Hiring and Firing Employees

If you are a business owner and or manager this is one of the most important duties you have. So let get it right.

First, this is lot legal advice, oh heck no. There are so many different Federal, State, and Local laws on hiring and firing no FAQ can address even a fraction of them.

Here is what most people do wrong, you hire the people you like, maybe not the best for a position, and do not check their history. The other is if you think like a big company you should have candidates interviewed by several different people in the company and form a committee on hiring. Dissecting the error, we hire people we like because we know we are going to be around them – it is almost a self-defense mechanism in us. We do not check their backgrounds because – well we trust our judgment. The interviewing committee is a joke as know you have 10 people who have no experience in hiring or psychology giving you misadvice. (Hint – they are going to make the same mistake you will – but now the mistakes are memorialized in a committee).

How to hire correctly.

1. Understand the compensation in the area for the positions you wish to fill.
2. Advertise far and wide and also network to seek acceptable candidates.
3. Cull those who do not possess the skill set required.
4. Interview each in a very short session. Tell them you always fully check resumes and references and conduct comprehensive background checks where permitted. Also that you use pre-hiring tests for personalities for the best fit.
5. Have all of the remaining candidates’ personalities and skills tested.
6. Those that meet your criteria comb through their resumes and references.
7. Those that still remain conduct background checks
8. Bring them in for the final interview before hiring and for each of you, employer and candidate to ask questions of each other.
9. If you must have other also speak with – informally, with the candidate
10. Choose.

It is not unusual to have a candidate that might fit elsewhere in your organization apply or someone you deem a good fit but needs more training. These people can be little gems – take the time to look at them more closely to see if there can be constructed a value proposition between you and them.

There are other ideas – such as using temp workers and choosing to hire those that work out.

There are also times where you need to hire a lot of people in a short period of time and all of this seem like too much effort. The solution is often to hire and cull – and it is short-sighted and the most expensive way to hire.

Hypothetically doing the math the cost to hire a person correctly – including the burden of the expenses on the unhired culls is about $480 per hire. Assuming a wage rate of $20 – plus $5 in taxes per hour and that most culls last three weeks that is a cost of $3,000 full burden with taxes, and to this, your cost of training and onboarding an employee and you can see the utter waste of hiring and culling.

Use this simple process – personality tests can be found online for $10-0 each and a proper background check should cost about $200 – a real one not the internet ones.

If you have any questions or need help in the process, contact us today.

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