SIA Track Archives - Paragon Strategic Staffing https://phoenixstaffingagency.net/tag/sia-track/ Wed, 19 Oct 2022 16:22:26 +0000 en-US hourly 1 https://wordpress.org/?v=6.7 https://phoenixstaffingagency.net/wp-content/uploads/2017/12/cropped-paragon-logo-32x32.png SIA Track Archives - Paragon Strategic Staffing https://phoenixstaffingagency.net/tag/sia-track/ 32 32 ‘Quiet Quitters’: Are They Really the Problem? https://phoenixstaffingagency.net/quiet-quitters-are-they-really-the-problem/ Wed, 19 Oct 2022 16:22:26 +0000 http://www.thestaffingstream.com/?p=10063 There has been a lot of chatter around the trend “quiet quitting,” and I hesitated to contribute to the noise until I realized that everything being written had negative connotations. They areRead More...

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There has been a lot of chatter around the trend “quiet quitting,” and I hesitated to contribute to the noise until I realized that everything being written had negative connotations. They are saying “quiet quitters” are unmotivated slackers who do the bare minimum; they only want to do what they are paid to do and won’t go “above and beyond.”

But if you ask the employees, their response, according to a Monster survey, is that 61% are just burned out. And 72% of those burned out say the reason is their company is short-staffed. Surprisingly, although the buzz is everywhere, it seems that human resources haven’t caught up yet. SHRM recently reported that only 36% of HR professionals are aware of the term “quiet quitters,” and only half of those are concerned about the trend. So where is the disconnect?

Through this so-called “quiet quitting,” employees are actually screaming that enough is enough. In speaking with professionals across the industry, I’ve found the general consensus is that working 50-plus hours a week was affecting their mental health. Most had been trying to do their primary job for the first 40 hours and then trying to pick up any additional work for those who had been termed but not replaced during the next 10-20 hours. Weekends blended into the workweek because they needed time to catch up and prepare for the week ahead in order to combat the constant feeling of being behind on deadlines. Now, having scaled back for self-preservation — and being called out for doing so — those employees are wondering how “going above and beyond” became an expectation rather than an occasional service.

PREMIUM CONTENT: October 2022 US Jobs Report

But what are the solutions? Some experts say to pay employees more and they will be OK with working more. Some say provide recognition and employees will be happy to work more. Some say just communicate with employees, tell them why they have to work more and hope they will agree to do it. Meanwhile, the workers are begging employers to realize that it goes deeper than that. They need a workload balance, job sharing opportunities or updated processes that will enable them to be more efficient in performing their job. In order to accomplish this, they also need support from management and realistic deadlines.

From an employer perspective, I believe it’s an internal challenge. Maybe budgets are being cut, people are actually quitting, and talent is hard to find. It is true, according to SIA research, that there are more jobs posted than people available to work, even if every person in the US were employed. This means hiring more help isn’t always an option. So what else can companies do to lighten the load? If your culture is company-centric, then your challenge is going to be to understand the “quiet quitters” and find ways to improve processes so that the work still gets done without extra hours being expected.

If your company is employee-centric, then your challenge is going to be to listen to the “quiet quitters” and create an employee resource group think tank to help solve the root issues causing burnout. Employees will tell you which activities could be centralized and/or off-loaded. They know how to divide and conquer work among their teams. They know when to say no to customer requests. And they know which work efforts have already been tried and failed.

So, before you judge some of those employees who are starting to limit their work hours as “slackers” or call them “unmotivated,” look in the mirror and ask yourself what your organization can do to help get work done efficiently while retaining your valuable workforce.

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When Contingents Get Offboarded at the Wrong Time https://phoenixstaffingagency.net/when-contingents-get-offboarded-at-the-wrong-time/ Wed, 12 Oct 2022 15:48:03 +0000 http://www.thestaffingstream.com/?p=10048 Do you have someone on your team designated to ensure steps don’t get missed in simple onboarding or extension processes around contingent workers? The results when a key person in the processRead More...

