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Local hiring on the rise, latest NEHRA survey says
By Northeast Human Resources Association, 7/10/2006
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According to a survey recently conducted to determine hiring trends in the region's organizations, local hiring is on the rise again this year, and recruiting budgets are expected to remain the same or increase from last year. The survey was conducted by the Northeast Human Resources Association (NEHRA), the leading HR association in New England.
"Hiring projections for the coming year look positive according to our annual hiring e-survey," said Lou Gaglini, co-chair of the EMA/Staffing Special Interest Group, Northeast Human Resources Association. "Employers will be making efforts to locate and hire the best talent, relying heavily upon their internal recruiting staffs in the process, and turning to their own employees for referrals of quality job candidates," Gaglini said.
A convincing 65% of those polled anticipate the number of full-time employees to increase over the next year, while 29% will remain at the same staffing levels and only 6% expect a decrease. The majority of those hiring will add staff in the exempt and non- exempt categories with significantly fewer hires of temporary and contract workers. Hiring projections have increased by a few percentage points since NEHRA's last hiring survey a year ago.
Sixty-one percent expect recruiting budgets to remain the same as last year's while 35% expect their recruiting budget to increase and 4% foresee a decrease. The trend remains positive with increased recruiting budgets jumping six percentage points from last year's hiring survey.
Those hiring will overwhelmingly use internal recruiting staff as a staffing resource followed by contingency search firms. Internal reference checks are the most popular pre-employment screening tools followed by criminal record checks and background checks.
Employee referrals (95%) and Internet job boards (93%) are most often used to identify applicants. Corporate websites (82%) are another often-utilized recruiting tool, followed by print advertising (56%), associations and other nonprofit organizations, and college recruiting and internships. However, more than three quarters of organizations polled do not have a dedicated college recruiting or university relations program.
Fewer than half of organizations surveyed (45%) use an ATS (applicant tracking system) or similar tool to manage the candidate flow process.
In the current marketplace, respondents indicated that finding the best talent is the greatest recruiting challenge (48%). Finding diverse talent (12%), retaining top talent (10%), and having a competitive compensation program (8%) also present challenges.
NEHRA's hiring e-survey, conducted online from June 1-15, 2006, had 393 respondents, primarily HR managers in local companies. To read the full report, visit NEHRA.com.
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