“A man is known by the company he keeps” seems to be the platform on which the structure of Employee Referral Programs (ERPs) is raised. Referrals make the best hires for the companies is a known fact. It is not wrong on the part of the HR personnel to assume that people close to the best employees of the company are also likely to be good employees.
An employee referral program is one of the HR practice to recruit suitable candidates which have been referred by the employee of the company. It results in win-win situation for all the people in concern. HR gets to hire a good candidate in a very fast and being economic at the same time. The candidate gets hired for a suitable position in a good company. One can safely assume the company to be good as the person referring for the job is a very close friend or relative of the candidate. The employee gets to relish the idea of working with his closest pal and enjoy the reward or bonus allotted for the successful hiring. The benefit of having an ERP by the company is not limited to the above mentioned facts.
Now companies are paying more attention to the ERPs by targeting for more than 50 percent or hiring through this channel and leveraging the technology to support this practice. It has become the most preferred channel for recruitment. Independent surveys have found that almost 60 percent of the hiring gets done through employee referral programs. It saves time and effort of the HR spent in preliminary screening of the resumes and getting the background check done. Employee reference becomes the first level of screening. It makes the recruitment process faster. The HR gets access to quality resumes with very good chance of conversion. HR also gets rewarded for attaining very high recruitment closure. Hence, they try to get access to quality resumes. Since joblagao provides a very good quality references, their site is being frequently visited by the HR of several big companies. Hence, using the services of joblagao will help you in getting a suitable job in big companies.
ERP also helps to save money spent on recruitment which could lead to efficient handling of the recruitment budget. The recruiting agencies charge anything between 8 to 15 percent of the CTC of the hired candidate. If one takes into consideration the recruitment of any candidate at the level of board of the company, then the company will have to shell out a huge amount of money.
The companies design the program in a way as to reward the employee handsomely. For every successful hiring the employee gets a fixed amount of money. The monetary benefits depend upon the level for which the hiring has been done. More money is paid for hiring at the higher level in the company. HR department ensures that employees take keen interest in these referral programs, for which several other benefits are given. Employees with maximum successful reference are usually given freebies such as gift items or flight tickets etc.
Engaging employees in such programs leads to building up of organizational strength. The employee feels more committed towards the company and the hired candidates will have very low attrition rate. It will also work in favour of team building if the hired candidate is in the same team as that of the employee.
Employee referral programs also work for the benefit of the employee at the personal level. They get to interact and build relationship with friends, ex colleagues and the alumni network. The fresher also get to interact with their alumni for job search and increase their chance of landing in a good job as soon as they pass out of the college. The members of joblagao work very closely with their friends, colleagues and their alumni to send resumes to the HR for suitable openings in multiple companies.