In 2019, most recruiters rely on referrals as one of their most important recruiting resources. According to the 2018 North American Staffing and Recruiting Trends Report, “Referrals from existing candidates jumps to the top of the list of single best talent sources this year. Nearly 30 percent say referrals are the absolute best source of high-quality talent, and 62 percent place them in their top three.” If you’re not sold on referrals, here are some additional reasons why referrals are so crucial to your staffing strategy.
Referrals help you make better placements
According to Bullhorn, you are more likely to place a referral than other candidates, including cold job board applicants. As quoted in Bullhorn, Rolf Kramer, owner of Kranect, cites 42% of his team’s placement as coming from referrals. This is in part because referrals are more likely to pick up your call or respond to your email.
They are often more likely to meet the qualifications
A referral from an excellent employee means you have a greater chance of hiring someone who will meet the requirements. Your employee already knows what you are looking for in a top candidate, and their recommendation will likely reflect that.
They lead to a more cost-effective hiring process
Using a referral system can often lead to a shorter, and therefore more cost effective, hiring process. In fact, according to Recruiter Flow, hiring a referred candidate decreases the hiring process by 40%. On average, it takes 29 days to hire via referrals, 39 to hire through job boards, and 55 through the career site.
Increase your quality of hire
Not only do you save time (and money!), but you also increase the quality of your hire. You are more likely to find employees who better fit the company culture, and hiring from a pool of referrals creates a higher rate of employee retention. According to Recruiter Flow, 46% of referred hires remain at the company for at least one year, as opposed to 33% on career centers and 22% on job boards.
As one of the leading staffing agencies in the Jackson metro area, Staffers specializes in office clerical work and offers temp, temp-to-perm, and direct hire positions to job seekers and employers. Contact Staffers today if you are looking to jump start your career or looking for a great new hire.