The cost of a bad hire

With the world of talent now focused predominantly on job seekers, where the world is their oyster, increases in recruitment fees will continue to rise. 

And with that rise, comes continual justification of said fees. Recruiters will highlight their level of service, quality of shortlists, popularity of their websites, attendance at thought leadership events and yet, it all boils down to one simple fact. Who has the best candidate for the job? 

In a world where the candidate is King (or Queen), it is vital for recruiters to form long standing relationships with their talent pools, to ensure that it is their call that gets answered when the time comes. 

As far as clients are concerned, it is correct that typically, the higher the offer, the higher the fees. But, to put it another way, the less suitable the candidate, the higher the cost. 

In the current market, it is vital that clients understand the nuances surrounding the agencies they use and how much they charge. 

Ask any client and they will tell you that they want to hire the best in the business… but they must remember, you get what you pay for. 

{ Indeed, according to the Chartered Institute of Personnel and Development, hiring the wrong person can cost an employer anything between £12,000 and £28,000. Even in today’s relatively buoyant economy, few organisations can take such a hit to their finances.}

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Of course that can still happen irrespective of whether the candidate was placed through an agency or directly by the employer. However, the likelihood of it happening is reduced when using a recruiter. There are several reasons for this. 

Source: https://www.simplicityinbusiness.co.uk/blog/how-recruiters-can-justify-high-fees-the-impact-the-best-candidate-has-on-a-business