Employee referrals aren’t just a trend; they’re a game-changer for talent acquisition and retention. Whether you’re already well-versed in their benefits or just beginning to explore their potential, here are three employee referral statistics that you can’t afford to overlook.
Statistics Show Referral Employee Retention is 1.5x Higher
Recent employee referral statistics from Zippia reveals that employees hired through referrals tend to stay with their companies significantly longer than those hired through other channels. On average, referral candidates remain with an organization for approximately 38 months, compared to the mere 22 months typically seen among non-referral hires.
This higher retention rate underscores the value of employee referrals in building a stable and committed workforce over the long term.
Lower Costs Per Referral Hire
In addition to fostering greater employee loyalty, referrals also yield substantial cost savings in the recruitment process. Employee referral statistics have shown that the cost-per-hire for referral candidates is approximately $1,000 less than that for candidates sourced through alternative methods.
By making the most of your existing employees’ connections, you can significantly reduce recruitment expenses and reallocate those funds towards enhancing employee benefits, improving workplace amenities, or investing in other strategic initiatives to drive business growth.
Faster Training and Onboarding
One of the most greatest advantages of hiring through employee referrals is the expedited training and onboarding process. New hires referred by current employees tend to acclimate to their roles more quickly, resulting in shorter training periods and faster integration into the company culture.
In addition, referred candidates typically commence their employment sooner than candidates sourced from traditional job boards. This accelerated timeline ensures that critical positions are filled promptly, minimizing disruptions to workflow and maximizing productivity.
With employee referral statistics speaking volumes about their effectiveness, there’s no better time to implement or revitalize your employee referral program. Whether you’re looking to improve retention rates, reduce hiring costs, or streamline your recruitment process, employee referrals offer a proven solution.
Contact Refered today to start integrating an employee referral program into your business and unlock the full potential of your workforce. Don’t let this opportunity pass by—leverage the power of employee referrals to propel your business forward.
