Factors that influence or affect recruitment is of 2 types
I.External factors
II. Internal factors
I.External factors
External factors of recruitment are the factors which affect the organization's recruitment process and cannot be controlled by the organization.
They are listed below;
1.supply and demand
The supply and demand of specific skills in the labour market are one of the significant factors which affect the recruitment process of the organization.
If the demand for a particular skill is high relative to the supply, an extraordinary recruiting effort may be needed by the organization and vice versa.
For example, If the demand for professionals in the company is more and the supply of professionals in the market is low then the company will have to rely on internal sources by training and developing employees.
2.Unemployment rate
A high unemployment rate in a particular area makes the hiring process simpler in finding qualified individuals by providing a wider labour pool. In addition, recruitment efforts must be stepped up and new sources must be investigated if the unemployment rate falls.
Labour market conditions
Labour market conditions in a local area are of primary importance in recruiting for most non-managerial, supervisory and middle management positions. However, so far as recruitment for executive and professional positions is concerned, conditions of the all-India market are important.
3.Political and legal considerations
Various government regulations directly influence recruitment practices by keeping out favouritism in hiring an employee.
For example, legislation for reservation in employment for scheduled castes, scheduled tribes, physically handicapped etc. have been introduced by the Government of India.
And also, trade unions play a significant role in recruitment.
This hampers the management’s freedom to choose potential candidates. recruitment sources can be limited by unions regulations if the candidate does not fulfil the criteria set by the union.
Child labour (prohibition and regulation) Act, 1986, for instance, prohibits employment of children in certain employments and seeks to regulate their working conditions in certain other employments.
4.Company's image
The company’s image also matters in attracting a large number of job seekers. Blue chip companies attract a large number of applicants, for example, Infosys handles nearly 1lakh applications per annum, it is not the money that is important to the job seekers, it is the perception of a company that matters in attracting qualified prospective employees.
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