Every company has experienced this scenario: You hire a new employee who looks good on paper, and aces the interview. You have high expectations for this person, but your new hire just doesn’t work out, for whatever reason, and you must terminate the employee.
CareerBuilder reported on a recent study they conducted regarding the true cost of a ‘bad’ hire (read the article - “What Bad Hires Really Cost Companies”). The top reasons cited for the bad hires include:
- Low quality of work (67%)
- Not working well with other team members (60%)
- Negative attitude (59%)
- Attendance (54%).
So what does the bad hire truly cost to the business? According to CareerBuilder, around 69 percent of employers in the survey claimed to have been negatively impacted by a bad hire in 2012, with a majority of respondents estimating the bad hire costing between $25,000 and $50,000 or more. This price resulted from lost productivity, negative employee and client morale, and time and cost to recruit and train a replacement, among other reasons.
What causes an employer to make a bad hire? The study cited that employers may have needed to fill the job quickly and rushed through the hiring process. Other top reasons included lack of talent intelligence and sourcing techniques – both of which could have been avoided if the company would had used a recruiting firm.
At That’s Good HR, we screen and interview candidates daily, so we have the expertise to determine whether a person is a good fit for the position and the company. And with our full pool of qualified job candidates, we are likely to have a greater selection of candidates with the qualifications your company seeks.
While there’s no guarantee that every hire can be the perfect hire, with the help of an Indianapolis recruiter like That’s Good HR, you can reduce your risk.