Where companies once used traditional methods of executing everything manually, their human resources (HR) personnel were bogged down with hours of tedious but essential admin work. These processes can be time-consuming, cumbersome, and laborious because they’re all compliance-driven. 

Now, with the premium on top talent in today’s highly competitive job market, HR has moved from a backend administration role to a frontline strategic function. Which can only mean one thing: A greater pressure on them to perform well in their employee management and candidate experience.

Enter HR tools, which are the wide range of technological solutions that help companies manage their day-to-day HR activities effectively, while also achieving improved efficiency. In a survey carried out to determine the opportunities present for HR tech to grow, it was found that 58% of HR professionals used three or less tech tools. 

So, while it’s true that HR teams now utilise some of the more common tools in their day-to-day tasks, there’s still plenty of room for further adoption. Let’s face it, without them, your company will be lagging, and that’s going to cost you when it comes to attracting and retaining the best talent. 

Without further ado, let’s take a closer look at some of the essential HR tools that your company should be implementing in 2023, and beyond!

1) Human Resources Information System (HRIS)

The HRIS is essentially a software solution that’s used to collect, store, manage, and process data on a company’s employees, as well as its policies and procedures. As a software that performs various functions in order to streamline and support HR tasks, as well as help manage their processes, here are some of its everyday uses:

A HRIS is important for companies because it provides several benefits, such as:

Recommended Human Resources Information SystemsPrice
1) WorkdayPrefers to deal with each company directly to give a tailored quote for their needs. However, some reports have mentioned that pricing usually starts at USD99 per user/month.
2) SAP SuccessFactorsTiered pricing for annual subscriptions starts at USD85 per employee for companies with up to 100 employees (about USD8 per employee/month), and drops from there depending upon the size of the user base.
3) ADP Workforce NowPrefers to deal with each company directly to give a tailored quote for their needs. However, some reports have mentioned that pricing usually starts at USD62/month, though the average business should expect to spend a lot more than that.
4) Oracle HCM CloudConsists of three pricing editions; Help Desk (USD4 per employee/month), Talent Management (USD10 per employee/month), and Global HR (USD15 per employee/month).
5) UKG ProPrefers to deal with each company directly to give a tailored quote for their needs. However, some reports have mentioned that pricing usually starts from USD600 per year for every five users.

2) Employee Onboarding Software

Employee Onboarding software is a tool that automates and streamlines the process of introducing new hires to a company, covering tasks such as orientation, paperwork, and training. This is to help new hires get up to speed quickly and efficiently, improving their overall experience and reducing the time it takes to become fully productive. Some of the functions include:

An Employee Onboarding software is important because of several benefits, including:

Recommended Employee Onboarding SoftwaresPrice
1) BambooHRBambooHR charges on a monthly or quarterly subscription basis, costing between USD6 and USD12 per employee/month. As a company's employee count rises, BambooHR pricing will decrease with volume.
2) LeverPrefers to deal with each company directly to give a tailored quote for their needs. However, some reports have mentioned that pricing usually starts from USD300 a month for a company of up to 10 people.
3) JazzHRConsists of three pricing editions; Hero at USD49/month (when billed annually), Plus at USD239/month (on an annual plan), and Pro at USD359/month (on an annual plan).
4) iCIMSPricing is based on the number of users, number of products, and integration with any iCIMS partners, where the paid version starts at USD1,700/month.
5) WorkableConsists of three pricing editions; Paygo at USD129/month (pay per job), Standard at USD299/month (pay upfront, commit annually), and Premier at USD599/month ((pay upfront, commit annually).

3) Performance Management System

A Performance Management System supports companies in evaluating and managing performance appraisal, goal setting, feedback, and continuous performance tracking. Companies are thus able to improve performance, align employee goals with business objectives, and make data-driven decisions about employee development and compensation. This software can perform the following functions:

Companies should consider a Performance Management System because of benefits like:

Recommended Performance Management SystemPrice
1) 15FiveConsists of four pricing editions; Engage at USD4 per user/month (billed annually), Perform at USD8 per user/month (billed annually), Focus at USD8 per user/month (billed annually), and Total Platform at USD14 per user/month (billed annually).
2) JazzHRConsists of three pricing editions; Hero at USD49/month (when billed annually), Plus at USD239/month (on an annual plan), and Pro at USD359/month (on an annual plan).
3) ReflektiveCosts USD7,500 flat rate, and is a subscription-based software package.
4) LatticeConsists of a main pricing edition with optional add-ons; Performance Management + OKRs & Goals (USD11 per person/month), Engagement (additional USD$4 person/month), Grow (additional USD4 person/month), and Compensation (additional USD6 person/month).
5) Culture AmpConsists of three pricing editions; Engage (from USD5 per person/month), Perform (from USD11 per person/month), and Develop (from USD4 per person/month).

4) Time And Attendance Tracking Software

This software is a tool that enables companies to track, manage, and report on employee time and attendance. It automates the process of recording employee hours, making it easier for companies to ensure compliance with labour laws. Furthermore, it improves accuracy, reduces administrative burden, and provides valuable insights into workforce utilisation. The following are just some of its functions:

This software is able to provide companies with several benefits, such as:

Recommended Time And Attendance Tracking SoftwaresPrice
1) QuickBooksConsists of four pricing editions; Simple Start (USD15/month), Essentials (USD27.50/month), Plus (USD42.50/month), Advanced (USD100/month).
2) When I WorkConsists of two pricing editions; Standard (USD2.50 per user/month), and Advanced (USD6.00 per user/month), with optional add-ons available for both plans.
3) HomebasePrice: Consists of three pricing editions; Essentials (USD20 per location/month), Plus (USD48 per location/month), and All In One (USD80 per location/month).
4) DeputyPrice: Consists of three pricing editions; Scheduling (USD3.50 per user/month billed monthly), Time & Attendance (USD3.50 per user/month billed monthly), and Premium (USD4.90 per user/month billed monthly).
5) Bitrix24Price: Consists of four pricing editions; Basic at USD61/month (five users), Standard at USD124/month (50 users), Professional at USD249/month (100 users), and Enterprise from USD499/month (from 250 users).

5) Employee Benefits Management System

This is a tool that automates the administration and management of employee benefits programmes, by streamlining the process of enrolling in and managing benefits, thus simplifying the process for both employees and HR teams. The goal is to reduce administrative burden, improve the accuracy of benefits data, and enhance the employee experience. Here are just some of the functions to expect:

It’s important for companies to consider this software because it provides several benefits, including:

Recommended Employee Benefits Management SystemsPrice
1) ZenefitsPrice: Starting off with a base plan at USD10 per employee/month, companies can choose to add-on further features which is the Growth plan at USD20 per employee/month or the Zen plan at USD27 per employee/month.
2) GustoPrice: Consists of three pricing editions; Simple at USD40/month (plus USD6 per person/month), Plus at USD60/month (plus USD9 per person/month), and Premium which is tailored to each company’s individual needs.
3) BenefitfocusPrice: Costs USD2-USD4 per user/month, depending on whether you get the base features or the full product stack.
4) ADP TotalSourcePrice: Prefers to deal with each company directly to give a tailored quote for their needs. However, some reports have mentioned that pricing usually starts at around USD85 per employee.
5) Paychex FlexPrice: The introductory plan (Paychex Flex Essentials) costs USD39/month plus USD5 per employee.

6) Learning Management System (LMS)

A Learning Management System (LMS) is a software application that facilitates the administration, delivery, and tracking of educational courses or training programmes. It provides an efficient and effective way to manage and deliver learning content as well as track employee progress and achievement. This software can perform the following functions:

It’s important for your company to consider this software for its benefits like:

Recommended Learning Management SystemsPrice
1) TalentLMSConsists of four pricing editions; Starter at USD69/month (billed yearly), Basic at USD149/month (billed yearly), Plus at USD279/month (billed yearly), and Premium at USD459/month (billed yearly).
2) DoceboTwo types of flexible plans available – Growth and Enterprise – with a subscription-based pricing model that’s based on the number of active users per month.
3) Talent LMSConsists of five pricing editions; Starter at USD69/month (billed yearly, up to 40 users), Basic at USD149/month (billed yearly, up to 100 users), Plus at USD279/month (billed yearly, up to 500 users), Premium at USD459/month (billed yearly, up to 1,000 users), and Enterprise which requires a custom pricing but allows for more than 1,000 users.
4) SAP LitmosStarts from USD6 per user/month (for 150 to 500 active learners), the SAP Litmos Pro subscription needs at least 150 active learners. Larger companies get a better deal (for 501 to 1,000 active learners) since the cost is USD4 per user/month.
5) Absorb LMSSmall businesses can purchase an Absorb LMS licensing fee for USD800/month plus a 12-month user fee of USD16 per active user. Hosted pricing starts at USD1,350/month (or USD14,500/year) for up to 500 users. It's USD4,850 per month (or USD52,380 per year) for up to 5,000 users, and USD8,850 per month (or USD95,580 per year) for up to 17,500. 

Time To Level Up To HR Tech

HR teams face the increasingly difficult challenge of attracting top talent to their companies, and retaining current employees. This involves understanding the current job market and competition for talent, as well as developing the necessary strategies to attract and retain employees. Additionally, they'd also need to ensure that employees are engaged and satisfied with their work, which is essential for improving productivity and reducing turnover. This involves regularly surveying employees to gauge their satisfaction, including helping employees grow and develop in their careers.

What better way to do all of the above than to start adopting HR tech in order to help your HR team automate previously-tedious processes as much as possible, including using data to take advantage of better people skills. If you're looking for that edge above your competitors, this list of must-have tools will allow a crucial shift of your HR's focus from administrative to strategic, which will then completely change the role of the HR team (in a much-needed way!) within the business operations as a whole.

Hiring is a challenge for most businesses. It's more than just finding new employees, or the onboarding and training process. Did you know that only a handful of companies take less than a month for their typical time-to-hire? The remainder will see the length of their own hiring process fall anywhere between one to four months!

The time it takes to hire just one person can have a significant impact on a company’s bottom line, especially if they're competing with other companies for the top talent. For example, a study by HackerRank found that the time-to-hire rates can reach up to 45 days for tech and digital roles at large companies. Translation: That's 45 days of lost productivity, wasted money on advertising/job boards, or both! 

You see, recruiters and/or hiring managers spend a lot of time making sure that the candidates are suitably qualified for the position, there aren't any red flags, and that he/she will be a good fit for the company culture, among other steps. This can be challenging when you have limited resources, and hundreds (or even thousands!) of applicants for each open role. Added to that is the great pressure to hire quickly, so that they can fill open roles faster than their competitors do. They also want to make sure they're hiring only the best; if they don't get it right, they'll lose out on valuable talent (and money).

Here's another thing to consider: Most hiring managers don't have that much of a budget to work with (unless you’re working for a mega corporation). In fact, according to research carried out by HR software company Personio, 55% of HR managers have either had their budgets already slashed, or are expecting them to be slashed in the coming months, as businesses prune their budgets in preparation to face a potential global financial crash.

So how can hiring managers find great candidates for their open roles? And how can they speed up this process so they don't lose out on valuable talent? In many cases, you can bring your time-to-hire down significantly if you follow some simple strategies. But first…

What Is ‘Time-To-Hire’, And Its Importance?

