Over 50% Job References Not Checked

Job references not checked by employers

Job references used to be the gold standard that almost all enterprises used to verify candidates backgrounds and character.  That is no longer the case according to Janco Associates.

In the process of updated and re-issuing its Interview and Hiring Guide, they found that only 46% checked even one reference.  Surprisingly they discovered that 30% depended on statements made by candidates during the actual interview process.  In addition, 26% whet to social media pages like Linkedin and Facebook reviewed what was posted there and assumed it was factual and correct.

Job references
Hiring managers no longer depend as much on job references when evaluating whether to hire a candidate.

The move away from personal references has been driven by the inability of individuals to provide “accurate” information on candidates.  For example, if a negative reference is given by an enterprise’s employee or agent, the enterprise could bee subject to litigation. Plus, many severance agreements stipulate that companies provide “positive references” for terminated employees.

Interview and Hiring Guide

Version 2.0 of the Interview and Hiring Guide contains specific questions that interviews can ask about prior employment, the position the candidate is interviewing for, education and training, remote workers, decision-making and creativity, management and leadership, non-work activities and interests, and questions that should be avoided. In addition, it provides a list of best practices for screening resumes, phone screening, the top 10 interview best practices, and hiring best practices.

The Interview and Hiring Kit can be purchased separately $89 or with one of the four versions of the IT Hiring Kit, ranging in price from $579 to $2,399 with 12 months of update service or $799 to $2,799 with 24 months of update service.

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Top 10 Interview Best Practices

Top 10 Interview Best Practices to get the candidate to say yes

Top 10 Interview Best Practices to improve an enterprise’s chances that a candidate will say yes to your job offer.

  1. Make the right impression from the first point of contact to the job offer.
  2. Have complete and accurate job description available during the interview.
  3. Let the candidate review the job description before the interview.
  4. Communicate to the candidate what the interview will entail.
  5. Be prompt and do not make the candidate wait.
  6. Allow no interruptions and focus on the candidate.
  7. Prepare for the interview and have a set of questions ready to be asked.
  8. Have materials to be provided to the candidate available –  put a post-it note on the materials with the candidate’s name on the materials.
  9. Be enthusiastic and positive not only about the job that is being filled but also about the company.
  10. Define next steps at the end of the interview.
Top 10 Interview Best Practices
“Everything enterprises need to hire the best IT Pros as demand for IT Professionals increases” – CIO Fortune 500
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China Hidden Competitive Advantage

China Hidden Competitive Advantage – China Owns Key Technology Media  Firms

China Hidden Competitive Advantage
China may control reporting on Best Practices for IT Infrastructure

China Hidden Competitive Advantage – Should the US be concerned that key technology firms and publications are now owned by China?  In March of 2017, China Oceanwide completed its acquisition of IDG.  China Oceanwide is an international conglomerate founded by Chairman Zhiqiang Lu. Headquartered in Beijing, China and include operations in financial services, real estate, media, technology and strategic investment. Following the acquisition, China Oceanwide has nearly 20,000 employees worldwide.

Within two months of the acquisition, there were extensive layoffs in the IDG’s US staffs of both writers and editors.  It has been estimated that between 90 t0 100 seasoned professionals were laid off.

IDG was founded in 1964 and the publications that were included in this acquisition were CIO, Computerworld, PCWorld, and Macworld.  IDG also has its own international news agency, IDG News Service. It is headquartered in Boston and has bureaus in cities such as New York, Beijing, Amsterdam, and Brussels. It provides news, images, video and other editorial content to IDG’s web sites and print publications worldwide.

The insight that IDG has in the technology market is very high. With this level of access to the technology market, should US based corporations be concerned? Will China based enterprises get a competitive advantage over US based enterprises?

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Job market improves

Job market improves – 25 states now at full employment levels

Job market improves to the point that there are currently 25 states, (including the District of Columbia), that have unemloyment rates of 4% or less.  At those levels most HR professionals consider those areas as being at full employment levels.

Job market improves
Job market improves – Comparison of unemployment rates for states currently at full employment levels (4% or lower unemployment)

The striking factor in our analysis of the data is the dramatic improvement in the unemployment levels if the 25 states that are at full emploment.  It is almost as if a light swith has been flipped.

Almost one half of the states have unemployent levels that are 2 to 3 percent range.

