Cost of hiring a bad employee and how to avoid it?
One in 10 new recruits are regarded as a ‘poor hiring decision’ according to new research from recruitment company, Robert Half UAE, with 77 per cent of HR directors admitting that they have hired someone who did not meet expectations.
The impact of a bad hire stretches beyond the financial cost, it can have a wide affect across a company.
More than half (55 per cent) of HR directors said that loss of productivity is the biggest impact associated with making the wrong recruitment decision.
Over a third (35 per cent) said that a poor hire reduces staff morale while only one in ten (11 per cent) HR directors said that it has resulted in significant financial costs, such as the employee’s salary and lost performance; education and training costs to raise performance levels; impacted productivity of the employee, colleagues and management; potential loss of revenue and the ultimate cost to re-recruit for the role.
UAE hiring managers were asked in the survey, “Which one of the following, in your opinion, is the single greatest impact of a bad hiring decision?” Their responses included lost productivity (55 per cent), lower staff morale (35 per cent) and monetary costs (11 per cent).
Businesses are looking to hire to support growth plans, but are finding it challenging to hire skilled professionals. This is partly due to demand for skilled professionals outweighing supply, leaving UAE companies at risk of not being able to hire the right people they need. It is therefore essential that every employee demonstrates the value they can offer through measurable results,” said Gareth El Mettouri, Associate Director at Robert Half UAE.
The research also shows that the vast majority (80 per cent) of HR directors find it challenging to identify and recruit skilled professionals.
The prevailing war for talent is anticipated to increase substantially over the next 12 months due to an ongoing skills shortage in the UAE market.
When identifying the challenges faced in sourcing and recruiting talent, half (48 per cent) of HR directors cited a lack of niche or technical experts, followed by general demand outweighing supply (30 per cent) and a lack of commercial business skills (15 per cent). Only 7 per cent cited slowed hiring during the recession resulting in a lack of candidates with the right skills.
Here are some do’s and don’ts to deal with this problem:
1# Providing detail to ‘sell’ the job will result in better applications. Details such as team size, reporting lines, corporate values and training opportunities will all prove attractive to potential candidates.
2# Cultivate a talent pipeline by personally reaching out to your network and recruiting sources. Online tools can be valuable, but personal interaction is the most important aspect of the hiring process.
3# Extend an offer once you identify your top candidate. Companies that don't move quickly risk, are losing good people to other opportunities.
4# Offer a remuneration package that, at a minimum, meets the market standard. Stay current on prevailing trends by reviewing resources such industry salary guides.
5# Identify the skills that are mandatory and those that can be developed. The goal is to hire the person who is the best match for the job and your work environment.
For More Informative Articles, Videos, Job opportunities and much more Please Like us on Facebook, Subscribe us on YouTube and Join us on Google+.
No comments:
Post a Comment