In a swiftly evolving business environment, the UK employment rate reached 76.0% in February to April 2023, with 44% of workers opting for remote work, 16% were full-time remote workers and 28% hybrid workers. As the competition for talent intensifies, addressing the challenges of a dynamic recruitment market becomes paramount. Bond Williams has seen a surge in demand for job vacancies and an influx of highly qualified candidates, with approximately 957,000 job vacancies in the three months to October 2023. Research suggests an average of 3.1 job vacancies per 100 employee jobs, and as much as 60% of all jobs are unadvertised. CIPD reported that organisations are experiencing increasing competition for talent, with 81% trying to fill vacancies and 77% facing difficulties attracting candidates, particularly for senior and skilled roles.
The Cost of Delayed Recruitment
No employer aims to make a recruitment mistake, given the substantial costs associated with such errors. According to the REC, replacing an employee can cost a business up to 2.5 times the employee’s salary. For instance, a bad hire at the mid-manager level, earning an average of £42,000 per year, could cost a business over £100,000 in replacement costs alone. Equally crucial is the recognition that an unfilled role can be financially detrimental. The equation (£revenue generated by an unfilled role) minus (total remuneration for the role) divided by 365 days equals the daily cost of leaving a position vacant. Beyond the financial implications, delays can result in the loss of top-tier candidates.
The Consequences of a Slow Hiring Process
- Risking the Loss of Top Talent
In the current candidate-driven market, where more job openings exist than qualified candidates, not all candidates are actively seeking employment. Many feel secure in their current positions and may lose interest rapidly when companies take an extended time to make hiring decisions. Personnel Today reported it takes companies an average of 44 days to fill an open position, and hiring managers typically take one to two weeks to reach out to potential hires after receiving an application. Most candidates expect swift action and tend to lose interest within a week post-interview. Recruitment processes lasting 7-14 days may be perceived as too long, risking the loss of ideal candidates to competitors or bidding wars.
- Damage to Your Brand
Recruitment delays not only result in talent loss but can harm your brand’s long-term reputation. Candidates left in limbo may perceive your company as disorganised or indifferent to its employees, negatively affecting word-of-mouth reputation and deterring future applications, even customer prospects.
- Affects on Productivity and Wellbeing
A prolonged recruitment process leaves a critical role unfilled, increasing work pressure on existing employees, leading to stress, resignations, and added vacancies. This domino effect can severely affect productivity and, consequently, your bottom line.
How to Enhance Your Recruitment Process
- Assess Your Current State
Begin by examining your current recruitment process. Gather and analyse data, measuring each stage to find bottlenecks. This is a critical starting point for improvement.
- Key Metrics to Consider
Metrics worth considering include the time between recognising the need for a new employee and posting a job advertisement, the time between the application deadline and shortlisting candidates, the duration between first and second interview rounds, the gap between identifying the preferred candidate and extending a job offer, the time from job offer to the start date, the overall time to hire, and the daily cost of keeping a role unfilled.
- Resource Allocation
After finding delays and challenges, allocate resources where necessary to streamline the process or consider revising your current system. For optimal results, explore specialist recruitment agencies like Bond Williams Professional Recruitment, offering over 250 years of combined recruitment experience. Our expertise can expedite the search for qualified candidates, making it easier to attract top talent while reducing time to hire.
Bond Williams values relationships with both clients and candidates and goes the extra mile to enhance your recruitment process, securing top talent more quickly. Visit www.bondwilliams.co.uk to discover how we can help you efficiently navigate the talent landscape more successfully.
