RECRUITING NEWS: A few years ago, the U.S. Department of Justice became privy to allegations that several Silicon Valley tech companies had been colluding among themselves since at least 2006 to drive down salaries.  How were they allegedly colluding?  By agreeing not to recruit each other’s employees!

While not conceding the illegality of the agreement, seven of the companies—Lucasfilm, Intuit, Pixar, Adobe, Apple, Google, and Intel—admitted they entered into such an agreement.  In addition, three of those seven companies—LucasFilm, Pixar, and Intuit—will pay $20 million to workers as part of a recent legal settlement.

ARTICLE: “Steve Jobs’ Scheme Costs Disney and Intuit Penalties of $20 Million in Non-Recruitment Collusion Scandal” via AllGov.com

ANALYSIS: When was the last time a company official told you to quit calling into their company in an attempt to recruit their employees?  How soon will it be before another company official tells you the same thing?

How might this news story change the nature and course of that conversation?

In light of these events, the argument could be made that not allowing recruiters to call into a company (or to actively recruit company employees in some fashion) conceivably violates anti-trust laws.  Here’s a passage from the Department of Justice’s civil suit against the companies:

“These no cold call agreements are facially anticompetitive because they eliminated a significant form of competition to attract high tech employees, and, overall, substantially diminished competition to the detriment of the affected employees who were likely deprived of competitively important information and access to better job opportunities.”

The results of this investigation and the civil and legal suits that were filed could eventually have ramifications in regards to how companies handle efforts to recruit their employees.  The possibility of a lawsuit could curb company officials’ enthusiasm for telling recruiters to “cease and desist” those efforts.

They could instead re-channel that enthusiasm into retaining their top employees . . . which is probably where their energies should have been all along.

FEEDBACK: What are your thoughts?  Is this possibly the beginning of a new trend in recruiting?  Regardless of whether or not it’s a new trend, do you plan to arm yourself with this information the next time a company official tells you to “back off” its employees?

Please comment below.

A major deadline for the Affordable Care Act (ACA), the healthcare reform law also known as Obamacare, is coming up quickly.  If a recruiter has even one employee, they will likely have to comply.

The ACA requires employers to provide employees with a notice about coverage options available through the Marketplace, which was created by the ACA to provide an online “one-stop shop” for individuals to compare private health insurance options.

Starting on October 1, employers must provide the notice to new employees.  In addition, it must be distributed to all existing employees by October 1.  The notice must inform employees of the following:

• The Marketplace will be available starting January 1, 2014.
• What services the Marketplace will provide and how to contact it.
• They may be eligible for premium tax credits if their employer doesn’t offer an plan that provides “minimum value” and that is “affordable,” as defined by the ACA.
• They may lose their employer’s healthcare contribution (if applicable) if they choose to purchase insurance through the Marketplace.

You can find more details about the requirements under this provision.

A common misconception about Obamacare is that employers only have to worry about it if they have 50 or more employees.  This stems from the law’s employer mandate, which will require employers with 50 or more employee to provide healthcare starting in 2015.  But even the smallest employers, including recruiting firms that have any in-house employees or contractors on their payroll, have responsibilities under the ACA.

This required notice is perhaps the best example.  The ACA actually created this provision as an amendment to the Fair Labor Standards Act (FLSA).  So if you are subject to the FLSA, as almost every employer is, you must comply with this provision regardless of whether you offer insurance to employees.  If you are not sure if the FLSA applies to you, you can find out by visiting this page on the Department of Labor website.

Fortunately, you don’t have to write this notice from scratch.  The Department of Labor provides Model Notices for employers who offer a healthcare plan and employers who do not offer a healthcare plan.

Regardless of your firm’s size, it’s important that you stay on top of the developments surrounding the healthcare reform law.  Not only could there be implications for you as an employer, but your clients could also look to you for answers to their staffing issues that may arise as a result of Obamacare.

SURVEY QUESTION:

With the third quarter of the year rapidly coming to an end and the fourth quarter on the horizon (and right behind it, 2014!), this is a good time for recruiters to analyze the activity in their niche.

