STAFF POACHING AND ITS EFFECT ON ORGANISATIONAL PERFORMANCE (A CASE STUDY OF NIGERIA G.S.M COMPANIES)

BY

Adelere, Michael Adekunle B.Sc, AAT, ASM Global Initiative Center for Scientific Research and Development, Bodija, Ibadan, Nigeria, West-Africa miccodsta@yahoo.com; miccodsta@gmail.com; 234-8132683364

AbstractThis paper examined the effect of staff poaching and its effect on organisational performance with reference to Nigeria G.S.M companies as the case study. It examined why companies engage in staff poaching, definition of poaching and its effect which includes the advantages and disadvantages to the Nigeria G.S.M Industry. Primary data was required for this project work and controlled through questionnaire. Stratified Sampling technique and descriptive research design was used to collect data from the staff of MTN, Globalcom and Airtel as the three major Companies in Nigeria G.S.M industry who are the sample population. One Hundred (100) copies of the questionnaire were distributed and all was retrieved; Regression analysis was used to analyse the data collected from the respondents and the findings of the regression showed that two hypothesis were tested. The findings show that initiating a non-compete (bonding) agreement would not help employees to explore other companies, provision of good job security can commit an employee to non-compete agreement and employing a job hopper is a disadvantage to organisation continued existence/ survival and development. It is recommended that Management can monitor employee internet usage, track their social media and record their phone calls while at work, Employer have to give them (employees) more of what they want if you want them to stay and All non-compete agreement records should be well kept.

Keywords: Staff, Employer, Poaching, Competition, Job Hopper, Agreement and Management

IntroductionBusinesses lose employees all the time, but if another firm has ever targeted or hired your employees then you have suffered from employee poaching or employee raiding. Employee poaching is a fact of life for small business owners, particularly in high growth, specialized, and technology industries. In fact you can even do a quick search online and find blogs that will even coach businesses on how to poach employees. Non Poaching Agreement is all about using agreement for much purpose or with many formats according to our needs and by this we indicate that at least two companies have agreed that none will prey upon another business employees or clients. These may also be called non solicitation agreements, notes the Practical Law Company, which may be made amid concerns about competition between companies. Such agreements place significant post employment restrictions on what type of work an employee can perform and where the employee can perform that work. These agreements provide a bright line test (either the employee is competing or he's not), little, if any, investigation need be undertaken before a company can ask a court to enforce the agreement, no compete agreements are considered the best available tool for a company to protect its legitimate business interests (primarily, the protection of trade secrets, confidential business information andgoodwill). Even so, because of the impact that these agreements can have on an employee's ability to find gainful employment, many courts are loath to enforce. This is more true now, when employees are being laid off at record levels and are lucky enough to find any job much less one at a company that does not compete with their prior employer. This circumstance has left some companies scratching their heads about how to protect themselves from employees who have left to join direct competitors. Traditionally, no hire agreements fell into two broad categories: first, an agreement by which a company agrees with another company not to hire the other company's employees; secondly, an agreement by which an employee agrees not to hire his former coworkers after he changes jobs. These agreements arise in the context of some ongoing relationship either some type of joint venture, consulting agreement or other business arrangements between the companies or an employment relationship.

