There are a number of ways that recruitment agencies can assist companies in hiring employees. Essentially, a recruiting agency can act as an extension of your existing Human Resources department. For startups or small businesses, the Human Resources Department is usually the owner, who often has other priorities on the table. In larger organizations with fully functioning HR teams, recruitment agencies can alleviate the hiring workload to allow HR Managers to focus on other organizational goals.
Regardless of your company's size, here are five solid reasons to consider partnering with an agency the next time you are looking to make a crucial hire:
Recruiting and hiring a new employee – from writing a job ad all the way to checking references before making an offer – is a significant investment of time, effort and resources. It is an investment that you cannot afford to take lightly. After all, time is money.
Let's say you recognize a need for in-house IT services to keep your data and network secure. How do you find the best talent in the shortest amount of time at a cost-effective rate? If you don’t have experience recruiting IT professionals, the task is challenging. Recruiting can become a full-time job in itself, distracting you from building and growing your core business. By working with a recruitment agency instead, you can free up your time to focus on what you do best and still be confident that your recruiting needs will be taken care of.
Recruitment agencies can help you identify, qualify and contact talented candidates who:
Fit with your organization's’ goals and culture
Bring relevant experience to workplace
Have a proven track record of success
Through professional networks and curated talent pools, recruiting agencies often have quick access to a vast number of candidates. In addition to putting those resources to work for you, agencies also actively seek additional candidates through job ads, referrals and social media outreach, doing all the legwork for you and presenting you with a shortlist of strong candidates.
Using a recruitment agency can drastically reduce your chances of making a bad hire. The Labor Department estimates the cost of replacing an employee is one-third of their salary. Additionally, hiring the wrong employee and fixing the mistake within six months can cost as much as 2.5 times the person’s salary. Even at $40,000 a year, that is a $120,000 mistake. Agencies help you get it right the first time around.
When you partner with an agency that has a history of success in making placements and a proven process for recruiting top talent that ‘fit’, you leverage their expertise and experience. Recruitment agencies are hiring specialists, driven by making successful placements over the long-run.
Ask the recruitment agency you’re working with if they provide a service guarantee. If they do, you can mitigate the cost of turnover by leveraging their warranty programs in the case replacement is required. TPD, for instance, provides an industry-leading guarantee. In the unlikely event that a candidate referred by TPD leaves your company, your investment is protected by Replacement Insurance. For context, the TPD guarantee is:
When you work with a recruitment agency, their success lies in you finding the right fit for your company, and they will not suffer from a lack of motivation or time. Moreover, since recruitment agencies compete based on their results and reputation, they are fully engaged and invested in your company’s success.
Want to learn more about the costs associated with Recruiting and making a new hire? Check out one of our resources!