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Economy > Employee Engagement > Retention > Talent Acquisition

Unintentional Results of Implementing a Hiring Freeze

hiring freezeToday I came across an article by Dr. John Sullivan on ERE.net that was so well written and to the point that I felt it was worth passing on verbatim. Plus, for me to say hiring freezes are inherently bad for a business seems a little self-serving. In the article, Dr. Sullivan discusses how The Economic Downturn Means That Hiring Freezes Will Soon Decimate Recruiting.

His statements, however, extend beyond the world of the recruiter, and flow into overall company operations. He suggests that although a hiring freeze may free up some company funds in the short term, ultimately the company ends up spending more due to the costs of outsourcing and overtime. And this doesn’t even start to gauge the unmeasured costs of employee burnout, the missed opportunity to grab up top players from the competition or the inability to add new innovative thinking to an organization – just to name a few.

Dr. Sullivan closes his article with the plea for businesses to get more strategic. He goes on to say, “Now is the time for talent management to step up and proactively re-engineer antiquated practices and programs, and to embed talent management activities throughout core business processes while the organization can accommodate change. If you wait until things are moving fast once again, you won’t have time to be strategic; you’ll be too busy catching up!”

Click here to read the full article. It’s a good one, packed with great impact statements/objections some of you might be able to use when faced with an impending hiring freeze.

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Stephanie Gaspary

About Stephanie Gaspary

Stephanie Gaspary joined CareerBuilder in 2006 as the small business marketing manager, developing marketing strategy and sales support initiatives. In 2007 she took a position as sr. manager of marketing communications, leading the business communications team, including strategic management and execution of The Hiring Site. In 2010 Stephanie was promoted to director of social strategy and creative services. Her day-to-day focus is on delivering results-oriented communication that connects with CareerBuilder’s job seeker, employer and recruiter audiences to help increase engagement, awareness, support sales, and drive revenue. Stephanie holds an MBA from North Park University with concentrations in Marketing and Leadership. Connect with Stephanie on Twitter at http://twitter.com/sgaspary or on LinkedIn at http://www.linkedin.com/in/sgaspary.
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Erik Blum

Hiring freezes are as great time to show a client that you are with them even during the tough times in corporate life. Staffing firms that are only interested in bringing bagels in to the offices in which their staff work, are setting themselves up. You can make partners during the expansions and you can make great friends during the downturn.

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[]BL!\/![]N

Logically associates that go threw the down time are more likely to understand that its a corporate move. Yet we on the associate level see what goes on and we as associates dont like it,agian its about having new associates giving there "all" and seeing that things dont change and yes this article is correct the new millenium has come. Even thoe it has came corporations are still implimenting bad ideas that inevitably lead to the downfall of corporate america. My aggenda is to let you and all aware that we as long term associates are burn-out without corporate directing us in a universal incline in help associates or better budgeting for corporate america.I would be pleased if corporate america hired associates at store level to assist in corporate ventures of new implemented procedures to induce a tighter structure for practices and programs. This was my 2 cents....

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Erik Blum

Hiring freezes are as great time to show a client that you are with them even during the tough times in corporate life. Staffing firms that are only interested in bringing bagels in to the offices in which their staff work, are setting themselves up. You can make partners during the expansions and you can make great friends during the downturn.

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Trackbacks

  1. 25 Ideas for Employees and Employers in the Financial Crisis | YourHRGuy.com says:
    October 16, 2008 at 8:06 am

    [...] The downside of hiring freezes? You should know them. (Hiring Site) [...]

  2. HRM Today - Blog Archive » 25 Ideas for Employees and Employers in the Financial Crisis says:
    October 17, 2008 at 11:00 am

    [...] The downside of hiring freezes? You should know them. (Hiring Site) [...]

  3. How you see the world and how it affects the hiring process « Marenated says:
    November 25, 2008 at 12:26 pm

    [...] down debt and hunker down. If this person is an employer, they will keep the employees they have, attempt to freeze hiring and make the company do more with [...]

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