Hiring Employees Best Practices
According to SHRM’s Human Capital Benchmarking Report, the average cost-per-hire is $4,129, while the average time it takes to fill a position is 42 days.
That’s a pretty hefty price to pay and a lot of time to spend. Think of it as an investment. As such, you’ll want to get it right the first time.
To assist your organization with its staffing needs, we’ve assembled the following 9 steps to ensure you’re hiring in the most efficient way.
The 9 Step Process
- Determination of Vacant Position – Determine the need to fill a new role or existing position and outline a budget that considers available compensation, cost of benefits, and recruiting.
- Position Development and Compensation – Create a job description that is clear and non-discriminatory, and review budget or develop a pay range.
- Job Posting – Identify the internal and external advertising platforms available to you. Consider internal applicants and employee referrals.
- Applicant Sourcing – Set aside blocks of time to review resumes. Develop a system to manage the evaluation process such as the Score System: placing resumes in one of 3 categories – 1-Move to the next step, 2-Unsure at this time, and 3-Pass.
- Screen Applicants – Phone screen the top prospects to narrow down the candidate pool. Reject those with disqualifying factors, ensuring your decision is nondiscriminatory. Schedule in-person interviews with your top candidates.
- In-Person Interviews – Ask detailed questions to assess the candidates’ personal presentation, nonverbal communication, and determine compatibility with the position and organization.
- The Offer – Although not required by law, an offer letter is best practice. It should include job title, full-time/part-time and exempt or non-exempt classification, benefits offered, and start date.
- Background Checks – If you will be running a background check, you must comply with the Fair Credit Reporting Act (FCRA), along with any state requirements.
- Onboarding – Once the candidate is cleared to start, it’s time to begin the onboarding process. When done right, you will set your new employee up for a successful and rewarding career within your organization.
We consulted Balance Point Human Resources’ Director Lisa Salcido, SPHR, SHRM-SCP to share her insight to help further streamline the process.
Location, location, location.
When determining where to advertise a job posting, consider the following venues: your company’s website, intranet, LinkedIn, social media, job boards, local colleges, job fairs, and industry specific networks.
Prevent the flood.
Create a designated email inbox where resumes will be received. Your inbox will thank you.
Avoid contractual implications.
Your offer letter should include a statement that the employment is at will and avoid language that classifies the candidate as a “permanent” employee or guarantees length of employment (unless temporary or fixed-period project).
Build a prospect pipeline.
During the recruiting process, keep an eye out for resumes that may fit another position within the organization. Your “not quite rights” may one day be your “perfect fits.” The more talented prospects in your pipeline, the better!
Consider an Applicant Tracking System (ATS).
Technology, like an ATS, can reduce the time it takes busy hiring managers to screen candidates. An ATS can sort through thousands of resumes to determine best fit candidates, keep tabs on the hiring process, and even communicate directly with applicants.
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