Payroll is often one of the largest line items on a company’s balance sheet. With it comes a significant expense that is oftentimes overlooked, namely the cost of employee turnover.
There are so many steps prior to bringing someone new into an organization. Here are a few typical ones.
• Needs analysis
• Development of job description
• Advertising/posting the position
• Receiving and initial screening of resumes
• Scheduling and conducting interviews
• Assessments
• Reference checks
• Making an offer
• Onboarding
Budgeting the time to accomplish these tasks is an effort in itself and may take a manager away from equally important obligations. But what about the other costs, the financial ones? Employee turnover costs typically range anywhere from 16% to 30% of annual salary, depending on the position (Center for American Progress). Due to specialized training, certifications and a longer on-boarding process, the cost to replace a highly-trained staff member could exceed 200% of their compensation.
Numbers like these can really take a toll on the bottom line. That’s why it is critically important to hire right the first time and retain employees. JobFinders Employment Services works with companies of all sizes to ensure they are investing in recruiting and retaining employees who will be with them for years. We take care of the steps listed above (and more), saving you time and dollars. Let JobFinders separate the best from the rest for your next open position.
