TOPIC 5:

RECRUITMENT

LEARNING OUTCOMES:
At the end of the lesson, you should be able to:
 Define and understand recruitment.
 Differentiate methods of recruitment by its advantages and disadvantages.
 Describe appropriate recruitment methods given the particular needs of an
organization
 Determine effective recruitment challenges

TEACHING-LEARNING ACTIVITY (LESSON PROPER):

WHAT IS RECRUITMENT?

- The process through which the organization seeks applicants for potential
employment by attracting them.
- Refers to the organizational activities that influence the number and types
of applicants who apply for a job and whether the applicants accept jobs
that are offered (Ivancevich, 2013)

TWO TYPES OF RECRUITMENT

A. Internal Recruitment
- Hiring applicants already employed by the organization
- An example of this type is promotion and lateral transfer
 B. External Recruitment
- Hiring applicants from outside the organization
- Includes the actions intended to bring a job opening to the attention of
potential candidates outside the organization

METHODS OF RECRUITMENT
1. Job Advertising (in-print)
- This is also known as ‘help-wanted ads’, which advertises or announces a
job vacancy to target candidates.
- Job advertisements can be posted in newspapers, journals, magazines,
and bulletin boards. These job postings are either paid for or posted for
free depending on its nature.
- Before the overuse of the Internet, job advertising is the most common
way of seeking people to apply for a specific job, with newspaper being
the most popular medium. The ads were typically found under the
‘Classified ads’ section of the daily newspaper.

Advantage

- Job advertisements can reach a wide audience, depending on the

popularity and circulation of the newspaper, journals, and magazines.
- Wide audience implies more people knowing about the job vacancy,
consequently, more job applications are expected to be turned in.

Disadvantage

- It is less cost-effective. Cost-effectiveness is the ability of a program,

actions etc. to yield good results without costing a huge amount of
money.
- Advertising a job through newspaper is more costly compared to other
methods and mediums. The cost of a job advertisement is normally based
on the size of the job ad, the layout of the ad in the newspaper and the
schedule and frequency of its posting.

2. Job Advertising (online)

- The most common platform for job advertisement in this contemporary
period is the Internet due to its inexpensive, quick and reliable nature of
making the vacancy known nationally and even globally.
a. Company websites
- Most of the huge companies exploit the Internet by establishing their own
company websites which is considered a cost-effective way to advertise
relevant information about a job opening and the employer. However,
this may be viewed as a passive way of recruiting since the number of
qualified applicants this medium will receive depends on the reputation of
the company.
Research has shown that effective company website generally has the following
characteristics:
 It contains information that are important to job applicants, such as job
description and job functions, expected salary or salary range, company
location and the like.
 It allows applicants to give relevant information online in a non-complex way
(includes posting résumés or filling up of online application forms)
 It provides applicants with the status of their application (e.g., acknowledges
receipt of résumés, submission of pre-employment requirements)
 It includes information on the company’s application procedure which
explains the succeeding steps a candidate must go through in the hiring
process.

b. Online job boards

- Many medium-scale and large-scale companies rely heavily on online
job boards such as JobsDB and JobStreet in the Philippines and
CareerBuilder in the United States when it comes to announcing job
vacancies.
- Compared to ‘help-wanted ads’, these have a wider reach and are
generally less expensive than classified ads.
- However, online job boards oftentimes generate too many potential
job applicants, some of whom are unqualified.

c. Social media
- Ever since the emergence of Internet, more and more people create
their social media accounts which is initially intended for socialization
with long distance relatives, and friends. Eventually, social media sites
became an avenue for job hunting by applicants and recruitment itself
by employers.
- According to a 2013 SHRM (Society for Human Resource
Management) survey, 77% of organizations utilize social networking
sites for recruitment. This is primarily due to its cost-effectiveness and its
ability to reach job-seekers not only locally but also around the globe.
- Just like what was presented in the previous unit of this module, the
most popular social media sites used for recruiting qualified applicants
are LinkedIn and Facebook. The same 2013 SHRM study also found that
94% of companies make use of LinkedIn for recruitment purposes.
3. Headhunting or Executive search firms
- This is a recruitment method wherein specific companies offers recruitment
and selection services, but with fee, oftentimes extravagant monetary
payment from the organization demanding qualified applicants immediately.
- They are also called by names ‘executive search firms’, ‘headhunters’ and
‘recruitment agencies.’
Advantage
- Employers who have limited networks of candidates for vital and senior
positions and who have limited capacity in doing stringent employee
screening and background checking take advantage of the capabilities of
search firms to refer not only good or qualified applicants but candidates
who are of high caliber.
- It definitely saves the employers time and effort doing the challenging search
themselves.
Disadvantage
- This approach to recruitment is indeed very expensive and is appropriate
mostly for applicants for senior positions or special roles.

