The Cost of a Bad Hire
29 June 2017
It’s easy to turn a blind eye to the cost of bad recruitment, but getting it wrong can have a big impact on a business’s finances.
UK businesses are failing to hire the right person for two out of five roles, despite the significant costs of making mistakes, according to a new report from the Recruitment & Employment Confederation (REC).
The report found that the costs associated with hiring the wrong person can be three times the hire’s salary, once pay, training, lost team productivity and staff turnover are factored in.
“Getting recruitment right is even more important during a time of economic uncertainty because businesses need to ensure they’re not wasting money,” said REC chief executive Kevin Green. “Our calculations show that UK businesses are wasting billions every year because of the volume of hiring mistakes being made.”