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Do you have someone on your team designated to ensure steps don’t get missed in simple onboarding or extension processes around contingent workers? The results when a key person in the process is out for a few days unexpectedly can endanger projects — not to mention the reputation of your contingent workforce program. Whose responsibility is it?

A couple weeks ago, an acquaintance of mine — a long-term consultant for a global technology firm — launched his laptop to discover he had been cut off from all systems access at his client company. “Joe,” who supports a large business unit for the organization, knew immediately what happened. A couple weeks prior, the staffing firm that manages his contract and the team he supports alerted the contingent workforce program office that his contract was set to expire and needed to be extended.

Whether the person that alert went to was on vacation, had moved on to another role or left the company altogether, the end result was that no one completed the tasks necessary to keep Joe active in the system. For three full business days, Joe was unable to provide any support his internal team needed. Over the course of the following three days, his access was restored incrementally. So, for six business days, Joe was not able to do his job.

PREMIUM CONTENT: The Talent Platform Landscape: 2022 Update

Fortunately for Joe and his team, this came at a relatively slow time for the group. But it made me wonder if this was an isolated issue or there were other contingent workers across this global corporation who were similarly affected. Depending on the project at hand, several days’ downtime for contractors can seriously jeopardize deliverables and, ultimately, the company’s bottom line. Not to mention that in order to ensure the contractors not be assigned out to other clients, this organization would likely find itself having to pay Joe’s — and any similarly affected worker’s — regular hourly rate for ALL the hours affected, whether he worked at all or not, notes Dawn McCartney, SIA’s VP, CWS Council. A costly lesson indeed, depending on how many workers fell through these cracks.

While managers of this program can rest assured in a way — Joe’s access was completely shut down as the system was designed to do — they should be distressed that their processes failed this contractor and their internal stakeholders.

“Avoidable mistakes like this one can have an impact on not only the contingent worker and staffing provider but on the internal stakeholders as well,” McCartney explains. “Remember, your program needs to have buy-in and adoption from all parties to be successful. Avoid giving a reason for them to avoid supporting the program and create a workaround.”

It is critical for program managers to have a clearly defined process in place. Alerts should be set up within the system to let key people know — along with assigned backups — of impending contract expirations with plenty of time to spare for an extension to be approved, if needed. “We have seen success when program offices send 90-, 60- and 30-day reminders of an expiration date approaching,” McCartney adds. And if a response is still not received after the 30-day reminder, a phone call may be required.

Because the contingent worker and the staffing provider want them to be working — and billing — both will usually start to look for the next opportunity if an extension request is not processed or received.

In this case, Joe and his staffing firm knew the extension was imminent, so Joe remained available for the client. But not all errors have happy endings. “You do not want to put through a late extension only to find out the contingent worker is not available,” McCartney warns.

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Return-to-Office Plan? Read the Room Before Crafting a Strategy https://phoenixstaffingagency.net/return-to-office-plan-read-the-room-before-crafting-a-strategy/ Wed, 25 May 2022 14:38:40 +0000 http://www.thestaffingstream.com/?p=9779 Is leadership out of touch with its employees in corporate America? The answer is yes, according to research on companies’ return-to-office plans. The pandemic and various new Covid-19 variants forced companies toRead More...

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Is leadership out of touch with its employees in corporate America? The answer is yes, according to research on companies’ return-to-office plans.

The pandemic and various new Covid-19 variants forced companies to allow working from home. They cast their nets out for a wider geographic reach when recruiting talent. Workers accepted positions they may never have otherwise considered due to the distance from their homes.

Now, those decisions are coming home to roost as some companies seek to reign back in their workforces and re-populate their deserted offices. And workers are pushing back. The question is, how much should companies demand of their workers in this talent market? And what of their contingent workforce?

