Hiring the wrong employee is more than a major headache. According to a Harris Interactive poll, it can be very expensive. 41% said the their bad hire cost them over $25,000 while about 25% said their cost was greater than $50,000.

A bad hire is also a huge drain on resources and affects several areas of your business. This includes:

• Financial costs – Aside from the hire’s salary, you also pay to advertise the job vacancy and for a recruiter who earns 25% of your hire’s first-year earnings.
  
  
• Productivity costs – How much time did you spend training them? This encompasses your time, your boss’ time, your colleagues’ time. Did the bad hire shadow people in your organization? How much time did this take away from everyone involved?
  
  
• Company culture – Bad hires can be especially damaging to small teams. One person can really mess up the dynamic for an entire company. Did you lose a good employee because you have a bad person in the team?
  
  
• Opportunity cost – Did a bad hire cost you a customer? Did they cost you business opportunities? Did you have a territory that wasn’t covered because a salesperson wasn’t doing their job?

What causes bad hires?

There are several reasons why companies end up hiring the wrong people.

1. Sometimes they need to fill a position quickly and aren’t careful enough during the screening process.
2. Other times, a company doesn’t take the time to check an employee’s references.
3. Many companies don’t invest enough in their talent intelligence capabilities.

How to hire the right candidate

Follow these steps to ensure you’re hiring the right people. Knowing how to find the right candidate for a position will help your business avoid the cost of a bad hire and having to replace them.

1. Take a look at the job description and compare it to your current needs.
2. Consider soft skills like collaboration and communication abilities.
3. Get to know the candidate by listening closely during interviews and building rapport.
4. Encourage your colleagues to refer potential new hires.
5. Sell the candidate on the advantages of working with your organization to make sure you attract people with a passion for your industry.

Avoid bad hires by partnering with us

It’s so easy to make a bad hire when you do recruitment by yourself. For best results, leave sourcing and recruitment to a professional. That’s where we come in.

Remote Workmate forms and manages cost-effective, high-performing virtual teams, so you can focus on what you do best. We do this by:

1. Evaluating applicants via a gauntlet of exams.
2. Endorsing to you the best ones.

You then interview the candidates and ultimately choose your Workmate.

So take your company’s first step to higher productivity and growth. Click the button below to schedule an obligation-free consultation with us.