Wednesday, June 17, 2009

How to Work with a Recruiter

I called my favorite client yesterday to see how everything was going. As usual, he was quick to take my call and was happy to hear from me. It got me thinking about how my successful placements all have a common denominator. I have been the most productive with clients that are active participants in the search process. There is a lot to be gained by having a good relationship with your recruiter.

So, how do you work best with a recruiter? I think there are a few basic principles.
  • Make a time commitment upfront and meet with the recruiter. Allow them to learn all they can about the position you are hiring for, as well as about your company and you. Understanding a hiring manager's background and how the future employee will fit into the organization is crucial for a successful recruitment
  • Take some time to map out what you need in the new employee, what the responsibilities of the position are, and what an ideal candidate's profile would be. While this may seem like something a recruiter could figure out, gaining your perspective on the ideal hire helps steer the recruitment in the right direction.
  • Ok, I have to say it, have reasonable expectations. If you are hiring a high level executive for a key spot in your organization, it may take longer than 4 weeks to find the ideal person. Take a peek at salary surveys to see if your proposed salary will be competitive in the market. There are a lot of variables to consider, but being realistic and flexible will allow a smoother recruitment
  • Be available. If a recruiter has a great candidate but can't get any feedback from you, the candidate may get another offer before you even think about interviewing them. Being available can also include being flexible about interviewing in off-hours and taking calls or checking emails when you are able to.
  • Ask questions. If you want to find out how the recruitment is going since you haven't heard from your recruiter in awhile, call. If a candidate looks great on paper and you want to get some perspective on the person's background, call the recruiter to see what they know about the candidate. Recruiters are talking to the candidates they submit frequently, and may have a quick answer to a specific concern. If your recruiter doesn't know the answer, they can talk with the candidate and get back to you with the information. Some quick questions and answers can save you time that would have been wasted on fruitless interviews.
  • Give feedback. If you don't like the set of resumes you are receiving, let your recruiter know what is missing. Sometimes what comes across in the first meeting with a recruiter may cause the wrong skill sets to be presented. Tweaking the requirements of the position may quickly bring you spot-on candidates, one of which will end up being your great employee. Even if you can't put a specific quality on your feedback, be open about your hesitations or concerns. Recruiting isn't simply putting skilled employees at the right job, but also making a satisfactory match of a person's soft skills. This isn't always quantifiable, but completely understandable to your recruiter.
  • Keep your recruiter informed. It is easy during the hiring process to gain a closer relationship with the future hire than the recruiter has. You want this--this person will soon be working closely with you and your staff. But let your recruiter know how things are progressing. If you have talked about salary, benefits or potential start dates--update your searcher. This is helpful for us recruiters to know how the search is progressing, but also for you. If we know that salary was discussed, we can talk to the candidate about where the negotiation stands. Sometimes sticky situations can be averted by a recruiter simply talking things out in a neutral setting.
  • Get guidance. If you are not sure your bonus program is up to industry standards, talk to your recruiter for their insight. If you aren't sure what type of educational background would be best for a production management position, your recruiter can say what the profiles are of other people in similar positions. Recruiters deal with this type of stuff all day, every day. We know you are working on different issues at the company, and interviewing and hiring is something you don't do often. Your recruiter can offer som insight in how similar situations have been handled, and offer you ideas on how to handle them.
  • Keep us informed, even after the start date. I love to get a fill, and am so thrilled for both the new hire and the employer. Often the first few weeks are a time of transition for the new employee and client. We recruiters understand, and want to allow you to get things in order quickly. But once the new employee is settled in, let us know how things are going. When we recruit on a position, we understand what the company is looking for, and some of the upcoming projects and changes involved. It's interesting to learn how things progress. Forming relationships with both clients and candidates is something recruiters like to do, so keeping in contact is always rewarding for a recruiter.
Getting that position filled sometimes can seem to take forever. Working closely and effectively with your recruiter can make it go smoother and many times, faster.

Monday, June 1, 2009

Newswire: Workers' comp hike looms

Yesterday Steve Hart with The Press Democrat reported about the upcoming hike in Workers' Compensation rates. Here's the link: http://www.pressdemocrat.com/article/20090531/BUSINESS/905311018/1339?Title=Workers-comp-hike-looms

Wednesday, May 13, 2009

Hiring a Consultant? Some Things to Consider

Consultants are a great resource for companies to bring in expert advice or to handle specific projects. There are a lot of winery professionals that call themselves consultants, but as an employer and a company, there are a few things you need to think of when bringing on a consultant.

The IRS offers an online 12 point checklist to use to make sure you are hiring a consultant. A consultant is a business person who is responsible for their own business, taxes and marketing. A winery does not have any responsibility to a consultant other than that outlined in a consulting agreement. The general rule of thumb is that a person is an independent consultant if the hiring company has the right to control or direct only the result of the work, not what the work is to be done or how the work will be done.

The basic items the IRS checklist covers are:
  • Behavioral Control: An independent consultant is not directed and controlled by the client. The client can only direct and control the work.
  • Financial control: A contractor has a financial stake in the work, and will incur expenses that the client does not need to reimburse for. Also, a consultant can show a profit or incur a loss for their business, unlike an employee who is compensated with a salary.
  • Relationship of the Parties: A contractor must maintain their own benefits, insurance and business activities. A consultant is not an employee, and therefore is not entitled to the same benefits an employee is.
Why is this important? There have been rulings in the past where independent consultants did not meet these requirements, and were eligible to receive the benefits of a regular employee. Microsoft and several other large companies were found to be misclassifying regular employees as independent consultants. These were landmark rulings, and have caused independent consultants to come under scrutiny with the IRS.

