Employee Powered Hiring: Boosting Recruitment Through Employee Participation
While employee referrals have been the gold standard for talent acquisition for decades, engaging employees to participate in talent acquisition has always been a hurdle to a successful employee referral policy. There are, however, proven tactics to increase participation and engage your employees in their referral program.
The average business is getting between 8% to 15% of their hires from referrals, while successful programs are sourcing 35%+ hires. How are they accomplishing this? By unlocking the potential of employee-powered hiring with proper incentives and engagement. The benefits that come from increased referrals can be extensive, with a direct return on investment and an indirect return on investment.
There are a number of benefits that come from employee referrals, but how do you get the most out of your employee referral policy? To see an increase in referrals you first need to make sure you are providing the right incentives and effective engagement tactics. The good news is you don’t need to start from the ground up, you can use your current employee referral policy by just adding a few extra man-hours and 5 proven tactics to get employees to participate.
The 5 steps of a Successful Employee Referral Program
- Business Case: A Burning Platform & Investment
- Policy (Bonus) Strategy: Invest in your outcomes
- Scale: Technology enablement & User Adoption
- Marketing: The hidden Superpower
- Momentum: Learn, Adjust, Keep going
Business Case: A Burning Platform & Investment
If you have a burning platform and investment it’s important to take a look at a number of things. Start with how many hires you were producing from your original employee referral program. To inspire a level of transformation you want to first establish your baseline percent of hires. After you figure out your goals it’s time to use your best resource; your employees and ignite the top of the funnel.
From a referral perspective and an empowering employee perspective, it can be a struggle in lighting up your top of the funnel and taking advantage of the employees you have. How do you get your internal colleagues much more engaged in our talent acquisition challenges and opportunities? Moving from a reactive mindset to a proactive one and how can you engage your employees on a daily to weekly basis and let them know their opportunities at hand? How do I manage some of these policy-level things that are important in the employee ecosystem? What’s in it for your employees to recruit on their behalf?
Hiring will always be front of mind when it comes to a business, but it doesn’t have to be difficult to find the right candidate. Your employees know your company best, so why not have them become your best recruitment tool? Referred employees are known to have a lesser turnover rate and a longer employee lifespan. If your employee is referring to hardworking, reliable workers that they would like to work with then they will also want to stay longer.
Keep your cost per hire competitive. Keeping your recruitment pipeline full of great candidates is worth the investment. In the long run, you are saving money on recruitment costs and focusing on a better ROI. After you put thought into all of your expenses like bonuses and prizes, your team that will run the program, and the overall technology investment, you will find that you are keeping your cost per hire low while benefiting the organization altogether.