Google and one of its staffing suppliers are facing such a conundrum. The Seattle Times reported Google Maps contractors working for a staffing provider and assigned to a Bothell, Washington location are being recalled to the office full time. Office-based Google FTEs are also being recalled, but at a more flexible three days per week, and the contractors are asking for the same consideration.

Commuting full time would be unaffordable, they say. Many are far-flung, living miles away from the high-cost Seattle suburb. One would be commuting over 140 miles daily. Another worker who spoke with the Times has a less lengthy but still burdensome 50-mile trip each way. Both were hired during the pandemic. In addition to the commute, health concerns remain.

While some could argue workers should have foreseen the eventual return to office, they claim they have not been given the notice period they were promised when the eventuality occurred — meaning they have had less time to formulate childcare and other solutions. Also, shouldn’t contingents be offered the same flexibility as employees?

We’re still in the middle of a significant talent crunch, with employers lamenting the dearth of skilled workers they need. Is now really the time to lay down the law with regard to returning to the office? For more than two years now, we’ve learned if nothing else that working from home has not been detrimental to productivity. In this particular case, it appears to be the staffing firm calling the shots. However, the end result could prove problematic for the contingent workforce program and the project directly should a percentage of its team quit all at once over this situation.

Timing aside, the Google Maps situation points to a lack of understanding management has of its workforce. Earlier this year, a survey conducted by Microsoft of 31,102 workers around the world indicated that about 50% of leaders say their company already requires or is planning to require employees to return to in-person work full-time in 2023. In the same report, 52% of workers said that they are thinking of switching to a full-time remote or hybrid job in 2022. What leaders are looking for stands in sharp contrast to what employees really want: flexibility.

While many companies are initiating back to the office plans, others are still availing themselves of the benefits a remote workforce can provide. And workers know they have options, they may prefer to work for top-shelf employer brands, but at the end of the day, they know their worth and will take their skills elsewhere to protect their health and wellness.

Staffing providers and contingent workforce programs would do well to listen to them and work with them to find a suitable middle ground. In addition, corporations need to craft a return-to-office plans that is suitable for all its workers. Hybrid, anyone? Otherwise, employers may find themselves spending considerable time and money replacing talent and, given the labor crisis, may be left out in the cold.

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Hiring? Try Placing Potential Over Credentials https://phoenixstaffingagency.net/hiring-try-placing-potential-over-credentials/ Tue, 29 Mar 2022 12:00:36 +0000 http://www.thestaffingstream.com/?p=9661 What are employers committing to when they hire for potential? When an employer hires for potential, they are taking on candidates who may not have the necessary technical skills when they startRead More...

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What are employers committing to when they hire for potential? When an employer hires for potential, they are taking on candidates who may not have the necessary technical skills when they start but do possess the personal traits that make them a great fit for the organization. It could sound counterintuitive to some, but companies have to remember the labor market we are in has a tight supply of workers. And often times training someone who is the right cultural fit has many advantages.

This idea and its benefits came up during a panel discussion on DE&I at Executive Forum North America held earlier this month in Austin, Texas. Rather than hiring based on a stereotypical profile with a set list of skills, hiring based on potential could help bring nontraditional candidates from diverse backgrounds.

“Hire for potential; it’s more important than merit and your past experience,” said panelist DeLibra Wesley, founder and CEO of National Recruiting Consultants. “That’s the only way you’re really going to improve the metrics as far as DE&I goes because there’s just not a lot of minorities at the very top. So, in order to make effective changes with gender bias, minorities/BIPOC, we have to start looking at potential.”

The benefits of hiring for potential are seen across different segments, including IT.

“Many of the skills that are necessary to be effective in IT are very much learnable and can be taught on the job,” Arthur Hu, senior VP and chief information officer at Lenovo, said in an article in Computerworld. Hu also noted in the article that by sourcing candidates from nontraditional schools, “We can bring in some really great talent as well as increase our diversity at the same time.”

