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Recruitment News Australia
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This is Recruitment News Australia. And it's the news for the 26th of May, 2026. I'm Ross Klenit. And I'm Adele Last.
Incident at Talent X Week
00:00:43
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Ross, there's a big story coming out of Talent X Week in Melbourne, and from what we understand, at least part of it has now become a police matter.
00:00:51
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Yes, Adele, and I should stress from the outset, these are allegations only and no charges have been laid. Sources have told us about an alleged assault taking place on the eve of the event after a group of people in town for Talent X moved from drinks at a CBD bar, Ponyfish Island, to a venue at Crown Casino later that night.
00:01:10
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And this apparently involved a senior executive from a recruitment industry vendor. That's right. alleged an executive from X recruiter struck the owner of a Sydney-based recruitment agency in the face during an altercation. We're also told witnesses had to step in to stop the situation escalating.
00:01:27
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Which is exactly the sort of outcome that's at risk of occurring perhaps after a few too many drinks? Definitely. Security staff are understood to have intervened to separate those involved and we understand the alleged victim later made a statement to Victoria Police.
00:01:41
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What makes this even more awkward is that both the alleged assailant and the alleged victim were reportedly at TalentX the next day in the same room. Yes, now understanding is the RCSA was made aware of the incident. Thankfully, nothing occurred on the day of TalentX. although it must have been intimidating and uncomfortable for the alleged victim.
00:02:03
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And what did ex-recruiter have to say about this, Ross? Well, on Friday, emailed and then spoke to owner Blake Thompson about the allegation. he was surprised about what was alleged as his employee had downplayed the incident in an earlier conversation with him. Thompson promised to speak to the employee again and provide a response in writing by the time we recorded today's episode.
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No response was received by the deadline. On to other TalentX news.
Australian Awards Highlights
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The winners of the Australian Awards, which were held at the Rec Gala event after TalentX, were, for business innovation, Drake International.
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Candidate Care, People to People. For client service, Mayday. DEI and belonging, Arasync. Safety and wellbeing culture went to programmed. Social purpose, launch.
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Boutique agency was Fraser Tremble. Medium agency, Technical Resources. Large agency went to People2People. Rising star Alma Rahim of Beaumont People.
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Recruitment professional was announced as Michael Jones. Recruitment leader Mike Otte of Synergy Australia. And the CEO Outstanding Contribution Award went to Corinne Taylor, who's currently at Talent Quarter.
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Congratulations to all the winners.
Economic Trends and Unemployment
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Adele, the latest labour market update for April reported a concerning jump in the unemployment rate to 4.5%.
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Yes, the ABS reported 0.2 percentage point increase from the 4.3% in March. What is particularly concerning is that employment declined for the first time this year, with 18,600 fewer people in jobs, while the number of people actively looking for work rose by 33,000.
00:03:49
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Full-time employment fell by 11,000, while part-time positions dropped by 8,000. There is an interesting contradiction in the data, though. Despite fewer people working, the total monthly hours worked actually rose by 16 million to reach 1.036 billion in April.
00:04:07
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That is a 0.8% increase for the month and 3.5% year-on-year. Economists call this labour intensification, where fewer workers are taking on more hours, which is often an early sign of workforce stress.
00:04:22
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On a state level, WA remains the best performer with the lowest unemployment rate at 4.1%. At the other end of the scale, Tasmania recorded the highest rate at 5%. New South Wales sat right on the national average of 4.5% and Victoria's unemployment rate was 4.8%.
00:04:42
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Experts are now weighing in on what this means for the future. Harry McCauley from Oxford Economics Australia is forecasting that the national unemployment rate will continue to climb, potentially peaking at 4.8% by late 2027. He points to a slowdown in private consumption and a tough business environment as the primary drivers.
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He noted that business confidence has slumped due to higher borrowing costs and higher input prices, which is directly impacting hiring. HSBC Australia Chief Economist Paul Bloxham is even more pessimistic, suggesting these figures confirm the Australian economy has already entered a downturn. It's certainly a sobering update for the recruitment industry and let's hope the May labour market update due on the 25th of June contains better news.
Farm Workers' Treatment Concerns
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SBS News recently reported some unsettling detail about the treatment of farm workers from Timor-Leste who are employed under the Pacific Australia Labor Mobility PAM scheme via Mildura-based labour hire firm, Maddock Australia.
