Get the Best People for the Job through Employee Referrals

How do you get the best people to work for you? It’s easy. Establish an employee referral program. Do you know that 88% of employers stated that employee referrals produced the best quality of new hires compared to other recruitment methods?


What’s An Employee Referral Program?

Employee referral is an internal process that can help you find potential employees from your people’s social networks. The method is quite simple: you ask your employees to refer potential candidates for open positions within your firm. It’s cost efficient and  effective means to hire quality people, since you’re recruiting new hires from trusted employees.


What’s In It For You?

Employee referral promotes great business. Not only does it allow you to get the best people for the job, but it also boosts your team’s morale. What else can you get from this process?


1. Get More Bang Out of Your Buck

Referring saves you money from recruiting because you don’t have to spend on extravagant marketing stints, word-of-mouth from trusted friends and family members would already catch a potential candidate’s buy-in. According to a 2006 survey by Direct Employers Association, businesses get the highest return-of-investment from employee referrals when it comes to recruitment methods.


2. Save Time

Employee get employee

You save time from sourcing a pool of new hires and conduct prescreening sessions because you ask your team to look for the finest people to work with you. Those that don’t get immediately hired can be tapped whenever a new post would open up.


3. Get the Crème of the Crop

Every post has its necessary credentials. With employee referrals, you no longer have to thoroughly dig through the qualifications of each and every candidate that comes your way. Why? Cause your employees know what your business needs. On top of that, it’s highly unlikely for them to refer people who are incompetent as this would reflect negatively on them.


4. Make your Employees Feel Valued

Hiring Employee Referrals

Great employee referral programs promote morale among your team, which in turn reduces the risk of turnover. How is that possible? By engaging your employees to be part of your company’s hiring process, you allow them to positively contribute to your firm.

You also strengthen your relationship with them by making them feel that you value their contributions. Apart from that, employees hired through referral are more likely to stay longer with the company because they already know and trust someone within the firm.


5. Promote Your Business

When you encourage your employees to refer people, they become advocates of your company. Only your employees would know and attest to the fact that your team is great to work with.


How Do I Make My Employee Referral Program A Success?

Happy Employees

The target is to hire quality people by spending less. Here are the three things that you must keep in mind:


One way to encourage your employees’ participation to get the best people to work for you is by offering cash incentives. Cash bonuses are known to be the best motivator to encourage participation, according to the 2010 CareerBuilder survey.


If money’s not an option, there are always alternatives. You can increase your social responsibility and give donations to charities. You can also reward your employees through recognition, a token of appreciation, a raffle, or even an extra day off.



To make your employees the best brand advocates, you must make sure that they know the ins and outs of your program. Provide them appropriate training to better understand how the program works and keep them updated of what posts are open and will be opening in the future. Let them know the description of the job openings so that they can find the perfect candidates for the job.


Measure and Evaluate your Progress

Don’t stop looking for ways to develop your program. Always set a goal and use your objective to constantly assess your performance. If your goal is to get five new people and you got three hires out of five referrals, then evaluate what worked best with the new hires and what didn’t. Find areas of improvement so you can further develop your employee referral program.


Remember, who else can refer effective people and promote your company than your very own employees? Promote employee referral within your team now!

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