Read on …

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Historic IT Compensation

Historic IT Compensation for IT Executives

Historic IT Compensation analysis by Janco Associates shows that the Vice President of Technical Services has fared better in organizations of all sizes over the past five years than CIOs.

Since 2013  mean compensation for CIOs in large organizations has risen by 7.5% from $181,240 to $194,841 ($13,601).  At the same time, in those same organizations, the VP of Technical Services compensation has risen by 19.7% from $140,267 to $167,961 ($27,653).  In addition CSOs, also topped CIOs in large enterprises with an increase of 14.2%.

Compensation analysis for 5 years shows that the VP of Technical Services and CSO salary increase outpaces the CIOs in larger enterprises

In midsize enterprises CIOs, in the same five years saw their compensation rise by 9.6% or $15,523.  However, the VP of Technical Services saw their compensation increase by $17,991 or 13.8%.

Executives in Midsize enterprises typically are paid less than their counterparts in large enterprises

That does not mean that CIOs are doing poorly.  Rather the difference in compensations has eroded a bit in the past few years.

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The Rise of the Gig Economy offers vast benefits to Telecommunications Companies

 

———————————————————————————————————–

Size of the Gig Economy

US – close to one-third of working Americans are involved, at least on a part-time basis, in the gig economy[1]

Europe – 94 million[2]

Japan – 17 million[3]

China 201 million by 2020[4]

Asia-Pacific (not including China and Japan) – 34% of the workforce[5]

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Telecommunications: New Rules of Engagement in the Gig Economy

The rise of the gig economy offers vast benefits to telecommunications companies

The gig economy is on the rise all across the world, and it can be the answer to the telecommunications engineering talent supply challenge.

Freelance telecommunications engineers who work flexibly can reduce the burden on the supply chain, increase operational efficiencies and reduce project costs. Attracting and retaining top talent has been a consistent challenge for telecoms companies and this could be the answer to acute talent shortage.

In a study by the Human Capital Institute, 69% of respondents reported that outsourcing and temporary staffing significantly improved the organization’s talent quality. For instance, AMP, Australia’s largest insurance company, requires half of its 2,600-engineering workforce to be filled by contractors to ensure current skills are shared within the organization. [6]

Gig Economy workforce

The gig economy workforce functions as a pool of talent from which employers take skilled engineers when they need them, and as they need them. Instead of building a team of engineers who work full-time, and thus have various levels of engagement with the company depending on the project, whether they have vacation time, etc., a manager selects an engineer with the skillset required for a given project.

This has obvious advantages: The telecoms engineer is more likely to be fully engaged with the project as it addresses his/her skillset. And, because the engineer is only hired for a specific project, successful and timely completion matters, so that the engineer can find another assignment.

“The gig economy prevalent in US, Europe and India is expected to bring transformational changes to traditional HR practices around the world, where gig and traditional economy will thrive together,” comments New Delhi consultant Rohit Kutappan.[7]

“With a growing shift to contracted labor and asset usage, organizations have the ability to use the new on-demand economy to their advantage – for growth and to be leaders of innovation. Every industry is ripe for change and looking internally and across well-established networks can provide the seeds of, and impetus for, change,” according to Jacob Romansky, an Associate Consultant at Denneen & Company.[8]

How engineers manage on-demand working

The advantages are aplenty for the workforce too, and not just the employers, as they can pick and choose the gigs they want to work on. This means their skills will be current while retaining flexibility and autonomy, and avoiding the occupational hazards of a regular job. In effect, freelancers can operate as entrepreneurs.

More importantly, they can have a work-life balance according to their needs and feelings. A telecommunications engineer may wish to work one month, then to spend a month with his/her children at home. Or they may enjoy taking on a long project, and then waiting to see when another one that fits their skills and appeals to their inclinations come up.

Flexible working gives engineers an increased feeling of personal control over schedule and work environment, according to Human Resources expert Susan Heathfield.

“One reason people like to work for themselves is the control issue. By allowing employees to determine their own schedule and work environment, a manager appeals to the entrepreneurial spirit, which can be good for workers.”

Fieldengineer.com can help

If you are a telecommunications engineer thinking about becoming a gig economy worker, then contact Fieldengineer.com to find out more about all the advantages you can gain.