The term 'time-to-hire' (TTH) refers to the measure of how long it takes to close one position, which starts from posting the available job role, right up until the day you make an offer.

Hiring is a crucial performance pointer for HR teams. A short TTH shows that your team is well-organised and efficient in its process of recruiting, possesses good communication skills, plus having the ability to effectively handle both internal stakeholders and external candidates. In addition, it’s more likely that candidates will be satisfied with the level of treatment and candidate experience they receive during their applications.

Taking too long to fill the openings, or even making a bad hire, will be very costly in the long run. Research shows that even an average employee can cost a company around USD3,500, both direct and indirect. If you're wondering why this is so, it's important to note that there are various potentially high costs involved in the recruiting process, such as advertising the job role, the time cost of a recruiter (internal or external) in reviewing resumes and performing other relevant tasks, the time cost of the person conducting the interviews, background checks and screening, as well as various pre-employment assessment tests.

When you're looking at the number above, think about how much money would be lost if you needed to hire for more than one role, more so if the new employee(s) chooses not to stay after their probationary period; that's thousands of dollars and months of productivity lost!

What Is The Average Time-To-Hire?

There’s no “one-answer-fits-all” here, but it can be safely stated that the time taken by your company to hire one person is probably longer than you think!

According to one study, the average TTH in organisations around the world is 42 days – that’s just a little over two months! However, there are also many variables to be taken into consideration that can impact the TTH, such as location, industry, and qualification level of the candidate. 

For example, some countries experience much longer times, like India with an average of 58 days. In comparison, the United States notes an average of 38 days, with Australia, Singapore, and Hong Kong looking at averages of 36 days, 30 days, and 29 days, respectively. The statistics also vary between industries: Software companies tend to have a quicker rate at about 36 days, whereas accounting and consulting firms take an average of 55 days.

The longest TTH occurs when businesses are not properly equipped to hire, or don't have a proper process in place to determine which candidates should move forward. It also happens when they have a shortage of quality candidates available (i.e., too many unsuitable applications), or if they don't know how long their decision making process will take, so they delay moving someone through until they've made up their mind. Other reasons include complexity around internal processes, or issues where there isn't enough information available on why some candidates aren't moving forward even though they've shown that they might be a good fit.

3 Examples Of Companies Which Have Very Short Time-To-Hire

Uber, Airbnb, and Netflix are three companies that have a relatively short TTH. In fact, they're some of the fastest to hire on average, because they don't waste too much time on recruiting, interviewing, and processing candidates. Let's have a look at each one:

1) Uber

They utilise a simple five-step hiring process which involves submitting an application online. The applicant would then go through two rounds of interviews (online or in-person), complete an extensive background check; undergo drug testing, and then having a final onsite follow-up meeting with a HR representative.

2) Airbnb

With an eight-step hiring process, first, fill out their application form and if selected, you'll get interviewed over Skype or phone by one or more recruiters at different times. You'd then need to attend a meeting at their office in San Francisco or London for further interviews by team members and management; go through a technical assessment when invited back for another round of interviews; pass an extensive background check before being offered employment!

3) Netflix

The hiring process at Netflix is simple yet effective – applicants must submit their resumes via email then wait until they hear back from them within 48 hours regarding the next steps, which includes video interviewing over Skype before getting invited for face-to-face assessments at their respective offices. The final step involves getting hired after passing both tests above as well as an extensive background check successfully!

6 Benefits To Explain Why You Should Reduce Your Time-To-Hire

1) Hire faster and with less risk

The faster you hire, the more time you have to focus on your company's core business. A quick hiring process also means that hiring managers will be able to evaluate candidates more thoroughly before making a final decision about who gets hired – and if there's anything about a candidate that isn't quite right for the position, it's easier to reject them without feeling too guilty or apologetic (which can leave both parties feeling awkward).

2) Reduce your hiring costs

Who wouldn’t be happy when told: “You get to save money by cutting down on recruitment agency fees and other costs associated with hiring”? It's estimated that companies lose USD1 billion annually due to bad hires; by cutting down on how long it takes to make those hires, they could save themselves tonnes of money in reduced costs associated with mistakes and employee turnover.

3) Avoid losing out to competitors

There will always be other companies who are able to hire quicker than yours. If it takes too long for you to close on a candidate, there may be some top talent who will be lured away from under your nose. There's a term called 'salary cost' which you'd need to be aware of: If you wait too long, the candidate may receive a better counteroffer from your competition, resulting in a bidding war, thus increasing the salary cost.

4) Attract the top talent

A faster TTH will help you attract better candidates, because it means less wasted time in interviews, which will in turn show that people want to work at your company, and you’re able to respond efficiently. That translates into savings as well – you won't need as many recruiters or advertising dollars because of how quickly jobs are filled up after being posted online. Ultimately, you’ll have a greater peace of mind in knowing that they'll be more likely to say yes when you ask them if they want to come work for you.

5) Improve your company culture

A shorter hiring process can also improve your company's culture. As mentioned above, it will show that people are eager to work at your company – and they'll be even more excited once they're hired! This means that you'll be able to attract the top talent and get them on board faster. 

6) Boost productivity

Finally, a shorter TTH will help boost productivity by making sure there aren’t any gaps in the workforce when people leave for other jobs or retire. This means that you'll be able to get more done in less time, which will help them achieve their targets faster, and aid in making your employer brand stronger by showing how quickly things get done at your company. Did you also know that lost productivity cost businesses a shocking USD1.8 trillion every year?

Ready To Find Quality Candidates Faster, And Save Money?

The bottom-line: A shorter time-to-hire can help companies find quality candidates faster and save money. The quicker you can bring someone on board, the sooner they can start contributing to your company's bottom line.

This metric is also an effective way for management teams to measure how well their recruiting are performing. If a company consistently has longer than average time-to-hires for similar positions, this may indicate that there is a need for improvement in recruiting practices or onboarding processes. TTH can also be used as a proxy for quality of hiring process: If candidates tend to not accept offers quickly after being selected, or if they leave shortly after starting work, then this suggests that there may be issues with retention or performance expectations related back to recruitment efforts by managers who were involved in making those selections.

To sum up, your company's TTH involves several stages. It takes a long time to hire one person, and even longer to find the right fit, because the recruiter/hiring manager has to go through multiple steps before making a decision to offer or not on an employment contract. Which is why it's incredibly important to have the right people working together with you in order to help expedite everything, thus helping you save valuable resources. Enter GRIT Talent Platform, which not only cuts hiring time to 2-3 weeks on average and allows you to select from the active candidates database that’s growing 300% month-on-month, it also provides you with an automated interview scheduling and feedback feature to cut time spent on managing the recruiting process by 70% on average. The best part: It only costs USD999, which is a stark contrast from the four-figure amounts you would normally face in a typical cost per hire!

Join over 500 companies that are hiring (effectively and efficiently) with GRIT!

When it comes to hiring, you need to be thinking globally. Even more so in 2023, when the new norm is having colleagues from all over the world, and half of your company is probably working from home in their pyjamas! Now that it’s time to step up your recruiting efforts in doing your best to source and onboard new people, companies are still facing the same challenge – the struggle to find and retain top talent.

Which is why we’ll be talking about looking out for the four hiring trends in 2023 that may affect your business, and how to use them to get better results, with less time spent on hiring.

1) Remote (Or Hybrid) Work Is Now The Way Forward

As the world continues to move away from traditional work schedules, remote work is becoming more popular. According to Gallup’s research, 56% of employees (that’s more than more than 70 million workers!) say that their job can be done working remotely from home. Remote workers are happier overall, more productive, and engage in better relationships with their co-workers (and even bosses!) than office-bound employees – simply because they can spend more time with friends and family.

This trend is only going to grow exponentially as millennials become the majority of the workforce; they’re already leading in this area, and they want it both ways – work remotely sometimes or even all the time, plus having flexible hours and schedules. Additionally, it's important to note that millennials aren't alone: The Gen Z (born between 1995-2014) also want flexible jobs so they can easily juggle personal commitments outside of work. 

In fact, 65% of Gen Zers would consider leaving a job if they didn't have access to flexible hours or remote working options. One example of how remote and/or hybrid work is playing such an important role in today’s way of work is Apple Inc.’s employees, who fought back and issued a petition shortly after its senior leaders told employees that they had to return to the office for at least three days a week, arguing that staffers can do "exceptional work" from home. Whereas many major companies including Atlassian, Coinbase, Citigroup, McKinsey & Company, and Gusto are offering permanent remote- or hybrid-work options. So, companies that offer this kind of flexibility get ahead in attracting top talent by providing what these generations want the most: Flexibility!

Recruiting tips:

“With all things being equal, hire for fit rather than skill, and run a hiring trial period,” said Mark Faggiano, CEO, TaxJar. He developed an interview process that contains specific steps to test for both skill and cultural fit (the ability to do great work in a 100% remote environment). “Though the process with the hiring manager is primarily skills testing, we’re looking as much for fit as dexterity, because we’ll take fit over skill all day long.”

After being selected, the candidate will have to go through a “Mutual Trial”, that lasts anywhere from 30 to 90 days. It allows both parties to figure out if they’re actually the right fit, or otherwise. Even though the candidate may have excelled in the interview, Faggiano understands that they need to prove they can excel in a 100% remote workplace.

“Can you walk the walk? Can you excel in the environment? How do you treat people? Are you someone that can deliver and work at the pace that we work at? Are you excited to get out of bed in the morning?” he quipped. You can also opt for remote teams that will work with you on a per-project basis, such as GRIT Squad, a distributed team of IT experts that supports growth initiatives and addresses the talent gap by providing remote IT services to digital native companies, tech startups, and SMEs. GRIT Squad offers bespoke solutions depending on each client’s needs, instead of a standard one-size-fits-all approach, thus allowing you to customise your very own team according to your budget. This personal touch is complemented by constant supervision, until each team or individual contributor is up and running.

Check out our ultimate guide to sourcing and onboarding the best remote talent

2) Your Reputation Should Be Just As Important As Your People

Ever heard the saying, “It takes 20 years to build a reputation and five minutes to ruin it”, by Warren Buffett?

You want candidates who are impressed by your company, because no matter how attractive or impressive the job posting is, it won't do much good if there are other companies out there who enjoy a far superior reputation compared to yours. That's where effective candidate experience comes into play: It's a key factor in attracting and retaining the top talent, because it’s one of the first interactions candidates have with your brand.

Candidate experience encompasses a lot of things – it includes everything from filling out the application forms on your website or social media page, to interviewing with recruiters over video call at 6pm after getting off work at 5pm (yes, we've done this before), and finally having to complete skills assessment tests.

Furthermore, it’s been proven that a majority of job seekers (86%) do perform research on a company’s brand and reputation, before they’d even think of applying for a position there. Indeed, it wouldn’t even matter if they receive a high salary and various benefits, 75% of candidates say they wouldn’t want to work for a company with a bad reputation. 

