Finding and hiring great employees is one of the most important parts of running a business, and it's essential for helping your company succeed. However, hiring someone new can be complicated, and the pressure to make a good decision can make the process stressful. A bad hire can damage your company's progress, jeopardize potential profits, and force you to waste valuable time and money recruiting a replacement. Fortunately, being aware of possible mistakes can help you avoid them. Here are some of the benefits of avoiding errors and the most common hiring mistakes.
The benefits of avoiding hiring mistakes
Making careful choices before hiring someone new can help your company save time and money. According to the Society for Human Resource Management (SHRM), a new hire costs businesses an average of $4,700. This amount doesn't include the price of training. A hiring mistake could mean you'll need to start over and use even more resources. A new hire might decide they would rather do something else, or the person might not have the skills and personality needed for the position.
Avoiding hiring mistakes can lower turnover rates for new hires and your existing team members. You can train new employees less often, and staff members can get lots of experience, become knowledgeable about their positions, and can please customers and clients. Lower turnover may also help your company become known as a great place to work that promotes from within often and helps people advance their careers.
"Presenting a clear portrait of what the position entails and giving an accurate sense of workplace culture helps keep new hires from deciding to quit after your company spends money, time, and effort to hire them."
Common hiring mistakes
Unfortunately, even the most seasoned business professionals can occasionally make hiring errors. Being aware of the most common mistakes can help you avoid them and improve the odds of your next hire being a winner. Here are some of the most common hiring mistakes:
Writing a misleading or vague job description
Creating a powerful job posting can help you attract a more focused candidate pool and discourage people who aren't qualified from applying. A good job description gives you a list of criteria for judging applicants and encourages applications, helping you fill the position as soon as possible. To help candidates find job listings, use keywords that apply to the position and industry. You should also include:
- The job title
- The company name and logo
- An overview of the company's mission and culture
- A detailed list of duties and responsibilities
- A description of the work environment and working conditions
- Preferred and required skills and qualifications
- Benefits of the position, like paid vacation time or a 401(k)
- The potential compensation or salary range for the position
Ask for what you want and be transparent about your needs. Presenting a clear portrait of what the position entails and giving an accurate sense of workplace culture helps keep new hires from deciding to quit after your company spends money, time, and effort to hire them.
People can feel disappointed when a job isn't what they expected, and even if they don't quit right away, they may not work hard at a new job. Instead, they might do only the minimum number of tasks required. This is called quiet quitting. For example, a person who believes they can move into an office may not be happy if the manager leads them to an open workspace with cubicles on their first day instead.
Skipping a background check
According to CareerBuilder, about half of small business employers have caught a lie on a candidate's resume. Conducting background checks can help your company rule out candidates who have criminal records or inaccurate information on their resumes. Look for a background check company that has accreditation from the Professional Background Screening Association (PBSA) and complies with the Fair Credit Reporting Act (FCRA).
Before starting a background check, get written permission from the person. In some states, you can only begin a background check after you make a job offer. If you decide not to hire someone because of a background check, let them know so they can dispute any inaccuracies.
You can also ask for references and speak to people who worked with a candidate. That way, you can learn more about the personality of the candidate and the quality of their work. For many positions, asking for samples of previous work, a portfolio, a drug test, or examples of past accomplishments is a good idea as well. Checking the person's social media pages can also help you learn more about them and look for red flags, like racist or sexist statements.
Not involving the rest of your team
The ultimate hiring decision is yours, but seeking input from others can help you spot potential problems you may have missed. In many businesses, staff members interact frequently, and teamwork and communication are essential.
Ask the people who will work with a new employee who they like most. You can involve them in interviews or show them your notes, or you can let them look at resumes and choose the candidates to interview. Having some assistance with a hiring decision can save time and make the process less stressful. It can also help you avoid hiring someone the rest of the team doesn't get along with well.
By avoiding common hiring mistakes, you can reduce turnover, increase productivity, and help your company save money. With CareerBuilder, you can find excellent new employees who make your business even better.
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