EMPLOYER

If attracting top tech talent is on your priority list this year, you’re not alone. The past 12 months have been challenging for candidates, but that doesn’t mean businesses can afford to be complacent. The market is shifting, and companies that refine their hiring strategies will secure the right talent ahead of their competitors. So, how do you stand out in a cautious hiring market? Here’s how you can attract, engage, and retain the best tech talent in 2025.

Field at Present: From a Director’s Perspective We have seen a continuation of the slow start to the year, which is expected given the overall economic climate in the market alongside government budgetary pressures. There is certainly an increase in general activity coming in from private companies with an increase in ratios of new hires vs replacements. With the recent budget announcements, we will see the flow on impact across government with both the continuation and kick off of new projects, which in our prediction will see an increase in recruitment activity across the board from July onwards. Although certainly not at the frequency of what we have seen in the last six months, we are still seeing organisations across a range of industries forced into making rounds of redundancies and other operational cuts or changes to help them operate more leanly during challenging times.

Field at Present: From a Director’s Perspective Generally, we have seen a slow start to the year, continuing the trend we saw in the latter half of 2023. Despite feedback from the market that suggested a stronger bounce back, we have yet to see this in the market at present. There are pockets of activity - primarily back-fills to existing hires. As we gear towards the backend of the government’s 100-day plan, we should see the firming up of new projects and programmes, which will likely require capability to deliver these pieces of work. Unfortunately, we are still seeing organisations across a range of industries forced into making rounds of redundancies and other operational cuts or changes to help them operate more leanly during challenging times, and we’ve even seen this in the recruitment industry itself.

With the dynamic business landscape, many companies are embracing flexibility and adaptability as they navigate the ever-changing market. As someone who has worked in the technology and recruitment sector for a while, I’ve come across a common misconception that I’d like to address: the perception that contractors are significantly more expensive than permanent employees. I'd like to give light to the true cost of hiring a contractor and explore why it might be more budget-friendly than you think. Let’s start by acknowledging the elephant in the room – the hourly rate. It’s no secret that contractors often come with an hourly rate that seems higher than what you’d pay a permanent employee. But here’s the thing: an employee salary is just the tip of the iceberg. When you hire an employee, there’s a whole set of additional costs and overheads that can significantly impact on your bottom line. Let’s break them down: 1. ACC (Accident Compensation Corporation) When you employ a permanent employee, you’re obliged to contribute to ACC levies. These can add up and represent a substantial ongoing cost to your business. Contractors, on the other hand, handle their own ACC payments, freeing you from this financial burden. As I write this it sits at approx. $0.63 per $100 of payroll. Example being, a $100K Salary = $630 per annum. 2. Kiwisaver Permanent employees are entitled to Kiwisaver contributions from their employers. While it’s a great benefit for them, it’s an added cost for your business. Contractors manage their own retirement savings, releasing you from this expense. At the minimum contribution of 3% that is $3,000 based on a salary of $100,000 per annum. 3. Training and Development Investing in the professional growth of your employees is essential. However, it can be costly and time-consuming. Contractors typically bring their existing skills and experience to the table, minimising the need for extensive initial training and ongoing development programs. Various benchmarks have this between 1% - 5% of an individual’s salary. Based on a $100,000 per annum this could be between $1,000 - $5,000 per annum. 4. Fringe Benefit Tax Providing certain benefits to your employees can trigger fringe benefit tax liabilities. Contractors are not subject to this tax, which means you can offer perks without worrying about additional financial implications. 5. Benefits Permanent employees often receive benefits such as health insurance, paid annual leave, and more. While these are important for staff retention, they can substantially increase your personnel expenses. On the other hand, contractors manage their own benefits and extras, giving you more predictability in your budget. 6. Insurance A business is responsible for looking after professional indemnity and public liability insurance which cover their permanent employees. On the flip side, contractors typically have their own insurance coverage, reducing your insurance-related costs. 7. Overheads Beyond the salary, permanent employees come with a host of overheads like office space, equipment, and administrative support. Contractors usually operate independently, sparing you from these additional expenses. 8. Productivity It is not as simple as multiplying a contractor’s rate by the number of hours in a week, and then extrapolating that out for the year. They only get paid for the hours they work, which doesn’t include any annual leave, sick leave, or public holidays. You only pay them based on what the hours they actually worked. So, what’s the bottom line? Hiring contractors can be a cost-effective choice when you consider the bigger picture. While the hourly rate may seem higher, it’s essential to factor in the myriad of savings associated with not having to manage all the costs and overheads that come with permanent employees. Don’t get me wrong – permanent employees are valuable assets to any organisation. They bring stability, commitment, IP retention, and a sense of belonging to your team. But the key is understanding the differences between contractors and permanent employees and leveraging them to your advantage. Think of hiring contractors as a strategic move that provides the flexibility to scale your workforce up or down as needed, without long-term financial commitments. It’s not about one being better than the other; it’s about making informed choices that align with your business objectives. So, the next time you consider bringing in a contractor, remember the true cost isn’t just about the hourly rate- it’s about the holistic value they bring to your organisation.

