How to Lessen the Hiring Cost of New Employees
Hiring new employees comes with costs that are not always accurately measured. Along with the process of posting a job opening and screening candidates, there are mistakes that are made by new hires, leading to re-doing work, backtracking, or even lost inventory.
While this is a natural cost of doing business, there are ways to lessen them. Some will be found internally, and others from the outside.
Hiring Incentives
Depending on where you operate, there are sure to be programs to help you bring in a new person. Some call these programs an incentive to hire more people, but as those who run a business know, incentives to hire people are not important if there is no need for an extra body. If anything, it would create more problems.
These pro-business initiatives can subsidize the salary of a new person or aid in reducing the tax burden at the end of the year. This happens when a person is hired who fits into a certain group, such as being a disabled veteran or member of another minority group.
Cross-training
There are many instances where new team members come on board and then upon qualifying for health benefits, they take medical leave to get a long-needed procedure done. This is certainly their right, and most business owners prefer to have healthy employees long-term, as opposed to ones who are extremely efficient for six months before they die, but it adds to the cost of hiring this new employee. Tasks end up completed late, if at all, and a bottle neck is created in some cases.
By taking a dependable team member and adding to his or her responsibilities, you not only create an environment where this person is further validated with regards to the value they bring to the company, but you may find that they can take on dual responsibilities for much less than the cost of two employees.
Buy in Bulk
Hiring a new employee means making sure your new employee has the tools they need to do their job. Whether it is computer and office furniture, uniforms, or construction tools these things cost money. Instead of buying new ones every time you hire buy these things in bulk. This will ensure that you will have the tools ready for the next hire or even be ready if you need a replacement.
Consolidate
Instead of taking your valuable time to review and interview each candidate consolidate them together. If you need to interview ten people then interview them on the same day that way you don’t have to keep interrupting your days with interviews. The same process can be used for reviewing applications. Instead of reading the resumes as they come in sit down and read a bunch of them at the same time.
There are many resources that managers can go to to find more information on this very important topic and others. www.bamboohr.com, for example, is fast-becoming one of the premier resources for HR professionals and managers. Using these kinds of resources will help you save money in the hiring process.
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Category: Business
