Employee referrals main source of quality hires - LinkedIn
KUALA LUMPUR -- Employee referral programs are poised to overtake internet job boards as the biggest source for attracting top talent in Southeast Asia (SEA), according to a study by LinkedIn, the world's leading online professional network.
LinkedIn's fifth annual SEA Recruiting Trends survey shows that 52 percent of the over 300 talent acquisition leaders in the region identified employee referrals as the second-biggest source of quality workers this year, up from 48 percent last year.
Internet job boards remain the biggest source, at 54 percent, but down from 58 percent in the previous year. Rounding up the top three sources is social professional networks, at 41 percent from 35 percent previously.
Globally, social professional networks represent the top source of quality hires, at 43 percent, followed by internet job boards (42 percent) and employee referral programs (32 percent).
"Thirty-six percent of the talent leaders we surveyed view referral programs as a long-lasting trend as the recruiting landscape becomes increasingly competitive," said Senior Director of Talent Solutions for LinkedIn in Asia-Pacific and Japan, Feon Ang.
"This, together with the increasing success that companies are finding in amplifying their employer brand on social professional networks, mean that the pair could be a strategic sourcing combination that play a key role in helping recruiters win the war for talent," she said.
Rise in hiring volumes
When organizations communicate their employer brand, they are consistently finding success with online professional networks over the past four years, with 57 percent citing this as the most effective channel.
Company websites, on the other hand, have fallen in effectiveness over the years to 61 percent.
Talent leaders need not do it all alone in the pursuit of employer brand excellence. Cross-functional partnerships between talent acquisition and marketing teams are critical in this effort, as 46 percent of talent leaders surveyed said their team shares employer branding responsibilities or contributes to branding efforts with marketing.
The survey also revealed that 50 percent of respondents said they expect hiring volumes in their organizations to increase in 2016 compared with this year, while 50 percent said that hiring budgets rose this year, extending the trend from previous years.
Survey results show that hiring budgets are not expected to grow at the same pace as volume, and this imbalance will prevent organizations from transforming their talent strategies in the year to come.
On obstacles to attracting top talent, 53 percent highlighted finding candidates in high demand talent pools as their biggest challenge. Compensation (48 percent) and competition from other employers (45 percent) were also among the top issues faced by talent acquisition. (PNA/Bernama)