Intro to Recruit I.T. GTS Recruit I.T. GTS is the brainchild of Directors Kaleb Leeming and Ben Allen. Established in 2006, Recruit I.T has been offering contract and permanent resources to the technology community in New Zealand for many years, and has helped organisations to deliver their business goals in a timely and cost-efficient manner. More recently, and prior to COVID, Recruit I.T. has been managing and onshoring capability and talent into the New Zealand market to help address growing talent shortages and fill specific technology skillsets that our customers need to scale their business and deliver numerous products and projects to their customers. At present, Recruit I.T. has employed and migrated over 50 international candidates to New Zealand - this has resulted in projects being delivered on time along with significant cost savings. Recruit I.T. Global Talent Solutions aims to bring high-skilled tech talent to your company quickly, affordably, and effectively. We have successfully created a global network of highly adept and intelligent I.T. professionals that can help scale your business scale for success. Everything you need to know about Recruit I.T. GTS Learn more about Recruit I.T. Global Talent Solutions through these Frequently Asked Questions (FAQs). 1. How does RIT GTS work? GTS offers bespoke solutions to cater to every business need. We can help relocate candidates to New Zealand or we can onboard candidates remotely using our partners around the globe. We’ve been running this model since 2014 so we are well-versed at finding a solution to every resourcing problem!  2. How is it different from other recruitment offerings in NZ? Recruit I.T. utilises international talent to fill the gaps when the local market is talent-short or lacks niche skillsets. We follow and curate a model that is both efficient and cost-effective, and low risk. Reach out to our Director Kaleb Leeming to know more about our scope of work and services. 3. What skills can the clients access/roles can they fill with GTS that they can’t through traditional recruitment? There really isn’t an I.T. role that can’t be filled! NZ has a smaller pool of talent than other countries, so when you start looking for staff in specific areas of I.T., it’s easy to falter . We’ve had success recruiting in the development space (Java, Ruby, Mobile), as well as platform specific expertise including Salesforce, Dynamics, PEGA, SAP, ServiceNow, and Workday to name a few. We would love to help other businesses in NZ to capture talent not easily accessible in the New Zealand market. 4. How have offshore candidates changed over the years in terms of their non-negotiables for new work opportunities i.e., higher salary, permanently migrating to NZ, etc.? Overseas candidates certainly have more options now the world has opened. So, flexibility, team culture, and working on an exciting project are normally high on the wish list, along with salary. For those candidates looking to migrate from overseas, we are seeing those with families being put off by all the media around the high cost of living right now, and typically countries that have been seen as a lower cost, have risen in salaries through the increase in the remote workforce and countries such as the US a Europe expanding there reach globally. 5. How does your engagement model work? Each engagement will differ depending on the outcome you are looking to achieve. However, we generally run three (3) types of models for our customers: Offshore/Remote Capability : We hire these individuals as either permanent or contractors, and they work based in their own country (most often, the Philippines), within the New Zealand time zone. Offshore to Onshore Capability : This is a hybrid model to the offshore capability, where customers contract capability remotely, experience whether individuals are suitable, then at a future date look to bring these individuals into NZ. Onshore Capability : Here we go straight to moving candidates into New Zealand. We can either take the risk on and hire them permanently or facilitate the recruitment process where our customers can hire them permanently directly. FAQs Here are also some of the most Frequently Asked Questions about Recruit I.T. GTS: (For Clients) Q: When can we start hiring employees? A: We would organise an initial briefing to understand your requirements along with what one of our service offerings would work best for you. From what, we would begin preparing an initial short-list with the view of interviews within 1 – 2 weeks. Q: What’s the step-by-step process in availing the services? A: You provide us with your requirements. We will find a small shortlist of talent for you to interview. Once you are happy making an offer, we will work through the immigration process (for onshoring) or the onboarding process (for those working remotely offshore) Your new hire starts! Q: Do we need to pay for your services even if there were no successful hires? A: No. You only pay a success fee if we are successful in placing a hire. Q: What other services do you provide? A: Outside of offshore talent, we can supply local contract and permanent recruitment services. Q: How long does the recruitment process take? A: The speed of the process is up to you but the quicker, the better! Locking in interview times can often slow the process down, so if you can commit to some interview times at the beginning of the process, we can usually have interviews completed within two weeks of obtaining requirements. Q: What type of sectors/industries have you catered to? A: We specialise in technology related capability and have clients in government, utilities, banking, insurance, media, and entertainment. Scale your business for success! As with any solutions, Recruit I.T. GTS can adjust and alter any aspects of the proposals that we send to our clients depending on the goals and demands of your business. If you require any further information about Recruit I.T. GTS and the services we offer, contact Kaleb Leeming (Director) at kaleb@recruitit.co.nz/ 027 201 8152. Read more about Recruit I.T. GTS here .

