In today’s job landscape, hiring demands are up, but budgets are down. Companies no longer have unlimited resources to throw at and attract high-quality new hires, so hiring employers must find the best new hires available in a shorter amount of time with little to no budget. Thus, you must reduce your cost per hire.
It is possible to maximize your spending budget in order to get the most out of your money while reducing your overall cost per hire. You simply need to track your cost per hire.
This might include:
- Recruiter travel
- Candidate travel
- Recruiter salaries
- Support staff
- Recruiting resources
- Relocation costs
Once you have this information, you can use this simple formula to calculate cost per hire:
Recruiting Costs ÷ Number of Hires = Cost Per Hire
With your cost per hire number in mind, consider these easy resources to help reduce your overall cost:
- Online Job Fairs – With today’s advanced technology, you no longer have to spend money on recruiting travel. You can keep everything in-house. Arrange your own virtual job fair or sign up to attend one just as you would an in-person event.
- Interview via Skype – Consider conducting face-to-face interviews via Skype. This cuts down on candidate travel costs and is a quick and easy way to conduct interviews, since almost everyone has access to high-speed Internet and Skype these days.
- Network In-House - Use incentives such as employee referral bonuses in order to get current employees to spread the word, asking their friends and connected circles to find qualified potential hires.
- Advertise on LinkedIn or Other Social Networks – Use social media to get the word out, and post job advertisements for free on social networks.
There are so many fantastic resources out there that can easily help your business cut hiring costs. Many are free and easily accessible to you and your current network of employees.
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