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The variety of shops and restaurants in Portsmouth also vary in the ways they hire and retain workers. Photo:  Rich Beauchesne

Everyone has heard it's not what you know, but who you know, that opens doors. But a quick survey of downtown Portsmouth businesses indicates that employee recommendations and referrals from trusted sources are what win jobs.

Even at a time when job seekers can send out hundreds of resumes via the Internet, or apply in person at almost any Portsmouth restaurant, retail shop or business, the human connection is key.

"We find most employees through referrals from our current staff," says Cindy Dodds, owner of design firm Graphic Details and director of operations for Accent Magazine.

"We count on word of mouth," says Jon Bailey, owner of BaileyWorks, whose custom messenger bags are used all over the world. "Other approaches very seldom work out, as there are not many people with the skills required (e.g. sewing and stitching) for this type of work, so we hang onto them when we can."

Loyalty Builders, one of downtown Portsmouth's few remaining high-tech companies, relies on referrals to find people with computer programming and mathematics expertise to build is next-generation marketing models.

"One of our main sources is UNH, where faculty we know recommend potential hires," says Mark Klein, president and CEO of Loyalty Builders, which helps companies target marketing approaches by analyzing customer transaction data.

Even Portsmouth's retail shops and restaurants, which have their pick of many walk-in applicants, cite the importance of referrals in the hiring process.

"I have had the same staff for years," says Betsy Scott, owner of the Flower Kiosk. "But I do often have people come in off the street to apply. Word of mouth is another way I find people."

Prelude owner Holly Landgarten sees some job seekers walk up and down the street, stopping in any many shops in search of openings. Landgarten relies on such traffic to staff her shop, which sells jewelry, soaps, and health and beauty products. "For the most part, they come to me and apply directly," Landgartern says.

"Puttin' on the Glitz gets walk-in applicants who either love the store or make jewelry," says owner Assiah Russell. "I also have found people through referrals and have written an employee training manual in order to train people more quickly."

As in retail, downtown restaurants also receive scores of walk-in applicants, especially in the spring and fall. A backlog of applications, however, doesn't necessarily yield a cohesive staff, says Charles Bryon, manager of The Metro, one of Portsmouth's premier restaurants.

"In a town with so many restaurants, finding applicants is not difficult," says Bryon. "Finding applicants with great experience and who will meet our high expectations is." Bryon says walk-ins make up the majority of Metro applicants, but the restaurant also hires "based on current employee or industry referrals." Hiring is based on experience and the interview process. But finding team-oriented talent is an ongoing challenge, according to Bryon.

"Even if an applicant looks good on paper and performs well in the interview, only 75 percent are as qualified as we would like," Bryon says. "Having a strong staff means constant vigilance and maintenance."

Larger businesses such as Stonewall Kitchen still use traditional want ads in local newspapers. Charles Bryon says the Metro places ads on occasion, "but only if we are in a crunch and really need people." Mark Klein of Loyalty Builders uses newspaper ads to fill certain types of administrative and staff positions.

"Help Wanted" signs remain among the most popular means of advertising openings, says Carolyn Marvin, who has held retail sales positions at Prelude, Gallery 33 and Les Cadeaux. "In every instance, they advertised with signs in the window," says Marvin, now an assistant librarian at the Portsmouth Athenaeum.

As rents increase, businesses fight to keep overhead low, so many owners run their shops alone.

David Campbell, owner of Ceres Street Wine Merchants, says the consultative nature of wine sales makes it impractical to hire sales clerks.

"Ken and I do not have any employees other than ourselves right now," says Deborah Bouchard-Smith, co-owner of Maine-ly New Hampshire. "Hopefully we'll have an employee search problem in our near future."

Whether they rely on referrals, walk-ins applicants, or a sign in the window, the search should not take long.