If you are a manager thinking about working with telecommunications engineers on a flexible basis, then Fieldengineer.com offers you 15,000 pre-screened telecommunications engineers to work with in locations all over the world.  You can save 30% or more with contractors from Fieldengineer.com, as you won’t have to pay for benefits or vacations.

More importantly, you can fill the skills gaps you need to get your projects finished on-time and at a high level of quality.

So, contact https://www.fieldengineer.com/ to get the best results and the best talent.

[1] https://www.fastcompany.com/3048919/the-future-of-work/are-freelancers-to-blame-for-our-slow-economic-recovery

[2] http://www.mckinsey.com/business-functions/digital-mckinsey/our-insights/digital-blog/are-we-ready-for-more-on-demand-freelance-work

[3] https://www.techinasia.com/japan-gig-economy-zehitomo-funding

[4] http://www.scmp.com/tech/china-tech/article/2073048/pots-gold-chinas-gig-economy

[5] http://www.ientrepreneur.co.in/blog/small-business/rise-of-the-gig-economy-in-india/

[6] reports.weforum.org/digital.../digital-enterprise-narrative-final-january-2016.pdf   

[7] http://www.ientrepreneur.co.in/blog/small-business/rise-of-the-gig-economy-in-india/

[8] http://www.denneen.com/2016/09/13/use-the-on-demand-economy-to-your-advantage/

IT Job Market Not Brisk

IT Job Market Not Brisk – Slower growth rate than 2016

IT Job Market Not Brisk as the number of new jobs created in 2017 lags 2016 as of July buy 35,600 jobs.  That may not be a good omen of the balance of the year.

IT Job Market Not Brisk
YTD the number of new jobs created for the IT job market lags what occurred last year.

In conversations with several dozen CIOs, CFOs, and recruiting managers, Janco found that there was significant reluctance to staff for new positions until the economic horizon is more stable.

Drivers of instability are whether a new tax plan will be passed in the near future and the political uncertainty associated with the current grid lock in Washington.

Current hiring plans by CIOs and HR recruiting managers are depicted in the chart below.

CIO and HR recruiting managers current hiring plans and forecast
CIO and HR recruiting managers current hiring plans and forecast

For more on this go to https://www.e-janco.com/Career/EmploymentData.html

 

 

Telecom drag on IT Job Market

Telecom drag on IT Job Market – 39,200 jobs eliminated in last 12 months

Telecom drag on IT Job Market – telecommunications hiring has been suffering this year. The industry dropped 700 jobs in June, making a total of 39,200 jobs lost in 2017. That comes as no surprise considering the whirlwind of telco mergers and acquisitions. Verizon’s acquisition of Yahoo’s Internet properties led to a massive cut, Windstream’s purchase of EarthLink eliminated hundreds of employees, and Vonage recently laid off 90 people due to acquisition redundancy.

Telecom drag on IT Job Market
48,800 IT jobs have been added to the IT Job market despite a loss of 39,200 telecom jobs in the last 12 months.

Janco has just completed its analysis of the first six months of the IT job markets growth and adjusted its forecast for IT job market growth the remainder of this year.  In summary, the IT job markets should grow at the about the same rate as it did in 2016 even though IT job market growth currently is behind what occurred in the first six months of 2016.

The CEO of Janco Associates, Inc., Mr. M. Victor Janulaitis said, “There continues to be a shrinking of telecommunication jobs.  In the last 12 months alone, there as been a loss of 39,200 telecommunication jobs while the rest of the IT job market is expanded by 88K new jobs in the same period.  This is a trend that we think will continue for the next few quarters.”

The CEO added, “In the last 3 months over 14,600 jobs have been added in the Computer System Design and Related Services sector of the IT job market. Based on our conversations with scores of CIOs, CFOs, and CEOs; we see that trend continuing. As a result, we forecast that the overall IT Job market will grow by over 60,000 jobs in the next six months. This would result in the creation of 72,000 new IT jobs in 2017. That should equal the rate of IT job market growth that was seen in 2016.”

Janco interviewed 113 CIOs, CFOs, and CEOs in the last several weeks as part of it’s IT Salary Survey process ( https://www.e-janco.com/salary.htm ).  Janco’s CEO said, “C-Level executives interviewed after the election were optimistic that there will be more incentives for increased IT spending and hiring.  It seems the tide has turned and they now feel there will be  less growth in IT budgets for the remainder of this year.” He added, “Hiring prospects are marginal at best, except for IT Staff at the worker level in the latter part of this year.”

