Recruitment Ethics

HRQuest

Question, I've been in HR a number of years and it's always been my experience that recruitment within a company for external job candidates is generally confined to job applications on file, newspaper ads, internet searches, employee referrals, walk-ins, and other internal means. It has always been considered unethical for our company recruiters to go directly to competitor companies and "pirate" personnel away. When our internal recruitment efforts are not successful, however, we often put "hard to find" searches out to search firms which, undoubtedly, do recruit job candidates directly away from our competition. Of course, the method(s) by which search firm's do their job is generally not revealed to us. Today I'm told by some that the pendulum has swung the other way and that it is now an acceptable practice for company recruiters to recruit directly from competitor companies, using many of the same methods that search firms do. I'm basically doing a sanity check on this issue and would appreciate your experience and feedback. Thank you.

Paul in Cannon Beach

"Do unto others as you would have them do unto you" is a pretty good motto.

How can you tell new employees that your company values ethics and integrity if they were recruited in an un-ethical or sneaky manner.

I like to feel the good guy wins out in the end and the organizations that get ahead by deception or worse will eventually reap what they sow.

Paul

Parabeagle

Just as a matter of principle, I would never directly raid a competitor. Doing so through an intermediary is one thing, but by doing it directly you open yourself up for similar treatment by your competition. Just don't think it makes good sense.

Theresa Gegen TX

Legally, you can get in to trouble if you hire away lots of employees from the same competitor and if those employees had access to trade secrets and confidential information. (Your company and the new employee can get sued by the competitor)

Generally, its okay to offer an at will employee a job a higher pay, even if they work for a competitor. But you need to make sure that they don't bring any confidential business information, etc with them.

Good Luck.

Parabeagle

Is that the case even where no nondisclosure or noncompete agreements exist? (which was the case when I would use a headhunter to recruit away from the competition - usually it was someone with a specialized skill we needed that was hard to come by in the general population).

Don D

[font size="1" color="#FF0000"]LAST EDITED ON 02-05-03 AT 12:38PM (CST)[/font][p]I think some might have been asleep at the wheel when recruitment philosophies were ratcheted up and took on new definitions and directions awhile back. It's interesting that one might feel 'principled' by not doing something directly but find comfort in doing the same indirectly. If I rob the gas station, it's unprincipled; however, you are free to rob it and give me the proceeds of your deed. An odd concept. One might never recruit from a competitor directly, but see no harm in having another recruit in his name from the same competitor, as long as his complicity is not discoverable. Nor do I think the 'Do unto others' admonition has a meaningful application in this particular business activity. It is not unethical for this company to enlist the paid assistance of a head hunter and provide that head hunter with a list of sales people working in other organizations from which to recruit for us. That is business and it's done every day. Some call it providing leads. Some call it stealing or raiding a competitor's employee base. HR Managers are constantly being asked to be more creative in their efforts. Reading between the lines, that means ratcheting up your methods of finding the best available people. If we are to remain successful and if we are to remain employed, we best not limit our methods to those which meet a tight philosophical definition of what we might wish others to do to us or some vague concept of principles that has questionable business application today. We are each paid to carry out the best interests of our employer, while doing so legally and within certain bounds, of course. Stealing your brother's girlfriend is one thing. Looking for and being open to the best available employees, even among your competitors or business partners, is quite another. The only time I would not consider such an applicant is if we knew it would undermine our business relationship with the other company. I know full well that we each must operate from within our personal framework of ethics and principles and credibility. With very, very few exceptions, the applicant- candidate pool available to us is fair game, a pond available to all fishermen. Tell me of an industry where it is not.

Balloonman

Well I was out of the office yesterday, and have a pocketful of change!
First off I work on identifying people who would be great employees and who may know others in the field. I try to keep a "pool" of candidates I can work from.

What we all need to look at is networking with those that can provide us leads. A common organization, chamber of commerce etc., we need to identify people who we can contact and let them know what we are looking for, what openings we need to fill. They will know when others are looking.

Myself if I am aware of an individual at a competitor that would be an excellent fit I have no problems with trying to hire them away. I would be cautious about going to often to one company. As for them trying to take our employees, I look at it that if we do our job right, by treating them fair, letting them know they are appreciated and valued, and keep them educated about how we are doing as a company then I am not concerned about them being stolen by the competitor. In fact at any given time there might be 2 or 3 that I would love to be "stolen away" by the competitor. Love when that happens!

My $0.02 worth.
DJ The Balloonman

Margaret Morford

I agree with Don D. (I must be having some sort of break down!) As long as there is no non-compete and they do not bring trade secrets or customer lists with them, why would you not go after the "stars" of your competitors? It's a very strategic way to view the hiring process and is one way HR can give their organization a competitive edge.

Margaret Morford
theHRedge
615-371-8200
[email]mmorford@mleesmith.com[/email]
[url]http://www.thehredge.net[/url]

Don D

Margaret: YOU ARE LOSING IT! That makes three times in 10 months that you've agreed with me. Can I send medication? We have a candy dish here in HR.

Pork

Dandy Don: With 1693 post, one must always look to the HR "with a lot to say or says a lot"; "where do you find the time for all this out pouring of intellect"? OH, I GOT IT, YOU DON'T HAVE TO RECRUIT NEW CANDIDATES DON'T COME AND NO ONE GOES!!!

