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Hiring Mistakes Cost Companies More Than Before COVID-19 Crisis

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While it’s no surprise that hiring the wrong person for the job can cost companies dearly, this mistake comes with an even heftier price tag during the COVID-19 pandemic.

According to a recent survey from staffing firm Robert Half, 3 in 4 (76%) senior managers said they’d recruited the wrong person for a role — and 64% said the negative repercussions are more severe now than they would have been a year ago.

Here’s what we learned from the survey.

How a staffing blunder impacts the workplace — and how long it takes to fix one

When the wrong candidate is chosen, it can lead to:

  • More wasted time (33%)
  • Decline in staff morale and decreased productivity (27%)
  • More stress for supervisor (20%)

It takes 16 weeks, on average, to replace such a hire. Senior hiring managers reported that it takes 10 weeks on average to realize the hire was wrong and to let them go, while it takes another six weeks, on average, to find a suitable replacement.

How long it takes to fix a hiring mistake across major U.S. cities

The Robert Half survey looked at 28 major cities across the U.S. to see where it took the longest to correct a hiring blunder. The West took two of the top three spots:

  • Seattle: 26 weeks
  • Minneapolis: 25 weeks
  • Los Angeles: 23 weeks
  • Boston: 20 weeks
  • Dallas: 19 weeks
  • Philadelphia: 19 weeks
  • San Francisco: 19 weeks
  • Miami: 18 weeks
  • New York: 18 weeks
  • Cleveland: 17 weeks
  • San Diego: 17 weeks
  • Denver — 17 weeks

Hiring mistakes can be prevented

While a recruiting mistake such as choosing the wrong person for the job does seem common, it can be avoided. Here are a few pointers for a smooth and successful recruitment process, whether you’re operating a small business or a large firm:

  • Make sure the job description is accurate
  • Look at as many resumes as possible
  • Interview only those who are believed to be strong fit
  • Use due diligence with reference checks
  • Take time to choose the right hire

Lastly, while recruiters and hiring managers should be judicious, they don’t want to dilly-dally with making a final decision. An earlier Robert Half survey revealed that hiring times amid the COVID-19 crisis are longer. With a larger pool of eligible candidates, managers are taking their time to choose. But consequences could include would-be team members losing interest or even blacklisting the company.

Methodology: Menlo Park, Calif.-based Robert Half commissioned an online survey from Nov. 19 to Dec. 18, 2020, of more than 2,800 senior managers at U.S. companies with 20+ employees in the U.S.