Working as an internal recruitment manager, I know first-hand how tricky it can be securing budget for recruitment. About this time every year we would begin to consolidate budgets ready for the end of year. It would vary wildly as to where each team were with spending. This year with Brexit looming and the UK economic uncertainty some businesses have been holding back planned spend. Also, despite best efforts annual plans can go astray and at the end of the year you may be left with budget to spend.
So, what do you do with your extra funds? There is a chance that your budget maybe reduced the following year if you simply hand it back to the business. So, often spending it is preferable. However, that’s easier said than done, with activity winding down towards Christmas.
Often, we reach out to our trusted suppliers and ask them to help us spend these funds on future work, predicting spend for the first quarter. Using this quote, we could raise a purchase order to ring fence the balance or pay the supplier in advance for the planned work. There are some suppliers that come front of mind, but I wonder if you have considered your recruitment partner?
So, how do you do this? Firstly, spend time with your consultant to plan your next few months. Some things you could consider;
- Are there any roles in the pipeline?
- Are any of your hiring managers planning anything you are not aware of?
- Is there any maternity/paternity or extended leaves imminent?
- Any projects that you might need extra support on?
From a freelance perspective, if the agency is paying the freelancer on your behalf you could ring fence the funds to cover a set period of time or project. At blueskies, we have a PAYE system to pay freelancers/contractors; a great alternative to setting up payroll for temporary employees.
If the roles are permanent, you may want to cover the fees. Paying fees in advance will allow the recruiter to offer you the benefits of a ‘retained package’. For example, here at blueskies we offer video shortlisting, to enable you to see videos of your candidates alongside their CVs to help with the first round of selection. We can also provide personality tests to help you gain a deeper understanding of the candidates at interview.
Whether your budget runs from January to December or November to October, like ours, there is no time like the present to set a budget for recruitment. A good recruitment consultant will be able to talk strategically about your team growth and resource requirements. Your consultant can help you plan for the future and if you have budget you need to secure we can provide quotes and invoices.
Hopefully this solves a potential issue for you, get in touch with your consultant to discuss in more detail.
What do you think? Does this happen in your organisation? Which suppliers do you reach out to? Or do you hand the budget back?