If you’re like most people, you have somewhere in the neighborhood of 300 friends and acquaintances. Now imagine that those 300 people each have 300 of their own connections. If you work out the math, this means that YOU are somehow connected to a total of 90,000 people! That’s a huge network of possible passive job candidates that your employer may be very happy to tap into –it’s the reason employee referral programs are so popular and productive.
Today, with the growth of social networks, a large and ever expanding number of companies have some form of program to encourage their staff to provide referrals. These programs have proven to lower the overall cost per hire, speed up the time to hire, increase employee retention, boost overall employee morale, and foster positive communication amongst employees as well as enhance employment brand.*
All of this is well and good WHEN the referral succeeds in his/her new position. YOU, the employee, may get a financial bonus and the satisfaction of knowing you helped someone land a new job – PLUS you get the respect and appreciation of HR and the manager who made the hire.
But what about referrals that go bad?
What if you recommend someone who turns out to be a bad hire? Unproductive. Disappointing, Even negligent. Certainly there’s a negative impact on your firm. (And others should share the blame for making mistakes on their end of the hiring process) But what about you? How are YOU affected when YOUR referral goes bad?
- You could become the scapegoat. Sadly, finger pointing has become the new norm in corporate America. Someone will be blamed and it may be you who is thrown under the bus.
- Leadership may question your respect and commitment to the firm’s culture and mission.
- Your coworkers might question your judgment and motives.
- The person you referred may also blame you for making the match if the opportunity implodes.
In short, your personal and professional reputation may take a huge hit.
What are the 4 WAYS TO AVOID A MAJOR HIRING HEADACHE when referring someone to a position in your firm?
1) REMOVE THE EMOTIONAL ELEMENT
Sure, the thought of working alongside your old fraternity brother sounds like fun! And if you could help your sister-in-law land a job it would sure help out with the family’s financial difficulties. But think with your head, not your heart. First and foremost, be sure that your referral is an excellent fit for the job.
2) DO YOUR HOMEWORK
How well do you know the person you are recommending for the job? Don’t just go by their LinkedIn profile or the word of a mutual friend. Get on the phone or meet with the potential candidate first–especially when the connection is a distant one. Google them. Interview them on your own. Take the process seriously and don’t be blinded by the possibility of a big pay out.
(NOTE: I’ll be commenting on the validity and worth of LinkedIn recommendations and endorsements in an upcoming blog…)
3) TREAD LIGHTLY
Never oversell or push too hard for your recommended candidate. Provide all of the information you can in an honest and measured way but let the candidate sell him/herself. If he/she is unable to make a case for employment simply back away from the situation and thank the involved parties for considering your candidate.
4) TELL THE TRUTH
Most importantly, never cover up a blemish on your candidate’s record. Don’t lie about known theft, abuse, questionable moral or criminal conduct. According to Barada Associates, a professional employment screening company, “Negligent referral occurs when a person serving as a reference for a candidate for employment intentionally lies about the candidate or intentionally withholds information he/she knows to be true that causes injury to a third party.” Doing so can result in serious legal troubles.
Employee referrals are a powerful tool for recruiting top talent. But when you, the employee, are doing the referring, there is risk as well as reward. Bottom line: Use your best judgment and put the interests of the company ahead of your own.
* (SHRM RESEARCH, Employee Referral Programs, 2001)