Recruitment costs can add up quickly. You might be using an external recruiter, which can command a fee upwards of 20% of your new hire’s annual salary. Maybe you are posting on multiple job boards and spending hundreds of dollars to get the word out about your open position. Your also investing countless hours screening candidates and bringing in your top choices for in-person interviews. Although it is crucial to find the right fit, there are ways to do it without breaking the bank.
According to The Wall Street Journal, Companies with more than 10,000 employees world-wide pay a median figure of $1,949 per hire, compared with midsize companies, which pay $3,632, and small firms, which pay $3,665. When looking at different industries, Tech Firm’s median cost-per-hire is $4,339, while Business Services median cost-per-hire is a staggering $5,700. These costs surely add up for companies that are rapidly expanding.
In order to reduce your cost-per-hire, you can take some simple steps and lower your recruitment costs