The Cost of a Bad Hire
Finding a perfect candidate for a job is a steep task to face. The cost of a bad hire can end up costing more money and time than you can imagine. Here are a few facts about the consequences of a bad hire.
Perfect Candidate Gone Wrong
It is nearly impossible to find a “perfect” candidate for a job. Recruiters and Hiring Managers are settling for “good or great” candidates instead. There are a plethora of attributes that must be considered when interviewing candidates; Level of talent, education, work history, attitude, etc. Someone who does not fit in the company culture can cause issues for their own mental health, as well as other employees. A bad hire could drive members of the team to find another job, taking their skills and organizational knowledge away, possibly to the competition. As a Hiring Manager or Recruiter, be sure to have a “worse case scenario” plan if a bad hire does fall in your lap. Be prepared for direct, uncomfortable conversations when dealing with a bad hire. Honesty and transparency are both very important when dealing with this issue.
According to the Society for Human Resource Management (SHRM), it takes on average 42 days and $4,129 to fill a position. If you make a hiring mistake, you’re at risk of doubling those figures to find another person for the role (84 days and $8,258). The U.S. Department of Labor puts the cost of a bad hire at 30% of the employee’s first-year salary. Replacing roles in specific fields has different consequences as well. Replacing technical or management personnel can range from 150-200% of the person’s annual compensation.
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Sudina Search is Maryland’s Premier Boutique Search Firm. Sudina Search offers professionals an unparalleled level of service. With a team of dedicated and skilled recruiters, Sudina Search is dedicated to making your job search a personalized experience. We are a full-service recruiting firm that offers Temporary and Permanent placements in IT, Accounting, HR and Engineering fields. Visit our website at http://www.sudinasearch.com/ to learn more.