It’s no secret that referral hiring is growing in popularity as one of the top ways for companies to find new talent. Referral hires tend to fit into the workplace culture easier, onboard faster, and stay with a company longer, making referral hiring a desirable way to go - especially if you find yourself with high turnover roles. So the question isn’t should you be using an employee referral program, but rather how you can use it to ensure the best results.

A fruitful employee referral programs needs a relevant incentive to stir up some excitement. Many companies reward employees with a cash reward if their referral is hired on successfully. It doesn’t even have to be $1000-$5000 type of bonus, rather it should be something that tells your referrer that you appreciate their help in filling a role. It’s essential that this reward is given in a timely manner; if not, you’ll lose all the goodwill.  

Employee referral programs prove themselves time after time to be a well valued investment. All investments require some type of capital to get off the ground and your employee referral program is no different. Incentives, time, and several other factors play into the successful launch and ultimately success of your employee referral program.

If you’ve been a practitioner for any number of years you’ve heard that employee referrals are the golden ticket in recruiting. You’ve probably heard this so much that one would think this special class of candidates could be considered the eighth wonder of the world. Over 67% of practitioners that use some type of employee referral program say that this pool of candidates has a faster time to hire, they’re the best source of hire, and to top it off, it’s more cost effective to hire from this group.