4. Employee referrals
- Using this method, current employees of the organization ask or refer people
they know to apply for work in the organization.
- There are companies that benefit from the effectivity of this method to the
extent of establishing formal employee referral system which rewards
employees who refer qualified applicants to fill in vacant positions in the
company with monetary and non-monetary incentives.
Advantage
Employee referrals are effective for the following reasons:
 Employees, especially the good ones, will only refer people they
believe will make good employees. This can serve as a form of pre-
screening.
 Current employees are likely to provide those they refer with realistic
information about the job and the culture in the organization, so the
prospective applicants can assess whether they fit the job position and
even in the organization.
 Current employees are likely to help the person they have referred get
to familiarize, if not master, the new job once hired.
 Referrals from current employees are an especially effective way to
bring job openings to the attention of ‘passive candidates’ who are
highly qualified but are already employed elsewhere.
 Research has shown that candidates who are employed through
referrals tend to have better job qualifications, perform better, and
remain longer in the organization (Burks, et al. 2013).
(These generally entails less cost for the organization)
 Disadvantage
- It is not as much beneficial for organizations that require large volumes of
applicants to operate due to employees’ limited number of contacts that
they could refer.
- Its success depends heavily on the size, scope and volume of the actual
network of friends or contacts of employees and of the recruiters
themselves.

5. Rehiring former employees

- A recruitment approach wherein organization rehire employees who have
worked for them in the past.
- ‘Rehires’ are also known today as ‘boomerang employees.’

Advantage

- Boomerang employees basically need very little time to get reacquainted

with the company, to adapt to the culture, and easily transition into their
posts. They also tend to be more committed to stay in the company
during their second opportunity to work for that company
- It is cost-efficient since less time and effort will be needed for re-training
and for building up their commitment to the organization.

Disadvantage

- This method is not suitable for starting companies since they are yet to get
people in the organization.

6. Walk-ins
- This is a casual and unsystematic effort of the organization to recruit
potential employees, wherein job applicants present themselves to the
organization with their résumés and curriculum vitae(s) at hand even
without any idea in mind of available openings.
- Walk-in applications are made in person, by mail or fax. This type of
applications is most common in organizations that are well known for their
salary offers, growth opportunities and generally have a good reputation
as an employer.

Advantage

- Organizations with good reputations are considered ‘employers of choice’

since it attracts fresh graduates and new entrance in the workforce.

Disadvantage

- Organization has little control or knowledge about the quality of walk-in

candidates. Thus, HR needs to spend time and effort in properly screening
these candidates.
7. College recruiting
- The most common forms of college recruitment include participating in an
on-campus job fairs, forging partnerships with the college placement offices
or career guidance department, posting job vacancies in college bulletin
boards, and student internship programs.
- Various employers are invited to participate in an on-campus job fairs and
are allowed to set up booths for their companies where they could meet the
students. Arrangements are also made for onsite submission of applications
and applicant interviews when joining on-campus job fairs.

Advantage

- Organizations are able to reach a wide group of potential applicants who

are actively seeking jobs.
- The cost is generally more affordable.
- This method is effective in hiring applicants for entry level positions in an
organization.

Disadvantage

- This method is not that helpful in seeking applicants for top level positions in
an organization.

8. Internships (OJT)
- These are formal arrangements between schools and employers which allow
students to work for the company for a specified period of time.
- Under this arrangement students are assigned by the company to handle
actual work and receive training to perform the functions of a particular
position relevant to one’s field of study.

Advantage

- Companies under internship initiatives are able to spot talented students

whom they would want to eventually hire since they are already trained and
immersed in the organization.
- This form of on-the-job training entails minimal cost, even if there are some
companies that pays the trainee.