Janulaitis added, “There is little demand for new executive and senior management positions over the next few quarters.  On the bright side there looks to be an increase the headcount for IT staff towards the end of this calendar year.  The trend to IT job creation is up and if a  tax reform is implemented one would expect that IT jobs would be the first ones that were opened to be filled.”

More information can be found on Janco’s analysis of overall labor picture and the IT job market on Janco’s website.

Janco is an international consulting firm that follows issues that concerns CIOs and CFOs and publishes a series of IT and business infrastructure HandiGuides® and Templates including a Disaster Recovery/Business Continuity Template, Security Template, IT Job Descriptions, and its semi-annual IT Salary Survey.

Top 5 Hot Jobs

Top 5 Hot Jobs

Chief Digital Office (CDO) & Chief Mobility Officer (CMO) Hot C-Level Jobs

Top 5 Hot Jobs – CDO & CMO Hot C-Level Jobs that are not only new but also hot.  In the case of Chief Digital Officer (CDO), we have found that one in five companies now have some in that role.  In addition, half of those enterprises hired the incumbent in the last 12 months. The case is not quite as strong for the Chief Mobility Officer (CMO) as we found that only one in ten organizations have an individual other that the CIO assuming those responsibilities.

Top 5 hot jobs
Chief Digital Officer is one of the hottest jobs in the technology arena. Other hot jobs are Chief Mobility Officer (CMO), Digital Brand Manager, Data Scientist, and Social Media Specialist.

Many of the hot new jobs often report to the operational side of the business, instead of the traditional IT organization under the authority of the CIO.  Part of the reason for that is that almost half of all IT functions report up thru the financial side of the enterprise, not the operational side.

The five hot new jobs are listed below and have links to pages describing the major roles and responsibilities they have:

All of these jobs have one thing in common.  They are addressing the issues, roles, and responsibilities of the new age marketplace.  Without the Internet, e-commerce, and mobile users there would be no need for these positions.

But, as it is these are the new jobs that have been created by these new technologies and changes that have taken place.

Order IT Job DescriptionSample job description

High Unemployment

High Unemployment States

High Unemployment continues to persist in four states: Alaska – 6.7%; New Mexico – 6.6%; District of Columbia – 6.9%; and Louisiana 5.7%.  All four of these states have had a dismal recovery.

Recovery has missed these four high unemployment rate states.

 

It is not clear what it will take to get the people in those states back to work.  In the case of the District of Columbia, with the emphasis of reduction in the size of goverment, unemployment will stay high.

Both Alaska an Louisiana should have a clear path to recovery with the emphasis on energy independence. New Mexico is an unknown at this time.

Full employment states

There are 21 states that are in a full employment mode.  That is the best it has been since early in the George W. Bush administration.

Colorado is in a full employment mode with the lowest unemployment rate in the nation.

All but 2 of these states (New Hamphsire and South Dakota have unemployment rates that are lower than they were in the same month of the year as last year.

In the case of IT job market, that is a very good sign.

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IT Salaries up

IT Salaries up 5.32% in the past 12 months

IT Salaries up by over 5% in the past 12 months for all IT positions surveyed by Janco in is semi-annual IT  Salary Survey. The median salary (for the positions surveyed) has gone from $82,775 to $87,175.IT Salaries up as demand for IT professionals increasesMajor findings of the 2017 IT Salary Survey are:

  • Salaries for IT executives have fared better in large companies than mid-sized companies.
  • Middle manager levels in mid-sized companies with an increase of 6.65% – most of which can be attributed to performance bonuses and the hiring of significantly more qualified individuals earlier.
  • Middle management positions in IT organizations of SMB’s had the greatest demand for new hires. Companies were gearing up their internal US based IT organizations pushing IT salaries up by 6.65% (from $80,792 June 2016 to $83,964 in June 2017).
  • 2017 IT job market started with a bang.  That has slowed. We predict that the IT job market will grow at about the same amount as it did in 2016 when 71,500 new IT jobs were added. IT salary growth will be almost nil for the remainder of the year.
  • Median CIO tenure has risen by a month to 4 years and 6 months.
  • Positions in highest demand are associated with security, training, large data center management, big data, distributed/mobile system project management, quality control, BYOD implementation, capacity planning and service level improvement.
  • On shore outsourcing and H-1B visa jobs have peaked.

