Challenges in the Hiring Process

It has been estimated that above-average employees are worth about 40 percent of their salary more to the organization than average employees.6 Thus, an above-average new hire in a sales job with a $50,000 salary would be worth $20,000 more to the organization than an average employee hired for the same position. Over 10 years, the above-average employee’s added value to the company would total $200,000! If this estimate of added value is multiplied across, for example, 10, 20, or 50 hires, it is easy to see that the monetary value of making above-average hires can total millions of dollars.

Poor hiring decisions are likely to cause problems from day one.7 Unqualified or unmotivated workers will probably require ...

Get Managing Human Resources, Eight Edition now with O’Reilly online learning.

O’Reilly members experience live online training, plus books, videos, and digital content from 200+ publishers.