Eight-in-ten hospitality employers report a bad hire affected their business
Thirty percent of hospitality employers have a cost-per-hire of more than $1,000.
As hospitality companies prepare their recruitment plans for 2011,
avoiding bad hires will be a priority. With unemployment hovering around
9.5 percent, the job market is flooded with qualified candidates.
Yet even with all the top talent available, time pressures, strained
resources and a lack of insight into target talent have been a challenge
to employers to find the right people for their open positions.
Eight-in-ten hospitality companies report that a bad hire has adversely
affected their business in the last year. Poor hires can be costly too,
as one-in-ten (10 percent) of hospitality organizations said that one
bad hire cost their business more than $50,000 in the last year.
Nearly one-in-five (18 percent) said that one bad hire cost them more
than $25,000. The nationwide survey was conducted among more than 100
hospitality employers between August 17 and September 2, 2010.
When asked how a poor hire affected their business in the last year, employers reported the following:
Lost time to recruit and train another worker – 52 percent
Less productivity – 48 percent
Lost money to recruit and train another worker – 47 percent
Had a negative effect on employee morale – 43 percent
Had a negative effect on client relations – 28 percent
Fewer sales – 18 percent
Legal issues – 12 percent
“Among other things, hiring the wrong talent for a position can have a
significant effect on a hospitality organization’s bottom line,” said
Jamie Womack, vice president of corporate marketing for CareerBuilder.
“To help proactively prevent bad hires, and their impact on the
business, employers are exploring new ways to leverage target talent
data and research in their hiring process.”
Of employers who made a bad hire, 54 percent, the highest among
industries surveyed, said they think they made a mistake hiring someone
because they needed to fill the job quickly. This was followed by lack
of understanding of where their target talent is (30 percent), not
checking references (19%) and unsuccessful sourcing techniques (10
percent).
Understanding who target talent is and how they will fit into an
organization is increasingly important as hiring costs increase. Thirty
percent of hospitality employers have an average cost per hire of more
than $1,000, up sharply from 9 percent in 2008.
Survey Methodology
This survey was conducted online within the U.S. by Harris Interactive©
on behalf of CareerBuilder.com among 106 U.S. hospitality hiring
managers (employed full-time; not self-employed; non government); ages
18 and over between August 17 and September 2, 2010 (percentages for
some questions are based on a subset of U.S. employers , based on their
responses to certain questions). With a pure probability sample of 106
one could say with a 95 percent probability that the overall results
have a sampling error of +/- 9.52 percentage points.
About CareerBuilder®
CareerBuilder is the global leader in human capital solutions, helping
companies target and attract their most important asset - their people.
Its online career site, CareerBuilder.com®, is the largest in the United
States with more than 23 million unique visitors, 1 million jobs and 32
million resumes.
Source : http://www.4hoteliers.com/4hots_nshw.php?mwi=8073