It is an agreement by two unrelated companies to not poach each other's employees. While this can be viewed as a bit of an end run around non-compete agreements, the impact of a no poach agreement is far less detrimental to the employee. Specifically, unlike a non-compete agreement, which prohibits an employee from working for any competitor; no hire agreements to the extent that they are not part of a larger scheme among multiple companies merely bar employees from only one potential employer. That is not always the case, however, and the problem with no poach agreements is potentially manifold. First, the agreements are likely to be held to the same standards as non-compete agreements. Specifically, a court is unlikely to enforce the agreement where it is not reasonable and necessary to protect both companies' legitimate business interests. Second, particularly where the companies are dominant in their market, they could run afoul of antitrust laws (the laws that make it unlawful for some companies to engage in concerted anticompetitive activities). Accordingly, they must be carefully considered if there is a chance that the companies will be viewed as having violated these laws. Third, the agreement has the potential to be quite pernicious insofar as it may be entirely unknown to the employee. Accordingly, employees of both companies may be under restrictions of which they were unaware and to which they never agreed. So, what is a company to do? While a company may be able to get away with a secret no poach agreement, history shows that that is unlikely to last and a company can face significant unanticipated negative ramifications from participating in such undisclosed agreements. Thus, to minimize these risks and the perceived unfairness of these agreements, and thereby maximize the likelihood that the agreements will be enforced, the first step is to make the agreements known, have employees acknowledge that they are aware of the agreements, and require that the employees agree to be bound by the agreement. Such agreements still may not fly in California, but they will have a better chance of enforcement in other states. Second, use the agreement as a supplement not an alternative to other restrictive covenants (non-compete agreements, non solicitation agreements, traditional no hire agreements, nondisclosure agreements and the like). Simply put, while a court might be disinclined to enforce one of the agreements, it may be more inclined to enforce another. Accordingly, using all that applies provides backstops to a court's refusal to enforce the more restrictive of the agreements. In that vein, the benefit of this approach is that the argument can be made that the no poach agreement is very narrowly tailored to protect both companies against the unfair competition in only one respect: each other. When these two companies are direct competitors, such an argument is likely to carry some weight with a court. Hope to get your views, suggestion and this information will be beneficial for other peoples. 2.1 Nature of Staff PoachingAlison Doyle (2012) defined staff poaching as what takes place when a company hires an employee from a competing company. Employee poaching often happens in the IT industry because of high demand technical skills.Hiring an employee from a rival firm can mean bringing on someone who already knows your industry, your business, and can bring valuable new knowledge and even clients to you. 'Companies are so focused on getting someone from the competition,' says Mike Sweeney, Principal of MAS Recruiting in Cherry Hill, NJ. 'As soon as they see the resume, their eyes light up.' Still, as enticing as it is, hiring from the competition requires caution and a certain degree of finesse, especially for a small business owner. The process is loaded with pitfalls: you don't want to get a reputation as a poacher, start a tit for tat talent war with a competitor or, worst of all, get sued for breaching a non-compete agreement. So, before wading in to dangerous waters, here are some things to consider when you're tempted to look to the competition for your next employee of the month.2.2 Rules of HiringHiring a search firm to find candidates can help keep at an arm's length from the potentially distasteful business of poaching. A good search firm uses a polished, subtle approach. They'll talk with potential candidates about 'an opportunity' in vague terms, until they can gauge interest. If your budget bars hiring a search firm, it's best to copy the approach, says Brenda Snyder, chief operations officer at The Human Resource Group, a boutique search firm in Denver. She suggests using your professional network to spread the word that you're hiring, and approaching the candidate you're interested in on neutral ground, like a Chamber of Commerce meeting or conference. If you're too aggressive, Snyder warns, you risk scaring away potential partners and suppliers.i. Look Before You LeapOne of the most important things to think through is whether the candidate you're eyeing is really worth the trouble. You don't want to get stuck with someone else's headache, says Martin Kartin, principal of boutique search firm Martin Kartin and Company in New York. 'You want to make sure you're recruiting talent, as opposed to recruiting a resume,' Kartin says. 'The biggest mistake small companies make is to look at the resume in terms of what the person says he has done, and what company the person has been with, and they automatically say Oh, that's great. ''Even if they have the right job with the company, it doesn't mean that they are a qualified candidate,' he warns. To avoid the problem, do thorough reference checks, and really study the candidate's background, to get a sense of what's driving them, suggests Chris Von Der Ahe, a senior client partner at Korn/Ferry International in Los Angeles. You also need to assess whether the person will be a good fit at your firm, 'Just because they work for a competitor, doesn't mean they'll fit into the culture. 'Culture differences can include large firm vs. small firm differences, and can also be as simple as geography. If the candidate you want is across the country, for example, and he or she has no ties to your area, it may be difficult for them to get acclimated. For this reason, it's often a smart move to take seriously the local people who come to you with their resumes, eager to join your firm, even if they don't have the exact experience you're looking for, says Mike Sweeney of MAS Recruiting.

ii. Watch for Legal TroublesIf it turns out that the candidate you've been eyeing at a competitor is as good as you hoped, and you want to begin talking with them more seriously about joining your firm, a critical step is to find out whether they have a non-compete agreement with their current employer. If they do, and they jump ship to join your firm, depending on the state in which you're based, you may be in for a great deal of trouble, including a lawsuit in some cases. Some states take non-compete agreements very seriously. An employment lawyer can advise you on how best to proceed. Keep in mind that talking with a candidate who is bound by a non-compete agreement is definitely a matter of weighing the risks and rewards, according to Mike Travis, principal of Travis and Company, in Newton Center, Massachusetts. 'It's very easy to run afoul of a non-compete, and it's very expensive to fix your mistake,' he says.

iii. Sell Your StoryIf, after all the reference checking, soul searching, and risk reward analysis, the candidate from a rival firm still looks as good as you imagined, don't forget that you need to sell them on what you and your company have to offer. After all, why should they leave their job and join you? You need to make your opportunity sound more attractive than what they've already got. And remember, it's not just about money. Most people are motivated by things they weren't offered at their previous job: recognition, opportunity, and more innovation and excitement. So, inspire that person to leave their job not just with a generous offer, but with everything they will be able to do and achieve at your company. Recruiters know the drill. 'We can't lure people from point A to point B without a compelling story,' says Snyder of Human Resource Group. 'Typically it's not money. It's always about the opportunity, the industry, or about the leadership.'iv. Watch Your BackFinally, recognize that your competitors might be playing the same game you are. When spending the requisite time analyzing your staff and looking for gaps, don't forget that you need to treat your best employees very well, so that when they receive a call from a recruiter, or are approached by a rival CEO, the only answer they'll feel obliged to give is a firm. Know who your stars are, and make sure they are well taken care of, and well paid.Benefits of Staff Poaching

