THE WAR FOR TALENT Barry Whelan, CEOExcel Recruitment

‘Placing Great People with Great Companies’

WHY IS THERE A WAR?

Does anyone want to work in retail?

RECRUITMENT CHALLENGES: SUPPLY

5.4% Unemployment rate (April 2019)People working

+2 million 285,000People working in retail

59, 738 Estimated to sit Leaving Cert 2019

+60% School leavers go on to higher education (the highest in Europe)

70,000graduates in 2018

Net migration: 34,000

Immigration: 90,300

Emigration: 56,300

RECRUITMENT CHALLENGES: DEMAND

OUR LIVE JOB NUMBERS

October 16 - 320 live jobs

October 17 - 398 live jobs

October 18 - 481 live jobs

October 19 - 520 live jobs?

0

100

200

300

400

500

600

Oct 19Oct 16 Oct 17 Oct 18

JYSK

Decathlon

Central Plaza/ Clery’sQuarter

NEW ENTRANTS 2019

NEWSTORE OPENINGS

Dunnes opening first new store since 2006

Aldi to open 7 new stores in 2019

SuperValu to open 3 new stores in 2019

Homesavers to open 20 new stores in 2019

RECRUITMENT CHALLENGES: DEMOGRAPHICS

INCOMING….. GENERATION Z

GENERATION ZWhat is their expectation of work?

Millennial2 screensText based communication Present focused Sharers OptimistsWant to be discovered

Generation Z5 screens Image based communication Future focused Creators RealistsWant to work for success

In 2011, we carried out a major Irish and international survey which found that recruiters

believed 54% of the talent market was driven by

the job candidate’s needs, while 46% was driven

by the employer. Move forward to December 2018,

however, and employers see it as 93% candidate

driven and 7% employer driven.

“

”Jane Lorigan, chief executive of IrishJobs.ie

RECRUITMENT CHALLENGES: RETENTION

SO WHY DO PEOPLE

LEAVE THEIR JOBS?

Employees leave because:

No Progression

No Challenge

Aware of their worth

No Recognition or Rewards

Broken promises

Unrealistic expectations

SO WHAT DO

PEOPLE WANT?

Employees want:

More learning/to gain new skills

More autonomy

Better work/ life balance

Room to grow

Benefits/ salary

Better terms/ hours/ flexibility

employees seeking a newjob want better pay &benefits

of employees wantbenefits to increase theirloyalty

54%

30%

91% of employees rate healthcare as the most important benefit

of companies that introduced a health & wellness program found a reduction in sick days 28%

59% of employees stayed for Health & wellness benefits

of the workforce offered a role, turned it down due to lack of benefits1/3

of employees are worried about financial security in

retirement

of employees consider it vital to have a pension on top of the state benefit

of employees will stay loyal for increased

pension contribution

of employees rated holidays as their most sought-after benefit

65%

75%

53%

62%

THE BIG

Pension

Good: 5% contributory pension

Better: 10-15% contributory pension

Best: Defined Benefit Pension scheme

Our Industry Norm 6% contribution

Health

Good: Group discount scheme

Better: Health Insurance for self

Best: Health Insurance for Family

Our Industry NormGroup discount scheme

Holidays

Good: 21 daysBetter: 23 daysBest: 26 days +

Our Industry Norm 21 days

After the Big 3, what’s next?

Flexible Working Hours

Flexible Working Conditions

Paid Maternity/Paternity leave

And….

Sick pay scheme

Weekend rotation

Further education

What benefits are readily available in the Irish retail market?

1. Sunday & B/Holiday

premium

2. Pension

3. Discounted health

insurance scheme

4. Christmas bonus

5. Staff canteen

6. Sick pay scheme

7. Performance related bonus

15. Insurance discounts

16. Company doctor

17. Savings club

18. Service days

19. Social club

20. Death in service

21. Share options

22. Profit share

8. Educational assistance

9. Clothing allowance

10. Additional paid holidays

11. Store discount

12. Life assurance

13. Health cover

14. Company car or car

allowance

OftenSometimes

Rarely

So what is coming down the tracks?

