Skills-based hiring in France: What to implement, how and why

Skills-based hiring is not just a trend, it's a strategic shift that can help organizations in France address critical challenges, such as skill shortages and the need for greater diversity in the workplace. By aligning hiring practices with the actual needs of the job, companies can not only improve their recruitment outcomes but also foster a more inclusive and adaptable workforce. We explore what skills-based hiring is, why it is becoming increasingly important in France, and how organizations can successfully implement this approach to stay competitive in today's dynamic job market.

Skills-based hiring is a recruitment approach that emphasizes a candidate's specific skills and competencies over traditional qualifications like degrees or past job titles. This method is gaining traction in France, especially among SMEs (small and medium enterprises) that are looking for innovative ways to address talent shortages and improve hiring outcomes.

A great example is OpenClassrooms, a French online education platform that has adopted skills-based hiring for many of its positions. By focusing on what candidates can do rather than where they went to school, OpenClassrooms ensures they bring on board individuals who are genuinely equipped to excel in their roles. For instance, when hiring for tech positions, they prioritize candidates' proficiency in coding and problem-solving skills, which are assessed through practical tests and portfolio reviews.

In France, where the traditional emphasis on academic credentials has long dominated the hiring landscape, this shift marks a significant evolution. SMEs like Doctolib, a healthcare tech company, are also leading the way. They've found that focusing on candidates' real-world skills, particularly in technology and customer service roles, allows them to build a more effective and agile team.

"This method is gaining traction in France, especially among SMEs that are looking for innovative ways to address talent shortages and improve hiring outcomes."

Lea Orellana-Negrin
Recruteuse
Eurojob-Consulting

There are compelling reasons for French companies, especially SMEs, to adopt skills-based hiring. One of the key benefits is the potential to reduce hiring bias. By focusing on the skills necessary to perform the job, companies can make more objective hiring decisions, which can lead to a more diverse and inclusive workplace. This is particularly important in a country like France, where diversity in the workforce is increasingly recognized as a driver of innovation and business success.

Qonto, a Paris-based fintech startup, is an excellent example of a company that has successfully implemented skills-based hiring to build a diverse team. Qonto, which offers digital banking services tailored for SMEs, recruits candidates based on their ability to deliver in dynamic and customer-focused environments. By focusing on candidates' actual skills rather than their academic backgrounds, Qonto has been able to assemble a team that is both diverse and highly capable.

Another reason to embrace this approach is the growing skills gap in France. Many industries, particularly in tech, are facing a shortage of candidates with the necessary skills. ManoMano, an online DIY and gardening marketplace, has tackled this issue head-on. They’ve shifted their recruitment strategy to prioritize skills over degrees, particularly for roles in digital marketing and software development. By doing so, ManoMano has been able to fill critical roles more effectively, even in a competitive market.

Furthermore, skills-based hiring can be more cost-effective. Traditional hiring methods, which often involve lengthy recruitment processes and high turnover rates, can be expensive. SMEs like Mirakl, a French SaaS platform provider, have found that by focusing on skills, they can reduce time-to-hire and improve employee retention, ultimately saving money in the long run.

To successfully implement skills-based hiring in your organization, especially as an SME, you must take a strategic and structured approach. The first step is to redefine your job descriptions to focus on the skills and competencies required for the role. Instead of listing a specific degree or a set number of years of experience, specify the exact skills necessary.

For instance, Back Market, a French online marketplace for refurbished electronics, lists specific skills like SEO knowledge and digital marketing expertise when hiring for marketing roles, rather than just asking for a marketing degree.

Next, invest in assessment tools that accurately measure these skills. There are numerous online platforms, like CodinGame and TestGorilla, that can help you assess candidates' abilities in real-world scenarios. Alan, a French health insurance startup, uses these types of assessments to evaluate technical candidates' problem-solving skills and code quality, ensuring they bring in the best talent for their development team.

Training your HR team is another critical step. They need to be adept at conducting interviews that focus on understanding how candidates have applied their skills in real-world situations. PayFit, a French payroll and HR management software company, trains its HR team to conduct behavioral interviews that delve deep into candidates' past experiences, focusing on how they've used their skills to overcome challenges.

Finally, implement a feedback loop. After hiring, track the performance of employees to see how well your skills-based hiring strategy is working. Use this data to refine your process continuously. Malt, a French freelance platform, does this effectively by regularly reviewing the performance of new hires to ensure that their skills-based approach aligns with business goals.

While skills-based hiring offers numerous benefits, it also presents challenges, particularly for SMEs in France. One of the most significant challenges is the cultural shift required to move away from traditional hiring practices. In a country where educational qualifications have long been a primary criterion for hiring, convincing stakeholders to adopt a skills-based approach can be difficult.

Luko, a French insurtech startup, overcame this challenge by gradually introducing skills-based assessments alongside traditional methods, eventually phasing out the latter as the former proved more effective.

Ensuring the validity of skill assessments is another challenge. If the tools you use to measure candidates' abilities are not reliable, you risk making poor hiring decisions. To address this, Meero, a French AI-powered photography platform, rigorously tests and validates their assessment tools to ensure they accurately measure the skills needed for the job.

Another challenge is the adaptability of candidates. While skills-based hiring ensures that new hires have the necessary skills at the time of recruitment, there is a risk that they may struggle to adapt as job requirements evolve. To mitigate this, companies like October, a French fintech company, assess candidates for learning agility in addition to their current skills, ensuring they can grow and adapt within the company.

The future of skills-based hiring in France is promising, particularly as more SMEs recognize its potential to enhance workforce quality and diversity. As technology continues to evolve, tools that facilitate skills-based hiring will become more sophisticated and accessible, making it easier for companies of all sizes to adopt this approach.

Companies like Ledger, a French tech firm specializing in cryptocurrency hardware, are already looking ahead. They plan to integrate AI and machine learning into their recruitment processes to better match candidates' skills with job requirements, making their hiring process even more efficient.

Additionally, the French government may play a supportive role in promoting this shift. Initiatives that encourage lifelong learning and reskilling will complement skills-based hiring by ensuring the workforce remains competitive and adaptable. SMEs that embrace this approach early on, like Sendinblue, a digital marketing platform, are likely to find themselves ahead of the curve, with a workforce that is both skilled and diverse.

Jérôme Lecot