It happens to nearly every organization. A resignation letter comes at an inopportune time, or worse yet you’re forced to terminate an employee who fills a critical role without an immediate back-up. If only there was an insurance policy that covered you in these situations. A friendly guy in a red shirt and khakis who could assure you that you’re covered. Perhaps a witty Gecko with a charming accent to call in times in trouble?
While most recruiting firms may not have a mascot or a catch-phrase, a solid recruiting partner can serve in part as your “bad hire insurance policy.” First, you must understand the impact of bad hire and why it happened.
What a bad hire can cost your organization.
The US Department of Labor estimates a bad hire can cost an employer upwards of 30% of the candidate’s first year salary. For that six-figure director role, that’s $30,000 lost. Other sources such as Jörgen Sundberg, CEO of Link Humans estimate the cost to be $240,000 or more. That is of course taking into account quantifiable things like time and expenses associated with recruiting, hiring, on-boarding and training. Other, less quantifiable impact such as negative impact on team morale or poor job performance can quickly drive figures through the roof.
According to a recent Career Builder survey, when hiring managers were asked why they made a “bad hire”: 35 percent knew the candidate didn’t have all the needed skills but felt they could learn quickly; 32 percent took a chance on a nice person; 30 percent felt pressured to fill the role quickly; and, 29 percent focused on skills and not attitude.
Am I Covered?
Reputable recruiting firms can offer speed and efficiency without sacrificing quality. At Selective Staffing Solutions every engagement begins with a thorough consultation that defines an organization’s must-haves, and nice to haves. This includes critical skills, as well as attitude or “culture fit.”
From there a short list of candidates are identified and thoroughly vetted. Interviews, personality assessments, background checks and reference checks can all be conducted before a candidate is even presented to a hiring manager. Throughout the process recruiters also consult with candidates and clients to ensure there is consensus as the process moves along.
Additionally, Selective Staffing Solutions offers a placement guarantee for direct-hire candidates. Should you need to terminate an employee within a specified time frame SSS will replace the candidate free of charge. The same applies if the candidate were to leave on their own accord.
Above all, SSS wants to ensure candidates are a long-term fit. With 80%+ repeat business, it is essential that SSS can provide solutions for clients that drive a long-term relationship.
When the cost of a bad hire is far exceeding 30% of first year salary, chances are switching to Selective Staffing Solutions will save you 15% or more. Fill out the form below for a free rate quote.