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Free Agent Nation Romance: The Good, The Bad, And The Unknown

You know the story. Once upon a time, companies courted new talent with the promise of a lifelong relationship. “Work” meant employment, training, benefits, and job security for years, if not decades. But for many, if not most companies and employees, the romance has died.

According to the Bureau of Labor Statistics, an estimated 40% of all U.S. workers now operate on a part-time or contract basis. Josh Bersin adds:

“Bottom Line: the workforce of today is specialized and highly virtual: working part-time, mobile, from home, and often on a contract basis. Our research shows that among large employers upwards of 32% of all positions are now “part-time” or contract-based.”

Bersin argues that social media have enabled employers and a fast-moving, trained workforce to link up with “local projects, local tasks, and local jobs.” He gives the examples of the rapid growth of job boards such as TaskRabbit and GigWalk, and notes that “this mode of work has hit the corporate market as well. . . . But they don’t see what’s really coming – an explosion of mobile, virtual, local workers. One can think of these new services as “mobile-enabled, local job-boards” – but what they really are is enablers of the younger, more virtual workforce.”

Here’s the bottom line and our collective reality check. Bersin sums it up nicely here “the contingent workforce is now a permanent fixture, so many elements of talent management, recruiting and engagement are being extended to these mobile ‘free agents.’

Really? Just how well are leaders rising to the occasion in this “highly scalable” new world order they’ve created?

Let’s take a closer look at this Brave New Free Agent World of Work. 

1) The Good

Flexibility. For both employers and employees. Lots of my friends, especially my mom friends, like having freelance jobs for that reason.

Varied work experiences. Freelances can try different kinds of work and companies, without committing to any of them. They are “pan-opportunists.”

New skills. We like having the chance to reinvent ourselves and gain new skills. We never stop dreaming. This is very exciting.

Savings for companies. Firms save millions by not giving benefits or providing training or career ladders, and by freely expanding or contracting their workforce as needed. (All of which gives us a fascinating meaning to the word free in “free agents” and “freelancers” . . . )

Adapting to the new culture. “The fast-moving, technologically dynamic global economy has forced leaders to think about work in modular, ever- shifting ways. Organizations that can adapt, change, and innovate quickly have an advantage today. [Having] contingent and contract workers can facilitate this change.”

2) The Bad

No bennies. While my freelancer friends like the flexibility, none of them likes the lack health care, sick time, vacation pay, or other bennies. Many of them would willingly give up the flexibility if they could find work at firms offering these benefits.

No job security. Ever had that pit-in-the-stomach feeling as one project ends and you can’t see the next one over the horizon?

No training. No comment. There is no excuse for bad leadership. This should be a must for all companies and leaders. Even for “consultants” or “free lancers”

No engagement. What’s being done by leading-edge companies to ensure that contingent workers fit into the culture and engage with the organization? In fact, in nearly every way you can name, contractors are still considered “second-class citizens” in most corporate settings.

Less stability. The most stable firms are those that have stable and loyal employees. Oh no. Not good.

3) The Unknown

Have companies and their employees broken up for good?

Williams and Bersin seem to agree that contingent work is here to stay, in massive numbers. And so do I. The facts speaks for themselves.

Williams:

“Dana Shaw, former senior Vice-President for Staffing Industry Analysts, reported that in the Fortune 100 companies, contingent workers make up 20-30% of the workforce, but predicts it will soon be 50%. Statistics Canada reported that by 2009, 52% of all temporary jobs were contract jobs, 25% of them were professionals. . . . McKinsey &Co. reported that 65% of U.S. corporations have restructured their workforce and have no plans to return to pre-recession employment, but rather are opting for contingent and contract work when the need for expansion takes place.”

What about innovation? What does freelancers’ “pan-opportunism” mean for innovation? The results aren’t in. All I know for sure is that innovation generally comes from companies who nurture their teams, support their passions, and given them scope to imagine and produce. This does not sound like a description of a company dependent on a contingent workforce.

