Why Mobilunity Faced Increase in Cost-per-Hire
To those who love $$ numbers:
comparing August-October periods of 2020 (when pandemic shock was just gone and businesses resumed hiring) and 2021, we now faced a 187% increase in cost-per-hire for these 3 months.
What is included into this summarized counting:
- inhouse recruiting team, its management and overheads
- external recruiting bonuses/fees
- recommendation bonuses
- newbie sign-in bonuses
- employer marketing campaigns
- recruiting tools
I recently saw (and commented) a story when business has contracted a recruiting agency to work for 10% of hired annual candidate gross salary as a service fee. A business then was not happy not getting the service expected. My comment was this rate is a freelancer rate and recruiting business (providing the service, not a gig) cannot and will not survive charging such a fee nowadays.
Yet, Nearshoring is way more than just Recruiting.
Businesses, normally, come to save (time, money, opportunity). Hiring a Nearshore Development Vendor means outsourcing whole bulk of hundreds of tiny things that sum up into solid process that helps those businesses stay where they are and put their efforts and focus on their clients, on their product, on their marketing and quality of the services.
Working with such vendors, ones must understand the contents of expenses chosen Vendor has, to forecast Vendor’s costs one will (or will not) put on the Client.