Russia’s Headhunters Set for Triple Investment Boost in 2019: Study

Analyzing stock market from a digital computer screen over a detailed diagram. Pointing out some details with a pen.

Russian online personnel recruiting services could attract $150 mln of investment in 2019, triple that of last year, Kommersant reported citing data provided by TalentTech. However, the segment’s revenue growth is expected to be slower in the coming years, at about 13% per year, the consultancy said.

Recruitment firms search for and select qualified candidates for job openings within organizations. For the long term, TalentTech CEO Andrei Mityukov forecasts the most intense growth will occur in Russia’s temporary job market.

“Large companies are already studying mass specialty markets and are investing in them. Therefore, one should expect an upsurge of high-tech solutions to look for employees who can literally start working tomorrow,” he said, citing as an example the recent purchase of a group of businesses managing the Rabota.ru online service by Sberbank.

Market participants interviewed by Kommersant are skeptical about TalentHead’s data.

“It is quite problematic to agree with the estimates of the study due to the contradictory and sometimes inaccurate data. The major problem is that TalentTech researchers compare the number of vacancies on recruitment websites and recruitment agencies’ revenues during different periods of time,” the paper quotes Tatiana Baskina, Deputy General Manager of the Ancor personnel company, as saying.