Today, employee referrals are the most useful way of finding the best candidates for the job. Here is how valuable a referral truly is, courtesy of Jobvite.
Takeaways: The average employee will have 150 contacts on social media networks – 100 employees means around 15,000 contacts (and possible candidates). Employee referrals have the highest applicant to hire conversion rate – only 7% apply but this accounts for 40% of all hires.
Applicants hired from a referral begin their position quicker than applicants found via job boards and career sites (after 29 days compared with 39 days via job boards and 55 via career sites). Referral hires have greater job satisfaction and stay longer at companies – 46% stay over 1 year, 45% over 2 years and 47% over 3 years.
Sales persons are the most hired position from employee referrals. 67% of employers and recruiters said the recruiting process was shorter, and 51% said it was less to expensive to recruit via referrals.