The Cost of Turnover

Why it is important to pick the right people to fit the job?

1. Soft and hard costs of a bad hire

   • Lost productivity

   • Lost clients

   • Damaged relationships with clients

   • Damaged company reputation

   • Poor teamwork

   • Time supervising a bad hire (up to 17% of a manager’s time)

   • Recruiting costs / Training costs. The average cost to hire $4129

   • Overtime for covering the gap (average position open 42 days)

   • Litigation (Every hire gone wrong is a potential lawsuit)
     
     

2. Cost of each employee that leaves your company
   by their hourly rate

   While not exact, the U.S. Department of Labor's estimate is simple – the average cost of a bad hiring decision is at least 30 percent of the individual's first-year expected earnings. If you take an employee with an annual income of $50,000, the cost to the organization can be $15,000.

Effective hiring and on-boarding

1. Onboarding a new hire is as important as finding the right person

   • 17.42% of employees who quit their job will do it within their first month of employment.

   • 33% of surveyed employees quit their job within the first 90 days that they’re employed.
     
     

2. The key to retaining a new hire is a systematic expectations strategy.

   • Unconscious expectations?

   • Unreasonable expectations?

   • Communicated expectations?

   • Agreed to expectations?

We have a proven strategy to pick, hire, and onboard the right people. You more than likely are paying for our services many times over without the actual benefit of our services.

Schedule a free consultation.