The importance of recruitment and making good hiring choices has been highlighted anew thanks to a new report from the Recruitment & Employment Confederation (REC).
Worryingly, the report discovered that 85% of HR decision-makers admit that their organisation made a bad hire, with almost 40% of employers also confessing that their interviewing and hiring skills needed to be improved.
Bad hires potentially cost companies billions of pounds - employers do not see the cumulative cost of the hiring process, training, lost productivity and increased staff turnover leading to starting the process again out of pocket, all on top of the cost of the salary.
This means one thing: it is imperative to get the initial recruitment process right as often as possible. Retention will never be 100% thanks to illness, lack of direction, personal issues etc - but having a new employee leave because they were the wrong person for the job, which should have been picked up at interview, is an avoidable cost. And don't forget the post-hire journey too - employees are more likely to leave if they are not supported and trained as promised.
Ensure your hiring team has the right training in order to hire and retain the right people - or better yet, engage Aspire to do the hard work for you! With a success rate of 96% for placing the right candidates in the right job, this ensures you are far less likely to end up out of pocket thanks to a new hire.
UK business owners make the wrong call on every two out of five new recruits, according to fresh research into the true cost of hiring mistakes. Going by the Recruitment & Employment Confederation (REC)’s formula, the number of bad hires made in the first quarter of 2017 (745,880) multiplied by average weekly earnings for full-time employees (£539 per week) meant businesses paid unsuitable recruits £402,029,320 every week.