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SBS highlighted the specific story of Dion Inizio Martin-Soraz, who after five months of six-day work weeks only had $1,500 in savings after Maddock Australia deducted nearly $10,000 from his wages for travel, equipment and other expenses, leaving him with a weekly take-home pay of $466.
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The housing reports are equally troubling with some migrant workers in Karindi living in rack and stack arrangements with up to 48 people in one house.
00:06:22
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In Tasmania, some were paying $170 a week for single room caravans without Wi-Fi and their movement was strictly limited to work, groceries or church under firm 8pm curfews.
00:06:36
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On face value, this seems especially concerning as MADEC is a registered charity and public benevolent institution that claims to make a positive difference in clients' lives. SBS reported the company has annual sales revenue in the $150 to $200 million dollars range, including over $11 million dollars in government grants.
00:06:57
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That's not the first time concerns have been raised about MADEC Australia 2022. The Victorian Labor Hire Authority ordered the company to repay $70,000 over substandard worker accommodation after finding some rooms housed double the permitted number of occupants for up to six months. Maddock admitted it was unaware of the minimum accommodation standards, prompting broader concerns from the regulator about other worker housing.
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The licence conditions imposed by the LHA in 2022 required MADEC to procure an independent auditor to complete an audit of all accommodation provided by MADEC to ensure compliance is continuously met.
00:07:37
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might wonder who that auditor was, Adele, as it seems MADEC has let their standards slip again. You have to wonder what's going on at the top of MADEC, Ross. There have been three different CEOs across the past three years and two different chairmen.
00:07:52
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There is also a formal New South Wales parliamentary inquiry examining modern-day slavery risks within the PALM scheme. Dr Jo McGurr, Chair of the New South Wales Modern Slavery Committee, says the inquiry heard evidence alleging Maddock Australia overcharge workers for rent and van hire. The committee is expected to recommend a review of the company's charity status. The final report is due in August.
00:08:16
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Overall, this situation presents a significant reputational challenge for both Maddock Australia and the broader Australian labour hire sector operating under the Palm scheme.
International Recruitment Developments
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Japanese recruiter Will Group, which owns local brands Ethos, Beef Chapman, Key Appointments, UNU and DFP, has posted strong full-year results, with revenue up just over 5% to nearly US$923 million. us dollars Gross profit rose more than 10% and profit before tax jumped 44%.
00:08:48
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One of those growth areas for the company is here. The company specifically noted that permanent placement revenue in Australia increased year on year, which is encouraging. Meanwhile, over at the global headquarters of Hayes PLC in London, there's finally certainty around the CEO role. Mark Durnley has officially been appointed CEO after acting in the role for nearly three months.
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It's a fascinating appointment because Durnley comes from a technology and digital background rather than a traditional recruitment pathway. Before joining Hayes, he worked at companies like Vodafone and Inchcape, plus consulting giant Bain & Co.
00:09:25
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Which probably says a lot about where the Hayes board thinks the industry is heading. Recruitment businesses are increasingly data-driven, AI-driven and technology-enabled. They may see digital capability as just as important as classic recruitment experience.
Leadership Changes and Future Directions
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It's also worth noting the instability at the top of Hayes recently. Durnley becomes the company's fourth CEO overall, but the third in just three years. After founder Dennis Waxman headed the company for three decades, his successor, Alistair Cox, clocked up 15 years, and then the head of Hayes Germany, Dirk Hahn, took over in late 2023 and then resigned in January this year for personal reasons after another underwhelming financial half-year.
00:10:09
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Durnley certainly stepping into the role at a critical time. Hayes, Michael Page and Robert Walters have all lost investor confidence with their respective share prices at or close to historic lows. It seems improbable that they will all return to their past glories in a rapidly changing staffing sector.
Agency Closure and Market Challenges
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Closer to home, another agency closes its doors. This time it's Galaxy personnel in outer Melbourne. Managing Director Richard Meehan said in an an email to his clients last week. They will cease trading by the end of June, 2026. It's another multi-decade agency closing shop. They've been operating out of Bayswater in Melbourne, South East, placing workers in the manufacturing, industrial and distribution sectors since 2002. Me and Sidney's letter to clients, the failure to find a buyer for the business was the reason for the closure.
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Mian is giving clients the option to employ Galaxy's on-hire workers directly or transition them to another provider before the business shuts down. noticed they only have four internal staff members according to the company's LinkedIn page.
