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Recruiting Passive Candidates: 5 Tips for SMB Employers

Job candidates reviewing paperwork in chairs

Quick look: Passive recruiting, or targeting candidates who aren’t actively job hunting, offers access to talent that can bring deep experience and fresh perspectives. The challenge? Capturing the interest of someone who isn’t looking to make a move. This blog explores what passive recruiting is, how it compares to active recruiting, tips to attract passive candidates, and how professional employer organizations (PEOs) help small and mid-sized businesses (SMBs) tap into this talent pool more efficiently and effectively.

The best person for your open position might not even be on the job market. That’s the power of passive recruiting: reaching out to talented individuals who aren’t actively searching, but whose skills and expertise align with your organization.

But how do you catch someone’s attention if they’re settled in their current role? Below, we’ll break it down: defining passive recruiting, comparing it to active recruiting, sharing practical tips, and reviewing how a professional employer organization (PEO) makes it easier to hire from this talented pool.

What is passive recruiting?

Passive recruiting is the strategic practice of approaching professionals who are not actively applying for new roles. Rather than posting job advertisements and waiting for applicants, recruiters proactively identify and engage with potential hires who are already employed. These employees may be satisfied with their current position but are open to the right opportunity.

Passive candidates often have in-demand skills and experience. They may also be selective about considering a new employer, and when you get their attention, you stand out.

Active recruiting vs. passive recruiting

Active recruiting is what most people think of when they hear “recruiting.” In this traditional model, a recruiter posts a job advertisement, waits for applicants, and screens incoming resumes. While this process is often faster and easier to manage, it also means competing directly with every other employer vying for the same talent.

On the other hand, passive recruiting is more nuanced. Instead of waiting for candidates to come to you, it focuses on building relationships with high performers who might only consider a change if presented with something truly compelling (i.e., career growth, an extraordinary culture, company mission alignment, etc.).

  Active Recruiting Passive Recruiting
Candidate Engagement Applicants respond to job postings Recruiters initiate contact
Talent Pool Motivated applicants actively seeking opportunities Larger pool, but may be more challenging to engage
Hiring Speed vs. Quality Often faster, providing quick access to available talent May take longer but can result in strong long-term matches
Candidate Mindset Ready to explore opportunities and eager to make a change Selective, weighing opportunities carefully
Outreach Methods Job boards, classifieds, and inbound applications Personal outreach, referrals, and network mapping
Employer Brand Influence Moderate (depends on advertising presence) High (relies on reputation and personalization)

How to recruit a passive candidate: 5 tips for success

Many passive job seekers are happy with their current job and aren’t willing to switch employers without serious consideration. Here are five strategies for targeting talent who aren’t actively job-hunting:

1. Leverage existing connections

Sometimes the right candidate is closer than you think. To begin, review the following areas of your existing network:

Business leaders can also encourage current staff to consider their own professional connections, as employee referrals often lead to reduced hiring time, decreased recruiting costs, higher retention, and increased employee engagement.

2. Personalize your outreach

A generic message simply won’t get a passive candidate’s attention. According to LinkedIn data, personalized InMails perform approximately 15% better than those sent in bulk. Instead of sending a standardized message, do your homework and demonstrate your understanding and appreciation of their unique background and skill set.

Dropping the name of a mutual connection may also be rewarding; LinkedIn reports that candidates are nearly 50% more likely to accept an InMail if they’re connected to someone at the sender’s business.

3. Spotlight the opportunity for growth

Passive candidates aren’t likely to switch companies without a significant, meaningful reason. Emphasize why the role matters and how it aligns with their long-term goals. Will it offer advancement opportunities? Does it involve expanding their skills? Will they spearhead a new project?

4. Showcase your employer brand

What makes your organization unique? Is it your culture, mission, work-life balance, career growth potential, or employee benefits? Highlighting these employee value propositions gives passive candidates a reason to listen.

5. Meet candidates where they are

Honesty is the best policy during passive recruitment. Be upfront and transparent, acknowledging that the person may not be actively seeking a new role. Ask if you can share information at their convenience and be flexible with their communication preferences. If they agree to meet, allow them ample time to prepare their resume and portfolio, as they may not be ready to submit immediately.

From hidden to hired: how ExtensisHR helps SMBs recruit passive talent

Passive recruitment has the potential to strengthen talent pipelines, bring new perspectives, and elevate employee engagement. But for small and mid-sized businesses with limited HR resources, its lengthy process can feel overwhelming. That’s where a PEO like ExtensisHR steps in.

As part of its PEO solution, ExtensisHR provides full-cycle recruiting services, at no additional cost:

  • Consultations with a recruiting specialist
  • Recruiting for most staff-level positions
  • Job advertisement creation
  • Salary surveys
  • Skills assessment to evaluate candidate experience
  • Interview assistance
  • Talent pool assessments
  • Offer letter consultations
  • Multistate compliance for remote workers

With ExtensisHR, SMBs can simplify the passive recruiting process and gain access to high-potential candidates who may not be actively looking, but are the perfect fit.

Ready to unlock the full potential of your hiring process with passive recruiting? Contact ExtensisHR today to learn how we can help.

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