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Janco interviewed over 127 (72 after the election) CIOs in the last several weeks as part of its 2017 IT Salary Survey process. Janco said, “CIOs interviewed after the election and post-election processes were optimistic that there will be more incentives for increased IT spending and hiring. It seems the tide has turned and they now feel there will be little chance for improved growth in IT budgets for the remainder of this year.” They added, “Hiring prospects are poor at best, especially with the higher salary levels due to the overall increase in IT salaries at the end of last year.”

 

Employment Picture

Employment Picture not looking good

IT Employment Picture is spotty at best.  Many CIOs were optimistic at the beginning of this year, but they have pulled back on hiring.  After 5 months, there has a net loss of 7,200 jobs in the IT job market.  In addition this year is trailing IT job creation of last last year by over 18,100 jobs.IT Employment PictureIn interviews with over 100 CIOs, we found that CIOs are no longer as confident about the economic outlook as they were earlier in the year.

CIO Hiring PlansWhit this as a preamble, Janco has reduced its forecast for the number of new IT jobs to be added to be about 77,200 for the whole of 2017.  Earlier we had forecast that well over 140,000 new jobs would be created.

Number of new IT jobs to be created in 2017

 

 

Security Architect

Security Architect is a Hot New Job

Security Architect job description
Security Architect is just one of over 280 full job descriptions that are delivered electronically

Security Architect – The one position that CIOs and C-Level executives are looking to fill.  With all of the recent cyber-attacks and negative publicity they have generated there is a need for this proactive position.

Most of the other positions are focused on “after the fact” monitoring.  This one looks at what could happen and creates an architecture which address potential cyber-attacks and hacks.  The individuals operate on a philosophy that is easier to prevent something from happening versus trying to address problems after they occur.

Position Purpose

The individual in this position  assumes responsibility for data security including the planning, design and implementation of security measures which safeguard access to enterprise terminal files and data elements.  The administrator provides rapid response to user community’s request for security assistance.

They  secure enterprise information by determining security requirements; planning, implementing, and testing security systems; preparing security standards, policies, and procedures; mentoring team members.

The full job description for this position has just been released.

Security Architect read on…

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H-1B visa holders paid less

H-1B  visa holders paid less

H-1B  visa holders paid less.  According to the latest filings by Apple Computer. 99.6% of the 4,807 visa applications for the current year have a “stated” average salary that is less than the going rate for the current year.

Apple Computer files average salaries that could lower for actual hires than the going rate for the San Francisco Bay area

Granted that Apple may pay individuals more than is stated in the application, but they do have the option to pay less.  That is the core of the issue with the H-1B visa program as it is implemented today.

The question is the program to be be altered in such a way to eliminate the possibility that companies like India based outsources can use the program for their own profit at the expense of US workers’.

In our next IT salary survey we will address this issue this issue in depth.  Janco’s survey is an industry standard and is (and has been) used by over 3,000 organizations in the US and Canada, In addition, the results of the survey have been published in the Wall Street Journal and CNN to mention a few media outlets.

Several major unions and governmental agencies use the survey for setting pay grades and overall compensation levels.

Read on IT Salary Survey

 

 

 

Tenure of Telecom pros exceeds that of CIOs

Tenure of Telecom pros exceeds that of CIOs by 18 months

Tenure of Telecom pros – In the process of preparing for our mid-year IT salary survey, we have started to review the impact of the baby boomers who are now starting to to retire in droves.   The issue that CIOs and CSOs face is wither they have the resources in place to fill those positions as these professionals retire.

Employee Tenure
Telecom professionals have a median tenure of six years. That is 18 months longer than for CIOs.

Added to this is the fact that over the last several quarters the total number of job in the telecom field has shrunk significantly. This has also dampened the number of new entrants into that job market.

Preliminary data that we have seen shows that telecom salaries are not keeping up with the rest of the IT industry.

CIOs and CSOs are going to have to address succession planning for not only the telecom pros retiring, but also for the rest of the baby boomers that they have on their staffs.