Industries - Recruitment and HR
Recruitment and human resources (HR) are increasingly viewed as distinct industries with related areas of work. Both are growing considerably and have seen significant changes over the past decade. These changes have helped HR to shed its former image as a welfare or administrative role, and it is now recognised as a key function in driving business forward and influencing business strategy.
Companies recognise the value and importance of their HR functions and the need to recruit and retain the best workforce. Increasingly, organisations are employing graduates with key skills into HR roles, so this is a popular and competitive sector.
Recruitment is becoming an increasingly significant source of graduate employment. Roles may either be based in-house, managing the recruitment needs of an organisation, or in a consultancy/agency, handling recruitment for a range of clients.
Executive recruitment consultancies and head hunters typically operate in specialist areas sourcing candidates for senior appointments. They often approach individuals directly rather than advertising openly - hence the term 'headhunting'.
Specialist HR roles are available in large organisations and include the following areas:
A generalist HR role encompasses all of the above duties. Generalist roles are usually found in small to medium-sized enterprises (SMEs).
Job roles in recruitment consultancies include:
Salaries vary considerably depending upon location, industry sector and level of seniority. Salaries range from £16,000 to £20,000 for an HR administrator (Changeboard, 2011). At the other end of the scale, HR directors can earn six-figure salaries (UK Graduate Careers, 2011).
Salary may also be affected by your specialism. Typically, specialist roles earn a greater salary than generalist roles. Most HR professionals have contracted hours of 35-37.5 a week, although many work more hours than this.
On average, a starting salary into recruitment can be as low as £15,000. But this is an industry where commission plays a big part in the salary, which can sometimes more than double with on-target earnings (OTE). Experienced recruitment consultants can expect to earn a much higher salary and commission. As with HR, salaries in recruitment vary considerably according to role and sector.
Specialist search executives and headhunters in lucrative sectors can earn in excess of £70,000 OTE. Recruiters in the IT sector can expect to earn the highest total salaries, with the finance sector paying the second highest. The lowest total salaries for recruiters are paid in the healthcare sector. (Figures obtained from the Recruitment and Employment Confederation (REC), 2011.)
Recruitment consultants often work long hours, contacting clients at the end of the working day.
HR and recruitment are large industries that span numerous sectors. The Chartered Institute of Personnel and Development (CIPD) is the professional body for HR and its current membership stands at 135,000. Of these, 60% are employed in the private sector (services), 33% in the public sector and 7% in the voluntary/not-for-profit sector (CIPD, 2011).
The professional body representing the recruitment industry is the Recruitment and Employment Confederation (REC) . REC reports that the number of people working in recruitment has fallen from nearly 96,000 in 2010 to just over 80,000 in 2011.
The majority of companies in the UK have an HR department. Research the different sectors and pick the one which best suits you. All sectors are different and offer varying complexities and opportunities. It's important to know that depending on the sector you start working in, it can be difficult to move into a different sector.
While there are many HR and recruitment roles based around the UK, many executive search consultancies and graduate HR schemes tend to be based in London or other large cities where their clients or organisations operate.
For more information about working internationally in recruitment and HR, see opportunities abroad.
The following profiles are examples of key jobs that exist in the recruitment and HR industries. To find the job roles that best match your skills and interests, login to what jobs would suit me?
For even more career ideas, take a look at types of jobs.
Vacancies are advertised throughout the year. Search the following for job vacancies:
Find out more about applying for jobs.
A good degree (2:1 or above) is usually required for graduate schemes and graduate-level vacancies. This industry is open to graduates from any discipline, and while HR-related degrees may be relevant, they are not necessarily considered an advantage.
Employers look for a number of skills and attributes. These can be developed through work experience and will often include:
In recruitment, confidence and the ability to work under pressure and achieve set targets are particularly important.
Internships offering opportunities to gain work experience are not very common in this sector. Related degree courses tend to provide sandwich course placements within the industry.
It is possible to gain relevant work experience through temporary work in administrative positions, or by sending speculative applications to companies with large HR departments or to large recruitment consultancies.
Work experience in any commercial environment will provide valuable understanding of how businesses operate.
Many universities offer postgraduate degrees in areas such as human resource management and industrial relations, some of which are CIPD accredited. However, postgraduate study is not essential for entry to the sector.
CIPD and REC qualifications are highly regarded in the industry as an indication of professional expertise and will often be essential for senior positions. Some organisations may offer to fund some or all of the course fees for employees studying part time whilst working.
Entering the sector as an HR administrator within a company and rising through the department, with CIPD training, to manager level is a common route for graduate development. Alternatively, graduate HR schemes offer the opportunity for fast-track career development.
