HOW MUCH DOES IT COST YOU TO HIRE THE WRONG PERSON?
At HRG we recently had a role we were trying to fill for a client in professional services. It is in a very tight market and a candidate presented with what looked to be a great skills and potential culture fit. However, at interview our trained consultant wanted to gain more insight into their background. We didn’t follow the usual reference procedure of most SME’s or others in our game; just call the one person at the bottom of the resume. We dug a little deeper and used our network to gain valuable information to assist with this potential hiring decision.
We walked away from proceeding with this candidate and in the end saved the client some potential employment headaches.
If it’s not a great fit, then HRG are happy to keep working to find the right person. Recruitment for us is not all about getting paid.
Our work is really important and we take pride in it, sometimes the true value is in the one you don’t fill.
In SME’s hiring the wrong person will be a very costly exercise. The effects are multilayered. We’ve delved into this to help you understand the impact it can have on your business.
Many business owners and managers don’t fully appreciate the financial burden the wrong person can have on a business. The Australian reported that a bad hire can cost a business 2.5 times the employee’s salary. So, an employee earning a $60k salary can end up costing $150k as a result of salary and benefits, then the double handling of necessary advertising, time consuming interviewing and recruiting, and education and training
If your new hire isn’t the team player you’d hoped for, you have a problem. A fragmented team is catastrophic in terms of staff morale. If a new employee is failing to meet expectations, the other teammates often have to pick up the slack. There is potential for this situation to lead to bitterness amongst the team. Similarly, if the new hire is simply not a good cultural fit, this can lead to tension and unrest.
Productivity is reliant on harmonious teams. A bad hire can expose you to being unable to service your clients to the standard they expect while at the same time other team members are stretched to capacity with a heavier work load. The effects of a bad hire can extend beyond their tenure too – it often takes time for remaining employees to recover from a “bad egg. A recent survey on the topic of recruitment, Smart Company reports that 21% of respondents had “lost clients or good staff members” as a result of a bad hire they had made.
If you are a small business that struggles to get this right, refine your recruitment tactics today to make the right investments. Start a conversation with Hunter Recruitment Group today.
WRITTEN BY LANEY JORDAN RECRUITER/RESOURCER – HRG
Hunter Recruitment Group is excited to announce that Laney Jordan has started with our business as a Recruiter. Laney is well known in our region and passionate coffee lovers will remember her as the owner and smiling face of Slices then East Village Deli Café.
Laney brings her passion and knowledge of small business, Maitland and helping people to the HRG brand.
After selling her business & the growth of her family Laney has embarked on a new career path post the café and was working in the government recruiting space until the opportunity to join the HRG team presented.
Possessing great people skills coupled with her knowledge of the local market Laney has hit the ground running and is currently immersed in sourcing great employees for local business through Hunter Recruitment Group’s Permanent, Temporary and Temp2Perm solutions.
“Laney fits our business so well, she is people focused, passionate about helping and just loves having deep conversations with employers and potential employees alike. Her positivity and energy really fit our brand and we can’t wait to watch her grow as part of the HRG family” – Craig McGregor Managing Director of Hunter Recruitment Group.
So, if you are an Employer looking for your next great employee or an individual seeking your next positive career move – Start a conversation with Laney today
p: 02 49366 537
“Employee underperformance can be incredibly costly, especially when it isn’t properly dealt with. Know how to handle it correctly and stay within the law.”
“Unfortunately, employers will often delay approaching underperforming employees, as the task of confronting them may seem difficult – and potentially perilous if the manager is unsure of how to avoid legal risks.
However if you don’t act quickly to address underperformance, you may not only be failing your organisation and your team, but also the poorly performing employee.
It is the employer’s responsibility to set standards of performance in the workplace and if an underperformance problem is left unresolved, it can dampen the morale of other workers and the company as a whole. Plus, managers who overlook underperformance may be viewed unfavourably.
Any underperformance concern needs to be tackled head on. But simply being proactive is not enough.
Strict laws govern exactly how you must handle underperforming staff. Veer outside of the law during any part of the management process and you can leave yourself liable to huge financial and legal penalties.
