Referrals – The Emperor’s New Hiring Practice
Referrals – The Emperor’s New Hiring Practice It’s easy to get excited about referrals if you’re a recruiter: You get candidates pre-screened by current employees, you pay only a little more in hiring costs, you get new hires in place faster who stay in the job longer, and you boost your employer brand. What’s not to love? Love referrals all you want, but don’t put your hiring budget where your heart is. Here’s why… Referrals aren’t the best choice for business, despite the claims of advocates such as Dr. John Sullivan. Behind all the hype is a limited sourcing method that gives only minimally better results than traditional methods – and costs more. Here’s four reasons why referrals are the Emperor’s New Hiring Practice: Referrals don’t deliver high quality hires – Everyone wants high quality hires – top performers who stay with the company. But fewer than half of all new hires get rated “good” or above six months in, and 46% fail to last even 18 months in their new job. Are referrals better? There are a lot of claims and individual company anecdotes but very few reliable numbers to back them up. The only study so far to [...]