There are many ways in which the employment and recruitment industry contributes to better functioning labour markets. The recruitment and employment industry acts as a change enabler both for businesses and workers, often providing a ‘missing link’ between employment and employees. By knowing what labour markets need and what workers have to offer, we allow our clients and workers to adapt to the changing reality of work. In times of demographic challenges, skills shortages and changing attitudes to work there is an increasing need for a trusted labour market advisor. The employment and recruitment industry can play that role, supporting the smooth functioning of labour markets.

At Ciett we spend a lot of time speaking with government officials and policymakers from around the world to explain how we can support them in delivering their policy objectives. From our privileged position as labour market brokers we are well placed to support policymakers and to provide insights and practical tools. That is why it is important that we take the time to introduce them to our industry and explain how the services we provide can be part of the solution in improving the efficiency of labour markets. Unfortunately, not all labour market stakeholders are always convinced of this.

For our industry to grow, it is of paramount importance that there is an adequate level of regulation. Often, restrictions on our industry limit the services that agencies can offer to clients and workers. Restrictions can include quota on the number of agency workers in a certain company or a certain sector, but can also refer to the type of services that one agency can offer. Many of these measures are the result of misconceptions about our industry, and the role that we play on the labour market.

At Ciett, we try to tackle some of these misconceptions on an international level. We do this among other things by providing information, market data and research. And although much still remains to be done, we also have a few successes we can celebrate each year. New markets in Asia where bans on our industry are relaxed, several European countries where more appropriate regulation was implemented based on the European Agency Work Directive. Through small incremental steps we try to open up new markets and to broaden opportunities in existing markets.

What is even more important however, is what takes place on a national level. Ciett’s members are national federations in 48 countries across the world. They are the first line of defence against misconceptions and stakeholders who have a lack of understanding of what we do.

I am often amazed by the great work that these federations are able to do. While some are very strong, with dozens of staff and a significant budget, many of our members in fact have very limited resources. About 46% of Ciett member federations have less than 100 members, and about two thirds of them have less than 10 staff members. Luckily, a recent survey among our members showed that our federation members are slowly growing their capacity. That is very important. It will allow them to better represent their members, the employment and recruitment agencies, towards a range of stakeholders. The more agencies decide to become a member of their national federation or industry body, the stronger their voice can be.

Once policymakers understand the role our industry plays they are open to greater cooperation. The many successful examples of public private partnership are an excellent illustration of this. Working alongside the public employment services our sector is able to offer a specific range of services which are highly complementary and have proved most effective in tackling unemployment and getting people back to work.

In short, I see it as our job at Ciett to open the door for our industry to have a greater dialogue and cooperation with policymakers. The added-value of our services for members is that the studies we undertake and the materials we create support them in establishing their own contacts and developing an ongoing discussion.

As the world becomes smaller and organisations seek to recruit on a global scale there will be an increasing need for our services. Not just in agency work but in the growing areas of search and selection, recruitment process outsourcing and outplacement.  It is important that we reassure policymakers that we are well-organised, well-regulated by standards from the ILO and that we demand and obtain the highest standards from our members around the world.

About Denis Pennel

Managing Director of Ciett and Eurociett, Denis Pennel is a labour market expert with deep knowledge and years of experience relating to employment at global and EU levels. He recently published “Travailler pour soi”, a book about the new realities of work.

Follow Denis on Twitter @PennelDenis

About CIETT

As the International Confederation of Private Employment Services, Ciett is the authoritative voice representing the interests of agency work businesses. Founded in 1967, Ciett consists of 51 national federations of private employment agencies and eight of the largest staffing companies worldwide. Its main objectives are twofold: to help its members conduct their businesses in a legal and regulatory environment that is positive and supportive; to gain recognition for the positive contribution the industry brings to better functioning labour markets.

Follow Ciett on Twitter @ciett_waytowork