Attracting and Retaining Talent in the Age of the ‘Great Resignation’

Janice Fox, senior vice president of human resources at Triumph Business Capital, sat down with Commercial Factor to discuss the current state of recruiting and retaining talent in the factoring industry. Detailing steps your company can take today, Fox shares what works and what is on the next page for this evolving industry amid changing politics, economics and identities.

Hiring and retaining talent has become a larger challenge than in previous years in many industries, including the factoring sector. In fact, Janice Fox, senior vice president of human resources at Triumph Business Capital, who will participate in a panel on employee acquisition and retention during the IFA’s Annual Conference this year, says we are in an environment she’s never seen before in her 25 years of experience. Against such a backdrop, Fox spoke with Commercial Factor about what it takes for companies to remain competitive and effective during the recruiting and hiring process.

How has the recent disruption in the labor market affected the factoring industry?

Janice Fox: I think it’s forcing us to rethink our current recruiting and retention strategy. We’re all having to rewrite our HR playbook, so to speak. A lot of these practices that we’ve been doing for years and years are no longer going to be applicable in today’s landscape. Gone are the days where we could ask applicants to fill out lengthy applications and come in multiple times for interviews and complete lengthy assessments. We’re going to have to move quickly on our strong candidates because they’re communicating with several companies and have multiple offers coming in at the same time. Candidates are very aware of the market right now and that they are in the driver’s seat. They’re forcing companies to relook at their current practices and approach recruiting a little differently.

Are there specific roles that are becoming harder to staff than others in factoring? Why do you think that is?

Fox: We are struggling in the information technology space, specifically with our developers, engineers and infrastructure positions. These have become our hardest-to-fill positions in a highly competitive market. Factors, companies outside of our industry and even agencies that specialize in IT recruiting are struggling to get a pool of strong applicants. When you do identify potential hires, you need to be able to act quickly with a competitive compensation and benefits package. In such a competitive market and with recruiters reaching out to your top talent, a positive recruiting and onboarding experience, along with competitive pay, will have a strong impact. First impressions will make a big difference.

Outside of a few hard-to-fill positions, we still have a steady flow of applications. They do not all have factoring, transportation or ABL experience, but people are applying and looking for better opportunities. Because these applicants are applying to multiple jobs and considering multiple offers, building relationships with candidates and providing a first-class recruiting and onboarding experience will separate us from the competition.

Some have called recent labor unrest the “Great Resignation,” while a recent NPR article labeled it the “Great Re-Negotiation.” Which label do you think is more fitting and why?

Fox: It really started as the Great Resignation, as we were all forced to work from home and, for some companies, there were furloughs and terminations. This allowed us the opportunity to reflect on our current situation and evaluate our future career path. Now, as people are starting to come back to work, they are being very selective. They are looking for better wages, stronger benefits and remote or flexible work hours, making it the Great Re-Negotiation.

During this time of reflection, some have decided to go back to school, take an early retirement or switch careers and industries altogether. As employees navigate their post-pandemic world, it is inevitable that our workforce is going to look very different. Companies are being challenged to equip themselves for these changes and be able to consider flexible options and meaningful opportunities for their current and future employees.

We’ve seen uneven reports about recent labor gains. The Labor Department’s January jobs report was strong, with companies adding 467,000 jobs, while ADP reported that private payrolls fell by 301,000 in January. What do you think this tells us about the job market?

Fox: If the CDC revises its guidelines, if we continue in this downward trend in COVID-19 cases, more people will come back into the workplace and the abundance of open positions will get filled. But as mentioned earlier, I do think it’s going to look very different. Younger workers may be the first to return and lead the way. It has also been predicted that we may lose a significant number of our baby boomers, or they may be slower to return. They’re going to want to see what the workplace is going to look like going forward, specifically with flexibility with their work schedules.

For factors looking to hire in this landscape, what are the critical components to keep in mind?

Fox: One of the things that we have done at Triumph Business Capital within the last year is start looking outside of the factoring industry for our applicant pool. Traditionally, we have leaned towards transportation, ABL or factoring experience. We know we can teach factoring and find the competences that we need, such as customer service, critical thinking and leadership skills, outside of the factoring world.

We also need to be creative in the way we are hiring. Our recruiters have become salespeople for our company. They’re building relationships with applicants and staying in close contact with them as we work through the hiring process.

Retention is clearly more of a challenge than ever before. How can factors ensure they keep their best employees engaged?

Fox: Timely recruiting, hiring and onboarding of applicants is critical, as we have experienced significant growth this year. However, retaining our employees is going to be just as important and challenging. If somebody is not satisfied in their role or with the company, there are too many opportunities and it’s too easy for them to find something else.

For this reason, allowing remote or flexible scheduling should become a part of the strategic conversation. We have also taken a hard look at our manager training. Managing in a remote or hybrid environment is very different and can be challenging. We are slowly moving toward a model of 10 to 12 employees for every manager. When you’re asked to manage flexible schedules, having fewer team members is going to be very important to ensure employee engagement and productivity does not suffer. Larger companies are creating culture committees to partner with management and focus solely on employee engagement.

Have there been historical factors or challenges that have limited hiring and recruiting in the factoring industry before? If so, what are they and how can firms think outside the box to ensure they are attracting the best talent?

Fox: I’ve been doing recruiting and human resources for about 25 years. I have never experienced the hiring and retention challenges companies are facing right now.

Pre-pandemic, we would interview five to 10 people for a position and pick the best qualified candidate, make an offer and move through the hiring process with ease. Now, you can expect candidates applying for positions at all levels to negotiate pay, benefits and flexible scheduling. In the event the negotiations don’t end in a hire, keeping your applicant pool warm can save your recruiters from having to start the recruiting process over and reduce your time-to-fill matrix.

A conversation about improving hiring and recruiting strategies must incorporate diversity, equity and inclusion. How can companies ensure they are not only attracting but also providing avenues for advancement and success for a diverse range of candidates?

Fox: I’m a big believer that the only way to ensure that you have a diverse, equitable and inclusive workforce is to measure your success and have a plan in place for improvement. This is a great time to take a look at your DE&I plan and set goals. Companies that are embracing the hybrid and remote environment are now able to expand their applicant pool. I feel like this is going to provide some great opportunities for diversity in the workplace. Creating a recruiting plan that is intentional about sourcing for talent in underrepresented areas puts you ahead of the competition and strengthens your workforce. With staffing trends, we should no longer be waiting for applicants to come to us.