What is internal recruiting?
Internal recruiting is the process of identifying and attracting current employees to accept another position within your business.
When it comes to talent sourcing, many organizations don’t take advantage of internal recruiting.
This is strange, because everyone is concerned about employee retention.
Internal recruiting improves retention.
6 Types of Internal Recruiting
- Promotion: When an employee is promoted to a higher level position.
- Location transfer: When an employee relocates to another office or sales territory.
- Inter-departmental transfer: When a worker switches to a similar level position within their department.
- Temporary-to-permanent: When an intern, temp, or part-time employee transitions to a full-time, permanent position.
- Contractor-to-employee: When a 1099 independent contractor becomes an in-house W2 employee.
- Boomerang employees: Retired employees who return to work, often part-time or as a contractor.
When existing associates recommend outside applicants, it can be extremely effective. One important difference is that it doesn’t leave a position vacated. Current staff members understand your company culture. They are in a position to know if a referral would also flourish there.
What Are The Benefits Of Internal Recruiting?
1. Monetary savings
2. Reduced hiring risk
Internal employees already fit in with the company culture. They have developed relationships. This makes them less likely to quit the new position.
3. Career development opportunities
Most staff members want to advance in their career. A common reason employees quit is because of a lack of career paths.
4. Shorter time to hire
Internal recruits don’t require onboarding. They may require less training. Plus, they often accept a job offer more quickly than an outside candidate.
5. Employee engagement and productivity
Companies that promote from within have more engaged and productive staff members. Employees who are invested serve your customers better. A belief in your company’s mission can be more important than benefits and perks.
6. Increased employee retention
Internal recruits will stay with your organization longer. Presumably, they already enjoy working there. If they accept a promotion or transfer, they are likely planning to stay a while.
How to Create an Effective Internal Recruiting Policy
1. Set up rules
- Are all staff members allowed to apply?
- Is there a minimum tenure for eligibility?
- Can managers invite employees from other departments to apply for positions on their team?
- Do staff members need permission from managers to apply?
- Who needs to be involved in the decision-making process?
- Should you use an outside hiring team to screen and assess candidates to mitigate potential biases?
2. Formalize internal job postings
- Give non-selected job applicants feedback to help them for future efforts
- Screen internal employees carefully
When Not to Use Internal Recruiting
Do you need fresh ideas? If there is stagnation, an internal recruit may not be the best suited person for the job. Do you need to increase diversity? Internal recruiting will possibly reinforce the status quo.
ApplicantStack Manages Internal Recruiting
ApplicantStack applicant tracking system from MegaPay USA can help you manage internal recruiting as well as traditional recruiting. ApplicantStack is the hiring solution in WorkforceHUB. It helps you hire quality employees faster and keep them longer.
MegaPay USA offers WorkforceHUB, the unified Human Resources portal that makes it easy to optimize the performance of your managers, employees, and business.
WorkforceHUB includes TimeWorksPlus, TimeSimplicity, TimeWorks Mobile, and ApplicantStack. We’ve just added recruitment, onboarding, benefits enrollment, performance reviews, and employee engagement! WorkforceHUB is designed for busy employers like you who need to reduce cost-per-hire, streamline scheduling, automate time tracking, maintain regulatory compliance, and lower labor costs.
How much can you save? Check our MegaPay USA ROI Calculator.
We can get you up and running with Workforce Management Suite in minutes. Contact us today to schedule a demo.