Employee referrals are better for the company and the candidate.
Candidates value current employees of a company when hunting for their next career move more than any other job search resource. When asked their opinion on the importance of certain job search resources, 75 percent of job seekers ranked an employee referral as their top job searching tool.
Overall, referred employees are more satisfied with their current job over the job they had previously in which they were not referred. Referred employees value their ability to fulfill position requirements, salary and benefits, and overall fit within the company above other career factors.
iCIMS research found that 70 percent of referred employees surveyed have not changed positions since being hired, demonstrating that employers can expect to not have to backfill these roles at the same rate as other hires. In fact, more than half of referred employees (56 percent) have been in their current position for more than five years.
The findings of the iCIMS research indicate that there is a huge opportunity to use employees' networks as a talent source. Companies need to leverage employee referrals to address hiring in a way that is effective and efficient.
Eighty-five percent of employers are expecting their companies' hiring to increase or stay the same. At the same time, workers are staying in positions for shorter periods of time. By capitalizing on employee networks, companies can start addressing the need for increased hiring in today's new era of talent acquisition.
In fact, companies already recognize the benefits of employee referrals. Organizations rank employee referrals as their most successful source of hires, above job boards, social networking sites and corporate career pages. Part of the reason employee referrals are ranked so successfully by employers is because they attract talent that benefits the bottom line.
In this slideshow, iCIMS, a leading talent acquisition solution, has identified employer and job seeker attitudes toward employee referrals and their impact at an organization.