Recruiting tips:

“Reputation is everything. If you want to stand out, you need to spend some time thinking about how to ensure your company looks different and get above the noise, especially if you're in a crowded sector. I believe it's your reputation that will set you apart,” said Simon Mass, founder and CEO, The Condo Store Group of Companies. Here are some ways to go about creating a strong brand that attracts the top talent:

  1. Be transparent about your mistakes. Mistakes are bound to happen; no one expects perfection from any company (or any person). But if you make mistakes, be honest and do what you can to fix them, instead of covering them up or letting anger and ego get in the way of admitting fault. This will help build trust with both new employees and existing ones who may hear rumours about what's really going on behind closed doors.
  2. Get feedback from your employees on how they feel about your company culture and what they value most about working there. This will give you an idea of what makes them want to continue being part of your team in the long-term, so that when there are potential offers, they’ll think twice about whether the new workplace matches their expectations or fits their personality type as much as their current one does.
  3. Focus on your employees’ well-being. If you're looking for new people, don't just look at their skills and experience. Look at them as people first. A good way to do this is through training and/or development programmes that will help them grow into the best versions of themselves. Also, do make sure that everyone in management has a clear understanding of what job titles mean and what responsibilities come with them – this will help avoid any confusion later down the road when having someone fill a role. 

Read more about the other excellent company cultures out there to inspire your own

3) Usage Of Recruiting Software To Help You

Recruiting software helps you in sourcing and selecting the right people for the job role. Some of these include applicant tracking software (ATS), interviewing tools, and candidate relationship management. Research from Gartner found that 90% of companies chose to invest in HR technology to help solve people-driven challenges. In fact, HR tech spending grew by 57%, which focused heavily on recruiting and retention.

The ATS allows you to manage each stage of your hiring process, as well as keep track of candidates throughout their journey. In addition, you can sort through resumes based on certain criteria that you specify in advance (like location, education level, or skill set), making it easier for recruiters or HR managers to quickly find candidates who match your needs. The ATS also helps ensure that everyone involved in the recruiting process stays up-to-date with relevant information about new applicants at all times, so there aren't any surprises later down the road when making decisions about who should get an interview request next!

By implementing skills tests which are useful for ruling out under-qualified individuals, employers can thus screen candidates more effectively, and shorten the hiring process. A fast streamlining is crucial, as companies race to offer employment opportunities to quality candidates before they find a position elsewhere. In addition to skills tests, some companies implement behavioural assessments as part of their screening process, which provide an insight into an applicant's core attributes, such as having a strong work ethic and motivation.

Recruiting tips:

”I’m frequently asked for the best practices that will supercharge applicant flow. I always say to remember that while software can transform recruiting, people set the parameters used to screen and sort candidates. Recruiting technology can transform the way you hire, but it needs a solid foundation. It’s moot to invest in recruiting software without reevaluating your hiring strategy. By questioning how you’ve done things and rethinking how you’ll do things going forward, savvy organisations can work with recruiting technology to evolve how they find talent and increase their applicant flow,” explained Joshua Siler, CEO, HiringThing.

However, if you’re looking to do away with the hassle of selecting the right recruiting software as well as implementing proper hiring strategies, GRIT Talent Platform is what you need. With our comprehensive talent ecosystem, extensive partnership networks, and exclusive referral schemes, you can access the largest and most diverse talent pool in the region. Our highly trained team of consultants, researchers, and more specialise in acquiring the region’s best tech and digital talent, working alongside you to streamline the entire hiring process so that your resources can be used for other purposes.

4) It’s Important To Know The Right People

You might find this next piece of data hard to believe, but about 20% to 40% of companies hire new people based on referrals, and looks set to increase as more global borders are broken down! That’s a fantastic way to limit your cost per hire, and on top of that, the people that have been referred by either your own employees or other external contacts tend to stay longer and perform better.

An employee referral programme can help you solve this problem by leveraging existing relationships. Employees already know their co-workers and understand what each other is capable of doing. As a result, they can recommend people who have similar skill sets and cultural fit with your company. It’s a win-win situation for both the company and the employee, because it gives them an opportunity to earn some extra cash as well as get their friends/family hired.

Recruiting tips:

“If some of your best employees are passing along the resumes of people they know, you may want to prioritise those candidates! People tend to recommend people similar to themselves, so if you have a top performer making a recommendation, odds are he or she will recommend other top performers. The people being referred will also perform well, because they don’t want to let down the person who referred them,” stated Jan Jones, author of ‘The CEO’s Secret Weapon’.

Because of how efficient, reliable, and cost-effective the referral method can be, GRIT Talent Platform is also leveraging on referrals (our very own GRIT Scouts!) in order to tap into our network of growing talent, as one of the means to help you get the right fit for your role(s). So, if you know someone who’s looking for a new job opportunity (or you’re on the hunt too!), it’s time to check out GRIT Scouts.

The Right Blend Of People And Process To Hire Better In 2023

We know recruiting is a real challenge, and hiring the wrong person can prove to be a very expensive mistake, estimated to range from 30% to 150% of an employee’s annual salary. You have to spend time covering for them, correcting mistakes, and in the end, letting them go. Not only will you have incurred these costs, but you will also lose productivity from being stuck with an underperforming employee.

Did you also know that the average cost of hiring an employee is more than USD4,000 per hire, depending on location and job function? This cost includes sourcing candidates, advertising jobs online/offline, interviewing and negotiating terms, before finally making a decision whether or not the individual should be hired.

Find out how to calculate (and LOWER) the true cost of hiring an employee

Hiring the right person can therefore save you time AND money in so many ways: Increased productivity and efficiency from a motivated team member, less time spent on training as they already know how to do their job well, reduced turnover costs as there is less chance of an employee leaving soon after their start date, etc.

With that said, by using GRIT Talent Platform, you’ll stand to gain an edge over your competitors with a host of benefits: Cut hiring times to 2-3 weeks on average, select from the active candidates database that’s growing 300% month-on-month, use the automated interview scheduling and feedback feature to cut time spent on managing the recruiting process by 70% on average, and all of that for only USD999!

Join over 500 companies that are hiring (effectively and efficiently) with GRIT!

There’s a saying by Steve Jobs which goes: “It’s not the tools you have faith in – tools are just tools – they work, or they don’t work. It’s the people you have faith in or not.” He knew that one very important secret, which is that your business will only ever be as good as your employees. When you need to run a company and make critical spending decisions that can either make or break you, one of the most important decisions that can help in driving your company to new heights is hiring the right people.

It may seem like a daunting task; having to filter through hundreds of hopefuls, shortlist the ones with the greatest potential, run through multiple interview sessions, and then select the one who’s (hopefully!) the best fit. It can even seem scary when you find out there’s research which proves that hiring the wrong people will actually pose a significant cost to your company. For example, the average cost of a bad hire is estimated to range from 30% to 150% of an employee’s annual salary (re-hiring costs, lost productivity, lost manager time, lost training investment, training of replacement).

From the receptionist desk to the executive offices, every single one of your employees represents a facet of your business to clients, and to the community at large. Which is why when you make the wrong hiring decision, that can cost you more than just money, such as the following:

1) Time

Every new employee will need some form of training, and time to acclimatise to the job. The wrong person won’t be able to grasp the job scope and responsibilities quickly enough, and may even decrease productivity, especially if he/she requires frequent follow-ups, retraining, and even disciplinary action. As time is money, you shouldn’t have to worry about whether your employees are getting the job done (and done right), or holding their hand for as long as they work there.

2) Company image

When you hire someone who’s wrong for the job, not only will you and your business suffer, your company’s image may take a beating too. This is because what people say about you and/or your company does matter – and you wouldn’t want word to get around that there’s a high turnover rate, because that’s not a place most jobseekers want to join. Additionally, you wouldn’t want the bad hire to go around talking negatively to either existing employees or outsiders about their experience.

3) Business growth

If someone doesn’t want to grow with you, they’re essentially working against you, and that’s the last thing you want on your plate when you’re trying to focus on growing the business. You want people who are able to help you in not only contributing to the company’s overall success, but working to stabilise and improve the business, as well as reducing the need to rehire – over and over again.

4) Team morale

Let’s face it, having so many people come and go in such a short period of time may have an adverse effect on the existing employees because it can cause them to feel uneasy and/or unsettled. Furthermore, a bad hire is able to sow discord and cause tension among their teammates and other departments, where it may not have even existed before, thus causing an upset in the daily workflow, overall people connectivity, and company culture.

What Are The Typical Costs Of Hiring An Employee?

1) External recruiters

For many small- to medium-sized companies, having a dedicated in-house HR team won’t make much fiscal sense, which is why many opt to turn to external recruiters to facilitate hiring. With only a small team, every new hire is crucial for the company’s success, so turning to an outside expert who has a talent pool of qualified and experienced candidates as well as an array of tools and resources to draw upon is often the preferred choice. However, bear in mind that external recruiters/agencies have various pricing structures which can quickly add up, no matter whether it’s in the form of a role’s annual salary, retainer-based, or flat rate.

2) HR team

It’s true that an experienced and skilled Human Resources (HR) team is a crucial asset for any company’s recruiting efforts. Even if you’re only able to hire one dedicated HR person at a time, the tasks that will need to be carried out for the hiring process are valuable: Setting up the job posts, putting them out on job boards, screening and selecting the candidates, assessing and interviewing them, all the way to making an offer and training them. But wait, they have more than that to do too, such as drafting corporate policies and procedures, which is why all this can come at a high cost.

3) Job board postings

Now that you’ve got the best in-house HR person/team ready to start hiring for you, you’re going to have to start getting those job posts out in the open. Writing a compelling ad is no small task, and it can make the difference between attracting the top talent, or just another average person who needs a job. When it comes to boards to post, there are several free options to consider like LinkedIn and ZipRecruiter, but those come with limited features. Other popular job board options that charge for you to use them include Indeed, Monster, CareerBuilder, and Dice.

4) Screening/background checks

After you’ve got a shortlist of who you think are the “right” candidates, you need to screen and run background checks before making an offer to one of them. First up, a lot of time will go into discussing with various department heads to whittle the list down further, and setting up screening calls. Then the background check lets you learn about them more by verifying basic information like the individual’s education and previous employers, right up to criminal databases, so that you have peace of mind that they’re as good as they seem. 

5) Onboarding and training

Did you know that your new hire’s onboarding and training process would need to be factored into the total cost of hiring an employee? Here’s a rough example for you to consider: According to a report by Training Magazine, it would “cost” companies an average of 46.7 hours to train an employee, plus an additional USD986 in training expenses. Apart from that, there are also IT equipment costs (laptop/desktop, work phone, WiFi dongle, etc) and formal training costs (in-person/online courses, onboarding materials, etc) to factor in. But don’t worry, the training you provide is to get the new hire up to speed quickly, and prepare him/her to make key contributions! 

6) Salary and compensation

Once the new hire has accepted and signed the job contract, it’s time to start paying their monthly salary when they begin work – which is the more obvious cost associated with hiring. When calculating your ongoing cost to hire though, make sure you also consider the taxes, benefits (like health insurance, retirement plans and employee growth initiatives), and bonuses (if relevant). You also need to bear in mind that most employees will expect their salaries to rise over a period of time, usually in line with their work contributions and keeping with your country's inflation.

7) Other acquisition methods

Apart from the most common methods of job boards or external recruiters/agencies, there are other methods which can prove successful, such as referrals, your website’s job availability page, or attending/hosting career/industry events. While it’s not easy to create an effective and enticing referral programme, the high-quality candidates it can generate actually makes it a great recruiting tool for many companies because you’ll be relying on the network of your existing employees, which can turn up many top talent yet untapped. As for the other methods, they too may have an associated cost, all of which must be taken into due consideration.