But employers may be unsure about hiring for potential. For example, an article by the US Chamber of Commerce said many hiring managers will hire a candidate who is overqualified for the position rather than invest in someone’s potential. But that may not be the right move. Hiring candidates with potential may result in workers who grow and provide more value in the long term.

PREMIUM CONTENT: Understanding the New Platform Environment

It might be time to give hiring for potential a chance. But what does the hiring process look like?

For starters, you’re hiring for fit within the organization. You’re looking for personality or character traits that tell you the candidate is someone who is willing to learn and grow with the organization, according to a blog post by Don Shapiro, an executive coach and author. Develop interview processes to identify people who are open to coaching and feedback, who are motivated to achieve results and change, and are problem solvers, for example. You can take those people and train them on specific skills that will help them get the job done.

But it does require employers to assess the candidate’s strengths and willingness to do the job before hiring. Done right, you have the people you need doing the jobs needed to be done. It’s a win-win for clients, the talent and staffing firms.

MORE: How to change deep-rooted diversity problems in tech

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Going viral: When an engagement manager does not know how to manage an IC https://phoenixstaffingagency.net/going-viral-when-an-engagement-manager-does-not-know-how-to-manage-an-ic/ Wed, 02 Feb 2022 16:00:36 +0000 http://www.thestaffingstream.com/?p=9573 It began with an engagement manager questioning why an independent contractor on his team did not attend a meeting. The IC clarified that his contract neither specifies hours nor includes daily meetingsRead More...

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It began with an engagement manager questioning why an independent contractor on his team did not attend a meeting. The IC clarified that his contract neither specifies hours nor includes daily meetings and stated he would not comply with a demand that he attend going forward. He was willing to walk away or be fired.

This IC’s experience with a client that demanded he deliver beyond the scope of his contract went viral recently on Twitter. But as an editor at SIA, my thoughts turned to the costs to the client and to the contingent workforce managers who often administer the IC program at enterprise organizations. Situations like the one detailed by Twitter user @BirdRespecter could prove to be major headaches — if not costly — for the enterprise organization.

What happened here was the client ultimately lost the worker — who was a week away from completing a “site installation.” While the client did not in fact have the authority to terminate the contract, subsequent exchanges led to the worker walking away from the relationship.

Beyond the immediate and obvious costs to the client in terms of a project thrown into turmoil, there is the danger of managers like this one pushing engagements into the realm of IC misclassification (exerting control over a worker is a significant factor in such determinations). Then, there’s employer branding.

Control. There are a number of tests that may apply to the relationship between a business and a contingent workforce. The applicable test varies based on government agency, relevant statute and jurisdiction, but a primary factor in nearly every test is the company’s right to control the worker’s conduct, according to Eric H. Rumbaugh, a partner with Michael Best and Friedrich LLP. However, he points out that this particular scenario is unlikely to lead to misclassification concerns. “Requiring a worker to attend a meeting, by itself, would unlikely have any weight in converting a contractor to an employee – independent contractors and employees both have meetings and both have necessary meetings.”

Branding. While the contractor did not name the client nor the agency through which he worked, he easily could have, and other similarly situated independent contractors could turn down future work with the client given the demands made. Having your company blasted on social media can do lasting damage to its reputation and remove it from consideration as an employer of choice for top candidates.

Companies are accustomed to paying attention to social media from a consumer experience aspect, but in terms of the employer brand, it’s still not being addressed well, says Dawn McCartney, SIA’s VP, Contingent Workforce Strategies Council. Employment is becoming far-flung as the pandemic pushed employers to accept remote work. “Where you might have known people working for an employer in your city, now, if you’re considering an employer across the country or globe, you’re going to look to social media to learn about the employee experience.” With the current talent crisis, especially, companies simply can’t afford not to address complaints that emerge.

