“We have always done it this way!” — Lionesses of Africa

by Jenny Reid

In South Africa, unemployment is sitting at a ridiculously high level. Many may argue that the informal sector is not included in the official unemployment figures. Still, in June 2022, according to the Quarterly Labour Force Survey for the first quarter of 2022, the unemployment rate was 63,9% for those aged 15-24 and 42,1% for those aged 25-34 years, while the current official national rate stands at 34,5%.

This indeed creates a vast pool of suitable people for employment, but sadly, we still hear companies saying that it is hard to find the right staff today. Does this mean we need to change how we recruit, or are there no suitable applicants looking for jobs? When interviewed, Sonya Skipp, General Manager of iFacts, said that there were various reasons companies were not easily finding the right staff.

• When Allianz published its global risk barometer for 2022, the 8th biggest risk South African businesses faced was a skills shortage. Covid contributed to this with many older employees leaving the official workplace, the change in the needs and expectations of employees and the skilled employees demanding a lot more flexibility.

• Whilst only 4% of students who enter the South African schooling system achieve a degree. This leads to a lack of suitably qualified people being available for specific positions, but there is an extreme talent shortage in the following sectors:

1. Engineering

2. Construction

3. Real estate

4. Public service

5. Healthcare

6. Transportation

• The recruitment stage in many companies has not changed for some years. Most applicants will put their best foot forward in this stage of liaison with a company, but the background checks need to be appropriate for the risk that this potential employee could create. Social media risk assessments have become a more significant role player in this environment as they can reduce the reputation risk a company faces with a rogue employee.

Skipp said the lack of suitable applicants was not limited to positions requiring qualifications. She stressed that the staff turnover rate ranged from 100 to 300% in high turnover industries such as the security industry. Security guard turnover is linked to several factors: stress, poor recruiting, inefficient wages, and a lack of compliance and training.

These factors all make the recruiting of the right person that much more difficult regardless of which industry sector you are in. She said that the combination of too many people, the lack of qualifications and the desperation to be employed led to increased pressure on recruiting staff.

At iFacts, the number of invalid qualifications, driver’s licenses and industry verifications showed desperation. A simple, online verification of information provided in a job application could quickly eliminate risk and reduce the number of job interviews needed. She stressed that online interviews were a further helpful tool in the recruitment process. It is essential that companies review their policies and procedures regularly and do not continue to do it the way it has always been done.