Paid Paternity for four months

On-site gym with cross fit classes

Health cover for gender reassignment surgery

Free housing for interns

Free pet insurance

Full reimbursement for all workers taking an online BA Degree

Access to a 24-hour lactation consultants

Monthly $60 wellness allowance

(Glassdoor USA)

IKEA

Reebok

Goldman Sachs

Facebook

American Express

Eventbrite

Scripps Health

Starbucks

So what is coming down the tracks?

3 free pints of ice-cream everyday

Midday surfing. On-site childcare and yoga classes

$1,200 a year, strictly toward student loan debt

Onsite music room for employees to play

Free tickets to events

No set limits for vacation time

Fertility assistance and egg freezing covered

Nap Pods

Employees can take up to 40 hours of paid time off per year to volunteer

Patagonia

PWC

Dropbox

Spotify

Google

GAP

Netflix

Ben & Jerry’s

Timberland

SO, WHO’S WINNING THE WAR FOR TALENT?

Culture and Opportunity

PrimarkLeaders in……

75,000+ employees

Group HQAbove 1st ever store Mary Street, Dublin

364 stores over

11 countries

Over 4,500 jobs created in new stores, 2018

Over 15 million sq.

ft.

Candidate application time reduced by 70% from 40 to

12 minutes

ATTRACT

ONBOARDING23,800 people hired and onboarded

Welcome events extended to Store Managers

111 welcome event attendees

970 Moves

3,070 Lateral Moves

100 International Assignments

PEOPLE MOVES

244, 590 hours of learning

Development Guide launched

Senior leader development programme

DEVELOP

Salary & Benefits

Aldi Leaders in……

137 stores

3,500 people

€11.70 Minimum rate of pay

(February 2019)

18%Growth Connacht & Ulster

April 2019

1999Arrived in Ireland

Ireland’s Top 100 Leading Graduate

Employers Over 10 years

11.9%Grocery Market Share

TRAINEE STORE MANAGER

ASSISTANTSTORE MANAGER

€41,000 rising to €52,400

STORE MANAGER €58,000 rising to €84,300

5

5 weeks paid holidays + bank holidays

Company pension

Sick pay & private employee medical insurance (after 6

months)

Long service awards

Maternity, paternity and adoption leave after 2 years€54,000

BENEFITS

Development

Musgrave Leaders in……

In partnership with ILM,

€250k investment

272 Training Hours

8 specialists teaching 1 module each

71 Duty Managers completed all modules

Designed specifically for retailers by retailers

Musgrave Inspire training for Duty Managers

Fully accredited course

Assignments and results verified & quality assured

Classroom based, away from the shop floor

Colleague BenefitsPersonal

Development

for all DMs

Development

needs

addressed

Directly linked

to competency

framework

Pride and

sense of

achievement

on completion

Personal Benefits

Colleague

Development

aligned to

business plan

Competent

Managers in

every store

Succession

Planning &

Talent

Development

Recognition as

Best in Class

Employer &

Retailer

Business Benefits

Employees leave because:

No progression No challenge

Aware of their worthNo recognition/rewards

Broken promisesUnrealistic expectations

Candidates want:

More learning/to gain new skills More autonomy

Better work/ life balance Room to grow

Benefits/ salaryBetter terms/ hours/ flexibility

Employer’s takeaway #1

‘Employees join companies, but leave managers’

When employer branding, make sure you can meet the expectation of the brand you market.

Employer’s takeaway #2

‘Highlight the benefits you offer already’

Every business has reasons, big and small, that their people like working there. Emphasise each of these to potential employees during the onboarding process

Employer’s takeaway #3

‘Get creative’

Not every company is in a position to offer the best pension or healthcare package. Benefits can include anything from a free newspaper, an extra day off

for a birthday or wedding to collaborating with hotels, restaurants etc. to organise discounted rates for staff

THE WAR FOR TALENT IS REAL

Excel Recruitment‘Placing Great People with Great Companies’

Retail candidates want more ….. Let’s give them more.

Bibliography

Kantar Worldpanel LinkedIn Learning Workplace Learning Report 2018/ 2019

GradIrelandHEA: https://hea.ie/statistics/publications/The Irish TimesThe Irish ExaminerCSO Excel Recruitment Salary & Sentiment Survey 2018