Do You Know the Cost of a Bad Hire? | IT Recruiter

Do You Know the Cost of a Bad Hire?

Vital-TouchTablet1000x300The process of interviewing candidates can feel like it’s dragging on forever. You may think it’s taking too long, that you need to hire someone, anyone, to get a warm body in the office and on the job. If you’re ever tempted to hire whoever walks through the door next, whatever their qualifications, think again. Corporate policies and the need for fairness mean that handling an employee who isn’t working out can be a time-consuming, expensive, and stressful process. And in the meantime, the employee is impacting their colleagues, the business, and you.

Impact on Colleagues

Even though performance appraisals are confidential, it’s rarely a secret around the office when someone is underperforming. Team morale can suffer, especially if co-workers have to pick up slack or redo work the bad hire didn’t complete successfully. If the issue is the new hire’s inability to get along with colleagues, they can even end up causing increased staff turnover as capable employees move on.

Impact on the Business

Productivity takes a hit when workers aren’t capable of turning out quality work efficiently. There are financial impacts too, such as the need for additional training or the cost of wasted materials. When bad employees are ultimately let go, the company may have to pay severance, plus the cost of a second round of recruiting. If customers encounter poor quality work, the company’s reputation can be damaged and you can even lose sales.

Impact on You

Managers spend about one day each week dealing with poorly performing employees, taking away time from more valuable strategic planning activities. Delivering a bad review and announcing that someone is being let go are unpleasant and stressful.

Some estimates of the dollar cost of a bad hire are as high as $250,000, when all recruiting, salary, and legal expenses are considered. That’s a significant amount of money for almost any organization. The best way to avoid wasting that amount of money is to not rush into hiring. It’s almost always better to let the hiring process continue until you find the right person rather than adding the wrong person to your team.

No company wants to make a bad hire. Vital Professional Services helps your business make the best hire possible through our years of industry experience in IT recruitment. Contact us today and allow Vital Professional Services help with all of your hiring needs.Vital_HorizontalCTA_Twitter_v03