Bad Hires Trickle Down

So, you’ve just learned that the person you thought was a great fit for that recent job opening in the accounting department hasn’t shown up for work – again. It’s time to take your medicine and admit to a bad hire and move on. But, before you consider that next hire, take a little time to reflect on what went wrong and consider how a bad hire not only affects your company, but trickles down to the overall economy as well.      

Think about the big picture

Employment and unemployment are the impetus for both economic growth and stagnation. And, according to the Bureau of Labor Statistics, unemployment rates for the past few months have remained somewhat unchanged.  

So, when many companies end up with one or more bad hires, eventually the delicate balance between growth and stagnation can be thrown off. For instance, on a national scale, unemployment rates affect consumer confidence and when a high level of unemployment exists, locally or nationally, economic growth suffers. Employed people with steady paychecks spend more which affects local businesses by increasing their financial health. And, when this happens, lenders are more willing to lend more money, furthering an even stronger economy because businesses can improve financial positions and consumers can make larger purchases on items such as houses and cars. All of these factors work together to create a self-sustaining cycle beginning with your decision to hire more employees.

Does that sound like a lot of pressure? Well, it is. That’s why it’s so important to make sure you make good hires and not bad.    

Put technology to work

So, how you can do your part? This is where using technology in your hiring can help. For example, a comprehensive reference check can really make a difference. Thorough and unbiased reference checks provide an accurate snapshot of a candidate’s past and can help to determine whether or not the applicant fits what the company is looking for to fill in a position. 

By implementing technology, you’re not only developing a stronger and more effective workforce, but also doing your part to lessen the unemployment rate and to contribute to an overall rosier economy. As the old adage goes, “It takes a village.”

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