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Temporary Staffing

How the economic downturn has affected an organisation’s greatest asset

Tue, 21 Jul 2009 09:01

By Gayleen Baxter, Chief Operating Officer, Kelly

Apart from the widely covered trends such as retrenchments, layoffs and placing employees on short time, the following staffing trends have emerged as a result of the current economic climate:

1. The increased popularity of the flexible staffing solution

Many employers are turning to flexi staff to staff up and down in accordance with their peak and off-peak periods. In fact companies are seeking a reliable and compatible staffing agency to incorporate flexible staffing as an integral part of their employment planning.

Staffing agencies play a key role in enabling a company to quickly and effectively respond to market demands and technological changes. A flexible staffing model ensures that the organisation emerges from the economic downturn stronger and more efficient.

A carefully managed flexible staffing approach not only helps maintain certainty and contain costs, but it also allows management to focus on its core business, confident that it will have the quality workforce necessary to help drive new business and embrace new opportunities.

2. Retaining skilled talent

Without a doubt, one of the hottest asset’s in any business is skilled talent, and retaining these skilled employees is central to a company’s continued success, particularly during economic downturns.

The reality is that good employees are hard to find, and even harder to replace however many employers are seen to be looking after their quality people, as they realise that supporting and retaining key talent will save them both time and money and indeed sustain them through the tough times.

3. Partnering with staffing agencies has become increasingly important

There is a growing reliance on staffing agencies which is also driving changes within the staffing industry itself. Increasingly, staffing agencies are expected to facilitate a competitive advantage for their Clients through effective people management.

Staffing agencies today are being relied upon to understand the trends and business drivers facing companies and to help locate the best talent for the job, at the right time.

In fact, a good staffing agency can no longer afford to be simply reactive or responsive, but rather is a proactive partner able to offer sound strategic advice. Staffing agencies need to really understand the nuts and bolts of a business and appreciate its strategic goals if they are to successfully provide workforce flexibility and quick access to good talent.

4. Increased motivational campaigns

Unstable economic times have also seen businesses driving productivity harder now, than ever before. This is putting added pressure on an already strained workforce.

As a result, motivational campaigns are also on the increase, this includes reward and recognition programmes (not necessarily monetary rewards, but rather acknowledgments and time off) as well as various cost effective wellness programmes.

5. Increased focus on talent development

Long term sustainability requires long term investment in skills. So, in order for a company to keep its workforce productive and motivated during uncertain times they are finding ways to increase the skills in their organisation, whether it is through in-house training and skills transfer (which is far more cost effective) or further education assistance.

“Tough economic times have forced corporate South Africa to become smarter in their human resource management strategies and as such are driving significant change within the world of work.

“Though fuelled by the economic climate some of these changes are extremely positive, especially where there is an increased focus on talent development, motivational campaigns and retaining skilled talent. This is just affirmation that the only true asset an organisation has is its people”, concludes Baxter.