What is the True Cost of a Bad Hire? [Infographic]

If you’re struggling to find the right candidate to fill a vacancy, take comfort in the fact that you are not alone! Finding the perfect candidate who not only can do the role, but also fits with your company culture and embodies your values, can be tough. This doesn’t mean you should rush into filling a role with someone who is not ‘right’ for the company. Here’s a breakdown of the true cost of a bad hire.

Productivity

According to Robert Half International, Supervisors spend one day a week managing poorly performing employees. A bad hire can cause low productivity as they can distract other employees for a variety of reasons.

Culture

Hiring the wrong person could have a detrimental effect on your company culture. Having an employee that doesn’t fit into the culture can begin to effect other employees. This could negatively impact the how others view the company leading to overall feeling of dissatisfaction.

Financial

The Department of Labour estimates that the cost of a bad hire can equal 30% of the employer’s potential 1st year earnings. Not only is there the obvious monetary loss, but there is also the wastage of resources used for onboarding/training.

Morale

As the atmosphere begins to shift, existing employees ‘may begin to feel the change within the company. This can lead to anxiety within the work place and ultimately decrease morale.

69% of employers say they’re having difficulty filling their vacancies

Reasons why you’re struggling to fill your vacancy:

Shortage of Talent – During the pandemic, many employers speculate that there is a shortage of talent due to people feeling an air of uncertainty when changing jobs.

Lack of Time – Recruitment is a lengthy process. With more roles that come become available means more time you will need to dedicate in finding that ‘perfect fit’.

Targeting Wrong People – Finding the right people to fill a role is essential, but without knowing it, you may be reaching out to the wrong people by using incorrect keywords, requirements or pay rate.

81% reported that continuous status updates influence whether they accept an offer.

Communication is key. It is important to dedicate quality time to your recruitment process. Constant communication is vital and can influence the final decision of the candidate of whether to accept the job offer or not.

With more people taking to the virtual world in response to COVID-19, the recruitment process has had to adapt along with this. 76% of CEOs said that they were concerned with the digital knowledge their workforce and team possessed.

By partnering with a Recruitment Agency like Express Recruitment, not only can this free up valuable time but you can be filled with knowing that your talent acquisition needs will be met. If you’d like to know how we can help you, call our Nottingham Head Office on 0115 924 0010.

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