According to The Undercover Recruiter, employee referrals are the best source of hire. Nowadays it’s still about whom you know, and your current employees may already hold the key to the perfect candidate. It is becoming more common for recruiters and companies to hire the best qualified candidates through employee referrals.
It is important to acknowledge that your employees can be a key resource for hiring potential candidates. Through their social networks they have access to friends and connections that could be a suitable fit for your new position. Just think about it, 10 employees with 150 friends or followers gives you access to 1500 contacts.
Employee referrals can also save your business money on recruitment and staff turnover costs. Career sites and job boards have the highest number of applications compared to referrals and other sources. However, studies from online recruiting agency Jobvite shows that referrals have the highest conversion-to-hire rate.
When it comes to hiring a new employee, timing is everything. Employees hired through a referral are hired 55% quicker than those who come through a career site. Additionally, these employees are likely to stay longer as they already feel a sense of connection and satisfaction to their new position.
‘While career sites and job boards still collect the highest quantity of applications, employee referrals garner, by far, the highest number of qualified hires. Employers and recruiters should recognize the value of these applicants and consider expanding their referral programs. By utilizing social networks and tapping into current employees’ networks, recruiters can increase referral rates and, thereby, the number of highly qualified applicants within their talent pools’