Curated Intel from the Talent Tech Industry
February 14-20, 2022:
• So much for the most important asset: HR tech spending jumps as recruiter headcount declines;
• What to cure first--human or machine bias: Feds renew push for “algorithmic accountability;”
• Getting up close & personal: Startup Alongside raises $8M to improve candidate connections;
• This may be the real cause of low job ad response: A lot of tech companies abuse their workers;
• One critic’s view of talent tech M&A: Don’t be a newly merged company’s first customer.
PLUS
• Don’t miss the only conference specifically designed to promote the success of companies offering talent technology solutions – job boards, ATS companies, CRM platforms, recruitment marketing & advertising agencies, programmatic platforms, AI solutions and more – TAtech North America & The World Job Board Forum. Early Bird registration is now available.
HR tech spending jumps as workloads increase
HR operational budgets, used to plan for salary and day-to-day needs, will be flat this year, despite increased workloads, The Hackett Group reported in a new study. But HR tech spending will increase by more than 9% this year, with talent management -- including recruiting tools -- at the top of the spending list. HR workloads are increasing because of COVID-19 issues and return-to-work office strategies, said Franco Girimonte, North American HR executive advisory practice leader at the Miami-based management consulting firm. HR departments aren't adding staff to help with the added work. The Hackett Group found that HR budgets will decline by 0.2% this year, and headcounts will contract by 0.4%. Meanwhile, HR workloads are increasing more than 9%. Without staff growth, HR departments are increasing capital spending and turning to systems such as robotic process automation (RPA) and chatbots to automate some functions, Girimonte said.
Democrats renew push for ‘algorithmic accountability’
Democrats have reintroduced their Algorithmic Accountability Act that seeks to hold tech firms accountable for bias in their algorithms. The bill is an updated version of one first introduced by Senator Ron Wyden (D-OR) in 2019 but never passed the House or Senate. The updated bill was introduced this week by Wyden alongside Senator Cory Booker (D-NJ) and Representative Yvette Clarke (D-NY). Concern about bias in algorithms is increasing as they become used for ever more critical decisions. Bias would lead to inequalities being automated—with some people being given more opportunities than others. “As algorithms and other automated decision systems take on increasingly prominent roles in our lives, we have a responsibility to ensure that they are adequately assessed for biases that may disadvantage minority or marginalised communities,” said Booker.
HR Tech Company Alongside Raises $8 Million to Fund New Ways to Create More Human Connections Between Candidates and Employers
The HR Gazette is pleased to share that our friends at Alongside, an HR tech startup that develops more touch points between employers and job seekers,has raised $8 Million CAD in growth financing. The round was led by San Francisco-based venture capital firm 500 Global with participation from previous investors, including New Brunswick Innovation Foundation (NBIF), as well as capital financing from TD Bank Group. The funding comes as the global HR tech market continues to grow and as opportunities arise to create better experiences for job seekers. Alongside firmly believes that job seekers deserve a better experience and that in order for a truly great hire to be made, the person applying must be empowered with the tools, support, and guidance to land the job. Over the next 12 months, Alongside will be continuing to grow its position as an industry leader that removes the barriers for job seekers and supports businesses in making the right hire.
The Tech Talent Shortage Is Not New, and It’s Not Temporary
The Great Resignation and subsequent shortage of tech talent is simply a signal that the bill for many years of neglect and waste has come due. It's been coming due for years. It will not just go away in a few months when “everyone comes to their senses”. The tech industry as a whole has failed completely to nurture the available talent base, in fact they have drained it like parasites. Tech companies advertise relentlessly for Ninjas, Gurus, entry level positions requiring four years experience etc., which simply translates as "we want some other company to train you, so we can save money". They pay their people for 40 hours and work them 70. They constantly devalue their developer's contributions, threatening to bring in "no-code" solutions to make their people irrelevant and put pressure on them to accept lower raises.
A Tale of Two Stacks: Why You’re Right to be Nervous About Newly Merged Vendors
There’s a rule of thumb when it comes to purchasing technology: always look deep down the horse’s throat. Because it’s never a gift horse, and what you don’t know is probably going to hurt you. Or, to follow the metaphor a bit: bite you, kick you, and possibly stomp all over you. When you’re doing your due diligence prior to a large tech purchase, doing your process mapping, gathering requirements, etc, you are also (one would hope) gathering lists of vendors who might possibly fit the bill for what you need. As part of that process, you’ll also be doing things like looking at your integration points, working out what current systems you’ll need your new system to plug into, etc, etc. And, if you’re being thoughtful about it, you’re going to give weight to vendors who have already created integrations with the tools you have in place (ie, you’re looking at CRM - you probably want to know if those vendors have track records integrating with your ATS).
TAtech North America & The World Job Board Forum
There are lots of conferences about HR best practices and HR technology, but only one that is specifically designed to promote the bottom-line success of companies offering talent technology – job boards, ATS providers, CRM platforms, recruitment marketing & advertising agencies, programmatic platforms, AI solutions and more – and that’s TAtech North America & The World Job Board Forum. It will be held on May 31-June 2 in Austin. Featuring the TAtech Deal Center, this one-of-a-kind conference offers an unequaled opportunity to forge partnerships and alliances, check out new products in the market, discuss job seeker and employer trends and more. Plus, Early Bird registration is now available, so if you act fast, you can also save money in the process.