Once someone leaves a company, he or she's gone for good. Right? Brand them a traitor and say "good riddance." New research is showing that former employees can still be valuable human resources. Of course, we call them "Boomerang Employees" now, but its a growing trend.
The term "Boomerang Employee" explains itself. These employees are hired back by their former employers after leaving on good terms or after re-entering the employment pool after a period of unemployment.
This new approach to hiring qualified employees is a response to the changing labor economy. With the U.S. unemployment rate dropping to 4.6%, the lowest since 2007, sourcing qualified candidates is even more of a challenge. Demand is at an all-time high, and you're struggling to find the right fit. So, why should you be hiring former employees?
RECRUITING & HR ADVANTAGES TO HIRING FORMER EMPLOYEES
- Low-Cost Hiring
- High Return on Investment (ROI)
- Improved Performance
1) LOW-COST HIRING: The labor economy is in a volatile state, job openings are rising dramatically, and position vacancy is averaging a month or more. Factor in the average cost per hire to over $4,000 and the benefits of boomerang look pretty good - boomerang employees cost one-third to two-thirds the cost of a brand new employee.
2) FAMILIARITY: Company culture matters. One of the most significant benefits of hiring former employees is reduced training. They acclimate quickly because they already have a clear understanding of the work environment and company values. It's also less of a guessing game for you.
3) HIGH ROI: Simply put. They hit the ground running. You start generating a return far quicker than a new hire.
4) IMPROVED PERFORMANCE: During a boomerangs absence, there is a good chance they've learned some new skills and strategies to share. This means a boost to collaborative culture by becoming a reliable resource for other employees within the company. Score.
KEEP IN MIND
Hiring a boomerang employee shouldn't be an attempt to save money or find a quick fix. The fact remains that the employee up for rehire has left your company once already. Hiring managers need to make sure that there are no existing issues between the boomerang employee and current employees or company. The decision to rehire an employee should be based on how well the job fits, matching the right position with an employee who has the right skills.