i. Staff Poaching Can Develop The IndustryCompetitors that steal another employer's staff should know that the employee stolen may leave one day too. Will a stronger economy lead to more poaching?Growing companies need people. When the economy is strong and unemployment is low, recruiters will use poaching or lateral hiring more frequently to find the talent they need. When the economy is down, you have less hiring overall and more people looking for work, so recruiters are better able to find talent without having to poach. Growing companies need people. When the economy is strong and unemployment is low, recruiters will use poaching or lateral hiring more frequently to find the talent they need. When the economy is down, you have less hiring overall and more people looking for work, so recruiters are better able to find talent without having to poach.

ii. It Can Associate Companies within The IndustryWhen companies make legal arrangements to cooperate with one another, anti-poaching agreements are often part of the legal relationship. If two organizations are engaged in a joint venture, for example, it's appropriate to carve out specific groups of people who are off-limits for recruitment. But in looser arrangements, like consortia or strategic alliances, anti-poaching agreements may be unethical and even illegal if they limit competition.

iii. Poaching Can Let Managers Keep Its Workers Onboard.Be competitive with pay and benefits and in the whole employment proposition. There's great value in benchmarking your own employment brand against product, market and geographic competitors to better understand your competitive situation for talent. Employees leave because of their jobs and their bosses. If you don't want your employees to take recruiters' calls, make sure their managers are effective. Provide supervisory training, leadership training and turnover training for managers. Some HR professionals conduct stay interviews instead of exit interviews. This helps them understand employee expectations, what's working and what's not working. Employees will respond positively to that. Poaching would lead to proper management of staff.

iv. Staff Poaching Can Develop The EconomyIt's going to be more frequent when a person's job performance is more public and more easily observed like the I.C.T (Information Communication Technology). Waiters are more apt to be hired away than accountants. Academics who publish papers, private-sector scientists who get their names on patentsthese candidates are easily identified because their performance is public. Managers who lose employees through lateral hiring want to blame the hiring organizations, but the real issue comes down to the relationships they had with their employees. Sometimes it's a signal that they may need to adjust their work and economic arrangements. From a free market perspective, poaching can help society put assets to their very best use.

v. Poaching Can Cross The Line Into Legal Economy.Some practices that are sometimes associated with lateral hiring can cross the line. Anytime theft or deception is involvedthink stolen company directories, deception to get employee names, hiring someone solely to harm a companythat's illegal and unethical. Legal issues can arise if employees break contracts binding them to their organizations, or if they share trade secrets with their new employers.

Ethics of Staff PoachingOne of the issues currently being discussed by our member organisations is the ethics of Poaching staff. With the rapid increase in government funding to deliver expanded services, many of our member organisations are desperately looking to fill positions. The problem we all face is the lack of enough qualified and skilled people not just from within our own ranks but also from outside. We recognise that in reality we are all competing for a small pool of people and will end up drawing people away from other member organisations. As member organisations network and cooperate in the delivery of services, certain people from other organisations may be identified as potentially good fits to needs within our own organisation. Is it ethical to approach them directly and lure them away? Is it becoming necessary to get into questionable recruitment practices well known in the corporate world to fill positions? One of the major things that distinguish non-profit community organisations from the business world is that we dont consider ourselves in competition where it is OK to succeed at the expense of our competitors (i.e. other organisations in the same business) even if our behavior is ethical. We have a sense of camaraderie and want to do things differently. Some important ideas may help our thoughts and discussion about this. The people who work for us are ends, not means Simon Longstaff (2008) from the St James Ethics Centre reminds us that the people who work for us should be considered as ends and not means. They are not disposable inputs to production. They are not expenses or liabilities.

It is possible to have a situation where the organisation benefits and the staff member benefits at the same time. Longstaff even goes to the point of suggesting that we rename Human Resources as Human Relations. Seen in this light, the personal development of each member of our staff is something we should understand and encourage. However, if they see that their personal situation will be better served by working in another organisati on then perhaps this should be understood as well. By then it is usually too late to do anything to stop them leaving. It is important in retaining staff to always be acting to ensure people can develop to their satisfaction within our own organisation, not waiting until they want to leave to make a better offer. On this point it is also important not to confuse inertia with satisfaction. Just because someone still works for us does not mean they are happy or not looking to leave if the right job came along. Perhaps we have come to see it a matter of awkward competition among organisations in the sector as to who can pay the most and who has the best working conditions. Although traditionally relying on lower paying SACS awards, organisations have also been relying on the goodwill and passion of those who want to work in the sector. Eventually goodwill and passion may not be enough and pay and conditions and opportunities for personal development are some of the important signals you send of how you value your staff and the contribution they can make to achieve your organisational goals.