At Recruit I.T., we believe our work is about more than just successful job placements. We're all about the journey, the process, and the personal growth that comes from embracing every step. A concept we’ve been discussing as a team is one that can be easily misunderstood at face value, but if you dive a little deeper, and do some work, it’s one that has the power to transform your approach to work, life, and everything in between... I’m talking about the power of detachment. The Chocolate Cake Analogy: Shifting Focus Imagine a chocolate cake in front of you. The cake represents the journey - the process you undertake to achieve your goals. The icing signifies the outcome you're striving for. Now, let's consider the scenario where you only eat the icing - you'll likely end up feeling overwhelmed or dissatisfied. But if you enjoy a slice of cake without obsessing over the icing, most of us will find genuine satisfaction in the experience itself. Translating this analogy to real life, fixating solely on an outcome can lead to stress, anxiety, and an overall sense of unease. The key to moving away from this state, is self-awareness. By recognising when your attention has shifted solely to the icing, you empower yourself to make a choice: perpetuate the fixation or make a positive change. The Journey of Self-Awareness Self-awareness isn't a skill you master overnight—it's a journey of growth and transformation. Just like any other skill in life, it requires practice, dedication, and a willingness to see beyond the surface. When you develop the ability to notice when you've strayed from your intended path, you open the door to a different way of thinking and reacting. To cultivate self-awareness, in my team, we've adopted practices like our weekly 'Reflective Standup’. This platform allows each team member to share their greatest challenge, biggest success or reason for celebration, and the thing that is in most urgent need of attention. It's a powerful exercise that keeps us grounded, focused, and continually evolving. Detachment isn't just a concept confined to our workplace, or work in general – it’s a mindset that can extend to every facet of life. Bringing it back to our industry and what we do – for job seekers in particular, it's all too easy to equate success with securing a job offer. However, when you detach yourself from that specific outcome, you discover the immense value in the journey itself. Job hunting is a multifaceted endeavor, rich with opportunities for personal development. It's a craft that requires practice, time, and resilience, and I often say that finding a job, is actually a job in itself! Our consultants understand this journey intimately, and we're here to help candidates navigate it with the minimum of stress and anxiety. From interview preparation through to providing feedback, we strive to equip candidates with the tools they need to appreciate and learn from the process, no matter the outcome. By growing our own self-awareness, and including detachment as a part of our philosophy, we are able to focus on the journey and find more enjoyment in every step – someone we aim to share with our candidates and clients as well. Let’s embrace the whole cake and relish the journey!

