Finding Top Talent: Q&A with ClientMind Cofounder Neal Spungen

Neal Spungen is the cofounder of ClientMind Recruiting, Inc. and has been helping Frederick companies find new employees for about 8 years.   He has worked with many different companies and industries in Frederick, and specializes in Software Engineering, Cybersecurity, and related positions.  ClientMind provides innovative hourly recruitment services to ensure businesses have qualified candidates and get the best return on their recruiting investments.

1: What are some steps that employers can take to make sure they're hiring the best candidates?  

The first step to finding the best candidates is being clear about the position requirements, including experience, education, and certifications. If you post the position online, be prepared for a large volume of unqualified resumes no matter how well you write the position description. Resumes that are difficult to read, have spelling errors or are incomplete may be a cause for concern.  Also, be sure to review the dates of employment to establish the candidate’s work history timeline and amount of experience. Once you have qualified candidates to consider, be sure to ask detailed, open-ended questions during the interview process. With technical positions, it is especially important to understand if the candidate's experience was as an individual contributor or as part of a team. Less experienced candidates will sometimes include team achievements as their own. Conducting interviews with multiple people in your organization is a good way to make sure they will work well with the team. If video interviews are being conducted, attention to attire and their workspace should be considered just as they would be for an on-site interview. Finally, all candidate information should be verified including past employment, education, certifications, and visa status if applicable. References should be checked.  

2: What are some red flags to watch for on resumes ?

There are several red flags that employers should watch for on resumes including spelling errors, unexplained employment gaps, and misstated degrees and certifications. Always ask for copies of certifications or the candidate's certification number, which can be verified online.

3: What  creative benefits can employers can offer to increase talent attraction?

As a result of the pandemic, many companies have switched to remote work, which is a sought after benefit by many candidates.  Since many employees are now working from home, companies are revamping benefits offered to appeal to changing work dynamics. Some ideas include virtual classes such as yoga, fitness, and cooking classes, gift cards to outfit home offices, online happy hours, home food delivery for recognition events, gym memberships, and socially distanced outdoor events.

4: With an increase in telework, are you seeing compensation adaptations?

Before the pandemic, candidates understood that a position in Frederick may pay less than a position closer to the DC area but they would avoid the cost and hassle of commuting. Because of the shift to remote work, much of that salary differential has been negated. Even companies that were reluctant to have full-time remote workers are realizing that employees are often more productive when working from home. This may change once the pandemic passes and more companies reopen their offices. Even then, many companies may opt to allow for full-time remote work.   Salary competition may cause Frederick companies to lose employees to higher paying jobs down the road.   Offering a strong compensation package that includes desirable benefits may help retain your top talent.

5: What is the true cost of in-house vs. outsourced recruiting?

Recruiting is a necessary function for any company; however, it can be difficult to identify the true costs associated with internal vs. outsourced recruiting. According to Salary.com, a Recruiter salary in Frederick, MD ranges between $50,432 and $84,998 with the median being $67,093. Benefits costs average 30% according to the US Bureau of Labor Statistics. With that in mind, hiring a full-time Recruiter at the median salary would be $87,221 with benefits factored in. Add to that recruiting tools such as LinkedIn Recruiter, job boards, and job ads as well as industry memberships and networking which can cost more than $25,000. Adding this $25,000 cost to the salary and benefits of $87,221, the total internal recruiting cost would be $112,221. Depending on the number of employees you plan to hire, a full-time recruiter may be a good fit. However, for those companies with limited or variable hiring needs, outsourcing some or all of the recruiting needs may be a good option. Generally, recruiting agencies fall into three types for most positions: temp-to-perm, contingent and hourly. A fourth type, retained search recruiting is typically only used for senior executive or difficult to fill positions.

Temp-to-perm or contract-to-hire agreements allow companies to bring in temporary contract workers with the option of hiring them at the end of a pre-defined term, often six months. During that time, the employer pays the recruiting firm an hourly rate. The amount paid for the contractor over the contract-to-hire period usually adds up to a 20% or more fee. At the end of the contract-to-hire period (or before if negotiated), the company can offer the contractor a permanent position. However, they are under no obligation to accept the offer.  At that point, the company has invested six months in the contractor and may decide it's worth paying more to keep them as a contractor than have to replace them.

Contingent recruiting firms charge a placement fee once candidates are hired. The fee is typically 20%  or more of first year earnings, but some firms offer a lower fee structure particularly if there are multiple positions involved. Because there is no payment until the candidate is hired, contingent recruiters are often protective of the candidate and won't provide their contact information. Most contingent placement firms offer some kind of guarantee in case the candidate does not work out. Usually the guarantee is 90 days with either a refund of the fee or a replacement candidate for those who don't work out.  When working with a contingent recruiter, all candidates are normally subject to the placement fee within a year of submission. Also, contingent recruiters are focused on placing their candidates as quickly as possible and will often submit them to multiple clients at the same time.

The final category is full service hourly recruiters. Different from contract-to-hire and contingent firms, they charge a flat hourly rate for professional recruiting services which includes all costs such as LinkedIn Recruiter, job boards, and ads. They act as the in-house recruiter on a part-time basis as your needs dictate. While providing all the benefits of contract-to-hire and contingent firms, their hourly fees are significantly less. And, they typically do not charge any placement fees. This is a great option for start-ups and growth companies that can't justify a full-time recruiter, as well as larger companies that need help with open positions.

About ClientMind Recruiting

ClientMind Recruiting has been working with Frederick County employers to find great employees since the company was founded in 2012. We help companies that have part-time recruiting needs and can't justify the expense of an in-house recruiter or a recruiting agency, as well larger companies that need additional help. We act as an in-house recruiter for as few as 10 hours per week depending on what the company’s needs are, with no long term contracts or commitments. Our fees are typically less than half of what most outside agencies charge. Our focus areas include cybersecurity and software engineering, as well as other related roles. To learn more about Neal and the team at ClientMind,  visit www.clientmindrecruiting.com.