Responsetothepublicconsultationon"Regulatoryenvironmentforplatforms,onlineintermediaries,dataandcloudcomputingandthecollaborativeeconomy"

Initiativesaboutonlineplatformsshouldconsidertheonlineservicesdevelopedbytheemploymentandrecruitmentindustrytoleadinthechangingworldofwork

Brussels,22December2015

Eurociett as the voice for the private employment services industry in Europe would like tocontribute to the public consultation on "Regulatory environment for platforms, onlineintermediaries,dataandcloudcomputingandthecollaborativeeconomy”.

Theconsultationpointstoonlineintermediariesasmainlyonlineservicesprovidersandwebsitesforsharing content;while in the context of the collaborative economy, it identifies platforms such asUber,AirBnbandTaskrabbit.

For Eurociett it is essential tounderline that thepicture is broader than this and it includesotherservices. Online staffing and on-line job boards are also part of the conversation and should berecognisedaskeystakeholders,especiallywhenitcomestotheimpactofthecollaborativeeconomyontraditionalformsofworkorganisation.

Theinnovativebusinessmodelsofthecollaborativeeconomyareapartofawiderwaveofchangethatisaffectingtheworldofwork.Globalisation,technologyanddemographicshiftsareturningtheworld into amore interconnectedmarketplace.On topof that, newpreferences andattitudesofpeopleandthewaytheychoosetoworkhasalsoanimpactonthetraditionalformsofwork.

Privateemploymentservicesareattheforefrontofthischangeandtheyareinnovatingtomeettheneedsofjobseekersandcompaniestohelpthembecompetitiveandsuccessfulinthelabourmarket.

Forexample,lookingatthepreferenceofjobseekers,socialmediaarebecomingmoreandmorepartof the recruitmentprocess: ina2013survey in31countriesaround theworld,KellyServices finds

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that 44% of candidates were contacted about potential jobs via social media in the previous 12months,and16%gotanewjobthatoriginatedviasocialmediasite/networkinthesameperiod1.

Althoughtheuseofsocialmediaremains in thedevelopmentphaseof recruitment, it isclear thatonline platforms to check vacancies and submit applications are the most used method: 94% ofapplicants in EMEA and 91% in APAC have used an online application system or an electronicresumé2.

However, digital platforms for recruitment not only are developed for jobseekers but also for theusercompaniesinordertofacilitatehowtheymanagetheirworkforcesolutions.

Figure1:AnexampleofonlinerecruitmentplatformfromoneoftheEurociettcorporatemembers3

Theplatforms canbe for online recruitmentbut they can also includemuchmore comprehensiveworkforce solutions. In the figures below there is a plethora of services that private employmentagenciescanoffertotheircandidatesanduserclients.

The services offered under the “talent acquisition technology” are particularly relevant to thisconsultation.

1KellyServices,TheKellyGlobalWorkforceIndex,2013;availablehere.2KellyServices,TheKellyGlobalWorkforceIndex,2014,availablehere.3JacquesvandenBroek,CapitalMarketsDay,Randstad,November2015,availablehere.

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Figure2:Workforcesolutionsecosystems–StaffingIndustryAnalysts,September2015

Figure3:Workforcesolutionsecosystems,withbrandsexamples–StaffingIndustryAnalysts,September2015

The talent acquisition technology is a broad category of online services that enable companies toattract talent, network and build relations with potential candidate communities as a way tocontinuallymanage,buildandenhancetheirtalentpool.Thetechnologycanincludejobboardsfor

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advertising vacancies online, applicant tracking systems for processing new hires, vendormanagementsystemsformanagingsuppliersofagencyworkandtheonlineservicesoftheso-called“humancloud”4.

Thehumancloudencompassesasetofworkintermediationmodelsthatenableworkarrangementsofvariouskindstobeestablishedandcompletedentirelythroughadigital/onlineplatform.

Someexamplesoftheseservicesthatourmemberscanofferaredescribedbelow:

− Online Staffing Platforms enable specific clients and specific (typically agency)workers toenterintoworkarrangements,completeandtransactworkassignments.Thereistypicallyadirectlegalrelationshipbetweenthehirerandworker.

− As subset of the online staffing platform, the Freelance Management System (FMS) is acloud-based workforce management platform that helps businesses initiate, manage,complete,trackandanalyseengagementswithindividualindependentworkers,whomaybesourcedbytheproviderofthebusinessitself.AnFMSmustprovideacomplete,end-to-endtechnology system that allowsusers in a user company to search for and find a particularworkerandactivate,complete,andpayfortheworkengagementwithinthesystem.

− Online Work Services is an online platform model that enables the delivery of certainspecialised services, including customer service, translation, writing, etc., performed by agroupofonlineworkersthatareorganised/managedbytheplatformprovider.Theclientispurchasing“anoutcome”andassuchthereisnoemploymentrelationship.

− Crowdsourcingisanonlineplatformmodelthatenablesworkassignmentstogetparsedoutandperformed,oftenasdisaggregated“microtasks”byafar-flung“crowd”of independentworkerswhoperformpaidorotherwisecompensatedworkatwill.Typically,theclientofa“crowdsourcing”platformispurchasing“anoutcome”andassuchthere isnoemploymentrelationship. Crowdsourcing also includeswork arrangementswhere a “crowd”ofworkerscompeteorbidagainstoneanothertosolveproblemsortasks,withwinner(s)selectedandcompensatedbasedonthemeritoftheirsubmissions5.

In light of these trends, Eurociett and itsmembers are an important stakeholder to consider andconsultwhenitcomestoinitiativesregardingonlineplatforms.

This is particularly truewhen theEuropeanCommission consults stakeholderswith a view to takeinitiativeslinkedtothelabourmarketanditsongoingdevelopments.

4StaffingIndustryAnalysts,Workforcesolutionsecosystems,September2015,availablehere.5Ibid.

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About Eurociett: As the European Confederation of Private Employment Services, Eurociett is theauthoritative voice representing the common interests of the agency work industry in Europe. Eurociettgathers 28 national federations from European countries, and 7 of the largest international staffingcompanies as corporate members. Its main objectives are twofold:to seek greater recognition for thepositiveroleoftheemploymentandrecruitmentindustryplaysinbetterfunctioninglabourmarkets;tohelpitsmembersconducttheirbusinessesinalegalandregulatoryenvironmentthatispositiveandsupportive.