The HR Dept is warning business owners about the cost of recruitment. The whole process could be much more expensive than first imagined, with a recent report revealing that on average recruitment costs employers over £30,000 per employee.
This staggering amount has been calculated considering the cost of recruiting and absorbing a new employee, taking into account the cost of lost output while a new employee learns the ropes in a new role.
The report was compiled by Oxford Economics, and highlights inevitable expenses which employers may not have thought of when budgeting for staff expansion or replacement. Some of these costs include:
- Hiring temporary workers before the replacement starts (£3,618)
- Management time spent interviewing candidates (£767)
- Recruitment agency fees (£454)
- Advertising the new role (£398)
- HR time spent processing replacement (£196)
The HR Dept said: “Recruiting a new member of staff can put a strain on a business. Working with SMEs, we know how precious time and money are to business owners.
“There is no one-size-fits-all approach to recruitment, but there are processes, tips and tools to use to maximise the outcome – getting the right person for the job. Bringing someone on board to help with the process can save a lot of time, money and stress, allowing business owners to focus on their business.”