00:11:19
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It's another example of where the impact of low margins and rising compliance costs bite hard when volumes drop. That's your news up to date for the 26th of May, 2026. Stay tuned now for question of the week.
Future of TalentX Melbourne 2026
00:11:41
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Our question of the week this week, Ross, is what do we think of TalentX Melbourne 2026? twenty six Well, I was there bright and early, Adele. The doors opened at nine o'clock. I got there just but just after nine o'clock at Jeff's Shed Melbourne Exhibition and Convention Centre. Rolled in and yeah, I had a very enjoyable day. I was hosting a panel on stage and I was spending the rest of the time walking around, talking to people and checking out the vendors.
00:12:11
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Well, I'm hoping that you sat in on some of the sessions as well because I was representing a vendor, so I didn't sit in on any sessions this year. I was in the vendor space and I'm hoping I can ask you about some of the presentations you would have witnessed.
00:12:26
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Well, there was only three that I witnessed in full, plus I was hosting the Future of Recruitment panel. So, I don't have a lot that I can provide, but certainly happy to give you some of the highlights of the sessions I did sit in on.
00:12:41
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Okay, let's go through those. All right, Dr. Ben Hamer, I'm not sure what his session was called, Adele. I've got Top Friends Shaping the Future of Work. Right, so what i what I've written down in my notes ah a couple of points that 82% of Gen Z like where they work, but 43% are looking around. And I thought, um wow, that's that's pretty that's pretty significant when people say pretty comprehensively that even though i really enjoy where I work, it's still not
00:13:19
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going to prevent me from looking for a better opportunity. And certainly, know i think my son, Guy, probably fits into that category. He really enjoys where he works, but he's now getting to a point of, where's my career at?
00:13:33
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Do I need to be looking? What sort of opportunities am i going to potentially get external to my employer compared to internal? So that so that certainly resonated for me. a couple of other things that Dr. Ben said, are Gen Z going backwards in tech when they enter the workforce? In other words, their own experience in their personal lives is at a level that is ahead of many workplaces that they then go to. And they feel like kind of underwhelmed by the opportunity in tech in many workplaces. Now, clearly that's not going to be everywhere, but I thought, yeah, that's probably pretty true. And then the third thing he said that I thought was true is that many people, not just younger people, but many people are opting out of leadership.
00:14:23
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They're looking at the stress that their boss has, the pressure from up top and then from underneath with flexible work and all of those things. And people then go, you know what, for the extra bump in pay, I ah don't think it's worth it. And that there needs to be a significant investment in leadership capability to have people want to.
00:14:46
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take on a leadership role rather than avoid it because of the strains and stresses of modern work life. All three of those points, Ross, seem relevant for the recruitment sector, you know, and bit of a warning in some ways, because I think you're right. We obviously already know about lack of candidate loyalty, but things around the backwards tech and the leadership, ah you know, lack of motivation that's That's real in the recruitment space, I think, and something maybe a lot of agencies need to take a look at.
00:15:19
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I would suggest that. And of course, i'm ah I'm biased because I'm a leadership coach, but I certainly think that as much as the industry does invest in leadership development, there needs to be much more because the challenges of leadership in our sector in the next five to 10 years are are only going to get greater.
00:15:39
Speaker
Okay. Who else stood out to you as a speaker? ah Jared Ross, the future recruiter, he spoke about how to last, which is an acronym for learn, adapt, systemize and think. And I just wrote down um his line, the future recruiter is a better thinker. And it's a very simple statement, but that struck me as absolutely true. You do need to be a better thinker. When I think back to when I started in recruitment, where I mean, really, there wasn't much to think about other than getting on the phone and screening candidates and trying to bring work in and then putting jobs and candidates together. There's so much more to be thinking about now in terms of compliance, in terms of personal brand, in terms of AI use. And the that skill of thinking that I wouldn't have considered as a particularly important one in the first couple of decades of mine in the recruitment industry, I think Jarrah's right. I think that is a much more important skill for the future.
00:16:41
Speaker
Okay. I'm keen to understand ah other sessions that you're setting on. It was actually, for those that don't know the structure of TalentX, it's three stages. Each stage has a theme and looking at the program, there was about 10 sessions per stage throughout the whole day. So, there's a lot to take in, a lot to get around too So, I can understand that you don't get to sit in on every session, but what was another one that stood out for you?
