Job Referrals Are A Measure of Office Culture & Employee Engagement

The rewards of a strong employee referral program are well documented, including the highest applicant to hire conversion rate, greater job satisfaction and retention among referred hires, and a shorter and less expensive recruiting process. What’s not to love? But many Human Resources professionals don’t realize the many additional benefits of fostering a consistent focus on employee referrals.

Aside from the strengths of referral programs for recruiting qualified and culture-matched new employees, job referrals provide a strong metric for measuring office culture and employee engagement. Beyond the hiring and onboarding process, HR is responsible for cultivating and monitoring culture and engagement. A consistent focus on employee referrals provides actionable insight for HR professionals.

Measuring Employee Engagement Through Referrals

Referral metrics provide a built-in way to gauge employee’s active engagement in building their company’s future. Those who have a vested interest in the growth and success of the company will provide more and higher-quality referrals. Those whose engagement is lacking will refer fewer and lower-quality applicants, if they are active in the program at all.

For example, engaged employees tend to refer passive candidates – those who may not be actively looking for work but are open to considering an opportunity when it arises. Passive candidates, who may require a bit of extra attention to attract, nonetheless tend to be higher quality employees (as evidenced by their current employment). An employee who refers passive candidates demonstrates their engagement by thinking deeply about which candidates can contribute the most to the success of the company and referring only those who will make a positive impact.

[Related Insight: Looking for Exceptional Candidates? Engage Passive Job Seekers]

Apathetic employees, on the other hand, will tend to refer active candidates – those who have openly broadcast their interest in finding a new job. These candidates require less engagement from current employees, as they are advertising their availability and require little thought to recommend. For the apathetic employee, the primary driver for referring at all will be the incentive payout

Additionally, engaged employees will refer pre-vetted candidates who align with your established culture and values, saving you time and money by reflecting on the attributes that will best serve the company’s growth and success. Highly engaged employees have a vested interest in their referred candidate’s success and will be active members of the recruiting process, providing detailed recommendations and following up on the status of their referral.

Impacting Office Culture Through Referrals

When it comes to office culture, referrals serve both as a measure of a healthy, successful culture and a way for employees to actively impact existing culture

Referral numbers can help HR professionals diagnose strengths and weaknesses in their company’s culture. A full pipeline of potential candidates is a strong indicator that employees are excited to share their workplace with others, while a slow pipeline may reveal deficiencies that are discouraging employees from recommending the company. For deeper insight, examine the reasons that referred candidates choose to apply, as they can indicate the strengths that serve as effective selling points for applicants.

Employee referrals also help create and maintain a positive company culture. Referrals made by existing employees increase their attachment to the organization and help them feel that they have a stake in its future. Engaged, high-quality employees want to grow with the organization, and referrals enable them to have a hand in the company’s forward motion, acting as change agents for workplace culture.

[Related Insight: How Your Company Culture Impacts Referrals]

The True Value of an Employee Referral Program

The true value of an employee referral program is realized by way of an engaged workforce. It goes beyond talent acquisition (where it has proven to be highly effective) to impact many other aspects of the workplace. Employees can demonstrate their value and engagement through participation in a consistent, intuitive employee referral program, and in turn increase their investment in a future of growth and success.

Creating a culture that supports employee referrals isn’t difficult – just be sure that your mission, vision, and values are consistent and communicated often (they’re great tools for employees to use when introducing the company to others). Employees who are proud of the work culture that they’re a part of will want to share it with referral prospects who they feel will make a positive contribution. That’s why it’s so simple for companies with a strong culture to turn their employees into an army of recruiters!

Are you ready to measurably impact hiring, culture, and engagement with a streamlined, innovative employee referral program? Contact Jobshakers today to learn how our solution drives results.