How to Calculate the Hidden Costs of Hiring
With a strong economy, heightened consumer confidence, and unemployment at its lowest rate since 1969, your business may be booming. However, this is an employee-friendly job market: with unemployment so low, employees have much more freedom of choice when it comes to seeking new employment. Therefore, employers have to work much harder to retain the employees they already have — and to attract the ones they don’t.
While the cost of replacing an employee is well known, there are many more hidden costs that may be adding up in the background when you start filling vacant roles. Costs related to branding and social media, terminations, and on-boarding need to be added to your annual budget. To help you uncover both the direct and indirect costs of hiring and get started on your annual budgeting, we’ve put together a worksheet that you can use to kickstart conversations with your team.
You can download your complimentary copy of the Hidden Costs of Hiring worksheet here.