How To Optimise All Your Hiring Costs

1) External team

If your company is one which relies on external recruiters/agencies, the number that would mostly speak of when discussing recruitment costs, is the external expenditure on hiring – typically 15-30% of a candidate's annual salary (higher if you use an executive search company). Now assuming that you decide to sign a contract with an external recruiting agency with a typical invoice value per hire at 22%, and the candidate has an annual salary of USD60,000, the data suggests that the amount would be around USD13,200.

This is as far as most companies look, so when costs need to be controlled (because of external global events like recession/pandemic/poor market conditions), they will only rely on agencies if they have too many roles to fill, which leads to the company not seeing success or facing an urgent situation to fill open roles.

GRIT Talent Platform only costs USD999 per role. That's a total of 92% of saved costs, in comparison with the external agencies:
USD13,200 - USD999 = (USD12,201/USD13,200) x 100 = 92%

2) Internal team

There are also companies which seek to reduce their headline costs by bringing recruitment activities in-house, reasoning that if they hire the recruiters themselves, they can cut out the agencies. However, it’s worth noting that even in-house recruiters can fail to source most, if not all, of their vacancies themselves, and therefore may need agencies to help in the end. Furthermore, your internal HR team would have a lot more on their plate than just hiring, so working out their costs per hire is a bit trickier. Here’s how you can do it though:

But if you made use of GRIT Talent Platform, it'll only cost USD999 per role, so that's a whopping total of USD2,481 saved (71%) if you utilise the service!

3) Time to hire

Most companies do track how long it takes to hire people, but completely ignore it as a cost factor. But, it’s actually a huge overhead! Given the typical reactive recruitment environment, the average hiring time is usually about 36 to 42 days, during which time the role is unfilled. For that period, there’s either no productivity, or productivity is provided by someone else, likely the manager. This has a tangible cost, and if the hiring timeline slips, the cost then goes up.

So, if we were to take that maximum number of 42 days (6 weeks) as a rough benchmark, according to data for the United States alone, the average vacancy costs employers a staggering USD4,129 over that period (the time it typically takes to fill an open position). This breaks down to just over USD98 per day, plus any additional funds allocated towards recruitment. Now, imagine if you had 10 roles to fill!

There are a couple of ways you can impact this cost, though. Firstly, by moving away from the purely reactive model and understanding your recruitment demand, you can then plan your recruitment proactivity, which makes a significant difference. This can reduce the typical hiring period by another few more weeks. 

For the best results, you can take this further and operate through GRIT Talent Platform. By proactively sourcing candidates through our Tech Platform before they’re needed, and actively managing them, you can cut hiring times to 2-3 weeks on average, with a huge resultant savings of USD4,129/2 = USD2,064.50.

4) Cost of productivity loss with planned hiring

Assuming that an employee earns USD50,000 annually, with a productivity cost of 3x salary:

Average time to hire: Planned hiring6 weeks
Total productivity lossUSD17,308

You can still see how the GRIT Talent Platform’s 2-3 week hiring period can save your productivity losses with a properly planned hiring process.

5) Management time

Another major cost is the time which is spent by whoever is involved with managing the recruitment process; they’re tasked with specifying roles, reviewing CVs, arranging interviews manually, collecting feedback and, as over 50% of offers made are rejected, they then have to repeat the process! 

GRIT Talent Platform will help you streamline your process as it’s all online/digital so you can manage your pipeline effectively and with ease. Using our automated interview scheduling and interview feedback, you’ll be able to cut time spent on managing the recruiting process by 70% on average.

6) Quality of talent

We’ve already discussed that almost all recruitment solutions are reactive, which is the act of sourcing candidates only when the need arises. The immediacy of that need means that companies are entirely reliant on candidates already in the market: Signed up with agencies, looking at ads, on job sites, or on databases. But studies have shown that this only represents around 20% of the qualified candidates in the marketplace, and even then, to access all of that you have to use every agency, database, and advertising medium.

A limited access, to only people who really want or need a new job, has a dramatic impact on the quality of talent. Most companies know that the candidates who apply to their job post(s) are irrelevant, which still significantly reduces their talent pool. If a company is able to access the wider pool of talent, as is achieved by the GRIT Talent Platform, there’s a demonstrable improvement in quality of talent, and as a result, an evident increase in productivity per head of between 10-30%.

GRIT Talent Platform's unique candidate funnel system ensures that there’s a consistent stream of active talent for you to select from, with our active candidates database growing 300% month-on-month. GRIT Talent Platform boasts a carefully curated list of talent that has been gathered from across the tech and digital industries. We'll help you tap into various sites on top of sourcing, gathering, and filtering – thus allowing you to enjoy a pool of unlimited high-quality talent.

7) Attrition

Finally, up to half of new hires leave within the first twelve months, and the average is over 20%. The reasons are simple: The 6-8 weeks of contact with a company during a standard recruitment process is not enough to develop a cultural rapport between candidate and company. In short, the new hire starts work and then only finds out if they do ‘fit in’ or otherwise, any concerns they may have are amplified by the pressure of the new job. 

GRIT Talent Platform tackles this, by having a longer runtime to engage with candidates adding an additional screening tier; including culture-fit and behavioural questions before putting the candidates into your shortlist. The result is a reduction in the typical twelve-month drop-out rate of up to 90%.

Ready To Start Hiring Effectively And Efficiently?

In short, the true cost of hiring is not just how much you pay for recruiters (whether internal or external), agency fees, and ads. That's only the tip of a sizable iceberg that impacts every facet of your company's performance and productivity. 

A fairly typical hire can cost well over twice that, in combined headline and hidden costs (even based on average figures), and whether you use agencies or in-house recruiters the bottom line is the same: Hiring costs approximately double the salary. 

By using our GRIT Talent Platform, where there's a combination of online digital recruitment pipeline management as well as unique proactive sourcing channels of active and curated talent, only then will you be able to drive down time-to-hire (cut hiring times to 2-3 weeks on average, with a huge resultant savings), reduce costs to hire (total of 92% and 71% of saved costs, in comparison with the external agencies and internal HR team respectively), cut time spent managing (by 70% on average), as well as lower the attrition rate (reduction in the typical twelve-month drop-out rate of up to 90%).

This is the most effective and efficient way you're really going to address the fundamental issue of recruitment costs!

Join over 500 companies that are hiring (effectively and efficiently) with GRIT!

In industries all over the world, many people still place a high value on skills, experiences, and education. They're one of the main factors that employers will consider before hiring the right talent. Or what people will look at to determine whether one is qualified for certain tasks. The reason for this, is that every job has a specific set of hard and soft skills requirements. So, to find the ideal job, you must match your acquired skills to the qualifications needed for the position.

However, with all the commotion surrounding the need for specific skills and qualifications to carry out a job, some individuals occasionally overlook or underplay people skills. That's why it's common to hear in the workplace that those hired are not given the job they're supposed to, are being compared to others, are kept stagnant with no career advancement, or are even downgraded to lower positions.

Nonetheless, while this is inevitable, one of the major concerns about employee skills is observed in the digital realm. As countries and businesses digitally transform, the issue of providing workers with the right skills at the right time is becoming increasingly important to governments and many digital technology companies.

According to a Digital Talent Insight report released by international consultant Korn Ferry, Asia Pacific will face a 47 million tech talent deficit by 2030. Along the same lines, consulting firm PwC discovered in a survey that more than 50% of chief executives in the region found it difficult to hire digital talent with the necessary skills.

In Singapore, 54% of companies reported that a lack of understanding and knowledge of digital tools among employees is a challenge for successful digital transformation, with only 35% of companies able to implement more sophisticated digital tools such as AI, data analytics, and IoT. This demonstrates how employers are constantly on the lookout for people who possess the necessary set of skills.

Aside from understanding the importance of skills in the workplace, as job seekers, you must be aware that there are two types of skills: hard skills and soft skills. Understand the distinctions and which skills fall into which category so that you can incorporate them more effectively during job searching and application.

Let’s Start With: What Are Hard Skills?

Investopedia describes hard skills as technical skills required to perform a job or land a new one. They're categorised as learning skills that can be developed and improved through education and experience. Typically, they're industry-specific. A financial analyst, for example, will require a different set of hard skills than a carpenter.

A relevant certification, portfolio, or skill assessment test can serve as proof of one's competence in hard skills. Different professions will have different standards for expertise. Advanced degrees and stringent testing will be required for some occupations, such as medical professionals, to demonstrate hard skills. Other professions, like content writers or designers, can learn the necessary skills on the job or on their own time, and they can demonstrate their proficiency with a portfolio of completed work.

Here are a few examples of common hard skills:

  1. Computer software knowledge
  2. Graphic design
  3. Data analysis
  4. Project management
  5. Marketing
  6. Copywriting
  7. Computer programming
  8. Foreign languages
  9. Search engine optimization (SEO)

(Source: Investopedia)

What Are Soft Skills Then?

Soft skills are character traits and interpersonal abilities that define a person's relationships with other people, according to Investopedia. In the workplace, soft skills are viewed as an addition to hard skills, which are a person's knowledge and professional competencies. Sociologists may use the term "soft skills" to describe a person's emotional intelligence quotient (EQ) rather than intelligence quotient (IQ) (IQ).

Even though these interpersonal skills are hard to define or quantify, they're still important in the workplace. They include your personality, teamwork skills and how you participate in the workplace. For instance, individuals working in the event industry need to be excellent team players and communicators, and sales and marketing positions may require relationship-building abilities.

Soft skills come in a variety of forms, just like hard skills. Here are some examples of soft skills required for success in the workplace:

  1. Empathy
  2. Ability to influence peers
  3. Emotional intelligence
  4. Curiosity and positivity
  5. Active listening
  6. Humility
  7. Communication skills
  8. Creative problem-solving
  9. Resilience
  10. Observations skills

(Source: Forbes)

What Are The Primary Distinctions Between The Two?

Employees need soft skills, in addition to hard skills if they're to succeed. The main difference between the two is that hard skills are quantifiable, measurable abilities, whereas soft skills are not. Soft skills are more intangible and more difficult to teach. While soft skills concentrate on attitudes and personalities, hard skills are concerned with practical knowledge and abilities.

Consider hard skills as your technical knowledge, and soft skills as your interpersonal or workplace competencies. A soft skill could be the capacity to perform well in a team, while a hard skill may well be proficiency in a second language.

Check out the table below to see the differences between the two types of skills and some examples of top skills in 2022, as reported by LinkedIn.

Why Is It Important To Have Both Hard And Soft Skills?

There's a famous saying in the job search world that says "Hard skills will get you the interview; soft skills will get you the job," implying both play an equal role in recruitment. When you apply for a job, your hard skills will be evaluated. If your hard skills match the requirements, you will almost certainly be invited to an interview. During the interview, soft skills are tested. The way you present yourself, respond to questions and communicate.

Once you're working, you're not only dealing with the task at hand, but you're also dealing with people and your surroundings. Hard skills are what it takes to do a job well, whereas soft skills assist in coping with and responding to situations. Therefore, it's crucial for everyone to have both hard and soft skills because they show that you are knowledgeable about practical implementation and can contribute to a supportive and constructive work environment.

Since both skills are important when it comes to getting a job. It's essential to understand how to include hard and soft skills when writing a good resume and how to demonstrate them during an interview.