Educate. While the company involved in the viral Twitter thread presumably avoided the long-term damage it could have suffered, it still was left scrambling to get its installation project completed. And this could have been avoided easily, had the engagement manager been educated on what they could and could not require of the worker. As the IC said in one response to the manager: “You guys really ought to read the contracts you make us sign sometime. Pretty wild stuff in there.”

As the talent crisis deepens, the power lies with the worker. SIA knows from its annual Workforce Solutions Buyer Survey that enterprise organizations plan to expand on their use of independent contractors over the next few years. Further, many are developing their own direct-sourcing programs, which puts more of the responsibility for relationship management on the program. Increased use of ICs means more engagement managers interacting with them, and perhaps setting expectations they’ve no right to set.

When engaging ICs, learn what the do’s and don’ts are and make sure your engagement knows them as well. Then, of course, there’s business 101: Read your hiring contracts.

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Vaccine mandates: What do workers want? https://phoenixstaffingagency.net/vaccine-mandates-what-do-workers-want/ Wed, 12 Jan 2022 18:23:42 +0000 http://www.thestaffingstream.com/?p=9535 The US Supreme Court’s rulings on two vaccine employer mandates imposed by the Biden administration are imminent; regardless of the direction the rulings take, businesses must still be ready to keep theirRead More...

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The US Supreme Court’s rulings on two vaccine employer mandates imposed by the Biden administration are imminent; regardless of the direction the rulings take, businesses must still be ready to keep their workers safe from Covid-19.

The question remains, what do workers themselves expect of their employers? The short answer is: It’s hard to tell.

More than half of workers, 53%, want to see their workplace introduce the proper technology that could record proof of Covid-19 vaccination, according to the second “Return to Work” report from MRI Software, an international provider of real estate and workplace management solutions, and Brivo, a provider of cloud-based access control and smart building technologies. The report includes responses from more than 1,000 people in the US.

Support for employers to track vaccinations reflected broader concerns about health and safety in offices. More than half of respondents, 52%, said they had safety and health concerns about returning to the workplace, but that figure was down from 62% in a previous report in May. There was a clear difference, however, between the type of industries and the level of concern about working on-site. People in professional services were the most apprehensive, with 61% reporting concerns about returning full time. In comparison, just 41% of respondents in the service industry had concerns about returning to the workplace full time.

“The research indicates that health and safety concerns remain a significant barrier to returning to the workplace,” says Brian Zrimsek, industry principal at MRI Software. “There is clearly still a sense of unease among many in the wider workforce. Businesses encouraging a return to offices and other workspaces need the right technologies in place to implement and communicate health and safety measures, ensuring employees can work together in person in a safe environment.”

Waiting It Out

Meanwhile, many employers are biding their time. More than half of employers subject to the Biden administration’s Covid-19 vaccine-and-testing mandate for organizations with 100 or more workers are waiting to see how current legal challenges unfold before deciding on a vaccination policy, according to research released from the Society for Human Resource Management.

The survey from late November found 51% are waiting to decide and most respondents, 75%, said they are not likely to require vaccines or testing if the mandate is permanently struck down by the courts.

Employers cited numerous challenges to implementing the mandate, including uncertainty around the outcome of legal challenges (73%), managing employee morale (65%), record-keeping requirements (59%), managing employee retention (56%) and staff time associated with implementing the requirements (55%).

A wait-and-see approach may not be in their best interests, however. For a discussion on ways employers should be preparing, see my article from today’s issue of Contingent Workforce Strategies 3.0.

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Rising to the Moment: Women in Staffing https://phoenixstaffingagency.net/rising-to-the-moment-women-in-staffing/ Mon, 15 Nov 2021 18:00:58 +0000 http://www.thestaffingstream.com/?p=9406 The nominations for the Global Power 150 – Women in Staffing poured in. It felt the ecosystem came together to do what it could to elevate women. Much has been said aboutRead More...

