Wednesday, November 17, 2010

Tim's Talking About the Improved Labor Market, Interviews and Interns...

GETTING BETTER!
According to CareerBuilder.com thirty two percent of companies with 500 or fewer employees plan to hire in the second half of 2010. Twenty-one percent will hire full time while 11% will hire part-time and 6% will hire temps.

At Ryan Staffing we have seen strong use of temp help throughout 2010. Our client volume has increased over 80% from 2009.  While that may not be a totally fair comparison because of the recession it still represents a return to our volume levels during the pre-recession years of 2007 and 2008.

HAPPY THANKSGIVING!


HEALTHCARE REFORM UGH!
According to a poll taken by Strategic Benefits Solutions eighty-eight percent of high level corporate big wigs are expecting higher health care costs post reform and 65% view the legislation unfavorably.

KIDS SAY THE DARNDEST THINGS
Those of us a bit on the north side of 50 remember Art Linkletter and the segment of his afternoon show where he conducted interviews with children under the age of 8 years or so. Out of the mouths of babes often came some very funny talk. Well, it turns out interviewees say the darndest, nay dumbest things too when looking for employment. Consider these:

  • One interviewer asked a candidate recently how she handled heavy workloads. Her answer included running in to the bathroom and crying. Didn’t land the job.
  • An interview for a secretary inquired about the important parts of a job for her. Working close to a Bloomingdale’s didn’t get her a job offer.
  • Then there was the phone interview scheduled for 3:00 p.m. When the applicant answered he asked for time to leave the bar he was at and ultimately begged off the interview for being a little drunker than he anticipated. Not good.
One recent mother brought her baby too the interview and proceeded to breast feed the child.

And then there was the candidate that showed up late for the interview complaining about the long commute and how he was glad not to have to do that everyday.

Those of us that have been around the HR blocks a few times I’m sure have a few new stories to share. If you have a good one, e-mail us at info@ryanstaffing.com and we’ll share them next month.

DO YOU USE INTERNS?
Those private for-profit organizations that utilize unpaid student interns need to be knowledgeable of the circumstances that allow these positions to legally be compensation free. For example:
                * Training received must be similar to training that would be given in an educational setting
                * The internship experience must be for the benefit of the intern not the organization.
                * The employer providing the training receives no benefit from the activities of the intern and in
                   And may actually impede the operation at times.
                * No job is promised  or entitlement to a position assumed at the end of the internship.
                * Regular employees are not replaced by the intern.
                * Both parties understand that the intern will not be compensated for the internship.

Basically, you can’t use internship programs as a method for getting free labor. Internships should be a way for companies to provide “real world” experience to potential job seekers while at the same time showcasing their organization to the community and future recruits.

TIME MARCHES ON
As we all get older you start to catch yourself getting a touch nostalgic as well. And when you are in the jobs business like we are at Ryan Staffing you catch yourself thinking about all the occupations that you no longer place people.

I can still remember the Fuller Brush man visiting my mom and selling her a broom that I swear we used for forty years. The elevator operators fascinated me as a young kid at downtown Higbees…what a cool job I thought at the time. And the milkman that came every morning and who my mom swore was not my father (kidding). Think about some of these and at the same time put them in perspective with our current unemployment problems:
                *Inspectors, testers, samplers, sorters and weighers
                *File Clerks
                *Elevator Operators
                *Gas Station Attendants
                *Iceman
                *Milkman
                *Switchboard Operators
                *Typists
                *Machine Feeders
                *Shorthand/Dictation Clericals

I guess it all comes down to progress but it was still neat to meet the Good Humor man every afternoon on a hot summer day.

COMING TO AMERICA?
Get this one. In Brazil a court recently ruled that McDonalds must pay a former Manager $17,500 because he gained 65 pounds while working there for 12 years. The 32 year old man felt forced to sample the food every day to monitor quality. The company also offered its employees free lunches which added to his problem.

McDonalds in Brazil was reported to being “weighing” its options (honest I did not make that up). Can you imagine the impact on the folks at Budweiser?

I-9 FORM COMING HOME TO ROOST
The Obama administration has plans to increase the number of I-9 audits as part of the great immigration reform debate. This process which has the government auditors checking social security numbers on I-9 forms to see if they are real is an attempt to manage the whereabouts of the over 7 million or so illegal aliens in the USA. George Bush apparently relied on worksite raids as his method of enforcement.