How To Include Those Skills In Your Resume?

Your resume and cover letter should highlight both your hard skills and soft skills. These are the particular skills that employers are looking for. Employers give preference to candidates who have a balance of technical and interpersonal skills, so it's crucial to demonstrate that you have both of these skills.

There are more than 100 essential skills to choose from, but how do you list them on a resume? It's important to lay out your skills on your resume to catch the attention of employers. On your resume, include a section titled "Skills" where you can list all of your hard skills.

Below is an example of how it may look like:

Computer Skills:
Microsoft Word (Advanced); Microsoft PowerPoint (Advanced); Microsoft Excel (Intermediate);

Language: Writing English & Malay
Translating English to Malay, and vice versa
SEO articles
Online research
Creative writing
Creative thinking  

Important To Note: You may have a long list of skills, but there's no need to list them all. Select a few of the most important ones, preferably those that are relevant to the position being applied for. This allows you to talk about your skill set during the interview.

Soft skills should be included in the job descriptions that you create for previous experience. Referring to the job description can help you decide which soft skills to highlight on your resume and cover letter. You should look for any requirements that touch on your motivations or interpersonal skills.

For example: 

How Should You Mention The Relevant Skills During An Interview?

The interview session is the next crucial step in the hiring process where employers will evaluate candidates after reviewing resumes and cover letters. Make sure to prepare for your interview beforehand and keep in mind all the information from your resume's skill requirements and job description.

In an interview, describing your hard skills is somewhat more straightforward than presenting your soft skills. You'll inevitably show that you have the necessary hard skills as you discuss your relevant educational background and work experience.

While soft skills call for a little more application and explanation, the STAR method is a fantastic approach for describing them. It's a methodical way of answering a behavioural-based interview question that involves outlining the precise Situation, Task, Action, and Result of the circumstance you are describing.

When discussing your soft skills in an interview setting, you will be answering questions that demonstrate how you personally manage certain situations.

For example, if you were asked to "Describe a difficult work situation and how you handled it," you could begin by discussing the situation, what you were tasked with, and how your decisions and soft skills assisted you in taking specific action to achieve a specific result.

Your response could be:

“I once had a superior who yell and berate everyone whenever something went wrong. Although I will admit that those kinds of abusive behaviours do affect me, I remained composed at work. I do realise that he was going through a trying time, which is why he occasionally brought that into the office and changed the mood. It didn't affect my work because I could understand his situation, but it was a challenging situation.”

If you're concerned about a lack of hard and soft skills, there are strategies you can use to improve them. These can be extremely helpful when applying for a job that may require additional certifications or abilities that you do not have or need to improve.

How Do You Develop Your Hard Skills And Soft Skills?

Hard skills are typically acquired through education or practical experience. Soft skills, on the other hand, resemble personality traits that you have innately developed throughout your life. For instance, typing would be a technical skill. Nobody has the innate ability to type. Instead, it must be learned over time, typically through learning or education.

As previously stated, soft skills are more interpersonal than technical. Soft skills are typically things that you are already proficient in without having to receive a formal education or practical training. You can still, however, develop your soft skills in the same way that you can develop your hard skills. Here are some suggestions from InsightGlobal.

How To Develop Hard Skills

Learning a new technical skill can make you stand out from other job applicants. A few methods for acquiring hard skills are listed below:

If you already have a job, look for learning opportunities there. Even if you're actively looking for a new job, you can benefit from your current employer's classes, webinars, and workshops.

How To Develop Soft Skills

Improving your soft skills is more difficult, but it's still possible. First, decide which soft skills you want to improve. Conduct an honest self-evaluation. You can also solicit input from your boss, co-workers, family, and friends.

For example, if you are frequently late for work or frequently miss deadlines, you may need to improve your time management skills. If you want to advance in your career, you may need to hone your leadership abilities.

To improve your time management skills, you could first watch a productivity webinar and then apply each tip. To hone your leadership abilities, you could take on a new project at work or request more responsibility in your volunteer role.

Once you've determined which soft skills you want to improve, it's time to get to work. Some soft skills can be acquired through education. All soft skills can be developed through practise. After all, as they say, practise makes perfect!

Know Your Hard Skills And Soft Skills Because They Define You!

Hard skills and soft skills are essential for success in any field you choose to work in, as well as in all aspects of life. Understanding your hard skills may not be difficult since they involve the techniques or knowledge you acquire while in school or while receiving on-the-job training. Consider your positive traits, attitudes, and manners when assessing your soft skills. This extends to how you dress as well as how you speak, listen, make eye contact, and how you interact verbally.

The most crucial aspect is that you must provide compelling examples of how and where you have used each of your skills when identifying and expressing them to employers. In the end, they want to see your work, not just hear about it. Just keep in mind that everyone has a distinctive set of skills, so be sure to properly describe yours to convey who you are.

If you’ve ever had to look for a job, odds are you would’ve sent application after application, hoping to hear from recruiters or hiring managers. “Good news, we would like to invite you for an interview!” or “Good news, you’ve been shortlisted!” are just the cherries on top of an application sundae, but no one ever talks about the other side of it.

That’s the cold shoulder. The zero calls, texts, or emails weeks after. These days, it’s called ‘ghosting’, where all forms of communication are cut off without any explanation. If you were to talk to a person in front of you and they didn’t respond, it would be like talking to a ghost, hence the term.

When applicants are ghosted or ignored without any reason or communication, it can make them feel like they’ve wasted their time applying for a role in your company. This causes a negative perception of your business, and you’ve just lost a potential customer or talent. 

While employers may have more important things to do than reply to applicants, acknowledging them will leave a good impression of your company. It paints a picture of a company that’s capable, positive, and establishes connections for the future.

What Is An Application Acknowledgement Email?

As the name implies, it’s a reply sent by hiring managers or recruiters to applicants acknowledging their job applications. Moreover, it serves as an update on a candidate’s application status, like whether or not they will be moving on to the next phase.

The reply can take on a formal and professional tone or a casual and friendly manner, but essentially, it’s the equivalent of “We’ve received your order!” on food delivery apps. Like how we converse with people in real life, your acknowledgement email should carry the same language.

Once a candidate has sent their application, the ideal timeframe to reply to them should be within 24-48 hours. Whether it’s an automated reply or personally written during your lunch break, it’s helpful for candidates to know that their application made it into your hands. Even if you can’t reply instantly, sending one within the week still means a lot.

3 Steps To Write An Application Acknowledgement Email (With Templates)

Once the applications trickle in, it’s time to write your thank you note! Get started writing your application acknowledgement email with these three quick pointers:

1) Address the email to the candidate

Reply to the same email address the application originated from. Use an informative subject line that summarises the contents of the email clearly to ensure they open it and don’t regard it as spam.

2) The status of their application

Is their application still being processed, approved, or rejected? Let them know, and don’t forget to thank them for applying. As an option, you can provide context about the position or application to add value to your words.

3) Closing the email

End your email with your contact information should the applicant have further questions. Lastly, thank them for their time, and close the email with a polite sign-off.

To help candidates feel valued and to add a touch of personalisation, include these details:

In the email, use a tone that best represents your company culture to help applicants feel welcomed. It can be formal, casual, relaxed, or even include meaningful quotes that tie back to the company’s culture.

Here are some letter of acknowledgement samples you can refer to to kick-start your streamlining!

Sample 1:

Subject line: We’ve received your application at {Company’s Name}!

Hi {Candidate’s Name},

Thank you for applying for the position of {Job Title} with us at {Company’s Name}!

We have received your {application/resume/portfolio}, and our hiring team are currently reviewing all applications within {mention timeframe}. If you are shortlisted as a candidate, you will receive a {call/email} from us on the next steps of the process.

Thank you for applying, and we wish you all the best!

Best regards,

{Recruiter’s Name}

Sample 2

Subject line: Thank you for applying with {Company’s Name}

Dear {Candidate’s Name},

Thank you for taking the time to apply for the role of {Job Title}. We appreciate your interest in {Company’s Name}.

We are currently in the process of accepting applications for this position. We will begin taking interviews {mention timeframe}. If you are selected for an interview, our human resources department will be in contact with you by {estimated date}.

Thank you,

{Recruiter’s Name}

Sample 3

Subject line: We’re reviewing your application!

Greetings, {Candidate’s Name}!

My name is {Recruiter’s Name} and on behalf of {Company’s Name}, we would like to thank you for applying with {Company’s Name} as a {Job Title}.

We have formally received your application and will review it in the next few days. If you are shortlisted as a candidate, we will reach out to you personally regarding the next steps of your exciting journey with us!

Once again, we thank you for applying and taking the time to apply for this position. We appreciate your interest in {Company’s Name} and wish you all the best in your application.


{Recruiter’s Name}

Sample 4

Subject line: Your application to {Company’s Name}

Hello {Candidate’s Name},

We have received your application for the position of {Job Title}. The recruitment process will take {timeframe} and we will notify you if you have been selected.

You can read more about us on our company's career page, or follow us on social media on Facebook, Instagram, and LinkedIn to get the latest updates.

If you have any questions, please contact me at {recruiter’s telephone number/email}.

Best Regards,

{Recruiter’s Name}

3 Personalised And Creative Application Acknowledgement Emails

What makes your company unique? Is it the meeting rooms named after fruits? Star Wars quotes on the walls and a company-wide celebration on May the 4th? Don’t be afraid to show your company’s personality and character with creative acknowledgement emails too.

Sample 1

Subject line: Hooray, we received your application to {Company’s Name}!

Hi {Candidate’s Name}, we’re thrilled that you’d like to join us here at {Company’s Name!} We received your application for {Job Title} and rest assured, we’re processing all applications as quickly as our eyeballs can.

We will be in touch in {timeframe} if we would like to schedule an interview with you. Unfortunately, the days are short and applicants many, so we won’t be able to meet everyone. Nevertheless, you will still hear from us if you have been shortlisted or not.

All the best, and let’s keep in touch!


{Recruiter’s Name}

Sample 2

Subject line: Thank you for applying to {Company’s Name}

Dear {Candidate’s Name},

My name is {Recruiter’s Name} and on behalf of {Company’s Name}, I am writing this email to acknowledge that we have received your application for the position of {Job Title}.

Our company has been growing steadfastly since {year} and we hope you will be able to join our ranks soon. Aside from {company benefits}, we provide numerous opportunities for employees to grow their skills, knowledge, and personality.

We are currently processing applications and it may take some time to get back to you. Thus, we would appreciate your kind patience on this matter. We will contact you via {email/phone} once we receive an update regarding your application.

Thank you for your time and interest, and we hope to see you soon.


{Recruiter’s Name}

Sample 3

Subject line: Greetings, from {Company’s Name}

Greetings, {Candidate’s Name},

We are pleased to have received your application for {Job Title}. It must not have been an easy journey, navigating through mazes of code and defeating pesky viruses.

On behalf of {Company’s Name}, we are delegating great resources to process your application the soonest we can. If you are the Chosen One, you will be summoned to speak with us within {timeframe}. If it is not your time yet to wear the crown, you will be notified as well. 

We thank you for your patience, and may the odds be ever in your favour.


{Recruiter’s Name}

7 Automated Email Tools For Faster Replies

For busy recruiters and hiring managers, it can be time-consuming to manually reply each applicant, day in and day out. Fortunately, that’s where automation comes in.

