Despite continually high unemployment rates, employers are still challenged with acquiring qualified talent, as evidenced in a recent CareerBuilder survey.
More than half of employers from the world’s ten largest economies reported that they have experienced a bad hire. In the United States, the rates are even higher: two out of three U.S. employers reported making a hire that ended up not meeting expectations, or was a poor fit for the position.
Emerging economies, like China, India, Brazil, and Russia, had greater incidences of bad hires, with rates near 90 percent.
The impact of a poor hire can reverberate throughout the organization and can be costly. In the United States, 27 percent of employers reported that the cost of a bad hire exceeded $50,000.
Other costs of a bad hire cited by respondents to the survey include:
While many employers have been affected by a bad hire, an effective background screening program can help employers better identify poor job candidates, allowing them to focus efforts on recruiting the most suitable applicants.
According to the HireRight 2013 Employment Screening Benchmarking Report, 55 percent of respondents cite an improved quality of hire as the top benefit of conducting employment screening. Reduced turnover and improved reputation are additional benefits that employers achieve through background screening.
Free Report: HireRight 2013 Employment Screening Benchmarking Report
Discover tips for developing strategic objectives, related policies, and practical management of employment screening programs by downloading:
HireRight Employment Screening Benchmarking Report