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The nominations for the Global Power 150 – Women in Staffing poured in. It felt the ecosystem came together to do what it could to elevate women. Much has been said about corporate America’s lackluster DE&I efforts and the poor representation of women including women of color in the C-suite and the boardroom. Is our industry any different? No. SIA research corroborates it.

But there are small but positive indicators that our industry is trying to change that paradigm. SIA received hundreds of nominations for the Global Power 150 – Women in Staffing list. It was heartwarming to see the efforts made on behalf of the women in our industry. Companies big and small nominated their thought leaders and backed it with substantial data.

The potpourri of recommendations included established leaders who ran-billion-dollar operations while continuing to lead their teams to stay ahead of the competition, workforce specialists, DE&I visionaries, technologists, innovators in tech and operations, attorneys, author — the list speaks to the diversity of thought in our ecosystem.

Congratulations not just to those who were selected for the list, but to all those who were nominated as well. As SIA’s editor and publisher, I was part of the team that scrutinized all the nominations to make the 2021 selection. It was a grueling process during which we made many tough calls, keeping in mind varied criteria such as scope of influence within their companies as well as the ecosystem at large. If there’s one message I wish to convey, it’s that if you were nominated for the list, please take a minute to pat yourself on the back.  Your efforts to be a better leader and uplift your team have been noticed.

PREMIUM CONTENT: Global Staffing Company Survey 2021: Concerns about current and upcoming legislation

We made the list selection amid a backdrop of the toll the pandemic has had on women in the workforce. A 2021 Women in the Workplace report by LeanIn.org and McKinsey & Co., the largest study on the state of women in corporate America, revealed that women are more burned out than men and continue to leave the workforce in droves. The report also noted that women are rising to the moment as stronger leaders, but their critical work is going unrewarded and unrecognized.

That’s what we want to change. Workforce solution providers need to make to make a real commitment to an inclusive workforce — including racial equity — if we want to represent the communities we serve.

Make that pledge to make the world of work better, take it seriously and do the right thing. The industry will be a big beneficiary.

And part of that is recognizing people’s contributions. To that end, please continue to send in nominations for the list. Help us in our efforts to highlight those who are redefining leadership.

To the 2021 Global Power 150 – Women in Staffing honorees: You are phenomenal. Congratulations! Your profiles will be live online tomorrow.

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Collaborate for a Better World of Work https://phoenixstaffingagency.net/collaborate-for-a-better-world-of-work/ Wed, 13 Oct 2021 14:50:56 +0000 http://www.thestaffingstream.com/?p=9316 There is no college degree offered to support contingent workforce operations and strategies. And those in the workforce solutions ecosystem hail from hugely disparate backgrounds — some from disciplines such as journalism,Read More...

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There is no college degree offered to support contingent workforce operations and strategies. And those in the workforce solutions ecosystem hail from hugely disparate backgrounds — some from disciplines such as journalism, others from the fashion industry, many from business school, still others from the medical field. But we all are here, committed to making the world of work a better place.
How do we do that? Collaboration. As an SIA analyst and a former continent workforce program manager, I have seen firsthand the value of collaboration in our industry.

Each of us at some point has learned from others through collaboration. While SIA does offer industry certification, beyond that, people tend to learn from each other’s experiences and ideas. Why is this so important? Because together we are stronger and together we will continue to find better and faster ways to put people to work.

The entire workforce solution ecosystem is flourishing because of the success we have had as an industry in putting people to work. This is largely due to the willingness of like-minded individuals and companies to work together to be the best we can be. Professionals in this industry are quick to share best practices and thought leadership. Staffing firms share their knowledge with other staffing firms and with their clients. Buyers rely on that guidance from their key providers but also turn to other program owners for expertise and ideas.

