FEATURE/Help-Wanted Ads Still Most Effective Recruitment Tool Despite Rapid Growth of Internet Recruitment Activity.

MELVILLE, N.Y.--(BUSINESS WIRE FEATURES)--March 9, 1999--Despite the attention focused on the Internet as a recruitment tool, help-wanted classified advertising is projected to be the most widely-used and effective venue through which companies will recruit and hire candidates in 1999, according to a national survey by the William Olsten Center for Workforce Strategies.

The companies surveyed said that more than 43% of new hires will be recruited by classified advertising, while only 5% are expected to be generated via the Internet and job recruitment web sites this year. According to the survey, however, more companies are allowing prospective candidates to submit their resumes or job applications online. Of those companies that maintain a Web site for recruitment purposes, 38% of respondents to the Olsten survey say they will allow online submissions in 1999 compared with only 17% two years ago. These companies indicate that they typically receive an average of 133 resumes online per month.

The annual survey, The 1999 Olsten Forum: Staffing Strategies, this year examined the responses of 322 corporate executives. It was conducted by Olsten Corporation on behalf of the William Olsten Center for Workforce Strategies, a U.S.-based organization generating research and analysis on issues affecting workforce management and employees.

Employee referrals (13%), employment/recruiting firms (12%), and temp-to-hire opportunities (10%) are also cited as recruitment strategies.

"Temp-to-hire situations will remain a key recruitment strategy for full-time positions," says Gordon Bingham, Senior Vice President of Olsten Staffing Services. "In these situations, companies and employees alike can assess each other's strengths and weaknesses before making a longer-term commitment to full-time employment."

The survey also measures companies' use of resume management software, where, again, technology is apparently not yet being used by a large number of human resources departments. Only 16% of U.S. executives say that their companies use resume management software. Of those that answer "yes," Resumix is cited most frequently (25%), with Restrac (7%) and Personic Workflow (2%) also mentioned.

"Clearly, there is still a large window of opportunity for companies to leverage the Internet and other technologies as part of their recruiting strategy," Bingham adds. "Over the long term, we expect the Internet to replace traditional classified advertising as the primary source of applicants."

The William Olsten Center for Workforce Strategies, with headquarters in Melville, N.Y., addresses the diverse needs of the rapidly changing global workplace by serving as the intellectual barometer of workforce issues, as well as a launch site for new ideas and solutions to help shape the workforce of the future. With the financial support of Olsten Corporation, the Center is sponsoring and underwriting a number of workforce-related activities and collaborating with government agencies, other companies, industry trade associations and educational institutions to generate an international dialogue on important workforce issues.

Olsten Corporation (NYSE: OLS), with 1,500 offices on three continents, is an acknowledged leader in each of its businesses. The company operates more than 1,000 staffing offices -- providing staffing solutions and assignment employees to business, industry and government -- in North America, South America and Europe under Olsten Staffing Services and related brands. Olsten's information technology division, IMI Systems, provides design, programming and maintenance of computer systems, including focused solutions for applications management, quality assurance and enterprise support services to clients in North America and Western Europe. Olsten Health Services, with more than 400 offices in the United States and Canada, provides health care Network Services and caregivers for home health care and institutions; home infusion and other therapies; and marketing, distribution and staffing solutions for pharmaceutical, biotechnology and medical device firms. In 1998, Olsten Corporation achieved revenues of $4.6 billion and employed approximately 700,000 people serving approximately 600,000 client/patient accounts.

Survey Methodology

The survey includes senior executives from a broad spectrum of American businesses. Questionnaires were distributed by mail during December 1998 and 322 responses were received. The survey was conducted for the William Olsten Center by McKendrick & Associates, an independent research firm.