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Thursday 23 July 2015

With an increase in a competitive job market, most companies are relying on limited talent. In the current scenario, the referral program is considered just like a touch of a fresh air.  Since traditional methods like adverts, college placements, career sites of recruiting carried a number of issues like a limited database, high overall expenditure and so on.  On the contrary, the referral programs of hiring are much more pocket-friendly, easy to conduct and effective as an employee’s personal and professional contacts are spread across the geographies, unlike traditional method this method helps a company to reach out to a larger database of passive candidates.

Referral Hiring


The referral process is a process in which the existing employee suggests a candidate to the administrative department, therefore the advantage of this process extends beyond the recruiting process. Apart from the company ending with the best candidate, the process boosts the confidence of the employee who presented the referral since he too is involved in the recruiting process of the company and his suggestion is trusted and valued. This leaves an overriding impact on the existing employee brand, his workforce and the mindset thereby bringing a feeling of ownership and responsibility of an employee as they see it as their opportunity to grow as well.


Since the employee has a direct contact with the candidate, whom he refers, the candidate is briefed about the job and the pressure of work beforehand by the employee this in turn eases pressure on the administrative department as well as the HR department. Hiring through referral program reduces the effort of the organisation to almost half since the candidate has a pre-knowledge about the companies moral and cultural value, the workload, style and the working pressure. This proves as an added benefit of a referral program. Creating a highly motivated performing and the likeminded team who is set towards a common goal is the ability that the referral program possesses. A positive attitude and environment is what spread out in the organisation. So the company can easily ripple these effects for the organizational growth and betterment. This referral program has now moved from “good to have” to “must have” for all companies.

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