There is a greater tendency in our staffing to over hire than under hire. Either can be a disastrous mistake, resulting in the employer searching to fill his same position within six to nine months.
What is Over-Hiring?
Over hiring is the result of going to market, so to speak, and buying the best candidate available regardless of the limitations of the position or the long term professional needs of an employee. Too often, we find that hiring manager’s approach staffing the same way they buy a tangible product such as a car or a computer. They want to get the biggest bang for their buck, the best deal they can get, the "most" for their money... etc. The mistake is that employees, being human, can walk away from the position any time. Getting the biggest bang for your employment dollar does not insure a good, dependable, stable, long-term employee.
As employment markets change with the economy and as the availability of candidates ebbs and flows, the quality of the candidate in terms of experience will also vary. The number of qualified candidates for, say $80,000, for certain positions will vary depending on the economy. Salary ranges within firms normally do not rise and fall by the same criterion. Therefore, a hiring manager has to change the functional value of a position with the quality of candidate needed to do the job along with what might be available on the market at that certain time.
Just because it is within the salary range to pay $40,000 to hire an accountant does not mean that a firm should hire a CPA who has been a controller and made $95,000 before, but is out of work and available for $40,000 UNLESS the position can and will grow beyond the initial opportunity. Once someone has reached a certain professional level, if he or she cannot seek that same level of challenge and professionalism in his new position, then they will end up seeking that challenge elsewhere.
Why We Do It
We have seen this happen time and time again. We have worked with companies that require, for instance, a certain type of degree with an exceptionally high grade point for a relatively lower-level position. Some firms, in order to brag that all their employees are degreed, will require a degree regardless of the position. In higher unemployment markets, they fill this position easily, but as the candidate gains a minimum amount of experience he leaves. The job is not a challenge. The company complains of turnover. It has not balanced the function of the job or the growth and challenge of the position with the quality of candidate that might be available.
The mistake of over-hiring is simply one of thinking that more is better. Seeking to pay more money, require more experience or get the most qualified, regardless of balancing those with the function and future of a position will result in preconditioned turnover. More is not always better. To over pay, require more experience and quality in a candidate than is needed for the position will only result in his leaving in a short period of time. Nobody wins. Everyone loses.
The candidate has a short job stint to justify and the employer is looking for another employee.
How to Avoid Over-Hiring To avoid over-hiring:
- Balance the qualifications of the candidate desired with the real life day-to-day responsibilities of the job to be done.
- Take into account the future growth of the job or candidate, if any.
- Interview a good cross section of candidates for the position to get a good idea of what is available on the market.
- Don't be tempted by the "most" for your money. Shoot for the best for your money.
