Many companies use employee referral programs to find top talent within their industry. These programs offer a multitude of benefits not only to the candidates referred, but to the referring employee, and the company as well. Keep these four benefits of employee referrals in mind when deciding for yourself whether or not this program would be an asset to your company:
Referrals are Typically of High Quality
For the most part, a referral from one of your employees will be of high quality because they are putting their reputation on the line with you. An employee will screen their referral pretty thoroughly before deciding to refer that person to you. They do not want to be known for referring workers who are always late, never meet deadlines, and who contribute negatively to the company’s culture.
Compensation to Employee Boosts Morale
Most employee referral programs reward employees with some form of compensation. This can include a monetary bonus, a gift card or extra paid time off. The employee will be issued their bonus after the referred employee has been with the company for a specific period of time. When the bonus is issued, the employee will likely have their morale boosted and want to refer more employees in the future when jobs become available.
Replacement of Old Candidate Search Methods
There are some companies out there that rely mostly on employee referrals to hire the best talent available. This helps them save money since they no longer have to advertise open jobs in newspapers or on internet job boards. When you move closer to an employee referral program, your company’s success rate could soar.
Networks Help Hiring
When it comes to hiring for jobs that have specializations, employee referral programs can help make the hiring process much easier. Employees typically associate with peers from within their industry or specialization, which means they will know others who could fill open jobs at your company. Sometimes, these jobs with high-level specializations can be difficult to fill through the conventional channels, which is why a network can make it easier.
Contact an associate at B. Loehr Staffing to discuss an employee referral program for your company today.