Canadian employment numbers held steady again in May with the unemployment rate dipping to just under 7%. Declines in wholesale and retail trade, healthcare, social services and natural resources were offset by gains in a range of service industries, manufacturing, public administration, education, business, construction & building and other support services.
Despite a lesser number of jobs created in the USA in May, the unemployment rate dipped below 5%. The biggest job gains were realized in healthcare with other sectors remaining fairly consistent. The exceptions being the continued decline in the mining sector and a decline in the information sector that was as a result of a strike in the telecommunications industry taking workers off the payroll.
On the executive level, May 2016 C-suite turnover increased somewhat in 3 out of 4 categories over what we saw in May 2015. CEO turnover, year over year, increased by +5%, CFO changes increased by +4% and overall C-Suite changes increased by +12%. Board changes realized a decrease over May 2015 of 30%.
Month over month changes May 2016 versus April 2016 were healthier and we saw increases across the board. CEO changes realized a +13% increase, CFO changes, for a third consecutive month, saw another dramatic increase of +18%, overall C-level changes increased +18% and Board changes increased by +3%.
May 2016 C Suite turnover activities break down as follows::
- CEO changes, +7%. A total of 189 changes with the largest number of changes occurring in the healthcare, drugs/biotech and business services sectors. Last month's changes occurred primarily in banking, drugs/biotech, manufacturing and construction related sectors.
- CFO changes, +4%. A total of 221 changes with the largest number of changes primarily occurring in banking, drugs/biotech construction and energy sectors. Last month's changes occurred primarily in business services, drugs/biotech, energy and banking.
- Board of Directors, -30%. A total of 358 changes with the largest number of changes occurring in metals/mining, energy and banking sectors. Last month saw changes primarily in business services, manufacturing, drugs/biotech and energy.
- Overall C suite, +11%. A total of 1577 changes with the largest number of changes occurring in business services, manufacturing, banking and energy. Last month's changes were realized primarily in the banking, drugs/biotech, professional services and energy sectors.
A couple of interesting news articles regarding Linkedin came out in May – the biggest news being that Microsoft is acquiring the social media company for $26.2 billion. The press release stated that Linkedin currently has 433 million members – while certainly a large number, that still represents less than 20% of the world population. The other interesting article was a global survey that showed that 97% of corporate recruiters use Linkedin to find, attract and engage talent. A pre-Linkedin global study conducted by Accenture showed that only 12% of the potential candidate pool is actively seeking to make a change. These are the same candidates that most actively use social media like Linkedin to facilitate their job search.
A recent Fortune magazine survey reported that 61% of CEO’s have no social media presence whatsoever and another study indicated that close to 80% of professionals are similarly disinclined to share their access and information through utilization of social media sites. If you want to test these numbers, try doing a search of the Professional Engineers of Ontario membership list and cross referencing the members to Linkedin. You’ll find less than ¼ of the members on Linkedin. Do that with medical, legal and financial professionals and you’ll find similar results.
Are your corporate recruiters finding, attracting and engaging with those elusive top performers that are not actively in the market - or are they focusing the bulk of their energies on sourcing low hanging fruit through Linkedin? By settling for such an narrow sampling, have you considered what the opportunity cost here is to your organization?