UNFORTUNATELY, WHEN ONE IS IN AN INDUSTRY OF ONE (1) (UNO), one does not recruit from your own, there is no other company in our immediate part of the world producing our skills. We, therefore, try always to raise our own or recruit from outside of the area of concern. You can not believe how hard it is to get an IOWAian to come to Mississippi. We have a corporate agreement not to recruit from our associated farms, & BRYAN fOODS and they do not recruit from us. Now on the other hand, we will assist a contract grower with a placement from our organization when it is of benefit to our operation and the employee.

When I was in retail, we got our district managers from anyone in the business. In manufacturing, again we got our employees from whom ever would come our way and they did the same to us. I GUESS I AGREE WITH YOU & TERESA/MARGARET HAVE A GOOD POINT TO BE AWARE OF TRADE SECRETS, THERE IS TROUBLE THERE!

Don D

[font size="1" color="#FF0000"]LAST EDITED ON 02-06-03 AT 04:40PM (CST)[/font][p]Right Pork; We wouldn't want anyone letting out these trade secrets on how hogs reproduce, now would we?

Paul in Cannon Beach

So I am alone on this one? No problem...

I see the points everyone is making and I still will differ. Everyone can approach recruiting however they feel they should. I have chosen to not approach employees of other organizations because that I wouldn't like other organizations approaching our employees.

Perhaps I feel the way I do because the industry I am in (Christian camps and conferences) is very non-competitive in spirit. I will often pass along an applicant to another camp if the person does not match our needs. I derive great satisfaction from hearing that an applicant I have shared has found full time employment through my networking.

So maybe I live in la la land. It wouldn't be the first time anyone has said that.

Paul

Parabeagle

Actually, Paul, I admire your strong ethical sense. You haven't succumbed to the siren call of "situational ethics" as so many of us have. Good for you! xclap

Don D

Actually it has nothing to do with 'situational ethics'. That describes a set of ethics that vacilates or changes according to the details of the moment. Recruiting principles need not call for one to compromise ethics. I would consider a compromise of ethics to be either lying to a recruit about our business or his, or, knowingly giving him false or misleading information in an effort to gain his acceptance of an offer. And on that note, Paul is indeed to be commended if the ethics and principles of recruitment in his industry or field are those he states and are being adhered to. (But I will steal his accountant if she is mobile). x:-)

Margaret Morford

Send chocolate!

Margaret Morford
theHRedge
615-371-8200
[email]mmorford@mleesmith.com[/email]
[url]http://www.thehredge.net[/url]

Mentel

Don is right. You can't set up artificial barriers and still be competitive. Not in our business. I know that our employees are recruited in the evening, at home. I am also aware of employment agencies calling here at work. If an employee gives me the name of an employment agency that calls them here, I call the agency back and ask them to please not contact our employees at work. This is a productivity matter. Most recruiters are very appologetic when they get caught. In the last year, I have brought on two senior level managers from competitor firms. One really wanted to get out of him old firm (he had been there 20 years and was never going to get to be part of the ownership group because he is a RLA not a PE at an engineering firm). He has since brought in two other great employees. The other manager was let go from his firm and is doing great at our firm. He has given me the names of people he would like to bring in here from his old firm. I have written to these people to let them know what opportunities that we have for them. I only contact people at their homes. I feel that this may be the only way I can get to the people out there that are good but not always happy where they are.

Nick Ogden

I took 3 months of training by a national search firm on the "techniques" of finding good quality applicants. Bottom line, search firms do not understand the client firm's real needs or the "culture" of the firm. You've all probably seen that the success rate of those hired through search firms is dismal at best. But, they do have some great "opening lines" to hook the interest of the potential applicant. My favorite technique learned is to call the person you are interested in at the competitor firm and ask them if they know of anyone that they might recommend that we talk with concerning the opening; this gives them the opportunity to say they may be interested. if so, they have made the overture to pursue the position with us or suggest someone from their applicant pool. Oftentimes we forget that "good quality" people are so busy doinig their jobs that they don't have the time to do a search for themselves. If the current employer isn't doing right thing for the employee they deserve to lose them. Nobody has an exclusive on "good" employees. It's just business.

Paul in Cannon Beach

I thought about this issue a bit and even discussed it with my wife. I think I want to revise my stance a bit and say that if its the norm and practice of an industry to approach employees of other organizations and make job offers and it is done in a honest, up front way then I would say fine.

I guess what I resent is a company that would constantly be bombarding employees of other organizations with lures and job offers. Its hard enough to help employees learn their jobs, be content and productive, with constant distractions of greener pastures.

The other aspect is that I work for a non-profit that cannot afford to pay what the private sector pays so we are very vulnerable to outside organizations recruiting from our ranks.

I didn't mean to sound high and mighty in what I posted so I hope this explanation might help clarify where I am coming from. I am sure all of you are ethical people.

Paul

blw

I work for a Christian based non-profit also and know how hard it can be. I have just finished hiring for 3 administrative positions; my assistant, a billing specialist and a PT receptionist. Sometimes I cringed at what was being paid and asked - they had to go in my reject pile. But at least I think I finally made 3 good hires! Barbara