5 Things To Consider Before Hiring A New Employee

If you run a business and things are getting busier, you may be considering hiring an extra pair of hands to help lighten the load. Additional employees can help increase sales and make your operations more efficient, but it's important not to jump too quickly until you've weighed up all the pros and cons.

Here are 5 things to consider before hiring a new employee.

Can you afford it?

One of the first things you should do is figure out how much hiring a new employee will cost. Include recruitment agency fees, salary, and the cost of any incentives you will be offering them. Once you know the total, you can weigh up whether what they bring to the table outweighs the cost of employing them.

You should also account for a small contingency fund in case you decide to pay them an annual bonus or increase their salary after the initial trial period is over. It will ensure that you stay in line with your annual budgets and won't hit any issues employing them long-term.

Will they be permanent or temporary?

If your business only tends to get busy during certain times of the year, hiring on a temporary basis may be the sensible thing to do. This way, you don't have to fork out a salary throughout the year and can recruit whenever things get busier.

The downside is that you will have to train each temporary employee, which can take time and money, and many of the more experienced candidates may be looking for permanent employment.

What are the contract terms?

Before anyone can start working for you, they will need a contract of employment. Labor laws vary depending on where you live, so you must find out what they are and put together a contract ensuring that you are fully compliant.

Contracts generally include salary, working hours, notice period, holiday entitlement, and details of any incentives that form part of the employment package. Specify as much information as possible, and it will benefit both you and your employee in the long run.

Will they fit in?

A good working environment can make all the difference to a successful business, so it's imperative that your employees get on well and know the value of teamwork. You could have the most experienced of people keen to work with you, but the bottom line is, if they don't fit in with your existing setup, it's realistically unlikely to work.

Establish as much as you can about them during the interview and ask questions that will show their true personality. This can make a difference to the long-term outcome.

Creating a cohesive team starts with the recruitment process itself. Utilizing a recruitment candidate database for an agency, where possible, can streamline this process by allowing you to track candidates' backgrounds, skills, and compatibility with your company culture. Additionally, conducting thorough reference checks and even inviting candidates for a trial period can provide valuable insights into their potential fit within your organization. Remember, investing time and effort in finding the right people upfront can save you from costly turnover and productivity losses down the line.

Can they provide decent references?

It's always a good idea to ask for references when recruiting a new member of staff. Both personal and professional references can be helpful and put your mind to rest about your potential new employees’ abilities and general demeanor.

All businesses want to employ reliable, personable, and experienced candidates and although there are no guarantees that things will work out, references should reduce the risk of recruiting the wrong person.