The activity in a recruiter’s niche is one of the factors influencing whether or not that recruiter finishes the year strong and carries a sizeable amount of momentum into the next year.  It also might determine how much that recruiter works between now and the end of the year.

If they’re enjoying a good year, some recruiters take off nearly the entire month of December, at least in terms of sourcing and hard-core recruiting.

We recently conducted a survey of Top Echelon Network recruiters by posting a question in the Members’ Area.

That question was as follows:

How would you describe the activity in your niche right now?

SURVEY RESULTS:

The choice of answers that were provided is listed below, along with the percentage of recruiters who selected each answer:

• Red hot! — 16.9%
• Heating up fast! — 31.2%
• Eh, lukewarm — 44.2%
• Not that hot — 6.5%
• Pretty much ice cold — 1.3%

SURVEY ANALYSIS:

Okay, first the good news: 16.9% of survey participants indicated that the activity level in their niche is “Red hot!” and another 31.2% answered “Heating up fast!”  Put those together, and you’ve got nearly half of recruiters enjoying a heightened level of activity.

However, another 44.2% chose “Eh, lukewarm” as their answer, and another 6.5% indicated that their niche is “Not that hot.”  Thankfully, only 1.3% of respondents are of the opinion that their niche is “Pretty much ice cold.”

So as you can see, the answers are all over the place, which pretty much reflects what’s happening in the economy overall—some areas are hot, some are lukewarm, and some are not.

FEEDBACK:

How would you characterize the activity in your niche right now?  With one of the choices listed above, or do you have your own way to describe that activity?  Will you be taking the whole month of December off this year . . . or can you just not afford to do that?

The 2013 National Association of Personnel Services (NAPS) Conference for recruiters is quickly approaching!

In fact, the NAPS Conference is scheduled for Tuesday, September 10, through Friday, September 13.  The location for the event is the Cosmopolitan Hotel in Las Vegas, Nevada.

That’s only a little over two months away!  That’s just one reason why you should register now for what’s annually one of the most heavily attended events in the recruiting industry.  Below are some other reasons to register:

• 20 of the recruiting industry’s leading speakers
• CPC, CTS, and CERS certification sessions
• Networking lunches
• Fast-track speaker breakouts
• An “Owner/Manager Special Day”!
• And a whole lot more!

As we’ve mentioned more than once, Hiring Hook recruiting websites and Big Biller recruitment software are both sponsors of this year’s NAPS Conference!

The cost to attend the conference is $795 for NAPS members and $1,195 for non-members.  Recruiters are encouraged to contact NAPS about special pricing and payment plans.

Since 1961, NAPS has built a reputation for being the educator for the executive search and staffing industry.  The organization has accomplished this not only through its annual conference, but also through its certification program and emphasis on continuing education for search professionals.

So sign up now!  September will be here before you know it!

Part of building a successful company begins with hiring qualified employees who fit into your company’s customs.

Good hiring decisions help position a company for success.  Poor hiring decisions can lead to inefficiency, increase your exposure to risk, and jeopardize revenue.  Employment screening is your first line of defense in protecting your staff and company assets.

IntelliCorp and Top Echelon have teamed up to provide background screening products and solutions at discounted rates to help you mitigate risk and keep your organization safe.

Recruiter network members can access preferred pricing on a wide variety of products and services.  Bundled package options are also available starting at $9.95.  Most basic background checks involve criminal reports, Social Security number/address history, and education and employment verifications.

The option always exists to expand a search beyond the basic screening components.  Depending on the position, you can add additional searches, such as motor vehicle reports, professional licenses, credit history, and drug testing.

The benefits of this program include the following:

• Preferred pricing
• All activation and monthly fees will be waived
• A consolidated order entry system that allows for one comprehensive report on each applicant
• Personal user ID and password
• 24/7 client access
• Customer support through IntelliCorp Client Services

This link will insure that you get all of the program’s benefits.  This link can also be found behind the Members’ Area login.

After logging into the Members’ Area, click on ‘Contact Us’ at the bottom of the page, and then click on ‘Preferred Vendors’ on the following page to access the link.