A 20 point checklist has been created to see if a consultant is really able to be classified as a consultant. Here are the questions:

For the following questions, a "yes" answer means the worker is an employee.
1. Does the principal provide instructions to the worker about when, where, and how he or she is to perform the work?
2. Does the principal provide training to the worker?
3. Are the services provided by the worker integrated into the principal's business operations?
4. Must the services be rendered personally by the worker?
5. Does the principal hire, supervise and pay assistants to the worker?
6. Is there a continuing relationship between the principal and the worker?
7. Does the principal set the work hours and schedule?
8. Does the worker devote substantially full time to the business of the principal?
9. Is the work performed on the principal's premises?
10. Is the worker required to perform the services in an order or sequence set by the principal?
11. Is the worker required to submit oral or written reports to the principal?
12. Is the worker paid by the hour, week, or month?
13. Does the principal have the right to discharge the worker at will?
14. Can the worker terminate his or her relationship with the principal any time he or she wishes without incurring liability to the principal?
15. Does the principal pay the business or traveling expenses of the worker?

For the following questions, a "yes" answer means the worker is an independent contractor.
16. Does the worker furnish significant tools, materials and equipment?
17. Does the worker have a significant investment in facilities?
18. Can the worker realize a profit or loss as a result of his or her services?
19. Does the worker provide services for more than one firm at a time?
20. Does the worker make his or her services available to the general public?
(from TaxProphet.com, http://www.taxprophet.com/apps/active2/indep-mm.html).

Making sure your consultant is a true consultant and not a quasi-employee will allow you to have them bring their expertise to the company, and allow you the flexibility to maintain the appropriate compensation and employment relationship.

These points were previously discussed for consultants on WineTalent's employment blog at Avoid the Taxman: http://winetalent.blogspot.com

Thursday, April 16, 2009

Employee Morale After Layoffs

With the current economic situation, many wineries are dealing with staff reductions. After weathering the layoff, the employees that are left are often nervous and apprehensive about their own job security. Managing through this time is necessary and can quickly improve productivity.

Elizabeth Garone of the Wall Street Journal recently published an article in the Career Journal about steps to take after a layoff. Here are the five things she outlined to keep morale up
  • Find alternative incentives: If you previously gave out cash incentives for meeting or exceeding goals and now can't justify the expense, think of other ways to incentivize your staff. At my former employer, we created various bonus programs that included half-day and full-day paid time off. These programs also included various small ticket gifts and lunches. After working on large projects, Fridays were reserved for a staff lunch where we were able to joke and relax a bit more. All of these led to great increases in morale.
  • Transparency is key: Communicate with your staff about why the lay-offs occurred and what the company is doing to right the ship. While losing co-workers is hard, employees like to see what is happening with the company and see ways to help the company become more profitable. Also openly discussing the situation allows people to ask questions and raise concerns in a non-threatening environment.
  • Recognition counts: Everyone likes to be recognized for a job well done. During this time, make sure you talk to people who are putting in extra effort and thank them for it. Don't forget that keeping the business running smoothly during this time of upheaval can be the biggest accomplishment, and recognizing anyone who is helping in that vein is very important.
  • Keep educating: When budgets are slashed, training can be one of the easiest areas to economize on. While you may not be able to send your staff to a company retreat, bring experts in to talk about certain situations. As Ms. Garone points out, having staff members lead in-house training sessions can be very enlightening. Look at the talent you have within the company or staff unit, and give those people a forum to teach others.
  • Promote a good work/life balance. After a layoff there are fewer people to do more work, which can lead those who are still around to lose the balance between work and home. While it is important to keep your staff working while at work, remember that the stress they are facing at work can spill over to problems at home. Be sensitive to employees' needs to help out at home or take time out of their day to address some personal needs. By being compassionate, your staff will be understanding as well.

Wednesday, March 18, 2009

Employment and Labor Lawyer

Many of the resources I've mentioned were brought to my attention by my attorney friend Barbara Cotter. Barbara specializes in employment law, and is a partner at the Sacramento offices of Cook Brown, LLP. Cook Brown, LLP specializes in representation of employers in all aspects of labor relations and employment law.

Barbara Cotter is very active in the legal community, and is a valuable resource for you. Please visit the Cook Brown, LLP, www.cookbrown.com website for her contact information.

Tuesday, March 17, 2009

Employment Law Resources

My employment lawyer contact recommended some sites for employment-related news and updates. These websites are a resource for you, and often offer instruction and training on some employment issues.

Some government sites are also a good source. Some that focus on California law are,

Also, the Internal Revenue Service site has a lot of information for employers, www.irs.gov

Friday, March 13, 2009

Employment Law Resource Available to You

For years I have talked to lawyers about employment law in California. California is one of the toughest states for employers, and the laws are often unique to this state. A resource for any California employer is the California Chamber of Commerce's HRCalifornia. The CalChamber is the largest business advocate in California. The Calchamber offers many products and services to employers, and their employment law information is a regular reference for lawyers and employers alike.