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Hiring the Wrong People Costs Money

Human Resource Management research has confirmed that managers play a critical role in the retention of new hires, and that those employees who quit within the first year were hired through an inadequate staff-selection process, have had poor staff orientation or have experienced poor leadership. It is estimated that the cost of hiring the wrong person ranges from 6 to 24 months’ salary, a loss that should be heavily considered throughout the screening process. To prevent this, companies should consider conducting job analysis, specifying the new or updated job description, developing a structured interview process and sourcing quality candidates.

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Post By Nix (1,198 Posts)