Back in September, 2009 we started seeing an up-tick in new search assignments. Not a huge number, but enough to brighten our days. Many of the new assignments were for controller-level people for V.C. funded companies looking to build a finance organization. We had not seen many of these search assignment since Q1 in 2008. Then in December we started seeing an increase in demand for assistant controllers, accounting managers and senior consolidations specialists. And, the demand for start-up company controllers continued to be strong. Something was happening in the job market. Would it continue, or was it just a blip? The Third Sign of an improving job market appeared after New Year’s: Companies started asking us for help finding FP&A people! The canary in the coal mine for the accounting placement business is what’s happening in the planning departments. When they start reducing headcount business is not good; but when they hire then things are on the mend. Things are clearly on the mend. If we aren’t in a double dip recession cycle (a 20% – 30% chance per the economists) then the job market for accounting professionals should be good in 2010.
Other Signs of an Improving Job Market
Here are a few signs/trends that lead me to believe in a stronger 2010 job market:
- Temps are turning down temp opportunities for better ones. This didn’t happen anytime in 2009. It’s happened to us twice this week. Once because the candidate would rather go to Vegas for St. Patrick’s Day than start a three month assignment and the other because the candidate had two other opportunities that were temp-to-perm versus a three month assignment. I can understand the Vegas thing, but, still?
- Clients call us back quicker than in 2009! This usually means they are serious about hiring someone. In 2009, there was a lot of tire-kicking going on. Now there is a sense of urgency in the market.
- Candidates are seeing multiple job offers again. Very rare in 2009. And it seems to be happening at all levels. I have a good friend who was laid off from his CFO position last year (his company was acquired and the “synergy” part of all these deals seems to be consolidating all the G&A functions) just received two job offers with fast growing companies. He had a choice and didn’t have to move out of the area.
- Reference sources are now hiring people when they learn they are in the job market! If you are thinking of making a career change, call your list of references first as they may have a need or know someone who does. Plus it is always a great idea to stay in-touch with your referral network. They know you best and love you best.
- Many of the people we spoke with last year who didn’t feel comfortable seeking a job change in poor economic times are now actively looking to make a change. Some studies that I’ve read recently (I never keep them as proof) say that 40%+ of exempt-level employees are dissatisfied with their current job and will consider a job change in 2009. People working for Big 4 firms, in particular, are not happy. 2010 should be a great year to add staff from the financial audit and tax groups from Big 4 firms. Even some of the larger regional CPA firms will experience increased staff turnover this year.
- And finally, we have seen a doubling of new orders so far in Q1 – 2010 compared to the same period in 2009. And the order rate is trending up from the September to December, 2009 order rate.
Sure glad we planned for an up-turn in 2010! Kula now has a recruiting staff of nine experienced recruiters plus me. So, nine experienced recruiters and one old warhorse to keep them in line are a phone call away. We are currently working on a great mix of search assignments and are ready to take on more. The job market is starting to heat up – does it feel warm in here to you too?