In the second half of 2009 ICE agents found 22000 suspect documents out of 86000 received. Fine collection is up six fold and Abercrombie and Fitch got touched up for a $1,000,000 fine for violations at its Michigan stores.

The message here is that you may want to make sure your staffing supplier is performing these checks in the proper fashion.

Tip of the Month: Get What you Pay For!

As I was browsing through my recent edition of SI Review (Staffing Industry) I hit upon a survey taken of benefits staffing firms offer temps. Benefits for temps has always intrigued me because it is a classic case of paying for something that sounds good but really isn't. First for the survey. It found that staffing firms offer the following benefits to temps:



  •                 Paid Vacation 57%          
  •                 Dental Insurance 51%
  •                 Unsubsidized medical coverage 51%
  •                 Life Insurance 45%
  •                 401(k) employee only contributions 42%
  •                 Subsidized medical coverage 40%
  •                 401(k)match 30%
  •                 Paid sick days 26%

What we have here is a lot of feel good fluff with little meat to it. Let's look at paid vacation/holidays. These are a great benefit to retaining long term temps and reducing turnover if they ever meet the qualifications to earn them.

Most staffing companies require the temp to work anywhere between 1200-1500 hours in the prior 12 months to get paid vacation/holidays. The problem is that most never make it. And because the staffing company has to factor the cost potential for having to "possibly" pay out these benefits, in the end the customer pays for something the temp never sees.

Most of these other "benefits" are mostly paid for by the temp. Unfortunately the temp either cannot afford  his/her cost of the benefit or the coverage is so weak as to not be worth the trouble it goes unused. I mean really, how can an $8.50/hour pay rate support the cost of medical coverage? Once again the customer may be picking up the tab for something that sounds better than it really is.

So what is the answer? We suggest that you pay for the benefits you want temps to earn only as they earn them. Vacation pay is the easiest example of this strategy. Rather than have your supplier build this cost in to their markup, only pay for vacation that is actually earned and paid to the temp working at your facility. This way you don't pay for something that you in theory don't use.

Many of the staffing suppliers that advertise great benefit packages for temps do so knowing that they can bill you upfront for these programs touting reduced turnover and higher quality temps as the real benefit. Unfortunately for you, all they really benefit is your suppliers pocketbook.

I will admit that the value of benefit packages is better served for those of you utilizing professional staffing/contracting personnel (i.e. engineers, accountants, IT, etc.) where packages are needed to recruit top talent. Not so for much of the unskilled labor and most of the office clerical world.


So be sure you're getting what you pay for!

November Browns Trivia Contest

Congratulations to Bill Rohan from Simon Roofing. Bill is the proud winner of the Dec. 26 tickets to Browns/Ravens, as part of his Browns Prize Package.



Have a great time at the game Bill!

As for everyone else. Here are the answers to the Trivia contest. I retyped the questions below.

1.(d) 2.(a) 3.(c) 4.(a) 5.(c) 6.(b) 7.(c) 8.(a) 9.(b) 10.(b)

--
1.What year was the start of the Cleveland Browns in the All-American Football Conference (AAFC)?
a.1944
b.1948
c.1952
d.1946

2.The Browns entered the NFL in 1950 and made the championship game seven of the their first eight seasons. What was their record in those seven games?
a.3 wins, 4 losses
b.6wins, 1 loss
c.4 wins, 3 losses
d.2 wins, 5 losses

3.Which of these players was on the Browns roster in the 1950's?
a.Doak Walker
b.Joe Schmidt
c.Chuck Noll
d.Jack Christiansen

4.In the Browns first ten seasons who was their main quarterback?
a.Otto Graham
b.Milt Plum
c.Frank Ryan
d.Bill Nelson

5.Which position did kick returner Joshua Cribbs play at Kent State University?
a.Wide Receiver
b.Cornerback
c.Quarterback
d.Running Back

6.How many playoff games did the Browns win during the 1970's?
a. 3
b. 0
c. 1
d. 6

7.What team did the Browns defeat for their final playoff victory of the 20th century?
a. New York Jets
b .Houston Oilers
c. New England Patriots
d. Pittsburgh Steelers

8. What was the Browns record in their first season back in 1999?
a. 2-14
b. 4-12
c. 3-13
d. 7-9

9. How many NFL Championships did the Browns win while HOF running back Jim Brown was a member?
a. 0
b. 3
c. 4
d. 2

10. The Browns finished with a winning record during the regular season every year of Jim Brown's career?
a. False
b. True