One in 10 new recruits are a ‘bad hire’, says report

One in 10 new recruits are regarded as a ‘poor hiring decision’ with 70% of HR directors admitting that they have hired someone who did not meet expectations, according to a new report.

The report, Management Insights: How to avoid common hiring mistakes from leading recruitment specialists, by recruitment specialists Robert Half UK found more than half of over 200 HR directors interviewed said that loss of productivity is the biggest problem associated with making the wrong recruitment decision. Almost a third said that a poor hire reduces staff morale whilst one in five HR directors said that it has resulted in significant financial costs.  These can include the employee’s salary and lost performance; education and training costs to raise performance levels; impacted productivity of the employee, colleagues and management; potential loss of revenue and the ultimate cost to re-recruit for the role.

UK hiring managers were asked, “Which one of the following, in your opinion, is the single greatest impact of a bad hiring decision?” Lost productivity was highest followed by lower staff morale. Monetary costs was lower down the list and less than half as many hiring managers chose this option as those who chose lost productivity.

Further research from Robert Half found that the vast majority (91%) of HR directors find it challenging to identify and recruit skilled professionals. When identifying  the challenges in sourcing and recruiting talent, over a third of HR directors cited a lack of niche or technical experts, followed by general demand outweighing supply and a lack of commercial business skills. Only 13% cited slowed hiring during the recession resulting in a lack of candidates with the right skills.

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