Internal Recruitment Disadvantages

Some companies are still hesitant and afraid of the idea of internal recruitment, despite the fact that many business entities are now focusing to this kind of recruitment approach. A lot of employers are still not aware of the nature and importance of internal recruitment.

First of all, internal recruitment lessens the cost and time of the company. “Companies who hire internally,” writes Schawbel (2012), “save money on recruiting fees, training, the opportunity cost, of not having the position filled, advertising (on job boards), referral bonuses (at some companies), travel and relocation costs. Recruiting internally plays a huge role in the efficiency and effectivity of the company. Furthermore, advertising, according to Slezak (N.D), in

It would be very costly to advertise at different newspapers, magazine and websites. Lastly, the HR professional’s payment when conducting the initial interviews. (Root, G. N. III.

Advantages and disadvantages of internal recruitment.http://smallbusiness.chron.com).

Hiring

internally would be more favorable for the company especially to its financial aspect.

Second, Internal recruitment improves the morale and self-development among the employee.

A company that promotes internally, increases the royalty and morale of employees; therefore, there will be less expense on future recruitments and retention of key talent. Employees are motivated to work harder knowing that their efforts are value and that they will have an opportunity to be promoted.

(Katie Guiney, The case for internal or external recruitment). Hiring internally creates motivation for employees and is the key for employees to be lenient, loyal and responsible within the organization.

Knowing that they would have a huge chance of being promoted.

As Root admits, “When you promote from within or fill new positions with internal candidates, there is

Internal candidates have already been registered in the company and is already familiar to the different arrangements and structure which is accompanied to it.

In the article, “The Case of Internal or External Recruitment”, Guiney writes that the internal candidates is familiar to its nature, the company itself already knows the employee’s strengths and weaknesses.

This familiarity reduces potentiality negative variables in new employees whether the employee will be a good fit for the company. It would also be a faster recruitment process for the new position. The internally hired employee would know the strengths and weaknesses of the company, he or she would be able to help reduce the company’s dilemma on handling these negative aspects.

In summary, internal employees have an inclination to different knowledge and colleagues which they are familiar of. There is a study that external employees are paid higher but performs less than internal employees that makes it disadvantageous. (Dan Schawbel, The Power Within: Why internal recruiting and hiring are on the rise). Internally hired employees are rather familiar with important factors for the development and productivity of the company, an example would be is the employee is familiar with