Regardless if you’re a small mom-and-pop shop or a multinational conglomerate, automated emails can work wonders in streamlining your hiring process through Applicant Tracking Software (ATS).

Here are several tools you can use, depending on the email complexity needed and the volume of applications you typically receive.

1) Gmail/Microsoft Outlook

Price range: Free.

2) Mailchimp

Price range: USD 0/month - USD 299/month.

3) HubSpot

Price range: USD 45/month - USD 3,600/month.

4) Salesforce

Price range: USD 25/month - USD 300/month.

5) Reply.io

Price range: USD 60/month - USD 90/month.

6) Workable

Price range: USD 129/month - USD 559/month.

7) Lever

Price range: Upon request.

Besides this, an email guideline tailored solely to career applicants will come in handy to keep everyone on track. Here, the hiring process and timeline are clearly outlined, from the first “Thank you for applying!” to how to reply to an angry “Why didn’t I get the job?” email.

Why Send An Application Acknowledgement Email?

Maybe an applicant has a medical background and is applying for a position in the cryptocurrency field. Or perhaps their Adobe Lightroom skills are not yet on par with what you’re looking for. Even if they aren’t shortlisted or meet the requirements, acknowledging their efforts won’t hurt. Why?

  1. It shows respect for your candidates: A reply indicates your respect for their time and effort. At the same time, this will help the applicant plan accordingly if they need to continue looking for employment. Plus, they might not be a good fit now, but could be down the road!
  2. Your company gains reputation: Keeping them informed of their application status (reviewing, accepted, rejected) is something many candidates appreciate and will view your company and its hiring process positively.
  3. Everyone is well-informed on the hiring process: Tying back to the experience of it all, being transparent about your hiring process will be useful during onboarding. Once you acknowledge that an applicant is being considered, this gives them better initiative and an opportunity to prepare themselves for the next steps.

A generic “Thank you for applying” email can come across as less warm and friendly, compared to those which are genuinely earnest and appreciative. Emails of the latter types foster healthier relationships between the applicant and recruiter/company, leaving a positive experience all around.

As busy as you are, try not to ignore applicants too. Instead, something that might help would be to insert a disclaimer when advertising your vacancy. It can be as simple as:

“If your experience meets the requirements of our company, we will contact you. If you receive no feedback, it means that currently there are no available vacancies for you.”

Based on this, potential applicants will know what to expect if they don’t hear from you at all!

Sample Application Email For Accepted And Rejected Candidates

Accepted Candidates

Subject line: Your application with {Company’s Name}

Dear {Candidate’s Name},

Thank you for applying for the position of {Job Title} with us at {Company’s Name}. After studying your resume and background, we’re delighted to inform you that we would like to meet you and get to know you better!

We would like to invite you to an interview {at our office/via Skype} so that we can get to know each other better and learn more about the role. The interview will take {timeframe} and will entail {details of the interview}.

Please let us know which of the following dates and times work best for you.

Looking forward to meeting you!

Best Regards,

{Recruiter’s Name}

Rejected Candidates

Subject line: Your application with {Company’s Name}

Dear {Candidate’s Name},

Thank you for applying for the position of {Job Title} with us at {Company’s Name}. We sincerely thank you for your valuable time and effort.

After careful consideration, we regret to inform you that we will not be moving forward with your application right now. {Optional context why}

Once again, we thank you for your time and we greatly appreciate your application. We wish you all the best in your job search!

Best Regards,

{Recruiter’s Name}

How Application Acknowledgement Emails Affect Company Branding

As much as businesses need talents, abundant opportunities in the job market also mean that candidates get their pick of the litter too. And one thing 95% of job seekers consider is the company’s reputation.

From the details of a job ad to the letter of offer or rejection, every step of the hiring process impacts the employer branding and the overall experience for candidates, who are often the company’s very customers too.

For instance, if a candidate encounters a negative experience with a recruiter during their interview, they would be less likely to recommend their peers to apply. The same goes when their applications are ghosted without even the courtesy of a reply!

Building and maintaining a strong, positive brand presence from start to finish solidifies a business’ image in the eyes of talents and consumers, capable of attracting talented candidates. Plus, when internal employees are happy and part of an impactful experience, they’d be just as open to referring talents.

Did you know that the job interview was not invented until 1921? It all began when Thomas Edison devised a written test to assess job candidates' knowledge! Interviews have changed dramatically in the century since, particularly as technology and the industrial revolution advanced, but they remain an important part of any company’s hiring process.

After advertising job openings, collecting job applications and resumes, and screening applicants, job interviews are the next most important step in a hiring process that no employer should overlook. While the purpose of job interviews is mostly the same, which is for employers to gather information and assess potential candidates' abilities and skills before making a hiring decision, how they are conducted should be efficient and pertinent.

Nevertheless, there are some interviewers who, despite filling the variety of job positions available, are accustomed to asking the same questions and lack any originality in the interview. This could reduce the likelihood of hiring the best candidate, which may have a negative impact on attrition rates and be costly for businesses. That is why interviewers play an important role in any interview, and it entails more than simply asking questions of the candidates being interviewed, but also knowing tips on how to interview someone.

Why Is It Important To Be A Good And Effective Interviewer?

An interviewer's responsibilities begin before, during, and even after the interview session. Being a good interviewer, according to Maestro, is an important part of collecting feedback from users, learners, and partners. When done correctly, asking questions and listening can help you build empathy with your audience, while also gathering valuable intelligence that can help your organisation move forward.

Furthermore, being a good and effective interviewer is significant because the interviewer's behaviour and actions reflect the company's image. Since the interview is usually the first time an interviewee meets someone on behalf of the company face-to-face, the interviewer's demeanour will leave an impression on candidates. They could make assumptions about the company's work culture, environment, and morality.

Sometimes, just from the interview, candidates can decide whether to accept the position offered or to remain loyal once they begin working. Being a good interviewer can even have a positive impact on an employee's attitudes and job performance, as MarketSplash pointed out that potential candidates' experiences and attitudes form during the earliest stage of interaction with potential candidates. Not only that but the interview time should be spent wisely to find and choose the best candidate.

So, What Constitutes A “Good And Effective” Interview?

It's well understood that during an interview, the interviewer will have the opportunity to obtain critical information from the candidates, while the candidates will have the opportunity to express their experiences and what qualifies them for the job position applied for. However, how well the interview goes and how successful the information obtained is all dependent on the situation of the interview and interviewer.

What matters most for any company, in addition to having a good and effective interviewer, is to know how to interview well. So, what factors would lead to an interview becoming good and effective? Let's take a look at some of the key qualities that should be highlighted during a job interview:

12 Tips That Interviewers/Hiring Managers Can Implement To Improve Their Interviewing Skills

Interviews can be nerve-racking for both the interviewer and the interviewee. However, as an interviewer, you have command of the situation and should take the initiative to lead the way. So, you're ultimately responsible for whether or not the interview goes well. When the interviewer is effective, even the most anxious candidate may occasionally become composed and more ready to engage in conversation and answer questions.

Given the important role that interviewers or hiring managers play during interview sessions, it's crucial to know how to be a good interviewer. Here are some interviewing tips and techniques to help you improve your interviewing skills, learn how to interview candidates, and make your interview sessions more gainful and productive:

1) Preparation is key!

Make sure to conduct the necessary background checks on interviewees before any interviews. Examine the application, resume, and cover letter, if one is included, of the candidate. Utilise the information to not only plan your questions but also to consider how you can establish a connection with the applicant and make them feel at ease. Although you must do your best to prepare, be careful not to over-prepare because there are times when you simply must be flexible and adapt as you interview the candidate.

2) Structure each interview well

There should be a framework – sort of like a script that serves as a compass – for an interview to go well. When you're in the flow, it will be simpler for you to know where to begin, when to ask questions, and how to be more organised to record responses. Most importantly, before anything else, make a brief introduction to the candidate and/or engage in light conversation.

3) Pay attention to questions prepared

As an interviewer, you must prepare questions that will allow you to learn more about the candidate's background and professional experience. Make sure to ask clarifying questions to gauge details that will help you decide whether or not to hire. Avoid asking candidates leading, hypothetical, or silly questions that could confuse them or make them react negatively.

4) Control of anger and aggression

When conducting an interview, these two actions are unacceptable. Before you enter the interview room, make sure you take steps to control any aggressive or irrational behaviour you might have when circumstances are different from what you had anticipated. Remember that what you say and how you act says a lot about you and the company, so try to stay cool, calm, and collected at all times. This is one of the most important aspects of what makes a good interviewer.

5) Avoid any bias and prejudice

It's more likely that you will make an uninformed decision if you feel this bias and prejudice toward the interviewee. Maintain a neutral attitude throughout the hiring process, from the time you review the application and resume to the time you hire. Bias and prejudice can also be avoided by interviewing candidates in groups or by conducting a phone screening first.

6) Take notes along the way

You will likely conduct interviews with multiple candidates for various positions, making it challenging to keep track of and recall everything that each candidate says. Therefore, make sure to always take thorough, well-organised notes during the interview so you can later review and compare the specifics. When you take notes, you can also get creative and pose inquiries about the information the candidates just provided.

7) Be empathetic towards the interviewee

Tips for interviewing someone include having an empathetic attitude that will serve you well when dealing with interviewees or anyone else for that matter. Being emphatic means paying more attention, being fully present, and expressing gratitude to the candidate. By doing so, you demonstrate that you're considerate of the candidate's thoughts and can contribute to the formation of trust.

8) Encourage candidates to ask questions

Candidates almost always have questions during the interview, but they frequently hesitate to ask because they are unsure of how to phrase them, afraid to offend the interviewer, or simply nervous. Let the applicant know that they are welcome to ask any questions they may have about the company, the business operation, the job position, or work there in general. By encouraging candidates to ask questions, you can learn more about their personalities and interview preparation.

9) Be attentive to what the interviewee says

As much as candidates are unaware of what questions you will ask as the interviewer, you're also unsure of how they will respond and provide feedback to certain questions. Pay attention to the interviewee's words so you can ask questions that are pertinent to what they are saying and they will know you're paying attention to them. Candidates are more likely to relax and be amiable when they see that you're listening to what they have to say.

10) Close the interview in a professional manner

Don't leave the candidate hanging after the interview is over. Describe what will happen next and when they will hear from you regarding your hiring decision, as well as whether you will require the candidate to provide any additional information or documents. You could also give the interviewee a tour of the office to show them what it's like to work for the company.

11) Practice makes perfect

The more interviews you conduct, the more at ease you will become and the easier it will be to prepare for one. Furthermore, you will be interviewing a wide range of candidates, so you will learn how to deal with any unexpected events from them. Aside from that, you can practise interviewing friends or colleagues to see where your questions and script can be improved.

12) Learn from your mistakes

During the interviews you conduct, mistakes and inconsistencies are likely to occur. Don't be upset by it; instead, view it as a learning experience. How do you know if you've made a mistake? If you make a mistake, you might realise it yourself. If not, you could get feedback from anyone else in the room interviewing with you, or you could personally ask the interviewee what you could do better. After the interview, you can follow up with a phone call or an email.

