In an ideal world, one would be able to simply go online and find the perfect candidate and hire them in 10 minutes. Unfortunately, the reality is a lot different than this golden standard ideal. Hiring is a process in and of itself. Like all other processes, time is needed to strategize and define a new position. More time is also needed to think about what kind of candidate would best fit in with the company and the newly defined position. After that, additional time and money are needed for searching and posting ads in a variety of different places. If you’re familiar with job boards such as Monster and Indeed, you already know that placing job ads can be pretty pricey. In addition to the time being spent on searching for qualified candidates, more time is needed to interview and screen these candidates. At the end of the entire process, defining a position, defining an ideal candidate, searching for qualified candidates, interviewing and screening has taken up a manager’s time – which translates to internal costs for the business. In addition to the time being lost, money is spent posting ads and ordering drug screens and background checks from a 3rd party vendor. In this blog, we break down the cost of hiring new employees and provide a solution to this cost.
The Cost of Hiring:
Can we put a price on this cost? We absolutely can. According to the Society for Human Resource Management (SHRM), the average internal cost per hire is $4,129. SHRM also reports that the average time it takes to fill a new position is 42 days. However, the costs do not just stop there.
$4,129 is just the initial cost of hiring someone new. Just the tip of the iceberg, if you will. In reality, there are additional unseen costs associated with hiring new employees as well as unseen risks. According to Joseph G Hadzima Jr, Senior Lecturer at MIT School of Management, the cost of hiring a new employee can range anywhere from 1.25 to 1.4 times the actual base salary in the first year after adding employment taxes and benefits. This cost is high considering that the risk of job hopping is higher when a candidate isn’t placed within the right workplace culture. The cost is so great, GALLUP estimates that job hopping has cost the U.S. economy $30.5 billion dollars annually. If you have had some previous employees that have job-hopped in the past, this has contributed to that number.
How can you lower the risk of job hopping? A company’s culture will develop regardless of whether or not any attention is paid to it, and every person is different. Some people may thrive in a specific culture where others may not. Command Good Careers recommends that employers identify what their culture is and spend some time strategizing and developing that defined culture. Continuum Staffing can help with your retention by offering 90-day temp to hire services. Using 90-day temp to hire services is a good way to see if a new candidate will fit into your defined culture.
Why Use Continuum Staffing?
Continuum Staffing takes the hassle out of hiring and helps lower the cost of hiring for your business. By taking advantage of our services, you can achieve your deadlines and demands. What kind of staffing services do we offer?
Do you know exactly what you want, and are ready to make the financial commitment? Based on the criteria you provide, we will seek and place a qualified candidate that best fits your business’s needs.
Temp to perm placements:
Do you know what you want, but aren’t sure if you’re ready to make the financial commitment because of unknown variables? By taking advantage of our temp to perm services with the many qualified candidates in our pool, you can find out if they would make a great fit for a test of time. This option saves your company money and keeps your turn-over rate low by avoiding risk.
Do you need a little extra help just for a season or two? By taking advantage of our temporary services, we can help you meet that project deadline without having to hire anyone directly.
With collective experience surpassing 60 years in providing temp to hire services, we know how to effectively place hard working job seekers within dependable businesses.
With an ever expanding and dynamic candidate pool, we are prepared to fill any vacant opening within an organization promptly – ultimately aiding those organizations to meet tight deadlines and helping them achieve their goals.Tags: get hired, HR solutions, human resource management, Management, recruiting, Small Business, small business solutions, staffing agency