the recruitment market | Italy

1.1 Definition and scope of study

The recruitment market covers all services offered by companies specialized in recruitment and selection, sometimes externalized by the biggest companies. Recruiting the best candidate requires a reasoned plan that includes innovative screening and assessment techniques; successful recruitment is proven to have a positive impact on the company's economic and financial performance in both the short and long term. HR & Recruitment Services should make it possible to hire resources to satisfy company demands and corporate goals while also increasing employee engagement and happiness.

A recruitment firm's procedure is usually separated into three phases: planning, search, and screening and selection. A recruiter is a professional who oversees matching people with jobs. These organizations' recruiters are known as "headhunters," and they often examine CVs and interview prospects before picking the best ones for the client.

In 2021, the global HR & Recruitment Services industry is expected to be worth USD 737 billion. The market grew at a CAGR of 1.9% from 2016 to 2021. With the increasing adoption of online services, the market is expected to grow at a steady rate from 2021 to 2026.

In Italy, the market is very fragmented, and many companies do not externalize the service. In the market there are several recruiting firms, divided between SMEs and big internationally firms. After the Covid-19 crisis, there has been a reduction in the demand for recruiting services because many companies decided to internalize the service to reduce costs. As far as the digitalization of services is concerned, HR & Recruitment Services companies in Italy are still limited in number; in total it is estimated that there are around fifty companies offering digitalized and online services in this country.

Many companies are already using platforms as LinkedIn to find qualified human resources and improve their employer branding.  

The most recent market developments involve social recruiting; it is no longer only a recruitment strategy, but rather a need for businesses in the digital era of social media sharing. The use of social networks to locate, engage, and create connections with potential candidates with the goal of bringing them to the company’s network and then recruiting them is referred to as social recruitment. The number of firms and professionals using social media, primarily LinkedIn, but also Facebook, Instagram, and Twitter, has increased exponentially in recent years.