Our recruitment practices must be ethical and fair but the end result does not have to be fair to everybody. First we need to define what we mean by fair. Fairness is something that is interpreted very differently depending where we stand but it relies on an assumption that from a particular point of view everyone has been treated equally and gets an equal or just share of the result. A fair recruitment process will be an ethical process and vice versa (for example following EEO principles) but the outcome will not be fair (or equal) to every stakeholder. Although your recruitment may be fair to the person who comes to work for you and your own organisation, those who miss out on the job they wanted, the organisation that loses the staff member and perhaps even the client so well previously served by that staff member may consider that they have suffered a loss they did not deserve. For them the result might not be fair even if they agree that the selection process was fair and ethical. The way that you recruit however may be ethical or unethical. It is not unethical to want to go the extra mile in recruiting the best person to apply for a position within your organisation, but your organisational practices in recruitment should be the same as all your other organisational practices, and consistent in how you treat all your stakeholders - staff, service users, suppliers, board members, funding bodies etc. They are the values of our organisation. Honesty and integrity are perhaps two that come to mind. This does not mean that it is unethical to be discrete or have a need to keep things from being out in the open. It is perfectly ethical to advertise a job vacancy, consider applicants and fill the position. In principle, it is ethical for people to leave one job in one organisation and go to another organisation. As long as there was no attempt to deceive anyone, it might also be considered ethical to point out to a desired candidate your vacancy and your offer. The ethical consideration might only be in how you approach the desired candidate and whether your methods involve deception but is hard to find deception in communicating directly with someone to let them know about a job while being truthful and open.

The fairness debate is actually separate from the ethics debate. Getting the best person available for the job at the time means even if the process is fair, there will still be winners and losers it is part of operating in a society of free labour and human rights. People make choices to work for an organisation or leave a job based on certain personal considerations and organisations make choices to hire people (or even terminate people) based on their own organisational needs and considerations. This process involves inconvenience and costs in differing amounts to various stakeholders.

How to prevent employees from being poached.When a rival tries to pinch your talent, they do so because it will give them an edge in terms of skills, experience and contacts; and it will cause your performance to dip while you recruit and induct a new employee. If you have good staff, other people will be interested in employing them and, legally, there is nothing you can realistically do about it. You can, however, try to persuade your employee to stay and take measures to limit the effect of poaching on your business.

Identify the problemIf the first you know is your employee handing in their notice, it may be too late to keep them. Even so, you should try to find out why they are moving on; people rarely leave a job they enjoy, so the departure of a top employee could signal problems in your business. Invite them for an informal chat and probe their reasons for wanting to leave - whether they are related to the working environment, rewards and opportunities or personalities within the business. You might find their obstacle to staying with you is easy to remove; but you might also discover that you have a serious problem, such as bullying or bad management, which could drive other staff out, too. If so, you should find a remedy, fast.

Financial offersYour employee is likely to have been offered more money by your competitor. Assuming you pay the market rate, you should only match the offer if they really are worth it, or if losing them to this particular rival will cost too much. Offering a higher salary alone will not address the underlying reason for your employee's unhappiness, and will only delay their departure. It could also provoke pay demands from other staff. The way to keep your employee is to address their grievance. If you cannot persuade your employee to stay, try to remain on good terms - you may do business with them in the future. Make sure they don't take any intellectual property or confidential information with them, however, particularly customer details. If they are a sales person, put them on gardening leave immediately so they cannot lure your best customers away.

PreventionCompanies operating in small markets will often make 'non-solicitation' deals with rivals not to poach each other's staff. Such goodwill agreements carry no legal weight, but can limit poaching. Some firms insert 'restrictive covenants' into employment contracts which state that an employee cannot leave to work for a rival. But these clauses will only stand up in court if you can prove that the restriction is integral to the survival of your business. You can, however, specify that staff cannot remove commercially sensitive information. But the best protection against poaching is to make yourself a more attractive employer than your competitors. This may mean creating staff-development plans, introducing performance incentives and fostering a vibrant workplace culture - after all, if your employees enjoy being with you, why would they work for a rival.

Advantages of Staff Poachingi. It helps you acquire competitive intelligence about other firms.ii. New hires can help you identify other potential candidates to poach from their firm.iii. The new ideas that applicants and new hires bring in stimulate the thinking of others.iv. New hires ask why we do things that way so we are often forced to re-think the way we do things.v. It keeps our employees on the edge because they know they must compete against outsiders for jobs. vi. Outside hires dont have political alliances already set up. This can help them implement new ideas without the baggage of past political battles.vii. It allows other firms to train and weed out the turkeys so we can hire the cream of the crop. As a result it can lower training cost.viii. In a stagnant culture, outsiders might help shake things up and help us evolve our culture.ix. Re-hiring boomerangs (former employees) may aid in retention efforts as they tell other employees that the grass is not greener on the outside.x. In a fast-growing company (or small firms) you might have no choice but the higher externally because there isnt enough talent to go around inside the firm.Disadvantages of Staff Poaching:

