Successful companies know that the best way to recruit is through referrals. That’s how they hire the right people. Wouldn’t you want to try this out?
Most successful companies know how to find and approach new talent. Using a range of recruiting strategies including job advertising, social recruiting and most importantly employee referrals – known as internal recruiting, they have learned know how to get the best of the best to join their team. Out of these recruiting methods, the latter – employee referrals, have proved to be the best source of applicants.
Despite the fact that job boards and career sites get the most job applications, employee referrals is the one source of recruiting that gets the most applicants hired. But that’s not just it. Research from Jobvite found that, even though almost just 7 percent of applicants come from employee referrals, this accounts for nearly 40 percent of hires. This alone shows the high success rate of employee referrals.
Referrals seem to be the most cost-effective way to make new hires considering the long term benefits for the business. That’s because referrals are hired faster and stay longer. If you aren’t convinced yet, the same survey from Jobvite shows that a referral program is your best shot to attracting top talent. The study found that employees hired through employee referrals are hired 55 percent faster than those who apply through job boards. Also, 46 percent of employee referrals stay for three years or more, whereas only 14 percent of those hired from job boards do so.
Overall, here are the benefits of having an employee referral program in your company:
- A referred candidate is faster to hire than a traditional candidate (29 days as opposed to 39 from job postings and 55 days from career sites).
- A referred candidate is cheaper to hire than a traditional candidate (there are no recruiting costs for sourcing these candidates e.g. job adverts, other agency fees).
- A referred hire will stay at their job longer than a traditional hire.
- An employee who referred a candidate will stay at the company longer than a traditional employee.
But while you would think employee referrals only works for the benefit of the business owner, that’s not the case. When hiring, offering incentives for referrals is a great way of getting your employees on board and letting them do all the dirty work. This way you are gaining access to their circle of contacts and as such increasing the chances of finding skilled job candidates. Introducing an employee referral program won’t be just beneficial for the company but also your employees who will be working as ambassadors for the organisation while actively looking for possible hires and getting paid for it.
So, if you are seriously considering of setting up an employee referral program, Jobvite Refer can help you make this work. This tool can be extremely useful for any company who wants to gain access to a wider pool of jobseekers. The way it works is quite straightforward and unique. Exploiting social recruiting, the tool makes it easier for employees to find job candidates sharing job openings within their social networks on Facebook, Twitter and LinkedIn. They also offer customized Facebook apps that allow the friends of your employees to apply for job openings at your company. Jobvite Refer essentially allows you to reach out to passive candidates, helps you promote your company’s brand and monitor the overall employee referral process. So, what prevents you from trying it out?
See Also: Top 5 YouTube Recruitment Videos
As research has shown, introducing an employee referral program can improve the way you hire. Not only is it cost-effective and less time consuming than other recruiting methods, but it also helps you make quality hires easier and quicker.
Have you ever tried reaching out to jobseekers through employee referrals? How did it go? Let me know what did and didn’t work for you in the comments section...