Employee Referral Program – An Easy Way to Recruit!

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Employee referral is an interesting and rife method practiced by organizations for recruitment. It is an internal recruitment method in which organizations recruit potential candidates with the help of the social network of their existing candidates. In this process existing employee recommends qualified friends, relatives or colleagues. In return, the employee gets reward whose recommendation converts into a hire. Lots of studies also proved that this process is very effective in terms of quality of candidates selected through this process.Moreover, employee referral program is a very quick, low-cost and a classy way of finding staff.
Employee Referral Program
Now the question arises how it is a low cost program? This whole program depends upon the already existing employee because he/she is the only person who screen, select and recommend the best candidates for the job and this put the end to the cost of third party service providers, who would have previously conducted the screening and selection process.

  • Making employee referral process a success

You can make this employee referral process a successful one by implying certain practices. Promote and discuss your plan with your employees, involve them in your activities, encourage them time to time as they are the most important part of the program. Always think about the manner in which you provide bonuses to your employees. You can award a standard prize each time or can reward depending on the difficulty of filling a position. Conduct a training program for your employees to get the best recommendations. Reward your employee only after the new hire passes a probationary period. This will help limit referrals of low quality applicants. Make simple rules for employees related to program and also records all the data related to your program.

Rewarding can induce a spurt of enthusiasm in your employees, as it can give your resume tracking system a boost so, does it wisely. There are lots of ways to reward your employee. Cash rewards are the best way to encourage your employee; you can make them happy with other incentives, such as free travel and extra time off.

How and when you reward them depends on how you planned the things, some organizations pay the bonus the day the new employee starts working, or some wait to until 3 months or when the probation period ends. My recommendation is a combination model. Pay half of the bonus the person starts and half at the probation period ends.

  • Getting the most of your employee referral program

To get the most from the company recruitment process in which human resource is included you have to motivate and encourage the concerned people time to time to get effective results. The second thing which makes this program more effective is the way you promote your program. Consider having posters tee shirts or coffee mugs made up to promote the program.
Another effective way of promotion is by organizing contests or competition with exciting prizes or anything that generates excitement or cherishes your employee.

In conclusion, employee referral program is not just a low cost recruitment, it is more than that as it also makes your existing employees work more proficiently and give them more chances to earn some extra money.


About the author – Anoop Singh is great and expert write of GrownOut (www.grownout.com). And He share his tips and ideas about the Employee Referral hiring, employee referral process, and company recruitment process in his free time.

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