i. Outside hires can weaken the corporate culture by bringing in counter culture people.ii. The turnover rate for external hires is almost always higher than internal promotions because the candidates must both adjust to a new environment and they come to us as relative unknowns.iii. External hires often have a longer adjustment period and orientation costs are higher.iv. Customers may feel slighted if they dont get one of the Firms current employees.v. In a tight job the (potentially) higher starting salaries of outside hires may cause internal equity issues and eventually increase all salaries.vi. Learning internet recruiting and setting up web pages may be prohibitively expensive or time consuming.vii. The world of external recruiting changes so rapidly and is so competitive that we might end up with lesser talent unless we can afford a strong recruiting function.viii. The likelihood of lawsuits resulting from illegal practices by hard to control managers is high.ix. External hires have already demonstrated their lack of loyalty by leaving their firm. They may have the same lack of loyalty at our firm, resulting and high turnover rate.x. In a cyclical economy, large-scale external hiring might just mean future layoffs.

Non Poaching AgreementNon poaching agreement also known as no-compete agreement is a written contact between an employer and an employee and its purpose is stop employee for a specific period of time, after resigning or getting terminated, from involving in any sort of employment or business that brings direct competition to his previous organization.

Importance of Non-Poaching AgreementThe non-poaching or no-compete agreement holds considerable importance as it helps both parties to maintain a smooth work relationship for a pre-defined duration. It is quite beneficial particularly for the employer to stop his ex-employee for a defined period of time from involving in any business or joining any other competitor that may bring direct competition to his previous organization. So, non-poaching contract works mainly in the favor of employer who feels himself on safe grounds with the fact that his terminated employees will not become his competitors for a specific period of time.