Are you currently on the quest for tech contractors to fill a skill gap within your organisation but can’t seem to find the perfect candidate for the role? Maybe it’s time to ask for an expert’s help! It’s not a secret that finding a contractor that possesses the right skills and expertise is a challenge that a lot of organisations in Aotearoa share in common. With the demand for top talent soaring now more than ever, ensuring that you find the perfect candidate could be a daunting and time-consuming task which a recruitment provider can easily and efficiently do for you! Partnering with a trusted recruitment agency like Recruit I.T. can alleviate the burdensome nature of hiring, all the while being flexible, and time and cost-efficient. In this blog, we’ll delve into the barriers that come to mind, and the transformative benefits of using a recruitment provider in securing the ideal contractor for your tech endeavours, so keep on reading! 1 . Extensive talent pool One of the top benefits of partnering with a recruitment agency when hiring contractors is the wide array of talent available for you to scan and choose from. Recruit I.T., for example, has built an extensive talent pool of highly skilled contractor talent in New Zealand ensuring you get only the best in the industry. Recruitment agencies like Recruit I.T. have developed vast networks and built connections within the community, and by leveraging these networks, you can quickly tap into the talent pool, select, and screen candidates according to your specific requirements. 2. Time and Cost-efficient When you choose to partner with a recruitment provider, you save valuable time and reduce costs associated with the hiring process. Recruit I.T. does this best as we have developed an engagement model that aims to scale the hiring process and reduce your time to fill. We conduct everything from start to finish – sourcing, screening, interviewing, and shortlisting, allowing you to save time, cost, and resources. With a recruitment provider like Recruit I.T., you can offload time-consuming recruitment responsibilities to a dedicated and highly skilled team. You benefit from a dedicated point of contact, in this case an Account Manager, who would be backed by the wider Recruit I.T. delivery team to ensure you get the right contractors and outcome. Our engagement model aims to put you and your business goals first, by helping you secure top talent across Aotearoa. This allows you to focus more on your core business activities while making sure that the hiring process is in the best hands and remains efficient and streamlined. 3. Industry expertise Recruitment agencies possess deep industry knowledge and expertise in the sector of your choice. Recruit I.T., for example, has a proven track record of over 15 years’ industry experience, and our consultants have more than 150 years of collective experience amongst them in the New Zealand market. We stay abreast of the latest trends, rates, talent and industry insights, skill requirements, and emerging technologies. This knowledge enables us to understand your specific needs and source candidates with the right skill sets and experiences. With a finger on the pulse of the industry, recruitment agencies can provide valuable insights and guidance throughout the hiring process to help you make informed decisions when selecting contractors.  4. Flexibility and Scalability The dynamic nature of the tech industry often requires businesses to be agile and adaptable. Hiring contractors through a recruitment provider offers flexibility and scalability you need to meet your organisation’s changing demands. Whether you require short-term contractors for a specific project or a long-term contractor to fill skill gaps, recruitment agencies can match your requirements with the right professionals. This allows you to scale your workforce quickly and efficiently, saving you from the challenges of onboarding and training new employees. Additionally, we ensure they bring the appropriate expertise and skills to hit the ground running, being productive from day one. 5. Risk mitigation Recruitment agencies like Recruit I.T. play a crucial role in mitigating the risks associated with hiring contractors. We handle everything – even administrative tasks, including compliance checks, background verifications, insurance, and contract negotiations. By warranting that contractors meet all legal and regulatory requirements, we reduce the risk of non-compliance and potential legal issues that may arise. Additionally, we can provide contract management and payrolling services, ensuring smooth operations and minimising any potential disruptions. Finding the right recruitment partner is crucial to ensure you get only top and highly skilled contractors who fit your requirements and organisation. Partnering with one like Recruit I.T. offers numerous benefits, without leaving a hole in your pocket and understanding your demands. So, if you’re seeking exceptional tech contractors in New Zealand who can fill skill gaps and drive your organisation’s growth, consider engaging our services and enquire through our trusted Consultants. Gain a competitive edge in attracting and retaining top talent, while focusing on what you do best – achieving your business goals.

