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Industry insights for job seekers and employers.

Reduce Turnover in Employees by Making Smart Hires

One of the most costly mistakes companies can make, and one of the easiest to avoid, is poor hiring practices.

Ryan Holmes, CEO of HootSuite, quoted US Department of Labor estimates, saying the cost of a bad hire can amount to 30 percent of the employee’s first year’s earnings. Business Insider interviewed Zappos CEO Tony Hsieh in 2010, who claimed that bad hires had cost Zappos over $100 million.

Thorough screening can eliminate the majority of risk associated with bad hires and reduce turnover. The screening process should span recruitment practices from the initial sourcing of candidates to reference checking prior to preparing a job offer. Other tools can include a phone interview, an in-person interview, and on-line screening.

  • Software that screens resumes can ensure that you only review candidates that possess the required education or skills. Next, eliminate any resumes that contain spelling errors, which show a lack of career progression, or long gaps in employment. However, a candidate that has employment gaps or shows evidence of job-hopping may provide a satisfactory explanation in a phone interview.
  • Prepare to screen final candidates by phone prior to in-person interviews. Use the phone interview to ensure that their responses verify the information on their resume. Establish that they are still interested in the position. Assess their communication skills. Request that they detail their experience so that you can gauge their experience level. Confirm their availability for your required entry date.
  • One you have a shortlist, conduct in-person interviews. Use these interviews as an opportunity to discuss an individual’s ability to assimilate within your organizational culture. Don’t glamorize the position, but be honest with respect to daily routines and career development. Manage the candidate’s expectations.

Once a candidate has been selected. Use screening tools such as social media to ensure no surprises, but be careful that your hiring decision is not based on the findings. A staffing firm can perform the screening process and ensure that the process is compliant with the Fair Credit Reporting Act; however, the applicant must give their permission for the company to screen them.

Reduce your turnover and recruitment costs.

Contact a Staffing Service USA professional for candidate screening advice and the proper assistance to help grow your workforce.

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