How to use blockchain in the job market?
The job market will expand every year. As a result, HR specialists have to analyze more information to find the “same” employee. How can a blockchain help them?
As a rule, HR department employees spend a lot of effort. First they choose the resumes they like, then they call the candidates in advance. The circle is gradually narrowing.
Finally, the next stage is when candidates come to the office for an interview. As estimated by specialists recruitment portal Glassdoor, in America to hire one employee costs about 4 thousand dollars. It takes, on average, about 52 days. And if we are talking about management positions, the company has to pay about 15 thousand for it. Of course, the more HR saves money and time, the better for the company. At the same time, it is important that the quality is not affected, that is, that the right specialist is found in a short period of time. And here you can call in new technologies, such as blockchain, for help.
The problem of honesty
According to one of the most famous film doctors, Dr. House, people tend to cheat. And they do it not only in their personal lives, but when they get a job.
This was confirmed by a poll conducted by Mainjob. It showed that 90% of respondents admitted to lying at the stage of resume or interview, and continue to do so later.
More modest data are given by the recruiting company Jude M. Werra & Associates. They found that about 12% of resumes had incorrect information. For example, candidates increase the length of time they work or attribute to universities that have not graduated.
At the same time, the situation changes with the introduction of blockchain. It is possible to create a database with information about specialists’ experience, their participation in projects and education.
All this information will be checked for authenticity before being downloaded. And if we take into account the fact that it is practically impossible to forge information in the blockchain, then applicants can no longer mislead HR departments. Many companies work on such applications. For example, the Vietnamese startup of Recruit Tech.
What about safety?
In November 2016, a Boeing HR employee sent a worksheet to his wife. He just wanted to get some advice on how best to format the data. However, as a result, there was a leak: information about 36 thousand employees from four American states was available to the public, and information about 8 thousand was stolen.
It turns out that HR specialists need not only to find the right people, but also to protect their personal data. Thus in 44.5 % of cases disclosure of the confidential information occurs because of deliberate actions of employees and only 15.5 % — unintentionally. Such data is given by IBM.
Of course, the reason is often the human factor. For example, someone has not closed a file or has accidentally sent data to the friend, and also other similar situations.
At the same time, if you store information in a blockchain, some of the problems will immediately disappear. No one will be able to hack the system, which means that the internal data will remain inside the company. Russian startup CronoBank, Slovenian company Fourdx and others are working on it today.
Money saving
In most organizations, it is very important to comply with regulatory requirements. At the same time, the requirements increase with each year, and the workload increases accordingly. Human Resources personnel need not only to look for candidates, but also to fill in the documents correctly, as well as to monitor other tasks.
According to the Duff & Phelps survey, companies spend, on average, 4% of their revenues on ensuring that employees comply with regulations. Experts point out that this item of expenditure is constantly growing, and by 2022 it may already amount to 10%-20%.
At the same time, if you move all work processes to the blockchain and make sure that tasks are performed through smart contracts, you will not have to spend much money and time on routine. Reports will be sent automatically, and the management will only have to study them.
Work in remote locations
However, it is not always the case that company divisions are under one roof. There are also those who are expanding their business abroad. Which means that the task for the HR department is a little more complicated. We need to hire someone in another country and get in touch with them.
In this case, the Slovenian company 4Tth Pillar developed the OURdx protocol. You can use it to exchange data and create entire archives.
And finally, another problem that arises for employees from foreign affiliates. They have to pay for their work. It is not always convenient to transfer money to the card. For example, there may be a commission fee.
Some startups offer solutions on the blockchain. How does it work? They enter information into a smart contract — about the amount and terms of salary. The money goes into your e-wallet and then you can transfer it to your card.
Among the developers of such projects is the company Bounties Network. It bets mainly on contractors and self-employed people.
Thanks to new technologies, it’s much easier to find an employee. Blockchain not only helps to automate processes, but also saves your time. Even more, blockchain can give you an opportunity to earn money — for example, our fair crypto lotto Ethex.bet gives ETH to everyone who are able to guess the last symbols of the next block hash of Ethereum!