This is an industry where movement between companies is common, and often necessary for career progression. The skills required for HR and recruitment roles, particularly at senior level, can also be transferable to other industries, such as sales.
Although chartered status is not compulsory, memberships of the CIPD and REC are growing and can be a useful way to make contacts and learn about opportunities. Networking is an important way to further your career and making a good impression with your own and other employers can be effective.
Big businesses worldwide realise that labour costs are their biggest expenditure. They appreciate the importance of getting their workforce right and are willing to spend money expanding and honing an HR division that will allow them to recruit and retain the best candidates available.
The best range of diverse entry-level positions and graduate schemes are available in:
Places on HR graduate schemes will usually be fewer than those in other functions within the same organisation, making competition extremely high.
More general graduate management schemes can also offer the option to specialise in HR on completion of the scheme, and places on these are usually open to graduates from all disciplines.
SMEs are organisations with fewer than 250 employees and an annual turnover of no more than £44million. Working for a smaller company can be rewarding because you are more likely to forge a path for yourself within the company, although opportunities to try other departments may be limited.
SMEs are unlikely to use the testing and assessment techniques of larger companies or follow lengthy recruitment procedures. SMEs are more likely to advertise their vacancies through the local press, university careers service bulletins, local graduate vacancy listings, jobcentres and word of mouth, rather than rely on their reputation and a presence at graduate recruitment fairs.
Your university careers services should have listings of jobs with small firms. See also the Department for Business, Innovation and Skills (BIS).
Working for a smaller company can be rewarding as it provides the opportunity to experience all aspects of HR, from recruitment to training and development, although there may be fewer opportunities to specialise in a particular area. Executive search consultancies and HR consultancies often fall into the category of SMEs, perhaps catering to a niche market or a small, high-profile client base.
Self-employment or freelance work as an HR or recruitment consultant is possible and becoming increasingly widespread as organisations turn to external providers for expertise in particular areas. These areas might include employment law and delivery of staff training. It is also becoming increasingly popular to outsource HR functions, particularly recruitment.
Freelance work is not usually a first career choice, as it requires experience in the field and Chartered Institute of Personnel and Development (CIPD) qualification is essential. Therefore, freelancers have usually first gained experience working for a company while building up contacts and expertise.
Freelancing can mean unpredictable workloads and requires commitment, industry knowledge and careful planning.
Find out more about self-employment.
As businesses become increasingly international in their operations, opportunities for recruitment and HR work abroad are becoming more widespread.
Whilst some organisations carry out their HR processes from their headquarters, many international organisations are now employing staff in each of their countries of operation.This brings the challenge of recruiting and managing international employees in different cultural and business conditions. International knowledge and experience, as well as language skills, are identified as increasingly desirable.
Finding a job overseas is much easier for candidates with previous work experience within HR or recruitment and graduates may find it challenging with little or no experience in these areas.
The UK is one of the leading markets internationally in HR and recruitment professionalism, and its infrastructure and training options mean that any experience and qualifications gained in the UK will be valuable abroad. This is especially true in developing areas, such as the UAE, where the sector is still developing.
Language skills are always a great advantage if you are looking for work abroad but they are not enough in themselves. It is also essential to have an understanding of the immigration and employment laws of the country of business, as well as an understanding of the country's culture and how this will affect employees and the conduct of business. It may be worth pursuing a dedicated international HR course to learn the intricacies of employment law in the countries of most interest. The Chartered Institute of Personnel and Development (CIPD) offers several of these.
Many large multinationals with graduate HR schemes have offices across the world and it is sometimes possible to transfer to an overseas office, either permanently or for a set period of time, once you have completed the graduate programme and gained relevant experience.
It is likely that the industry will see an increased focus on particular specialist areas. In recruitment, there is an emerging trend towards specialist agencies to support specific sectors, such as IT, fashion and marketing, etc. so it is likely that knowledge of a particular industry will become more desirable.
With regard to HR, companies are paying more attention to staff training, development and diversity, which may mean an increase in opportunities for specialist training in HR.
The introduction of new employment legislation is also likely to lead to an increased demand for HR professionals with specialist expertise in areas such as:
One of the biggest changes in the industry in recent years is the introduction and advancement of various technologies. These technologies allow HR departments to minimise staff time spent on manual administrative tasks and to focus more on strategy and core HR processes. Technology has been particularly relevant to recruitment. E-recruitment software, such as online application forms, now speeds up the whole selection process.
The use of technology in the sector looks set to continue at an increasing rate. Consumer technologies such as blogs, video clips, podcasting and the use of social media tools, including LinkedIn, Facebook and Twitter, are predicted as major new trends for recruitment and will lead to the demand for HR professionals with technical skills and expertise.