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Bad Hires: A Company's Costly Hiring Mistake

Posted by Alison Ortscheid on September 18, 2013

According to Career Builder, 66 percent of all U.S. employers have fallen victim to a bad hire. In some cases, this bad hire can cost a company nearly $50,000. There are many things that you may bedoing that are causing you to hire the wrong people. However, have no fear!

Bad hires are a costly mistake. There are also solutions to many of these, which will lead you in the right direction. 

1. Ignoring the total package. Of course the candidates' qualifications are important. However, it is also important to keep in mind the complete picture. If you have a candidate who is an amazing designer, but who does whatever he/she wants in the workplace and breaks rule, you don't want to ignore the negatives because you are blinded by the positives.

Instead, realize you can't change the person. It is important to know that compromising is key. However, if a rule-breaker is too severe, move on to the next candidate.

2. Hiring only for skills. Although skills are a key factor in the hiring process, attitude is something that should definitely be considered. It is always possible for you to teach the skills that someone needs to work, but you can't teach a person to be enthusiastic about their job or have a good work ethic. According to Leadership IQ, only 11 percent of all failed hires that were in the first 18 months occured because of lack of skill. 

Instead, if you have any doubts about an employees attitude, don't hire them. You can always hire for attitude because the skills are always able to be tought. 

3. Selling your business too hard. Good candidates have done their research and already know a good amount about the company. Don't try to push your company on them too aggressively, a candidate will sense that you are desperate and may think you are doing them a favor.

Instead, be truthful. Describe the position and all the neccessary information that goes along with it. Answer any questions that the candidate may have. Being enthusiastic is okay, but do not go overboard!

4. Hiring friends and family. It may seem like it's a secret rule that you are to always hire friends or family. This is not true! The truth is that your friends or family members may not be the most qualified candidate for the job. Also, considering you see the person outside of the workplace as well, there is an increased possibility for conflict.

Instead, establish a policy regarding friends or family working at your company and stick to it. If they are a potential candidate, be sure to treat them as if they were any other candidate and enforce the same extensive interview process. 

5. Ignoring your gut feeling. Of course the standard interview process is a key part in hiring a candidate, simply listening to your gut could give you the right answer as well. Sometimes, the formal interview does not give you the answers that a first impression or your gut can give you.

Instead, feel free to do your own "tests". Of course, don't let impressions be your only deciding factor, but do let your personal experiences and intuitions guide your hiring decision.

6. Taking the wrong chance. There are two types of chances you are able to give as an employer: good and bad chances. It is okay to take a chance on a candidate that you believe has potential. It's not okay to take a chance on an employee who has a long history of being late or missing work. Sadly, this habit will most likely not change. 

Instead, try to avoid bad chances at all costs. They almost always end badly and end up costing you time and money.

By taking into consideration these 6 mistakes, you will be able to avoid the wrong candidates and make bettering hiring decisions. 


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