Lower the Cost of Hiring an Employee: In-house vs. Pre-vetted Talent
- Aayush Gupta
- October 8, 2021
- 6 Minute Read
Hiring an employee takes too much time.
It also takes too much effort.
And yet the chances of having hired the perfect candidate remain abysmally small.
Recruiting managers have to sift through 250+ resumes for each position. They have to check and compare them to find the top 4 to 6 candidates. And before hiring anyone, their references have to be checked. Recruiters first have to send out emails and make calls to the references. And then wait for their answers and replies.
And yes, don’t forget the time it takes to verify each candidate’s educational qualifications.
Now all that is hard labor. But never mind, you’ve got to do what you’ve got to do.
However, here is something that business owners and top-level managers do mind.
“The average cost of hiring a candidate comes to around $4,129.”
This means every time you open your doors to bring in a new employee, $4,129 flies out of the window.
Can you stop hiring people? No. The maximum that can be done is to reduce employee turnover. But still when you are growing and expanding hiring new talent is inevitable.
So, what can you do to lower the cost of hiring an employee?
Now, this is where a lot of people on the Internet would jump in to tell you to get pre-vetted talent.
But is it actually better than in-house hiring efforts?
Does it help save money?
Will the hired candidates be suitable?
Find answers to all these questions further ahead where we discuss in detail how you can actually lower the cost of hiring an employee.
Spoiler alert: That’s possible with the right balance of hiring pre-vetted talent and in-house recruitment.
Hiring employees in-house – Holding the reins yourself
If you want a thing done well, do it yourself.
- Napoleon Bonaparte
When you rely on your internal team of recruiters and headhunters to fill an empty position you get the following advantages:
- You can find candidates from within the organization. This promotes goodwill among employees.
- The candidate you find will be a cultural fit for your organization.
- Because you hire the employee yourself, you know more than just their qualifications. Interviewing the candidate gives you valuable insights about aspects not covered in resumes. And you can understand the attitude of prospective employees.
- You can be 100% sure that the decision you have made is right for the company.
- Recruiting an employee in-house also gives candidates some perspective about your organization. Correct expectations are set. And the candidates hired in-house are less likely to face unexpected cultural clashes. This lowers the chances of performance issues and abrupt quitting.
Pre-vetted talent – Lower the cost of hiring
You go to the baker to get a delicious cake.
You visit a doctor to get apt medical treatment.
And you hire a lawyer to represent you in court.
So why is letting experts do the hiring for you any different?
Hiring agencies and talent platforms, like, have a pool of cream talent. Our expert recruiters have trained in and mastered the art of recruiting the right people for the right job.
We scan through thousands of resumes each day. We carry out rigorous background checks. And we hold multiple rounds of interviews. All this helps us find niche experts. And you can hire these experts right away.
The advantages of hiring pre-vetted include:
- You save a lot of time. If you are looking to quickly hire someone, pre-vetted talent is the way to go. The resume searching and sorting has already been done for you. This is especially helpful when you need a new employee to join the team and help get a project off the ground. We avoid delays so that you can meet your work commitments on time.
- When looking for niche experts, it gets tough to connect with all possible candidates. With expert recruiters, you get access to a larger and varied pool of candidates for consideration.
- The time and money you spend on referencing and background checks are saved.
- Getting pre-vetted talent helps you do away with the cost of an Application Tracking System.
- With pre-vetted talent, your HR department can focus on other tasks. They can divert more time to employee training, retention, and grievance redressal.
- You can also explore remote candidates from areas other than your current location, this gives you access to a broader talent base.
In-House Hiring vs. Getting Pre-Vetted Talent – Head To Head Comparison
Let’s compare in-house hiring and getting pre-vetted talent in detail now.
When you hire in-house you pay the cost of an Application Tracking System and pay the salaries of your HR team.
For pre-vetted talent, you pay the agency’s fee. However, Uplers doesn’t charge a commission. You just have to pay the employee’s salary.
So no matter how cost-effective your ATS is, getting pre-vetted talent from the Upler’s talent connect platform costs less.
2. Time considerations
A LinkedIn study found out that it takes an average of 30 days to fill an empty position. If you are running short on time, hiring in-house is going to be a long, tedious walk.
Uplers Talent Connect allows you to hire employees within 48 hours. We have already done all the scanning and checking and interviewing. You just have to relay your requirements to us. We do the matchmaking and connect you with the right candidates. We also offer you remote onboarding support to further speed up the process.
3. Reliability of employees
Lying on resumes, fake references, and forged educational qualifications aren’t uncommon. But when you hire in-house, you stand a risk of hiring a dishonest employee.
It is also not uncommon for employees to quit in the middle of a project. That can leave you struggling to meet deadlines.
Pre-vetted talent is screened rigorously. The candidate’s credibility and reliability are much higher. And even if something turns out wrong, you get another candidate to fill in the previous one’s shoes. Irrespective of people or resource movement, your project gets completed on time.
What is simpler:
Sifting through hundreds of resumes and carrying out background checks
Directly connecting with candidates that meet your needs?
We’ll leave the question for you to answer.
The right ratio between in-house hiring and onboarding pre-vetted talent
Onboarding pre-vetted talent is simpler, cost-effective, and quicker. But depending on just that won’t help you lower the cost of recruitment.
The key to lowering the hiring cost – strike the right balance between hiring in-house and getting pre-vetted talent.
Any organization needs multiple employees to fill in multiple positions. Here’s a quick cheat sheet to help you decide which profile should be hired from which source to minimize cost and maximize results:
Hire in-house when:
- You want to recruit internally by the means of promotion or transfer.
- You need to hire for top management positions. You might want to tap into your personal network for such positions.
Hire pre-vetted talent when:
- You are hard-pressed for time and want a candidate to immediately fill in the position.
- You need niche experts who are hard to come by.
- Your HR department has other important tasks to do than just skim through a sea of CVs.
- You want to save money on hiring.
Also read:- In 2021, Hiring Tech Talent should be Borderless- Here’s why.
Uplers Talent Connect Platform – Helping you hit the right balance
Uplers Talent Connect is a platform that helps businesses connect with the right people for the right job.
- A foolproof matching mechanism.
- A rigorous employee search process.
- And years of experience in onboarding remote talent.
We don’t just make finding talent simpler and quicker, but also help you save money. How? Because we don’t charge a fee.
We understand how tough it can get to get the right people on board and we ease out the ripples in the process for you. To learn more about how we work and what we can do for you, visit Uplers Talent Connect.
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