A 'radical shift': Recruiting expert weighs in on today's candidate driven market

Job seekers today seem to be holding most if not all the cards, according to Steve Lowisz, chief executive officer of Qualigence International, a leader in the recruitment arena.

"Qualified candidates can pretty much dictate their own terms," Lowisz said. "And, that represents a radical shift from just a few years ago when employers could hire over-qualified applicants for pennies."

The shift is one Lowisz likens to the difference between a seller's market and a buyer's market. When one or the other is in control, the rules are very different.

"When that balance shifts to this degree, employers need to change their approach," he said. "This is a candidate-driven market and it extends across most professions but is particularly noticeable in the technology, healthcare and financial services areas."

Even with the extremes typically found on the East and West coasts, Lowisz said the trend is evident across the country for exempt or salaried candidates with the most sought-after skill sets.

"The problem is that in a candidate-driven market, compensation becomes hyper inflated," he said. "And, that predicts a situation that resulted in the dotcom crash of the late 1990s. In addition to inflated salaries, companies are handing 22-year-old, fresh-out-of-college job applicants keys to a BMW."

To avoid the pitfalls of a candidate-driven market, Lowisz advises recruiters to look beyond compensation as a motivator.

"Drill down on the points of pain and the points of pleasure," he said. "It's not all about the money. Money may be a point of pleasure but frequently other issues come first. And pain is not always about a low salary. Issues such as balance between work and life usually top the list, and addressing those emotional issues becomes part of the transaction."

For job seekers the danger becomes changing jobs because the increase in salary is often quite large.

"They become starry-eyed and leave a job only to find they are working more hours, have less leisure time, less vacation," Lowisz said. "Then they ask, 'Was it worth it?' Candidates are doing themselves a disservice if they don't bring those other issues up front. The financial aspect is important, but early in the discussions, applicants are in a position to negotiate terms that will make the job more satisfying in the long term."

Lowisz believes this is a favorable climate for professionals in mid- to near-retirement stages, as well as younger employees.

"In my nearly two decades of experience in this field, I have never seen prospective employers so receptive to senior applicants," he said. "The attitude has changed immensely. They seem to be looking for that work ethic, that knowledge base and are willing to let those workers ride out the remaining work years in their company because they have employees who may be more reliable, more seasoned and more valuable."

Lowisz deals with recruitment in high-demand professional fields, and he points out that growth in those fields affects employment on down the line.

"There's a domino effect," he said. "Those technology jobs, for example, exist so that companies can sell more of their products. That means a need for more delivery services, logistics, sales people, accountants and office support. It's the sign of a recovering economy, and if employers and job applicants are realistic and cautious, it's good news for all of us."