to receive an offer.  Only to find out some inappropriate ways in which he thanked the team that interviewed him, and they couldn't get past it.  No offer came and the completely capable candidate will forever be remembered with my client as the one that got away.

The other common mistake comes during or after resignation.  Candidates feel empowered once they have an offer and feel like they can talk trash about the soon-to-be former employer during an exit interview.  Or perhaps they go about the resignation itself unprofessionally.  It just shows poor sportsmanship and when you see it happen in March Madness, no one likes it.

With the tournament you expect some bad behavior or poor choices as most of the kids playing are only 18 or 19 years old.  Do you remember what was going through your mind at that age?  You likely thought you were invincible, didn't respect authority, and didn't think the choices you made would impact the rest of your life.  But at some point the players have to understand they are an ambassador for the sport and their university.  A lot has been given to them, and a lot is expected.  The cameras are always on and a little slip-up can cause lack of focus or a fracture in the locker room.

So my advice for today when your job search bracket is busted is to act like you are on national television and anything you do or say could be forever remembered and replayed on YouTube.  Represent yourself with class and positive thoughts.  That way you will never regret anything.

Good luck with all of your bracketology, both basketball and search-related!