Looking to Save Money on Hiring? Use These 3 Tips
With every business decision you make, you weigh the costs incurred with the benefits that result. When it comes to hiring, it would be unrealistic to think you wouldn’t be making a significant investment of time and money. The goal is for a healthy return – and for that new hire to stick and make a long-standing, successful difference to your organization.
Are you looking for answers to the question of how to save money when hiring – without sacrificing the quality of each and every new addition to your workforce? With the right strategy in place, you can make it happen. Here are three cost-saving hiring tips:
Have a robust onboarding process.
Of all the hiring tips you consider, the right onboarding process should be a top priority. The cost to replace an entry-level employee is 30 to 50 percent of their annual salary. For a mid-to senior-level staff member, this cost escalates to 150 to 400 percent. With the departure of every high-performing employee, morale and productivity suffer.
- Eighty-six percent of respondents in one study felt that a new hire’s decision whether to say with a company is made during their first six months of employment. Onboarding is the perfect opportunity to make a positive first impression. Sixty-two percent of companies reported a higher time-to-productivity ratio, and 54 percent reported higher employee engagement as a result of strong onboarding initiatives.
Don’t cut corners on training.
Whether it involves new or current employees, training costs time and money. But not properly training people will be a bigger hit to your bottom line in the long run. This is especially true if you shortchange training for new hires.
- Sometimes training is specific to one position. Other times, it can be applied to numerous employees. When the latter is the case, consolidate your training programs. If you hire several people at the same time, schedule one training session for everyone. As an added benefit, you’ll foster a sense of camaraderie early on in their tenure.
- When new employees are engaged in their training, they are less distracted and as a result, they retain more information. This is valuable because it means retraining will be less likely.
Create a mentoring program.
New hires benefit from actually seeing and experiencing what they’re learning. By working with a mentor or shadowing a more experienced employee, they can develop an important relationship that will help them feel connected and invested in your organization.
- The new employee can practice what they’ve learned. After they’ve been taught a new skill or job function, they can demonstrate it to their mentor. This allows them to solidify their knowledge and gives their mentor the chance to answer any questions or fix any issues the new hire may be having.
For more tips on how to save money with hiring, turn to the experts at Frontline Source Group.
We can help you develop and implement strategies customized to your business and its short-and long-term goals – ensuring solid, competitive talent management with a balanced bottom line. To get in touch with our staffing service in Denver, CO, click here. Contact us to find the branch nearest to you or read our related posts to learn more!