Welcome to Recruiter Roundup, a monthly look at the most exciting recruiting and HR industry news.
As we head into the third month of lockdowns, organizations are still learning the best ways to do business in the midst of a pandemic. Companies are building out brand new processes and procedures — either to account for the shift to fully remote operations or to comply with public health directives in those locations that are still open. Some sectors have had to slash hiring dramatically, and others are making more hires than ever before.
We at Recruiter.com have been surveying our network of independent recruiters to get a better understanding of what they’re experiencing now and what they expect for the future. To hear their reports from the front lines of the brand new economy, you can download the first installment of the Recruiter Index® survey here. To summarize the findings to date: There’s reason to believe the worst effects of the pandemic won’t linger for long.
Recruiting Industry Investments / M&A Activity:
Financial News estimates that up to 90 percent of planned mergers and acquisitions were put on hold when the pandemic hit. While that may be true, investments and M&A activity certainly haven’t come to a complete stop in the recruiting industry. That likely has to do with the recruiting industry’s unique role in the economy: Even — and especially — in tumultuous times, companies need the right talent if they’re going to thrive.
- New Heritage Capital invests in temporary and permanent staffing solutions provider DeWinter Group.
- Augmented writing platform Textio, which helps organizations craft better job ads and employer branding, raises $12 million.
- Talent management platform WorkJam raises $50 million.
- HR tech company Paylocity acquires VidGrid.
- AI hiring platform PredictiveHire raises $3 million.
- Learn In, a new startup focused on upskilling employees to avoid layoffs, raises $3.5 million.
- H1 Insights raises $12.9 million for AI that connects healthcare companies with qualified talent.
In addition to our Recruiter Index® survey, a number of recent reports have been tracking the business and talent landscape in the age of COVID-19. While much of the news is understandably less than optimistic, there are bright spots worth noting — for example, Jobvite’s look at how recruiters are getting creative to keep talent pipelines full.
- The American Staffing Association (ASA) records a dip in staffing employment due to the pandemic.
- CEO confidence falls to lowest level since 2008.
- Jobvite surveyed more than 200 recruiters to find out how talent acquisition professionals are adapting their strategies to a fully remote world.
- XpertHR warns businesses to prepare for a recession.
- The ASA may have recorded lower employment in the staffing sector right now, but that hasn’t stopped some companies from expanding their operations. For example, Hunt Scanlon reports that Australian executive search firm MitchelLake Group is expanding in the U.S. Meanwhile, New York-based talent advisory Boyden is branching out into Hong Kong, China, and Singapore. This activity suggests strategically minded recruiting firms can still find new business opportunities, even at this moment in time.
- Some recruiting and staffing firms are also adjusting their search fees to give their clients a break during the pandemic or donating profits to first responders, signaling an effort by the industry to do its part in getting the world back to safety and stability.
- Rewards app Hytch is taking a new approach to promoting safety at work, launching a “shelter in place” feature that allows companies to reward employees for following public health guidelines.
Legal and Regulatory News:
- Certain provisions in the Coronavirus Aid, Relief, and Economic Security (CARES) Act passed in March may affect merger and acquisition activities going forward. Organizations should familiarize themselves with the act accordingly.
- State governments are beginning to roll out plans for opening back up. Employers should stay abreast of the latest developments in their localities.
Are you interested in having your company featured in this recruiting industry report? Send an email to our Editor, firstname.lastname@example.org, with your company's news or announcements. Our regular publication, RecruiterToday, also features thought leadership from recruiting and talent acquisition professionals and accepts content contributions.