As the new year gets underway, you may be looking to add new employees to your team. Have you asked yourself if you are making the time to ensure you’re hiring employees with long-term potential? Most people are familiar with the general costs associated with employee turnover; however, the cost of hiring a bad worker can be much greater than you think. Here are some of the many cost factors to consider when hiring the wrong employees.
1. Lost Productivity
When an employee quits, it creates a disruption among your team. If a position becomes vacant, you must scramble to fulfill the responsibilities of former employees, so your operations and bottom line aren’t negatively affected.
Lost productivity can be especially problematic if a new hire takes several months to reach the productivity level of the former employee. Over time, this adds strain to your current employees. A staffing firm in Texas can help your team find employees quickly if you need temporary help to cover the contributions lost from hiring the wrong person.
2. Hiring and Onboarding Costs
Having to recruit, hire, onboard and train new employees can be a heavy burden on your organization, from both a financial perspective and an investment of time. If you factor in time and labor, as well as costs associated with advertising, training and development, dealing with turnover costs can be staggering.
In addition to the cost of training new employees, your organization will take a hit from the costs already incurred from training former workers – another reason it pays to find the right person the first time.
3. Lower Morale
It’s common for morale to decline when employees quit – especially if they leave with anger or extreme dissatisfaction. Tensions in the workplace may cause your other employees to become resentful and possibly seek other jobs. This can have a devastating impact on your culture, resulting in even more turnover and a need for positive culture-building.
While some level of employee turnover is inevitable, understanding how the factors above come into play is critical for implementing better hiring practices. In the long run, investing in hiring better talent will improve your employee retention and create a better workplace for everybody.
Find the Right People for Your Texas Business in 2019
Are you in need of higher-quality talent? Headquartered in Houston, TX, Carlton Staffing has remained committed to providing innovative staffing solutions to Houston, Dallas and Fort Worth companies for over 35 years. Building a trusted partnership with Carlton Staffing will help you reach your current and future workforce goals.