If you mismanage an employee’s termination, the cost of merely defending an unfair dismissal claim can be tens of thousands of dollars. And unfair dismissal claims are at an all-time high, with over 33,000 claims lodged in the 2016–2017 financial year alone. On top of that, with the rise of lawyers offering no-win, no-fee services to their clients, the success rate of employers defending unfair dismissal cases is now lower than ever, below 40%. In this last financial year, the Fair Work Commission reported over 7000 settlements that involved money, including over 30 where the employee was awarded a payout in excess of $40,000.”
Employers need to be more careful than ever. Even the smallest procedural error, communication slip or oversight of a key legal requirement can easily lead to an expensive and disruptive claim.” Article taken from © 2007-2018 Portner Press Pty Ltd All Rights Reserved.
Luckily at HR Group we have a team of professionally trained consultants who have years of experience in this field that can help guide you through these often challenging times. For more information contact our friendly team on (02) 4936 6537 or email email@example.com
As my term as President of the Maitland Business Chamber comes to an end I wanted to use this column to reflect on what has been important to me and how much I have valued my time as leader of this unique business group.
In my day to day job I work as an employment specialist and recruiter, and I love it as I build lasting relationships with a diverse group of people.
I see my time at the pointy end of the chamber as an extension of this and therefore this piece will honour some of the fantastic individuals I have worked alongside or people who have had major influences on me as a person and as a leader.
Firstly I want to thank the chamber staff who have had to put up with my constant ideas and projects.
Fiona Buchanan and I formed a strong bond and worked really well together over a number of years and I think as a team created a platform for growth for the organisation. Brianna Reid has since taken the mantle and has been a pleasure to work with and is innovative in her thinking and is a passionate local that I believe in to help drive the chamber forward.
To all of the Executive and ExOfficio members of the Chamber who have sat through a high volume of meetings I have chaired and contributed wise council to assist in the growth of the movement.
Your dedication to our city is immense and I believe not recognised enough.
Special mention must go to Pierre Malou who was my VP for the first 2 years of my leadership. He was an ear to bounce things off and a sounding board of my complaints. He is a true leader of people and to have him as my VP lead to great personal growth.
My buddy Duncan Burke of the NSW Chamber, if anyone had to listen to me complain during my time at the helm it is this guy. I think he respects my thinking about the chamber movement and I have valued the discussions and time we have spent together. You have taught me about how to control emotion and guide a conversation more than you would know.
The role only became available after Steve Thomson stepped down and I only agreed to fill his shoes if Greg Cox maintained the treasurer role at the beginning of my term. Greg is a quality human and I don’t like heaping praise on bean counters but this guy is special. Without him doing what he did for 4 years the chamber may not still exist.
When it comes to politics I do not like taking sides and I could be described as a swing voter and no matter the colour of their team I have enjoyed working with all sides of the benches.
Former Mayor Peter Blackmore was always a strong advocate for business in Maitland as was former NSW State Member Robyn Parker who I had the pleasure of working with before she retired from politics.
It has been great to watch former Chamber casual staff member Meryl Swanson take the seat of Paterson and she has been a font of knowledge during her term.
But my relationship has grown with Jenny Aitchison the most, the current NSW member for Maitland. I had known her in a former life (that seems like forever ago) as the leader of her own travel business but during her time in parliament she has really respected me as a person but also as the leader of the chamber. She has actively wanted to get engagement from our group on critical issues for our town. Thanks Jenny for being so inclusive of this newbie local leader.
I believe the chamber needs to continue the work we have started on evolving it’s relationship with council and I thank the leaders of the MCC for listening to me take up this cause. I hope you continue to engage with our group as we are relevant to the business community in Maitland.
Thanks also for allowing a passionate Maitlander to be apart of the #MyMaitland program – it was truly an honour.
So after 2 years as VP and 3 years as President it is time I step down and let a new voice leads the Maitland Business Chamber. This doesn’t mean I will be any less passionate about the movement and the town. It is just time for me to focus on my other love Hunter Recruitment Group, which is experiencing great growth.
I look forward to sitting off stage at the November meeting, handing out business cards as I get a chance to network and still being apart of a great business lobby group for the best city in the world.