As freelancers begin having families, needing health care, wanting stability, and so on, will they change—and insist on more meaningful relationships with companies? And, therefore, will we have the happy ending: with these protagonists getting back together in more permanent ways, both wiser than before?

Social media is awesome. It has done astounding things, producing cultural transformations in HR and Leadership and Technology we never dreamed of even a few years ago. Surely we should—and can—use it to foster fidelity between leaders and contract employees. Can we agree that building a fair, meaningful relationship between these parties is a good thing . . . for leaders, free agents, and our global world of work?

So. Light the candles . . . put on the mood music . . . And think strategically about the kind of relationships that will allow us to live happily ever after in our careers.

Will social media combined with this unstable jobs economy forever lead companies and employees into the arms of many different suitors, relationships, careers?

A version of this post was first published on Forbes.com.
photo credit: The Office(at home) via photopin (license)

Employment Triad Equates to Acknowledgement & Closure. #TChat Recap

The job transaction is a triad. There is applicant, candidate and employer.

During last night’s #TChat Employer Black Holes and the Candidate Experience, it was question #4 that differentiated and clarified things for me:

Q4: Should the candidate experience apply to applicants?  When does an applicant become a ‘candidate?’

The answer to that is when you’re qualified and you make the “short list.”  Because until that point you’re not qualified, and in today’s market, there’s a lot more of you out there looking for work who aren’t.

Even with the volume of career applicants today, there’s a lot that be done to “humanize” the process and at the very least auto-acknowledge folks thanking them for applying to your job openings.

So I’ll repeat some of what I shared in my post the other day – The Employer/Applicant Transaction: Acknowledgement and Closure.

There’s only one job per multiple applicants/candidates, so what has their experience been with American corporations and SMB and startups alike?

Overall, pretty poorly. I mean, it’s not news to know how poor the applicant/candidate experience is and has been for a long, long time.

Businesses do owe applicants and candidates at least two things regardless of the position level being applied for. That’s it. Two things that I’ve done as an employer over the years:

  1. Acknowledgement – simply that you’ve applied and we acknowledge that. Thank you.

  2. Closure – simply that you are or are not qualified for the position, that you are or are not getting the job, there are or are not other opportunities with us, and we acknowledge all these things in a consistent and timely manner. Thank you.

There were a lot of other nicer sentiments for how employers should treat their applicants/candidates, but it’s still simply these two things.  And you sure better do it with your short list of candidates regardless of industry or position. It’s best practice for your workplace culture brand.

You can read the transcript from last night here, and these were the questions posed to everyone:

  • Q1: Is the applicant ‘black hole’ experience real when applying for a job?  If so, why does it exist?
  • Q2: How does candidate/applicant experience impact employment brand or company culture?
  • Q3: At a minimum, what should job seekers expect from employers to which they apply?
  • Q4: Should the candidate experience apply to applicants?  When does an applicant become a ‘candidate?’
  • Q5: What are some creative ways job seekers can get through the black hole or recruiters can handle the applicant tsunami?
  • Q6: Job seekers: What has your candidate experience been like during your most recent job hunt?
  • Q7: Employers: what are you doing to improve candidate experience?
Thank you everyone for joining us last night!  A special thanks to Matt Charney for helping me steer the ship.
We’ll see you next week where our topic will be:
Managing virtual teams and dispersed global organizations while maintaining workplace culture.  Is it possible?

Employer Black Holes & the Candidate Experience: #TChat Preview

Originally posted by Matt Charneyone of #TChat’s moderators, on MonsterThinking Blog

With the way employers and job seekers alike refer to the “black hole” of online job search, you’d think it’s some sort of industry wide conspiracy, given its endemic proportions.

The candidate experience, writes #TChat co-host Kevin Grossman, is almost always negative or non-existent, regardless of the job title, function or level:

There’s only one job per multiple candidates, so what has their experience been with American corporations and SMB and startups alike?