00:17:06
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Well, just also to explain the people who may not be aware who have not gone, that um every ah person attending has a set of headphones that is specifically set up to listen to the three stages. So there's three channels.
00:17:22
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And when you turn into the channel, tune into the channel, you're hearing what's going on at the front of the stage. Because if you're sitting down, even if you're three or four or five, six metres away from the front of the stage, you still won't hear the people on the stage because they're not amplified. They're only going through your headphones. So that makes for ah an interesting experience. Yeah, let's call it interesting. I know there's a lot of controversy about the whole headphone delivery um within this event. Does it look like it's going away? i know we've spoken about it before. Some like it, some hate it. So, yeah, it works and allows them to have one big room and ah multiple stages with multiple speakers occurring at the same time. because they're not amplified. As you said, they're only going through the headphones. And I think probably there's almost too much choice, Adele. I mean, the first session started at 9.30 and I think the last session finished at quarter to four.
00:18:20
Speaker
And it's just so much to see. I mean, I don't know how many sessions there were in total, but it must have been something between 25 and 35 sessions. And it's a little overwhelming. So, I don't know whether there's a case to be made for um each stage having a particular...
00:18:36
Speaker
part of the day where they have a break, so people have only got a choice of two rather than three. I'm not sure whether more choice is better than less. don't know. What do you think? Yeah, it does feel bit overwhelming at times, this event, because you do have multiple speakers you want to listen And then on top of that, there is the whole trade show part, the whole part of the event where there are all of the new vendors and tech out there that you might want go and speak to and book appointments with and engage people on what's going on in the rest of the industry. I think it doesn't leave room for that, you're right. I think it's just so full on, it expects you to go from stage to stage to stage, not speak to any vendors or, you know, do that while you're trying to scoff down some lunch. It can be a little bit overwhelming, feel a bit rushed, and I understand why a lot of people
00:19:23
Speaker
come away from it kind of, you know, a little bit kind of overstimulated, I suppose. Yeah. some I think it's something for the USU to think about. The other thing to think about, pricing.
00:19:33
Speaker
I think $299 a is probably pushing the envelope. Certainly in a difficult economic climate, I'd More than one person say to me that was a reason they didn't attend. I'd be feeling much more 149 199 ahead rather than 299. I think that might be pushing it. when you tried like I'd prefer people come along with their whole teams rather than just one or two. and I think getting the getting the whole venue fuller, or full lur because I certainly noticed after lunch, there was a very big drop-off and a couple of vendors said to me, you know, noticeable drop-off after lunch. So, I think maybe a pricing something I should have a look at.
00:20:14
Speaker
Yeah, I agree. When you're thinking about maybe half of the content is brought by sponsors, which means it's free, I think, you know, you need to have a look at the pricing um and perhaps, you know, even the venue and the size. it It was full. There was definitely, I was told the numbers were around the kind of $750 in the room. And there was a large number of people there, but the room was really vast. I think the room could have held over 1,000 people and it still wouldn't have felt full. And so you fit 750 in there and it suddenly feels very big and vast and lacks atmosphere then as a result. And then you've gone and got the headphones on and, you know, not a lot of people talking to each other, sitting in the sessions, not a lot of noise. So i i think there's some ah reviewing of this event for RCSA, including the price, as you said.
00:21:04
Speaker
And you also weren't particularly through with the food. You're bit underwhelmed there with the food at the lunch. I'm scared to talk about the food, as you know. But yes, i was a bit underwhelmed with um the food. There was no morning tea. It was only lunch and afternoon tea, which is fine. but ah Hang on. There was morning tea. i ah ah had a very nice melted ham and cheese croissant.
00:21:26
Speaker
Oh, I never saw those. They must have been very early in the morning, perhaps. But I never saw any food in the morning. But Anyway, the lunch I just felt was, you know, it was some wraps and a little bit of salad. ah There was somebody who had like a pasta wheel thing. They were cooking the pasta in fresh cheese wheel. That was pretty special. But other than that, um it was pretty, yeah, as I said, a bit underwhelming.
00:21:46
Speaker
Afternoon tea I thought was terrible. i actually spat it out and threw it away be fair. So, yeah, again, for the price, you want, you know, good good hearty lunch, something that, you know, good car carb load at that point, especially given – The awards were later that evening, so you were going straight from this whole day event, probably rushing out to quickly change and then head off to the awards. Well, I enjoyed my cheesy, peppery, gnocchi for lunch.
