May 18, 2018

When is it Time to Outsource Recruiting?

By Marketing Coordinator, Candice Vialpando

Why Outsource Recruiting?

According to a survey by the Society for Human Resource Management the average cost of hiring a new employee is $4,129. The Institute for Research on Labor and Employment at the University of California at Berkeley reported the average cost for managerial and professional employees could run as high as $7,000. Additionally, Dun and Bradstreet’s Business Research states that employers pay as much as 150% of an employee’s salary to replace a management position.

A priority for business owners is to keep up with sales leads and consumer needs. If a business owner needs more manpower to fulfill this need and doesn’t want to spend a ton of money, they should look at outsourcing.

Lowers Cost

It may seem counterintuitive that paying an agency fee saves money. Engaging the best candidates can be challenging. The traditional candidate search consists of posting jobs online, employing in-house recruiters, referrals from colleagues and employees and relying on word of mouth. Prodigious candidates do not respond to these types of approaches. Passive candidates aren’t actively looking for a new career. Recruiters have the talent to source these candidates.

No More Screening

A report from Glassdoor Economic Research stated that in the past eight years screening methods such as background checks, skills, personality tests and drug tests have all seen double digit price increases.

Each screening method may add an additional full week of work for an employer trying to recruit in-house, not to mention the effort spent in sending candidates to a local clinic for a drug test. Recruiting agencies typically have these resources available in-house and are certified professionals who can perform drug tests themselves. Background checks, skills tests, drug tests and personality tests are all supplementary expenses that are rolled into one when using an agency.

Increase Employee Brand

Employment brand is basically the identity of your business as an employer and is becoming increasingly important. There are more and more jobs becoming available at the same time and fewer candidates are entering the job market. As a result, the war for talent is on! Developing and marketing your employment brand can ensure candidates know why they should work for you. When every aspect of your recruiting procedure is working well your employment brand improves. High turnover can not only affect the financial condition of a company, but also your employment brand.

Save Time

To enjoy the benefits of your hard work you need the free time to do so. According to a survey published by Jobvite the average time to hire per title/position across all industries in the United States were listed as:

  • Entry-level / intermediate - 43 days.
  • Executive candidates - 71 days
  • Directors / vice presidents - 76 days.

Our own results paint a different picture: May 2017 – May 2018, our average current placement time from start to finish is a total of 27.5 days. We use our resources to source, engage, screen, hire and on-board precise talent which is beyond the reach of most businesses.

Interested in speaking with one of our recruiters? Email us:

SHRM, The average cost of hiring a new employee:
CHRON, The average cost for managerial and professional employees:
GHRR, Jobvite survey:
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