Check-Out This Checklist For The Interviewer To Refer To

Interviewers who arrive unprepared run the risk of coming across as uninterested and may struggle to conduct the interview effectively. Finally, they might hire an unsuitable candidate because they misjudged the quality of the interviewees. So, before you walk into any interview, get the following items on this checklist ready at least a few days or hours before the session:

  1. Read: Read and print a copy of the applicant's resume for use as a reference during the interview.
  2. Review: Examine any work samples that applicants may have provided (this is especially crucial if you're hiring writers or designers)
  3. Check: Double-check the job description to ensure that you can talk about the role and its requirements.
  4. Prepare: Make a list of questions to ask that will provide useful details and information to assist in the hiring decision.
  5. Refresh: Refresh your understanding of the goals and organisational structure of your company as well as the perks and rewards associated with the position you're hiring for.

(Source: Resources for Employers)

Finally, Take Advice From A Three-Year-Old!

What exactly does that imply? During the interview, keep asking candidates the "why" questions multiple times. his method, which, as Maestro mentioned, is popular with many three-year-olds, was developed at Toyota Motor Company and was instrumental in assisting them in developing their continuous improvement approach to manufacturing. While it may appear awkward, repeatedly asking "Why?" can lead the conversation down the path of identifying the problem's underlying cause.

No matter how many times you conduct interviews or if it's your first time, make sure to give it your all to become the best interviewer out there. Once you have the skills and can conduct interviews well and effectively, you'll be able to quickly sift through the applicants to find the top candidates for the company!

Being a hiring manager is no walk in the park. You'd basically need to pick the candidates who would fit the job role criteria and company culture. It can be a hassle initially; you comb through hundreds, if not thousands, of applicants, make a shortlist of the top few you think might fit, and then commence the process of setting up the interview sessions. 

Even if all goes well and the candidate you choose agrees to come on board, six months later, you’re processing his/her resignation. Not a nice situation to be in, right? Especially after you thought this person would stick around for the long haul.  New hire turnover is real, and unless you find ways to counter this, you might have to rinse-and repeat this situation until you find the right person who's able to stay on. Don't believe us?

TeamStage released a number of statistics regarding employer turnover in America, and found that 31% of new hires end up quitting or leaving within the first six months of working. Out of that number, 68% of them resigned within the first three months of working. This sentiment was echoed by Forbes, which reports that 20% of new staff tend to leave only after 45 days into their new work. Finally, over in Singapore, a poll involving over 600 working professionals conducted by NTUC LearningHub in 2021 found that one in four people are likely to quit their job and seek prospects elsewhere.

What Can We Do About This?

As hiring managers, the stats mentioned above can induce some fear when trying to bring on or keep a new hire in the company. But fret not! Below is a hiring process checklist created for all recruiters to refer and use. Should you follow this checklist, you might just have a better peace of mind when it comes to hiring or keeping the right candidate who'll want to dedicate his/her time to the company for a longer period.

1) Prepping and starting the hiring process

2) Pre-game and tackling the first week

3) The first 3 months/probationary period

Prepping And Starting The Hiring Process

1) Preparing and advertising the job position

At this stage, you’ve already identified the resource shortage in the company, and what job scope would solve the problem efficiently. That, or the higher ups have already given you the direction to secure a new employee. You'll need to create a job description, which will then be converted into a job ad that's shared to the world of talent. 

Make sure that your job description contains the correct title, summaries, and expectations. Also (we cannot stress this enough), do specify the exact duties and responsibilities required by your company for this vacancy. 

One of the reasons why it was mentioned earlier that 20% of new hires leave within 45 days of working, is that they were confused had misinterpreted the actual work that was required of them.

You can post your advertisements on social media and job platforms, or you could opt to enlist the services of a recruitment company like GRIT, who'll not only help you source and onboard the right talent in the shortest timeframe possible, but will also present you with a curated list of pre-screened candidates for review.

2) Shortlisting and interview process

Once you’ve received applications, you can start the process of separating the wheat from the chaff. First, establish that they meet the minimum requirements for the company, then work to filter for all the candidates that seemingly have more qualities that they could bring to the table (such as additional certifications or a well-balanced portfolio).

Set a proposed interview date with the candidates and if agreeable, it's time to run the actual session! By then, you should have your materials ready for the interview, as well as any questions and concerns you want to clear with them (gives you the opportunity to observe them in real-time too!). 

Make sure you clearly inform the candidates about the duties and responsibilities to be carried out, as well as any other ad-hoc duties and expectations of the company's other departments. Finally, don’t forget to ask them if they have any questions about the vacancy, and address their concerns to the best of your abilities.

3) Candidate Selection

Now that the interview sessions are finally over, you can breathe easy. 

Or so you thought! The hard part actually begins now. 

Before finalising your selection, make sure you’ve conducted thorough background and financial checks on them. You don’t want any hidden secrets or caveats coming out, and ruining the company’s and your reputation. Once you’ve selected the candidate(s) for the company, contact them to give them the good news! Usually, a phone call and a follow-up email should suffice. You can now move into the onboarding process of your new hire.

Pre-game And Tackling The First Week

1) Policies and paperwork

Now, in the weeks leading up to your employee's first day on the job, you want to make sure all the relevant paperwork is completed, and the rest of the company is ready to receive the new person. 

Usually, employees need to fill out tax forms, employee identification forms, and provide a copy of their personal identification for the company to process. On your end, you'll need to draft an offer letter of employment and employee work contract. All you need to do is to send and request for the filled-in forms via email (it's easier and faster), instead of asking the new hire to come to the office with his/her documents. 

On the first day of work, you should get your new employee familiarised with the company’s policies and practices, the working hours and culture, any on-site SOPs, as well as specific work ethics practised in the office. It's going to take some time for them to adjust, but it's best if they know from the start.

Read more: What Is A Work Culture, And 8 Tips On How To Create a Positive One!

2) Creating accounts and sorting tech

Depending on the job you’re hiring for, you’ll likely need certain equipment or supplies. Have them all prepared and ready, so your new hire doesn't have to go running around like a headless chicken trying to get a hold of things from various departments.

Some companies require their employees to have a payroll account. This consolidates their pay, benefits, claims, and leave. Have that set up alongside the equipment and supplies. You don’t want any hindrances in the work progress.

3) Take the tour, general meet and greets

On their first day, take your staff on a guided tour of the company. Show them the relevant departments, as well as respective people in charge and location, where they can catch their breath for 5 minutes. Don't forget the more minor details like parking and access to the building. This allows them to hit the ground running, and not get overwhelmed with the new environment. Along the way, introduce them to their fellow co-workers who are already in the office, and if possible, secure a one-to-one meeting with the CEO. This will add a personal touch, and make the employee feel that he/she is wanted by the company.

And before we forget: Toilets. Make sure they know where it is. Absolutely essential for EVERYONE to know, especially on their first day!

4) Hands-on assignment

The first week is going to feel like hand-holding, but it's necessary. You'll need to check on them a little bit more than usual compared to the regular staff. When delegating assignments, don’t put all of them on your new staff. 

Give them one or two at a time, and monitor their progress from there. They’re definitely not going to get it right on their first few attempts, and you may need to step in and help out every now and then, but it's worth it.

It gives your employees the sense that you care about their professional well-being, quality of work, their ability to fit in and feel like they belong, and that you’re willing to help as well. 

After The First 3 Months/Probationary Period

Employee Review and Consistency

After three months, or however long your company’s probationary period lasts, it's always prudent to have a sit down with your new staff for a progress update. Getting to know where their progress and perception is at after three or more months will tell you if he/she is likely to stay for the long haul. 

At the same time, you can go over any improvements or take note of anything special your staff has done during their probationary term. This gives employees a sense of belonging and validation for their hard work, and will spur them to continue to give their best to the company. It’s a win-win situation for all.

Now Is The Time To Make Improvements In The Recruiting Procedure

Now, if you follow this comprehensive new hire checklist, the chances of you losing your new employee drop significantly. It's never easy to hire new talent, much less keep them. A great onboarding experience can nurture engaged, productive employees who'll stay in your company.

There's this humourous phrase which goes: "Husbands, keep your wives close; wives, keep your husbands close". And companies? KEEP YOUR EMPLOYEES CLOSE (especially the skilled and good ones).

If you're looking for a comprehensive onboarding solution that will take care of everything from policy and procedure manuals to supplying the necessary tools and supplies, contact us! We'll work with you to develop a custom onboarding programme that's tailored to your specific needs, and will help get your new employee up to speed quickly and smoothly.

We understand that, as an employer, you wouldn't willingly lay off an employee, especially after the long and difficult hiring process at selecting the right candidate for the role. However, involuntary employee turnover isn't something that we control. That's why it's important to write a good, clear, and reasonable termination letter to the employees you'll have to let go.

A termination letter, also known as a letter of separation and contract termination letter, is a formal notice of letting the employees know that they’re being dismissed from their current position. This letter typically contains information regarding the reasons for their dismissal, benefits, or compensation that they may receive, the date of their final paycheck, what the employees should do, and other relevant details about their termination. 

Sending a termination letter is a common practice when you’re officially dismissing an employee from your company, as a sign of respect and professionalism. 

Why Are Termination Letters Important?

The termination letter is typically written when involuntary turnover happens to an employee. However, regardless of the reasons you’re letting go of that employee, it's needed to show your professionalism, which helps maintain a good reputation and provide a record of events for your company in case of legal disputes. 

Handing your employees a letter of termination when they’re dismissed from their current job is also a sign that you respect them for their time of service. Not only that, but by providing a notice of termination of employment, you allow your employees to have the ample time needed in preparing for their next steps. 

How To Write A Respectful Termination Letter?

Since termination letters are written and sent to employees to inform them of their release of duty, the letter needs to include the reasons for their dismissal. Below are explanations as to why a termination letter may be issued to an employee.

1) Without cause (downsizing or market related)

An employee may be laid off without cause due to the company’s decision in downsizing as well as larger market factors. This type of termination is typically unrelated to the employee’s performance or workplace behaviour. 

2) With cause (performance or behaviour related)

An employee can also be laid off because of their poor performance or bad workplace behaviour. However, do note that employees should be given warnings or chances to better their performances and behaviours, before a letter of termination is issued.

3) End of contract

This type of termination happens when a company or an employer decides to end business relations with the other party (the employee) they previously signed a limited-time contract with.

Things Employers Need To Pay Attention To

It’s for the good of both parties when an employer decides to end the employment relationship with an employee peacefully, in order to reduce the risk of lawsuits. Hence, it’s always good to write the letter of termination in a respectful and polite tone. However, to properly sign off an employee, below are the things you should pay attention to.

1) Refer to the employment act

It’s wise for a company to refer to the employment act before laying off an employee. Especially for multinational companies, as different countries or states may have different employment acts. The last thing you'd want to do is wrongfully terminate your employees, which may result in potential lawsuits. 

2) Consult a lawyer

Besides having to go through the employment act, you should also read through the employment contract that both parties signed. This may be a tricky process when you lack the technicality and expertise to do so. This is why we recommend you consult a lawyer to ensure that you’re legally allowed to terminate your employees, and are in compliance with the employment laws and policies. 