Overall, pretty crappy. I mean, it’s not news to know how poor the applicant experience is and has been for a long, long time.

Case in point — I recently went through a fairly high-level job search with a well-known firm in the HR marketplace. Considering that they should know better the best practices of recruiting and hiring, I was left with inconsistent acknowledgement and no closure. Still. Even thought I didn’t get the job, of which the other primary candidate definitely had the edge on me, I was led to believe that there were other opportunities.

And then nothing. Crickets chirping in the night.”

Grossman’s experience, and frustration, echoes the experience of countless others, but he points to two of the almost universal expectations candidates have when applying for a position: acknowledgment and closure.

These are pretty reasonable demands, and the fact that most employers aren’t meeting even this basic baseline defies reasonable explanation.  The truth is, employers have gotten pretty good about the acknowledgment part; most applicant tracking systems have been programmed to automatically e-mail a confirmation directly to the job seeker for their records, and it’s sent out the moment they apply to an open requisition.

It’s the closure part organizations seem to be having problems with, to the frustration of candidates and to the detriment of their employment and consumer brands alike.  But the thing is, it’s just as easy to notify applicants that they haven’t been selected via e-mail, instantaneously, as it is to notify them when their application is received.

But no one likes to be the bearer of bad news, least of all recruiters.  Most seem to feel that letting people know they’re no longer under consideration opens a door that they’re trying to close, and that, in effect, no news is good news.  But it’s not.

In fact, for employers and job seekers alike, it’s very bad news indeed.  At Monster, we’re committed to advancing the conversation, and searching for the solution, for an improved candidate experience and to help employers transform the “black hole” into a brand-building talent pipeline.

That’s why we’re excited to be participating in tonight’s #TChat, Workplace Culture Branding – Employer Black Holes and the Candidate Experience. Join @kevinwgrossman @meghanmbiro and @talentculture at 8 PM ET tonight as we tackle this very important issue.

We might not come up with all the answers, but we hope these questions, and these related articles, help inform, inspire and impact your perspective on improving the candidate experience:

#TChat Questions and Recommended Reading: 2.15.11

Q1. Is the applicant ‘black hole’ experience real when applying for a job?  If so, why does it exist?

Read: Candidate Experience Isn’t About Pleasing Everyone by Claudia Faust

Q2. How does candidate/applicant experience impact employment brand or company culture?

Read: When Potential New Hires Are Searching for YOU by Emily Bennington

Q3: At a minimum, what should job seekers expect from employers to which they apply?

Read: Candidate Experience and Common Sense by Tim Sackett

Q4: What do employers owe to applicants?

Read: Candidate Experience: A Question of Values by Howard Adamsky

Q5: Should the candidate experience apply to applicants?  When does an applicant become a ‘candidate?’

Read: Candidate vs. Customer Experience by Gerry Crispin

Q6: What are some creative ways job seekers can get through the black hole or recruiters can handle the applicant tsunami?

Read: How to Get An Employer’s Attention in 20 Seconds by Jessica Holbrook Hernandez

Q7: Job seekers: What has your candidate experience been like during your most recent job hunt?

The Employment/Applicant Transaction: Acknowledgment and Closure by Kevin W. Grossman

Q8: Employers: what are you doing to improve candidate experience?

Read: Eliminate the Black Hole by Colin Kingsbury

Visit www.talentculture.com for more great information on #TChat and resources on culture fatigue and how to overcome it!

Our Monster social media team supports the effort behind #TChat and its mission of sharing “ideas to help your business and your career accelerate – the right people, the right ideas, at the right time.”

We’ll be joining the conversation live every Tuesday night as co-hosts with Kevin GrossmanMeghan M. Biro and Steve Levy from 8-9 PM E.T. via @monster_works and @MonsterWW.  Hope to see you tonight at 8 PM ET for #TChat!