Are You Paying for Bad Hires?
Bad hires impact more than a company's bank account... they can have tremendous impact on a team's morale and productivity. We asked some of our colleagues about their past experience with bad hires, and here are a few of their responses:
"The woman was so far from suited for the job! Her skills, experience, and personality all clashed with our department. I ended up having to spend hours upon hours training her repeatedly. That wasn't in my job description."
"Our boss was so desperate to fill a role, she hired the first person that applied. They were so negative, it ruined our positive team dynamic."
"Think of how many people are involved in onboarding and training a new hire... HR, payroll, management, and the department's whole team. It's time consuming, especially when that person won't be around in a few months!"
"I worked at a factory, and found out that a co-worker had been stealing supplies for years before he was found out."
Bad Hires - Sorry No Returns
A recent study found that 66% of employers report adverse effects from making bad hires, and that 27% have lost at least $50,000 per bad hire. Clearly, hiring is a risky transaction: here's a quick look at what you might get for not "hiring right."
Employers guilty of bad hires report these adverse effects:
- Lost Productivity - 36%
- Negative employee morale - 32%
- Hiring replacements costs - 31%
- Negative impact on client relations - 18%
- Fewer sales - 10%
A Few Characteristics of Bad Hire:
- 63% - Fail to produce quality work
- 63% - Don't work well with others
- 62% - Have a bad attitude at work
- 56% - Have immediate attendance problems
Why Companies Made Bad Hires:
- 43% needed to fill the job quickly
- 22% had "insufficient talent intelligence"
- 92% failed to check references
- 8% lacked a strong employment brand
What steps are you taking to make sure you are paying for Good Hires?