The advantages of promoting employees from within

On Behalf of | Dec 2, 2022 | Employment Law

Running a business is not easy even if it’s a small company. If your company is larger, then you’re going to need a solid team around you.

Your core staff consists of a capable group but there are a few management positions opening up. You’re contemplating looking for an outside hire. Another option on your mind is promoting your employees from within. Are there any benefits to this?

They are less likely to leave

Some studies indicate that up to 30% of new employees leave within the first 90 days of starting their new job. Trends also suggest that new employees are more likely to face disciplinary measures and be terminated from the company. With an already loyal employee, you could eliminate these issues. An internal promotion is likely to make an existing employee feel valued and proud of the firm. They are very unlikely to leave in these circumstances. Firing employees is a legal issue that you want to avoid when possible.

External searches aren’t cheap

Finding the brightest talent is by no means easy, or cheap. By the time your company carries out a thorough search and fills vacant positions, it may have cost you several thousand dollars. To attract external employees, you may have to offer glamorous benefits packages and bonuses that exceed anything your current staff are on. Why go through all this when you have the talent on your doorstep? An internal promotion can happen seamlessly without costing you a fortune in time, effort and money.

Running a company can be rewarding but it is no walk in the park. Having legal guidance behind you while making big decisions will help ensure that your firm stays protected.

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