00:22:14
Speaker
Let's quickly, before we move off to the awards, though, talk about your own presentation. You did host a panel. ah Tell us who that was with. ah The Future of Recruitment panel, Susie McInerney is CEO of Six Degrees Executive and Clara Fallon, who's the Drake International Director. ANZ CEO, um look, he has a lot to cover. I think probably just in summary, Susie feels very optimistic about the future for permanent recruitment and she's very much pushing six degrees executive up the value chain, which I think is a you know a very smart move, pushing for more retainers, pushing for higher fees, looking to really niche down into candidate markets to present to clients candidates that are not available
00:22:57
Speaker
through other means. I certainly certainly think that's ah smart. ah I put to them both that with the way tech's going that the best billing recruiters will move from one to two million dollars a year to two to four. They both didn't really see that happening. I was saying, well, what about recruiters earning more than a million dollars? Not really positive about that. Felt very positive about those sectors that traditionally I mean, we know about because government supports them, defence, healthcare, care also traditionally resources has been a big employer.
00:23:34
Speaker
And a overall, I'd say both of them still feel very optimistic about the future of the recruitment industry, as I do. But it's certainly, I believe, going to be a very different industry. wouldn't say very different, but different industry going forward. And both of them certainly agreed that the way A recruiter's day will look in 2030 will be significantly different to now. By the time you get to 2030, admin will be completely taken over by AI and the best recruiters will be spending much more time talking to candidates and clients, which is kind of back to 1989 when I joined the recruitment industry. Different tech this time, of course.
00:24:13
Speaker
Yes, yes, definitely. All right. We are almost running
Reflections on Rec Gala Awards
00:24:16
Speaker
out of time. i had a very positive ah experience at the gala event afterwards um feedback from you on the Rec Gala Awards? Loved the venue, Melbourne Town Hall, I thought was perfect and we had, I thought, a very good meal. Certainly certainly enjoyed the meal. The RCSA got the awards up and underway and over I think, at an appropriate pace. You don't want people to have too much to drink. Everyone did very well with their speeches. Nobody thanked their mother, auntie, brother three minutes in. Yes, or yes or God.
00:24:53
Speaker
So I think everyone was pretty concise with their 30 seconds or less. Great to see, of course, Charles um recognise Charles Cameron for his 10 years as RCSA CEO. And we have a new life member of the RCSA, Adele.
00:25:10
Speaker
ah Nina Mappson-Bone, former RCSA board president. So it was fantastic to have Nina honoured in that way. And there were many people there that had worked with, nor are working with or have worked with Nina there to celebrate with her. So yeah, excellent night all up. And certainly, i don't know, the band seemed pretty good. My wife, Michelle, thought the band was pretty good. What about you? Yeah, no, overall, I thought the atmosphere at that event was fantastic. I thought the Room was fantastic. The Melbourne Town Hall cannot be beat as a venue. Band was good. Food was good.
00:25:45
Speaker
Company was great. I think it was well-organised. RCSA definitely know how to throw a party. Yeah, no, it was very good. And just to close off, the highlight of the whole day, day and night, was listening to Belinda Kerr speak at TalentX. Belinda's former colleague of mine. We worked together at Recruitment Solutions 26 years ago.
00:26:07
Speaker
And she spoke incredibly movingly and honestly about her challenges as a parent when her twin girls were born three months premature. And one of them, Ivy, ah has very high needs and almost died a couple of times. And Belinda shared her story as a parent attempting to cope with all of those things as well as being the owner of a recruitment agency that was undergoing a transition and a sale. So, yeah, BK, props to you. it was moving.
00:26:46
Speaker
It was authentic. And, boy, certainly it made me think that my life has been very charmed. Yeah, I think that's one of the best parts of the TalentX event, I will say, are the real stories when they have speakers up on stage that are from the industry and they tell you real stories about how they did things or how they coped or impacts they've had to their lives. I think those presentations are the one ones that stick with us.
00:27:11
Speaker
Yeah, and and certainly Belinda's did. And I really hope her presentation is one she gets to deliver to a larger audience and to more audiences because it's ah it's it's a very raw and authentic story that I think many people will relate to.