The Untapped Benefits of a Corporate Referral Program
Finding your next great hire in today’s competitive talent market can be time consuming and costly. With the plethora of sourcing tactics recruiters explore, sometimes the one staring us in the face is ignored — referrals from your existing employees. A well managed corporate referral program can help you tap into a different talent pool and provide many other benefits.
Cost and time savings
Recruitment can add an impactful expense to a company’s bottom line. Having employees advertise on your behalf will allow you to reduce your publishing and marketing costs and give you the gift of added time to focus on screening, interviewing and on-boarding. Plus, you can diminish your time-to-hire since you can cut out some recruitment steps. Granted, it does cost you, but after running a costs and benefit comparison, you may be pleasantly surprised.
No one knows or understands your company’s culture better than your existing employees. Employees are likely to recommend candidates with similar interests and values — augmenting your company’s culture and team chemistry. An employee who refers a friend of family member is an employee who is committed to your organization and will share their experiences which will allow your potential new hire to get a better grasp on the company culture and the position’s expectations.
Increased quality and engagement
Ever worry about how your newest hire will work out? According to LinkedIn Corp.’s 2017 global recruiting trends report, 48% of employers feel employee referrals are the best source of quality hires. And, since your newest hire already knows at least one person in the organization, it has a direct impact on engagement and positively impacts the on-boarding process.
With networking sites such as LinkedIn increasingly affecting employee retention, , it’s vital to find creative ways to keep employees motivated. A referral program allows employees to contribute to a company’s future and growth. It also leaves them feeling prideful when their referral gets the job — making them feel trusted and valued.
With only 9% of employers allocating employee referral programs into their recruitment budgets, we can see that this is still an untapped resource in a competitive talent market. With all the benefits this program offers, now it is the time to act. Looking for assistance to launch a corporate referral program? Contact Adecco today for tips to get you started!
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