Main Points of Non-Poaching ContractAn employer should include the following points while drafting a non-poaching agreement to stop his ex-employees for a specific period of time from involving in any sort of work that brings direct competition against the previous organization. Personal details of employer and employee Business nature Employees duties and responsibilities Restriction or limitations No-compete or non-poaching clause Duration of non-poaching agreement Validity of the agreement Methods or procedure to resolve conflict Jurisdiction or the law of country Injunction relief Termination of agreementWays to Prevent Employees from Being PoachedAvoid a "hear no evil, see no evil" mentalityWhile there are a number of reasons your employees might be receptive to other job offers, one of the biggest is one that's easy to brush aside: some of your employees may have a less than ideal level of job satisfaction. When this is the case, there's a good chance you know it because the signs, although subtle in and of themselves, usually become noticeable over time.Unfortunately, it's often easier to ignore the elephant in the room than to confront it head on which can be a fatal mistake as unhappy employees are prime poaching targets.Be careful about what you promiseHow you sell new hires on your company can significantly influence whether they become vulnerable to poachers. For instance, if you insinuate that the stock options you're granting will lead to riches in the near future; you had better hope that you're right. If your promises don't materialize as you suggested they would, your disillusioned employees will be far more likely to consider other employment opportunities.Reward bad behavior at your own perilIn today's talent wars, it's tempting to fight tooth and nail to keep employees from leaving. In some cases, when faced with an employee who has received a job offer from another firm, companies will respond with an even better offer of their own. While this is tempting approach (if you can afford it), and it may even be sensible with some key employees, it can set a bad precedent that encourages other employees to seek out offers of their own with the assumption that they can use them to negotiate higher compensation.Treat employee relationships like marriageAsk anyone married for many years and chances are they'll tell you: finding The One and getting married is relatively easy compared to keeping a marriage going strong. The same is true for employer employee relationships, many of which fail because both parties become complacent and take the other for granted. Don't allow that to happen: make the effort to remind your employees that you care and the chances they'll seek love from a new company will decrease dramatically.Do not hire job hoppersIn many digital industries, career employees are hard to come by and that's okay. But when hiring, it's wise to cast a suspicious eye on prospects that have jumped from job to job. If a potential hire's MO has been to stay with a company no more than a year or two, there's no reason to expect that pattern will stop with you.How to Protect Company from Employees PoachingWhen it comes to defending against employee raiding, an ounce of prevention is worth a pound of cure. There are a variety of things you can do today to improve your business's readiness to defend its competitive position in such a situation.i. Implement or Update Your Non-competes: If you have not had your employees sign non-competes, you should consider doing so immediately. Even if you have had your employees sign non-competes, you may want to have the non-compete agreement reviewed to determine its enforceability. You may learn that your agreement is outdated or that it is so broad and overreaching that a court may refuse to enforce it.Having your employees sign new or updated non-compete agreements can have a variety of benefits. It should give your business a powerful weapon in the event an employee leaves and begins competing against you unfairly. Also, having your employees sign new or updated non-competes can have a significant deterrent effect. An employee who has just signed a non-compete may think twice about taking a customer list.ii. Improve Record Keeping:You should keep all non-compete agreements in an easily accessible place. An employee's personnel file is as good a place as any. It is also a good idea to have multiple copies of each employee's non-compete agreement and keep them in different places. In some extreme cases, employees have pulled their personnel files and destroyed the copy of their contract.You should also do a quick review of your files to confirm that you in fact have a signed non-compete agreement from each employee. It is not uncommon for employees to slip through the cracks. For example, some employees say they want to review the agreement and then fail to return a signed copy. There is nothing worse than finding out after an employee has left that he never returned a signed copy of his non-compete agreement.iii. Tighten Security:One factor that courts look at in evaluating whether to enforce a restriction on an ex employee's use of customer information is the steps that the employer has taken to protect the confidentiality of its customerinformation.You should therefore consider implementing certain measures to tighten the security of your customer information. You may want to require that customer information be kept under lock and key when not being used.Confidential information should be labeled as such. You may want to permit employees to have access to customer information only on an "as needed" basis. Any such measures should include a device (such as a password) to restrict access to any customer information maintained on your computer system.How to Avoid Employee PoachingBloomberg business weekand the Wall Street Journal (2012)ran prominent articles about the reawakening in manufacturing and the enormous challenge companies are having recruiting and retaining skilled workers. But this issue extends beyond the workforce to management; as such there is a growing trend toward "poaching" key executives away from one company to take over at a rival's business. It may be that they've heard good things from shared vendors, observed and admired demonstrated performances at tradeshows and other industry events or been within earshot when a business owner was singing the praises of his top shelf crew regardless of how these so called poachers have come to realize the skill set of another company's key employees, be forewarned that competitors can and will attempt to lure them away. The imperative is to prevent outside temptation and that starts with having "the conversation" with these key people regarding their future within the company, particularly if they have been identified as potential successors to the business. In the absence of this all important one on one, the probable departure of valued employees increases...often to competitors promising substantial profit sharing plans and other incentives. But if they know where the company is headed and where they stand within those long range plans, the chance of their staying is greatly increased. It's essential to identify one to three people with successor potential and create long term incentive plans for them; these complete compensation packages should include both financial incentives and personalized benefits, for while money certainly does talk, most executive level employees would likely agree that a hefty paycheck alone does not define job satisfaction.Chosen potential successors have already demonstrated their engagement and commitment to the organisation, but they will become even more invested within their roles if they have a clear understanding about how they, as key employees, will be rewarded based on how well the company performs. As such, a properly designed incentive plan one that motivates the management team to increase the value of the company in a measurable way is essential.Successful plans share four basic elements.i. First, the plan must be specific and leave nothing to interpretation. As such, key employees know, in advance and in writing, what precise standards need to be met to receive the incentive.ii. Second, the incentive must be substantial; otherwise key employees may not be in it for the long haul. However, this substantial amount should be awarded only upon the attainment of the performance standards set by the business owner.iii. Third, the plan should tie the key management team to the business; in this way regardless of who owns the company, these individuals have an incentive to remain. Payments of these incentive plan awards to the key employees are not immediate. There should always be some type of vesting schedule associated with any incentive plan award. Normally, a continual or "rolling vesting" schedule is used; this approach requires each year's award to vest on a separate schedule. Employing this type of schedule will tie the key employees to the business longer as they are never fully vested in the most recent awards.iv. Fourth, the key employees should receive the incentive award based on performance standards that when attained increases the value of the business; this element is critical to a properly designed incentive plan.It is essential that employers consult with a legal and tax advisor when establishing any incentive program. While monetary incentive is unquestionably the largest component to a comprehensive long term incentive plan, consideration must also be made to key employees' unique needs. Therefore, don't overlook other more creative add ons to a complete compensation package. Could be a key employee wants to devote a few days each year to a volunteer effort; perhaps someone desires the flexibility to work from a home office one or two days a week. Others may consider continuing education benefits or reimbursement for costs associated with advanced professional certifications a big plus. Also, acknowledge that needs change. What may have been an important benefit to someone when they first joined the company might now be replaced by a more urgent need. By offering a complete compensation package that addresses the specific needs of those employees critical to the company's future, the odds are greater that they will say "thanks, but no thanks" to poachers.How to Stop Poaching and Keep Your EmployeesHR professionals and recruiters wont give a second thought to approaching your staff on the web or even calling them at your office to lure them to new positions. In fact, these are now among their top tactics for recruiting. Unfortunately this is a problem which is only going to get worse with more startups being launched every day and as the economy improves and more companies get hungry to hire. Having the top talent is increasingly being seen as one of the most critical factors for staying ahead of the competition and your enemies want yours. Top corporations have huge budgets to offer signing bonuses and 60% of them do. Thats in addition to some corporate giants literally splurging billions to buy out firms just to grab their talent.i. You can monitor employee internet usage, track their social media and record their phone calls but that isnt going to keep them. ii. You have to give them more of what they want if you want them to stay.Its not just that your staff is being seduced away. A big part of the problem today is that they are actively looking for new opportunities too. A recent report shows the number one problem is lack of employee engagement. You cant always fork over more money than the competition and fortunately that often isnt even the biggest factor. Unfortunately, gift baskets, game tickets and employee of the month plaques wont always cut it either. They do want to be engaged and interested in their work, feel appreciated and that their effort and opinion counts as well as being confident your organisation is invested in their future. Lets understand where we lose these talents. Generally, its the competitors who hire rampantly. The restrictive practices such as Non-disclosure and Non-compete agreement may save necessary information and losing the talent to the client. However, different other channels including the vendor, distribution, entrepreneurial ventures and transitioning to other vertical still exists. Apart from the HR programs including the employee engagement, retention strategies, compensation and better growth plans, certain arrangements can be designed which may work for a time period.i. No poach agreement: Initiate a no poach agreement with the other companies who have the same business and often from the same client. Hence may require the same skill sets to deliver the job.ii. Hiring strategies: It begins with setting the funnel where the best talent can be hired and developed. At the time of hiring, its important to make sure that the employer not just takes the job, but chooses the employer as well. One of the hiring strategies implemented by a company hiring on single number was, allowing the talent who clears all the rounds to see the job for a day. The short listed talent would be put as a buddy to an employee who is already delivering the job. This helps the talent to decide whether they wish to take the offer or not. This strategy can help the firm to demystify the job for the employee, resulting in higher retention. This may not be possible for bigger revamp including double or triple digit growth.iii. Red flag potential poach: The business model will have few core jobs to be delivered. These jobs may or may not be easily trainable. They will require the talent to stay unaffected by the attrition. Identify these business units which may stand the poaching threat. Form a talent pool to offer a buffer in the times of need. Apart from this, redesign the hiring plans. Even though the competitors are likely to catch up with this policy, it still would create a cushion for a while.iv. Better pipeline: Maintain a talent pipeline to the roles which stand the poaching threat. Design a career path to promote a talent within the organisation. This will remain a motivational factor for the lesser skilled employees. This would bring in a ceiling to the talent as they might not fit into the basic requirement of the competitors. A new career path can be designed to promote the employees who are graduates, with good communication skills and other capabilities required to deliver the job. It would further optimize their productivity in that role.v. Pre Wire the Recruitment Companies: Keep a close watch on the recruitment vendors to the company. The recruitment firm may share the talent database of a former client to a new one. Though it is against the legal guidelines nevertheless, it poses a threat.vi. Job Application Check: The best way to keep a check on the employees who have started looking for a job is to view the updated resumes in the job portals. This can be taken as early warning sign. Furthermore, a blind add and cold calling randomly can be arranged to keep a watch on the employees who is looking out for a job.vii. Talent Pool Management: Consistently identify newer talent pools and maintain a sound training department. Training programs must be designed to shorten the phase of bringing an employee on board and training them. The billability would get managed when there is a reduction of the gap between the date of joining and the productivity ready stage.viii. Loyalty Program Leader: Identify leaders from the employees to run the employee loyalty program. A shared responsibility between the business leader and HR can be mapped, announcing different employees as leader of the month for the employee loyalty program. Even if the employees leave the organisation a loyalty program would help forming alumnis and make them potential hires in future.ix. Realistic Employee Life Cycle: Its important to realize that every employee joins with an expiry date for the job in mind. Its important to identify that. Very few would be capable of developing themselves and promoted to the next level. The rest would remain a part of the employee turn over. Once this division is realized, poaching would not affect as long as the backfill is on.