SIA supports such collaboration through our membership programs and in-person conferences — we held our North America CWS Symposium Live and Collaboration in the Gig Economy events just last month. The spontaneous interactions that occur at such events are quite heart-warming. It is common to see buyer organizations connecting with suppliers, MSPs, VMSs and other ancillary providers to discuss challenges their programs may be facing or discuss ways to achieve program goals. What happens at these conferences are often the foundations of new products and solutions that enables a path forward to get better at putting people to work. Meanwhile, CWS Council membership provides recurring opportunities for buyer organizations to discuss challenges, share ideas and learn.

PREMIUM CONTENT: RPO Global Landscape 2021

The industry is continually evolving largely because its professionals do seek out others’ expertise and look for ways to challenge the status quo. If your program is facing a particular challenge or if you have recently overcome one, I encourage you to reach out to your suppliers and your peers to discuss what you need or what you have learned. It is through these interactions that the industry continues to serve its ultimate purpose: to put people to work.

But your discussion does not have to be based on challenges alone. Topics of collaboration are wide-ranging. What might a contingent workforce manager want to collaborate with a provider or a peer on? Perhaps you’re considering implementing the latest AI technology to test the skills of your candidates. Or you’re just beginning to look into the possibility of establishing a direct-sourcing program for your organization and you want to know what others’ experiences have been. Maybe you’re stymied on how to extend your company’s DE&I initiatives to your contingent workforce and are not sure what’s the best approach in your particular location. From topics like these to building a business case for a proposed change to understanding the evolved MSP model to developing vaccine policies, your suppliers and industry peers can be a valuable assets.

The workforce solutions ecosystem is by all accounts a very well-connected community; but what is motivating is the willingness of competitors, in many cases, to share ideas and challenges. Through this give and take, there is an underlying code of ethics that represents respect and, yes, collaboration to be the best we can be.


Want to start small? Begin a conversation by writing your own blog post for the Staffing Stream. Our editors are happy to collaborate with you.

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The Aftermath: Reality of Mexico’s outsourcing ban https://phoenixstaffingagency.net/the-aftermath-reality-of-mexicos-outsourcing-ban/ Tue, 28 Sep 2021 15:40:45 +0000 http://www.thestaffingstream.com/?p=9281 Mexican President Andrés Manuel López Obrador’s ban on the outsourcing of jobs — as staffing is known in Latin America — is a reality this month. And the effects have just startedRead More...

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Mexican President Andrés Manuel López Obrador’s ban on the outsourcing of jobs — as staffing is known in Latin America — is a reality this month. And the effects have just started to be felt. Take Edmundo Escobar, for instance. He has shut down his Mexico-based staffing firm, Rolling Personnel, as client reactions to the law took shape. Now he has begun a new firm providing specialized services for the petroleum industry.

Escobar is one example. However, he is quick to note that the situation in Mexico is still too new to gauge the true impact of the law on the workforce solutions ecosystem.  Martín Padulla, founder and managing director of staffingamericalatina, an independent organization covering the Latin American labor market and an associate of Staffing Industry Analysts, concurs.

Employment Numbers. There are preliminary indicators of the law’s effects, though. For example, Mexico’s Social Security Institute, or IMSS, noted that as of Aug. 31, the share of permanent employment in Mexico was at an 11-year high. However, Padulla and others caution it is still too soon to make a determination and the numbers shouldn’t be relied upon. While the law went into effect on April 24, there was a transition period until Aug. 1, which was extended to Aug. 31 just before the initial Aug. 1 deadline.

Rolling’s Escobar, who also previously has served as president of AMECH, the Mexican association of staffing firms, says, “I don’t think that we can have a real assessment at this stage of the effects of the law.”

Staffing with a Twist

The Law. The new business reality involves staffing firms operating in Mexico unable to supply workers within the country unless they are providing specialized services and are registered.

A legal update by Staffing Industry Analysts noted the law defines outsourcing, or subcontracting, as when a legal entity such as a company makes its employees available for the benefit of another. The only exception to the law is the subcontracting of specialized services that are not part of the corporate purpose or main economic activity of the client company.

