Devoting the time and energy necessary to find the right candidate might be costly, but not nearly as costly has hiring the wrong candidate. Experienced hiring managers know that it’s well worth the extra effort to find the right person for the job the first time. Bad hires can cost companies many thousands of dollars in lost revenue and decreased productivity. You might be able to replace a bad hire but you can not replace the time and effort you invested.
Recently, new research has revealed just how costly poor hiring decisions really are:
Financially: “The financial costs can vary depending on the position for which the hire was made. The CareerBuilder study cited estimates above $7,000 to $10,000 as the average cost of hiring the wrong individual for an entry or mid-level position. The cost of wrongfully hiring a manager is typically in excess of $40,000″ In some cases it may cost your company 30% of that individuals yearly salary! Multiple bad hires in any given month or year could cost you hundreds of thousands of dollars.
Company Morale: One bad apple can spoil the whole batch. When a disengaged hire doesn’t pull there weight, good employees get burned out making up for it.In many ways, a bad hire’s effect on company culture echoes beyond the employee’s tenure. Poor performers lower the bar for other employees, and bad habits spread like a virus. Some experienced hiring managers can spot within a week whether a employee will be a long term fit for there organization. “Hire slow fire fast” is a saying some of the most successful business’s live by.
If you’re interested in learning how ALLSTAFF SERVICES INC can help you find amazing employees please contact us