Ways to Stop Your Competitors from Poaching Employeesi. Businesses lose employees all the time, but if another firm has ever targeted or hired your employees then you have suffered from employee poaching or employee raiding.ii. Employee poaching is a fact of life for small business owners, particularly in high growth, specialized, and technology industries. In fact you can even do a quick search online and find blogs that will even coach businesses on how to poach employees.iii. This explores the legal options for preventing and addressing the poaching of employees by competitors, as well as other potentially more fruitful management techniques.iv. Non-compete clauses or agreements are a contract between your employees and you in which your employee agrees not to go work for your competition, solicit business from current clients, or compete with your business for a certain period of time after leaving your company. The trouble with non-compete agreements is that they rarely hold up in court. Furthermore, the litigation involved can get costly for a small business owner. Another problem with non-competes is that they make it harder to attract the right talent in the first place. After all who wants to compromise their future career path in a chosen industry by getting trapped into a non-compete agreement with their employer? If you still feel you need the protection of a non-compete, check your state laws to see whether they typically support employers or employees in non-compete. Then consider rolling them out only to managers or key employees. You should also make your non-compete policy clear include it in your employee handbook and even on the careers page of your website so that your competition can see it too.v. Always seek the professional advice of a lawyer before establishing and enforcing a non-compete agreement. vi. Non-competes aside, there are many other ways to more effectively prevent employee poaching. All companies have valued employees those they cant afford to lose because of their skill, experience and commitment to their work. One way you can help them resist the temptation to stray is to show that you are invested in their future. Give them management time, discuss their professional goals, and share your vision for the continued growth of your business and their role in it. Long term incentive plans tied to the overall success of the business, not just individual performance, can also send a clear message to your employees that they have a recognized and valuable role to play in your business as a whole.