3) Decide on the last day

It would help if you also decided on the last day of employment for the employees you’re dismissing with your Human Resource Department to ensure that ample time is given for the benefit of both parties

4) Proper compensation

In your letter of termination, you should explain how the employee’s benefits and compensation may be affected once they’re dismissed from your company. Take this chance to let them know what will happen to their life insurance, retirement funds, and healthcare benefits. The termination letter should also make note of the severance pay, payment for unused annual leave, or other payment owed

5) Refer them to other employment opportunities

If you’re laying off an employee for reasons unrelated to their performances and behaviours, referring them to other job opportunities will be a good gesture. You can also write them a good referral letter to increase their chances of getting hired in their next job

6) Include HR contact details

Before their official last day of employment, you need to assign them a specific HR representative by including the representative’s contact details so that they can ask questions related to their termination, including compensation, benefits, and other information

7) Formally inform them 

Last but not least, as a responsible employer, it’s only right for you to arrange a brief meeting with the employee to formally inform them of their dismissal before sending them the official letter of termination.

Here Are Some Termination Letter Templates

1) Termination letter with a cause


Dear [Name of employee],

This letter is to inform you that your employment with [Name of company] will be terminated as of [date of termination].

On [date of event], [cause of termination]. We provided you with a formal warning letter regarding the violation you have caused against our company’s policy.

On [date of event], [cause of termination]. You received a second warning letter and were informed that the third warning letter would result in your dismissal. 

On [date of event], [cause of termination], thus resulting in your termination.

Kindly be informed that your last paycheck will be mailed to your address at [employee’s address]. Your healthcare benefits will also remain in effect for [number of days] from your termination date. 

We request for you to return [company’s belongings] by the end of [date].

Please keep in mind that you have signed a non-disclosure agreement, which is attached for your review.

Should you have any questions regarding your details of termination, including compensation, benefits, and policies, please contact [name of HR representative] at [representative’s email] or [representative’s phone number].

[Your name]

2) Termination letter without a cause


Dear [Name of employee],

This letter is to inform you that your employment at [name of company] will end as of [date of termination].

For the past few months, [name of company] has faced financial difficulties due to the lack of work in our industry. We have tried our best to increase the need for labour, but unfortunately, our efforts have yet to bear any fruits. 

As a result of that, we have concluded that a total of 20% of our workforce must be reduced. We are regretful to inform you that your position is a part of this reduction, and this decision is final. 

You will receive your final paycheck after your last day with us, including the payment for the remaining annual leave. You will also receive a severance payment of [amount]. Please sign and return the attached claim document to ensure you collect this. 

Your healthcare benefits will remain in effect for [number of days] from your termination date. 

You are requested to return [company’s belongings] on your last day of employment. 

Please keep in mind that you have signed a non-disclosure agreement, which is attached for your review.

Within a week, a representative from the Human Resource Division will contact you to discuss details regarding your benefits. Should you have any questions regarding your details of termination, including compensation, benefits, and policies, please contact [name of HR representative] at [representative’s email] or [representative’s phone number].

Kindly accept our sincerest appreciation for your contributions during your time with [name of company].

Best regards,
[Your name]

Ask Yourself Some Of These Questions Before Making A Decision To Terminate Someone

1) Did his/her recent evaluations on their performance support the need for termination? Or does he/she actually have one or more evaluations where they actually meet or exceed expectations? If so, what has changed?
2) Have you clearly notified him/her of the issues that arise with their behaviour and/or performance? Have you also given him/her a fair chance or reasonable opportunity to correct the problem(s)?
3) Have you given fair warning to him/her that his/her job is in jeopardy?
4) Have you tried to discover and consider the employee’s reasons and side of the story?
5) Do you have adequate documentation to justify your decision for a termination?
6) Could you make an alternative decision, such as a transfer or a reassignment of him/her?
7) Is terminating him/her consistent with how you’ve treated other employees in similar circumstances?
8) Have you thoroughly and carefully investigated all the relevant facts?

It's always flattering when you're asked to draft a referral letter by your former employees, co-workers, or even students and supervisees. Agreeing to write a letter of referral for someone you've worked with can be seen as a gesture of appreciation, and shows how much you greatly value the bond created while working together. 

Now, this may sound like an easy yet honourable task that one can do for another person to help with their future endeavours. However, exercise some caution because it isn't as easy as you might think. We're sure you wouldn't think that it would be much of a problem until the moment you need to start... and realise that you don't have any idea how to. Fret not, we've got just the guide for you, so that writing a referral letter is no longer a stressful event!

What Is A Letter Of Referral, And Why Is It Important?

A letter of referral, also known as a recommendation letter, is a document you need to provide as a part of the hiring process for your job, or internship. The referral letter is usually written by someone you've worked closely with, and have a positive workplace experience together. It typically spells out the applicant's qualities, skills, characteristics, and explains why they're the right fit for the job they're applying to. 

So why is the referral letter so important? A simple document can make an impact on the hiring manager, especially when it's needed as an employment verification for the job they're applying to. When a referral or recommendation letter is handed to the hiring managers, along with the applicant's resume, it shows how much someone is willing to put in the time and effort to write a good referral letter for the applicant. Hence, with the letter of recommendation, the hiring managers are able to see how the applicant is thus capable of making positive interpersonal relations with their co-workers and bosses.

What To Include In The Referral Letter?

Now, back to the initial question. If you're asked to write a reference letter for your ex-colleague or former employee, how exactly can you craft a really good one to increase their rate of success in getting hired? 

1) Contact information

You should always start writing the letter of referral using the business letter format, which usually begins with your address, contact information, the address of the recipient, and the date at the very top. 

2) Brief introduction

Next, you should begin your letter by briefly introducing yourself in the first paragraph. It's good to share a little bit of yourself, but this letter's recipient shouldn't need to know about your entire life story! Just include what you do, your area of expertise, your relationship with the applicant, and how long you've known the applicant. This is sufficient for the hiring manager to know you, and why you're significant to the candidate. But before that, it's better if you address them using "Dear [Name]" instead of "Dear Sir/Madam" or "To whom it may concern." The latter two should only be used if the name of the recipient is unknown to you.

3) Overview of the applicant's strengths with references

Your next paragraph of the referral letter should describe the applicant's strengths and your judgment upon the applicant's qualities, skills, and characteristics. In this section, it's best to start off with a list of the applicant's strengths you would like the recipients to know about, and choose two or three out of the list and elaborate further. If you're able to relate these strengths to the new role's job description they're currently applying for, all the better. 

To further highlight the applicant's strengths, specify the situations where you observed the him/her using the skills you've mentioned in solving problems or handling situations. It would be best if you tried to include one or two sample scenarios to back up your statement. It'll certainly strengthen the credibility of your letter of referral. Suppose you're wondering what type would be good to be included; we recommend any information or contribution made by the applicant, such as sales numbers or resolved issues, which should be enough to make a big impression on the hiring managers.

4) Closing remarks

Right after explaining and describing the strengths and experience you've had with the applicant, you should now head to the closing paragraph. This paragraph will summarise why you think the applicant would be a good fit for the available job role. It would be very effective if you mentioned why you believe the applicant would be an outstanding addition to their team, and how you greatly appreciate their time spent in your company. Lastly, let the recipient know that you're open to any queries if they have anything that they would like to clarify. 

Still a little unsure how to begin? The following are samples of a well-crafted referral letter to serve as a template for your reference! 

Referral Letter Sample #1: Digital Marketing Director/Manager

[Your name]
[Your company]
[Your address]
[Your contact information]


[Recipient's name]
[Recipient's title]
[Recipient's company]
[Recipient's address of company]

Dear [recipient's name]

It is my pleasure to recommend Mr/Ms [applicant's name] for the position of digital marketing director in your company. I am [your name] and am [your position] at [your company or institution]. I first met Mr/Ms [applicant's name] at [name of the company] back in [year] while he/she was working as the digital marketing director trainee under my supervision. During his/her time as a trainee, Mr/Ms [applicant's name] proved to be a remarkable and diligent person by excelling in every task given to him/her, and was quickly promoted to the position of digital marketing director.

He/She is also passionate at work, quick at learning, hard-working, and is a very dynamic staff. Mr/Ms [applicant's name] is always keen to take on new responsibilities and challenges, while at the same welcoming constructive criticism and feedback. For instance, there was a time when our company was in a busy period, Mr/Ms [applicant's name] willingly volunteered as the candidate for a crucial position. He/she impressed all of us in the company with his/her remarkable performances. 

I'm of the utmost confidence that Mr/Ms [applicant's name] would be valuable to your team and company, as he/she was to ours. Please do not hesitate to contact me if you have any additional questions about him/her.

[Your name]

Referral Letter Sample #2: Senior Software Engineer

[Your name]
[Your company]
[Your address]
[Your contact information]


[Recipient's name]
[Recipient's title]
[Recipient's company]
[Recipient's address of company]

Dear [recipient's name]

I am [your name] and am [your position] at [your company or institution], and it is a pleasure to recommend [applicant's name] for the position as a senior software engineer at your company. I used to be [applicant's name] immediate supervisor here at [your company or institution], and our professional relationship lasted for [number of years]. [Applicant's name] has performed remarkably well during his/her time here, but it was unfortunate that our company has no room for career advancement for him/her at this time. As [applicant's name] wishes to move to a larger company with more challenging tasks for career growth, I fully support him/her in his/her endeavours to climb the corporate ladder. 

[Applicant's name] is very passionate about writing code and has never failed in solving clients' problems by developing creative and innovative software. He/she is very vocal about his/her software ideas, and is also keen to accept any constructive criticism about his/her ideas, which undoubtedly explains why he/she is able to improve in such a fast-paced manner in our company. [Applicant's name] is also very responsible in turning in quality work; he/she will make sure to cross-check each and every piece of software before turning it in to the client and has never missed a deadline. He/she shows flexibility during his/her time here, and is able to comprehend instructions quickly when changes have been made to the original plan. [Applicant's name] is also a good communicator and works exceptionally well with colleagues and clients. 

During his/her time here at [your company's name], [applicant's name] has [provide the number of tasks/assignments solves, and sample of ratings from clients]. 

I genuinely believe [applicant's name] is the best candidate for the senior software engineer position at [recipient's company]. I am confident that he/she can exceed any challenges you give, making him/her a valuable asset to your team. If possible, I would have liked to retain [applicant's name] at my company, but I respect his/her wishes and hope for the best in his/her future endeavours. Please do not hesitate to contact me if you would like additional information. 


[Your name]

Things You Should Take Note Of Before Crafting A Referral Letter

Mistakes are bound to happen, and everyone has a history or past you shouldn't be bringing up. So, make sure you avoid mentioning the applicant's weaknesses or saying anything that could be perceived as libel. 

Remember when we mentioned that the letter of referral is to be written in a business letter format? This means that you should avoid writing in an informal manner, which includes making jokes, using slang, or casual language.

And most importantly, make sure to double-check the recipient's information, the references you've included, and the written language, in order to avoid making any spelling mistakes or typos. Follow these few tips, and you'll be on the way to writing them a letter of referral that's professionally crafted AND will make a good impression!

At GRIT, we believe people look for opportunities instead of jobs in this new era of work. We focus on in-demand Digital and Technology roles, where we intelligently match outstanding talent to some of the most groundbreaking companies in the industry. Find us doing what we do best globally at our offices in Singapore, Hong Kong, Malaysia and Germany.
Connect With Us
© 2023 GRIT Search Singapore Pte Ltd. Reg. 201931701Z. EA Licence 20S0054. All rights reserved.