Disadvantage

- Training a student on the organization’s functions requires a considerable

amount of time since the students entered the organization with relatively
insufficient work experience or practical knowledge about the job.
- Potential recruitment using this method is generally limited to entry-level
positions that can be filled in by the graduating students.
 9. Creative recruitment methods
- These are often motivated by the need of the company to focus on a
particular segment of the labor market and attract particular groups of
people.
- These unique approaches are sometimes developed in line with the
company’s desire to gain competitive advantage over other employers and
to present the company to job applicants as an organization distinct from any
other organization in the same field or industry.
- One example of this is student leadership training programs. These are
exclusively intended for top graduating students and serves as the outreach
program of the company.
- Another example is a signing bonus program. This bonus is a lump sum of
money that an employer offers to attract an applicant to join or ‘sign on’ with
the organization. The bonus is dependent on the particular position to be
filled. However, it typically ranges from five to 25 percent of the projected
annual salary, which is rather good for a start. Practically, the signing bonus is
used to attract candidates for executive level positions and those that have
high levels of employee turnover based on past records. It is also used to seek
for potential employees with distinct skills or competencies that are difficult to
find.

SELECTING THE RIGHT RECRUITMENT METHOD

Indeed. it is not applicable to single out any method as the best even for a
specific company. Each has its own pros and cons, and a combination of these
methods is a lot more beneficial.
 Summary of Recruitment Strategies

Cost Quality of Quantity of Time and effort

candidates candidates required

Can be costly Generally high

Job ads (posting in Little control; yield of Screening
(newspaper, company website is anyone can applicants requires much
online, generally without apply because of effort due to
websites) cost) wide reach volume
Costs may vary from Requires little
Online zero (website Little control effort,
social posting) to over quality but varies especially with
recruitment moderately high narrowed down paid services
(Facebook, cost (paid services or targeted that do pre-
LinkedIn) in social media) screening

Minimal cost Generally pre- Small but pre- Requires little

Referrals (depending on selected by selected effort
rewards given to referrers; number
successful referrals) Can tap passive
candidates

Candidates are
sure to have
Rehiring Minimal cost work experience Small number Requires little
and to possess effort
knowledge
about company
or position
Candidates are Job fairs have
College Minimal to limited to fresh a wide reach; Requires much
recruiting moderately high graduates or internships time and effort
(job fairs, cost students who target a small to arrange
internships) are yet to number of
graduate participants
Moderate to high Requires little
cost (fee is approx. Candidates effort since
Headhunting equivalent to one- have gone to Small but headhunter
month salary for the various levels of targeted does most of
position being filled) scanning the screening

No control over
quality but
Walk-ins Virtually at no cost candidates are Requires usual
generally effort in
interested in the Varies screening
company and
ready for
immediate
employment
 The following are the challenges to conducting recruitment effectively:

1. Lack of information or poor brand image of the organization as an employer

If a company does not have a good brand image or if people know

barely anything about the company, it is unlikely that people may be
attracted to apply to the company. Due to this, companies invest time, effort
and money in marketing their brand so that they are viewed as ‘employers of
choice’. Some companies do this by competing in established awards
programs. Meanwhile, other companies seek formal certification and
accreditation as responsible and quality employers through accrediting
systems. Examples of awards programs and accreditation are shown below.

a. People Management Association of the Philippines (PMAP) Employer of

the Year

b. Employer’s Confederation of the Philippines (ECOP) Kapatiran sa Industriya

(KAPATID) Awards

c. DOLE Gawad Kaligtasan at Kalusugan

d. DOLE Regional Search for Outstanding Employer

e. Investors in People (IiP) accreditation and certification

2. Time available to fill a vacancy

One of the most common challenges in recruitment is the availability

of time to fill a vacant job position, especially the lack of it. Vacancy in
any level of the organization is deemed as disruptive to the operations
and work flow of the entire organization, that is why HR practitioners
carry a big responsibility and take heavy pressures to fill the vacancies
within less time. Although most companies require present employees
to give notice of at least 30 days prior to their resignation date, it is still
an obstacle recruiters need to figure out to effectively fill the vacancy
either before or immediately after the employee goes out of the
company. This can be addressed as the HR practitioner proactively
recruit and screen for anticipated vacancies in positions that generally
are observed to have high turnover rate or are hard to fill.
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Managing human resources: local and global perspectives (outcomes-based

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DeCenzo, D. A. & Robbins, S. P. (2010). Fundamentals of Human Resource

Management, 10th ed. New Jersey: John Wiley & Sons, Inc.

Jackson, J. H. & Mathis, R. L. (2008). Human Resource Management, 12 th ed. Ohio:

Thomson South-Western.

Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, P. M. (2016). Fundamentals of
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