Recruiting new staff is too expensive

-

SNP hit out at Labour over council redundanciesRecruiting new employees takes too long and is too costly according to a new survey from Maximus UK and the British Chambers of Commerce (BCC).

Over 80% of the companies that responded employ fewer than 100 staff and identified recruitment as a great challenge in managing their workforce.

The two-week survey was conducted amongst over 500 SMEs in all sectors and was carried out following the unveiling of the Government’s Work Programme recently, a scheme designed to match job seekers with the appropriate job in order to obtain sustainable employment and gain long-term self-sufficiency. Maximus is involved in delivering the Work Programme.

Click image for related training information
Over 40% of companies responding to the survey estimated the cost of recruiting a new employee is more than £2,000 and for more than half (53%) of the businesses, the business owner is responsible for recruitment – less than a quarter of the businesses said they have personnel departments to handle staffing.

HRreview Logo

Get our essential weekday HR news and updates.

This field is for validation purposes and should be left unchanged.
Keep up with the latest in HR...
This field is hidden when viewing the form
This field is hidden when viewing the form
Optin_date
This field is hidden when viewing the form

 

Only 3% of the businesses regularly use a recruitment agency. Just over half use agencies occasionally, while 46% said they would never use a staffing agency. Two-thirds of respondents cited high costs as a reason for not using external agencies and 11% indicated that the use of staffing agencies is too time consuming.

Online job boards fare only slightly better. Almost one-fifth of respondents always use online job boards, 43% sometimes use a job board, and 39% said they never would. Nearly half of all companies responding to the survey indicated that the CVs they receive via online job boards do not match the requirements of their job openings while 20% indicated that the use of job boards is too time consuming.

David Riches, Director of Operations at the British Chambers of Commerce. “As the Maximus survey shows, the cost and time involved in hiring new staff can be difficult for small- and medium-sized firms. There are currently almost 2.5 million unemployed individuals in the UK, including over one million young people, so we must make it easier for companies to recruit.”

Latest news

Helen Wada: Why engagement initiatives fail without human-centric leadership

Workforce engagement has become a hot topic across the boardroom and beyond, particularly as hybrid working practices have become the norm.

Recruiters warned to move beyond ‘post and pray’ as passive talent overlooked

Employers risk missing most candidates by relying on job boards as hiring methods struggle to deliver quality applicants.

Employment tribunal roundup: Appeal fairness, dismissal reasoning, discrimination tests and religious belief clarified

Decisions examine appeal failures, dismissal reasoning, discrimination claims and religious belief, offering practical guidance on fairness, causation and proportionality.

Fears of AI cheating in hiring ‘overblown’ as employers urged to rethink assessments

Employers may be overstating concerns about AI misuse in recruitment as evidence of candidate manipulation remains limited.
- Advertisement -

More employees use workplace health benefits, but barriers still limit access

Many workers struggle to access employer healthcare support due to confusion, costs and unclear processes.

Gender pay gap in tech widens to nine-year high as AI roles drive salaries

Women in IT earn less as salaries rise faster in male-dominated AI and cybersecurity roles, widening pay differences.

Must read

Prithvi Shergill: How to avoid misunderstandings with millennials

Prithvi Shergill, CHRO at HCL Technologies highlights five key characteristics that make Millennials stand out in multi generational workplaces

James Uffindell: Securing venture funding and the importance of your team

We’ve just been lucky enough to secure some venture...
- Advertisement -

You might also likeRELATED
Recommended to you