“Staffing firms may no longer supply staff unless they are providing specialized services and are registered,” according to the report. The deadline for that was Aug. 31. “Otherwise, a staffing supplier is limited to acting as an employment agent in the recruitment, hiring and training of staff who must be employed directly by the client.”

Real repercussions. But there are concerns about going forward given the law and the uncertainty in the economy. Escobar cites a large retailer that no longer allows independent companies to send staff to promote products in its stores. Instead, the retailer has hired its own internal staff and manufacturers must now pay the retailer to promote their products in its stores.

Still, “we are not close to seeing the real impact,” Escobar says.

PREMIUM CONTENT: Latin America Legal Update: Q2 2001

He expresses concern, though, about the number of people in Mexico living in poverty, which has grown by 50 million since the start of Covid. Will the law actually make it more difficult for them to find formal work?

Staffing options. For staffing firms that do plan to provide specialized services — beyond just providing talent — under the law, they must be registered with the government, according to a report by SIA. “Otherwise, a staffing supplier is limited to acting as an employment agent in the recruitment, hiring and training of staff who must be employed directly by the client.”

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Upskilling Is a Win for Workers and Businesses https://phoenixstaffingagency.net/upskilling-is-a-win-for-workers-and-businesses/ Mon, 30 Aug 2021 12:00:00 +0000 http://www.thestaffingstream.com/?p=9223 Amber Ikpe is a success story for upskilling. Today, Ikpe works at the Information Technology Senior Management Forum (ITSMF), a nonprofit headquartered in Atlanta. She is the CRM manager, overseeing the databases.Read More...

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Amber Ikpe is a success story for upskilling.

Today, Ikpe works at the Information Technology Senior Management Forum (ITSMF), a nonprofit headquartered in Atlanta. She is the CRM manager, overseeing the databases. This is a far cry from the $7.58-per-hour service industry job she held prior to upskilling.

Thanks to Year Up’s one-year upskilling program, Ikpe got the education and training she needed to change her career path. Here’s how it works.

Year Up is a nonprofit organization dedicated to empowering young adults through higher education and career development. The program puts more than 4,000 students each year through six months of classroom education and then six months in an internship program. They then get assistance in landing a job or pursuing higher education, and they get the backing of a 20,000-strong alumni network.

Ikpe’s internship was at Cox Automotive with additional support from Year Up.

“During the week, we would go to our internships. Then, on Wednesdays, most folks would come into the office of Year Up and talk about how things are going on the job and have our coaching sessions,” Ikpe says. “It was really wraparound support.”

After the six-month internship came graduation. Ikpe says students could decide to remain with the company at which they were working or pursue a post-secondary education. She did both. While working, she earned an associate degree through Gateway Community College. Now, she is working on a four-year degree through Central State University in business management while continuing her career at ITSMF.

Ikpe also works as a coach through Year Up Professional Services, or Yupro, to help others going through the Year Up program. Yupro is a staffing firm that places workers who have gone through the Year Up program.

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The Upskilling Movement

Programs like Year Up’s are not just for people like Ikpe. Even for workers in good jobs, upskilling is necessary. Research earlier this year by Gartner found that 58% of the workforce will need new skills to continue doing their jobs successfully.

As a result, firms are coming in with their own take on how do to it. And it’s not just firms in the workforce ecosystem, either. Enterprises are also getting on board with training workers and bridging the skills gap.

Last June, for example, IBM announced a collaboration with 30 global organizations — including governments, community colleges, nonprofits and employment agencies — to help underserved populations improve their skills and employability. It cites a statistic from the World Economic Forum that closing the skills gap could add $11.5 trillion to global GDP by 2028.

Workers using training programs are doing so for a variety of reasons. From seeking a new, better career to embarking on a training journey to radically change their lives, people are taking online courses and trying varied programs, boot camps and more. The race to learn new skills for any number of reasons continues.  And the beneficiaries are companies — including staffing firms — and the talent. It’s a win for all.

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