vii. Apart from money and other temptations, one of the big motivations for changing jobs is to get away from the boss. This is a tough one to acknowledge, especially in todays job market. It can be hard to imagine that your employees might want to leave you because they cant tolerate your management style.viii. But the fact remains, your employees are critical to your success. This means, as an employer you need to earn the loyalty of your employees no matter how thankful you think they should be that they have a job and by being a good leader. With strong leadership, your business and its employees will become more agile and resilient to change. Without it, employees quickly become disgruntled, lose interest, and quietly plan their exit. These resources provide a variety of tips and tools to help you become a better boss.Things to Know and Do When Hiring Your Competitors Employees.i. Beware of team.: When a manager, officer or employee of another company speaks on behalf of other employees of that company, i.e., my team, my group, my office, he/she may be breaching a fiduciary or other duty to their current employer. An officer breaches a fiduciary duty to his current employer if he solicits his current employers employees to go to work for a competitor. In most cases, these duties end when the employment ends. Barring the most unusual circumstances, an employee does not breach any duty to his employer in discussing his or her own future plans for employment.ii. Determine whether employees to be are at will or have a contract with their existing employer: Make sure you understand any limitations on the employees ability to work for a competitor. Enforceable restrictions can include a contract for a specified term. A company that interferes with another companys employment contracts with its employees can be exposed to civil liability. Sellers of good will or an equity interest in a company may also be prohibited from working for competitors.iii. Make employment offers in writing: The offer should include a statement that the employee bring nothing with them from any former employer and that everything they need to perform their job will be provided by the new employer. Require the employee to represent and warrant that he or she is free to accept the employment with your company and that he/she has not taken anything from his/her former employer.iv. Employees who wish to follow: Recruit for open positions from multiple sources. Avoid targeting only employees of a competitor. Advertise positions, get applications and resumes, interview and conduct salary negotiations directly with individual applicants. Document all of these steps.v. Announce the news: Law permits former employees of a company to announce that they are no longer with their former company and are with a new place of business. In some circumstances, however, an employee may be prohibited from soliciting customers of his former employer. Announcements of employee acquisitions should bear this legal distinction in mind and should be reviewed by legal counsel prior to making such arrangements.

Summary In this paper, staff poaching was considered as hiring an employee from a rival firm can mean bringing on someone who already knows your industry, your business, and can bring valuable new knowledge and even clients to you. From this study, there is evidence that employees of Nigeria G.S.M Companies (Glo, MTN and Airtel) agreed to the fact that staff poaching has helped to increase performance and competition of Nigeria G.S.M Industry over the years. Questions administered to the workers were relevant to staff poaching and how it has affected and contributed to Nigeria G.S.M industry.Secondly, it was found out that the staff poaching has contributed to the development and success of Nigeria G.S.M Industry. ConclusionBased on the research findings, staff poaching is a tool for associating companies within the same industry through non-compete agreement. Staff poaching is an easy way of external recruitment. Having explained the impact of staff poaching in Nigeria G.S.M companies, it was well envisaged that staff poaching in the industry helps to improve or increase employees performance and it prepares them to compete with other competitors. However, Staff poaching has been identified with the following advantages;i. It helps you acquire competitive intelligence about other firms.ii. New hires can help you identify other potential candidates to poach from their firm.iii. The new ideas that applicants and new hires bring in stimulate the thinking of others.iv. New hires ask why we do things that way so we are often forced to re-think the way we do things.v. It keeps our employees on the edge because they know they must compete against outsiders for jobs. vi. Outside hires dont have political alliances already set up. This can help them implement new ideas without the baggage of past political battles.vii. Already trained external hires may give us instant talent for new products, programs, and skills.viii. Hiring already trained people is cheaper than developing and promoting internal talent though the effect varies depending on the cost of a new hire.ix. It allows other firms to train and weed out the turkeys so we can hire the cream of the crop. As a result it can lower training cost.x. In a stagnant culture, outsiders might help shake things up and help us evolve our culture.Recommendations Based on the above important points on the advantages of staff poaching in Nigeria G.S.M industry, it is necessary for any organization to follow the steps below so as to prevent their staffs from being poached;1. Management can monitor employee internet usage, track their social media and record their phone calls while at work.2. Employer have to give them (employees) more of what they want if you want them to stay.3. Avoid a hear no evil see no evil mentality.4. Employer should treat employee relationships like marriage.5. Avoid hiring a job hopper.6. All non-compete agreement records should be well kept.

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