Hiring crisis?

Just ask Wal-Mart, who despite lots of negative press about wages and healthcare coverage, still garners the staunch support of the vast majority of its “associates”.

By Editor on Sep 5, 2006

Just ask Wal-Mart, who despite lots of negative press about wages and healthcare coverage, still garners the staunch support of the vast majority of its associates.

So the last thing any company or industry wants is trouble recruiting employees. But according to a new survey by the Blue Pelican Group conducted in the UK, that's just what might be brewing for pharma.

The group says that while demand for experienced candidates is rising, provisions for graduate and market entry training are in decline. As a result, in the short-term the industry is facing a candidate driven market with spiraling salaries and in the long-term a serious skills shortage," the group reports.

Blue Pelican says 79% of pharmas are already experiencing recruitment issues and 86% of those surveyed say this is related to a lack of candidates deemed suitable by the pharmaceutical industry.

The group says recruitment is generally more effective if handled by line-managers able to interpret qualifications and expertise on an applicant's CV. But it says, due to time constraints, in most cases recruitment is now being handled by heavily taxed human resources departments.

Blue Pelican says with only 50% of human resource professionals coming from a scientific background, 57% of those surveyed say skilled candidates are being rejected without adequate feedback, causing acute frustration among applicants.

As a result, the group says 43% of recruitment companies report an increase in the number of highly skilled candidates seeking jobs abroad. And at least in the UK, 14% of recruiters say some candidates are being interviewed and hired abroad quicker than they receive a response from a UK company.

The current market is already experiencing an exodus of highly skilled candidates, says Oliver Leger, Blue Pelican's executive search consultant for pharma. Pharmaceutical companies are not investing enough in training programs, very few visit universities to tempt graduates, and for those who are tempted, there are few openings for them due to a lack of training.

The recruitment process is protracted and skilled candidates are getting frustrated, he warns. The pharmaceutical market is still appealing, but the current trends in recruitment process are damaging.

Granted the survey is UK-specific. But it's not difficult to imagine that it probably reflects the situation for other geographic regions.

Pharma needs to get its act together and do what it takes to woo, train and retain the best possible employees. After all, a company and the broader industry for that matter is only as good and successful as the people it employs. Attracting and keeping good, skilled and happy employees is vital to filling pharma's pipelines and improving its image in the local and global communities in which it operates.

A hiring crisis is the last thing pharma needs now or later.