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Recruitment – how often do bad hires occur?

By 22 Jun 2021Jan 14th, 2022Hiring trends2 min read

How often do bad hires occur?

A woman looking at her watch during an interview.

  • Bad hires occur more often than wanted and are made by most human resources (HR) officials during recruitment, research has found. 
  • Over 95% of companies admitted to making a bad hire the past year, and 74% of HR officials confessed to making a bad hire. 
  • One-way video interview software such as Wamly helps to reduce the possibility of a bad hire by standardising the recruitment process.

While companies would not like to admit it, bad hires occur quite often and are made by most human resources (HR) officials.

In a 2015 Brandon Hall Group research report, it was found that 95% of companies admitted to making a bad hire the past year, and 74% of HR officials confessed to making a bad hire.

Another study found that 46% of all hires are considered to be failures by the time they reach the 18-month mark, and one in five hires are considered to be a bad hire.

One-way video interview software such as Wamly not only saves companies time in the hiring process but also reduces the possibility of a bad hire by standardising the recruitment process.

This is because bad hires often occur by bias held by the interview panel.

What is the cost of a bad hire?

A bad hire does not only cost companies thousands in terms of hours of productivity lost, but they also contribute to an overall negative culture within an organisation.

Furthermore, money is wasted on bad hire cost in terms of job advertising, and it also costs money in terms of the time spent making a hire and the cost involved in upskilling a new employee.

Also read: How much does it cost to hire one person in South Africa?

Companies are therefore incentivised to improve their hiring process to ensure that they will hire the best possible people and to reduce the possibility of bad hires occurring.

In one study, companies said they would spend as much as one-quarter of an employee’s annual salary to get rid of a bad hire and to replace them.

Visit Wamly’s website at www.wamly.io to find out more, or to register for a free account.

Francois de Wet

Ever heard of an Industrial Psychologist? Well now you have! Francois de Wet is the founder of Wamly, talent expert and former coach to many high profile corporates and CEO's. Fran is super passionate about recruitment and believes people are the heartbeat of every business. Read our founding story.