As consultants specialising in talent within the technology industry, we are frequently approached for insights and feedback on various aspects of employment, including branding, salaries, recruitment processes, best practices, and employee benefits. In the wake of the COVID-19 pandemic, employee benefits have become increasingly crucial for organisations aiming to distinguish themselves in the market and gain a competitive edge. The landscape of employee benefits is constantly evolving, but we’ve certainly observed and experienced the growing importance of work-life balance, wellness, and flexible work arrangements in the post-COVID era. A Market Shift Towards Wider Benefits While salary remains a critical consideration for individuals in the job market, the pandemic has prompted job seekers to look beyond monetary compensation. The focus has shifted towards wider benefits that significantly impact work-life balance and overall well-being. Previously, many organisations boasted about their flexible work arrangements, offering the opportunity to work remotely for 1-2 days per week. I remember we use to ‘sell’ this benefit to candidates whether it be verbally or via our advertising. However, COVID-19 forced companies to reevaluate their benefit offerings, leading to significant improvements that persist even as the pandemic subsides. Flexible Work Arrangements One of the most notable changes in employee benefits has been the widespread adoption of flexible work arrangements. Whilst there are still some companies stuck in the dark ages that require everyone to come in, every day, most have embraced hybrid models. This typically involves employees working three days a week from home and two days in the office, striking a balance to maintain collaboration and social connections. The pandemic has accelerated the acceptance of remote work, ultimately benefiting employees seeking improved work-life balance and greater flexibility. Looking in the Mirror – Enhancing Our Own Benefits As experts in the market, it has been important for us to ‘walk the talk’ and ensure that we flex and adjust our own benefits to meet what candidates are looking for in the market, and ensure we continue to provide an environment in which our employees can thrive. Reflecting on our own benefit offerings before the pandemic, they were OK, but if we were taking our own current advice, we had a bit of work to do. In addition to offering competitive market salaries, we highlighted benefits such as a $250 health and wellness allowance, birthday leave with a $100 voucher, Friday afternoon drinks, five weeks of leave after three years of continuous service, and flexible working hours. Sure – they weren’t bad, but we questioned whether they truly fostered the culture, environment, and values we wanted to embrace. Addressing Burnout and Introducing the 9-Day Fortnight COVID-19 also left us with a sense that burnout was creeping in, and a ‘groundhog day’ feeling, leading us to explore innovative solutions. In 2021, we implemented a trial run of the 9-Day Fortnight (9DF) model. This structure allowed our team to work nine days consecutively, followed by one day on call. Striving for a balance between customer-centricity and employees' personal time, we carefully considered the practicality and feasibility of this approach. Customers are at the heart of what we do, and we didn’t want to run a setup that would be unrealistic for our company or service, or just used for ‘marketing’ purposes and never used in practice. In short, it was a success. The positive impact it had on our team, combined with minimal disruption to customer service, led us to make the 9DF a permanent part of our work culture in 2022. Expanding Leave Benefits Recognising the high burnout rate associated with recruitment, we also looked to bolster our leave benefits. We implemented a progressive increase in annual leave entitlements where after two years of service, employees now receive an additional week of leave per year. This increases to two additional weeks after four years, resulting in a total of six weeks of annual leave. By focusing on employee well-being and work-life balance, we aim to mitigate burnout and nurture a supportive work environment. Beyond Benefits: Career Development, Culture, and Office Space Employee engagement extends beyond ‘on paper’ benefits alone. We also continually acknowledge and consider the significance of career development opportunities, fostering a positive company culture, and providing a comfortable office space. These factors play integral roles in attracting and retaining talented professionals, so we’ve also introduced new training and development courses and opportunities, reviewed our reward and recognition scheme, introduced new social gatherings and upgraded our office spaces. As part of our ongoing commitment to employee satisfaction, we will continue to review and enhance our offerings, and our current focus is on introducing an Employee Insurance Protection scheme in the future, further bolstering the comprehensive benefits package we provide. By adapting our own benefit structure, such as implementing the 9-Day Fortnight and expanding leave benefits, we strive to create an environment that fosters employee satisfaction, productivity, and a healthy work-life integration. As the landscape continues to evolve, we remain committed to staying at the forefront of employee-centric practices and providing an outstanding employee experience.

The hiring process should be a two-way street; the candidate showcases his or her skills and we, recruiters, evaluate and give them valuable feedback. Here's why it's important to not 'ghost' candidates after the lengthy interview process and why it's crucial to provide honest and timely feedback!