The cost of recruiting expenses in the NAIC is over budget in 2012 and due to spike in 2013 due to the search for a new CEO to replace Therese (Terri) Vaughan, Ph.D, according to the organization’s proposed 2013 budget document.
The majority of the over budget variance in 2012 is directly related to the search for a new CEO, which is ongoing. The 2013 budget assumes additional expenses related to the CEO search and an increase in reliance on external recruiting services for the attraction of NAIC employees in 2013, the NAIC stated in its budget.
The projected expenses by year-end 2012 for recruitment and relocation are about $262,300. This is more than $100,000 over the anticipated 2012 budgeted amount of $131,600.
For 2013, the amount budgeted under the line item “recruiting and relocation” is $214,243, a 62.8 percent increase over the 2012 budget.
The NAIC proposed budget document stated that “recruiting agencies are used to fill open positions with qualified individuals with a unique/specific skill set and those at the higher levels of management within the association when standard methods of recruitment prove unsuccessful.”