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Hiring Employees on a Trial Basis? Read This!

Hiring Employees on a Trial Basis, Employee Management, Small Business, JamieVC, Jamie Van Cuyk Consulting

Have you ever thought about hiring employees on a trial basis? In other words, you would hire multiple people for one position, put them all through training, and then only keep the top performer.

It’s a hiring method that I have heard several people suggest or inquire about lately. Have you ever considered it, or is it a part of your hiring process?

If hiring employees on a trial basis is part of your hiring process, or you are considering it, stop immediately. It is an ineffective hiring process that company time and money resources.

 

Why You Should Not Hire Employees on a Trial Basis

When you follow an effective hiring process, you should not have to depend on a trial period to determine if somebody is the right fit.

When you bring multiple employees in for training with knowing that not every person will be a long-term employee, your small business is spending a lot of unnecessary time and money.

This is because:

  1. You are paying people to learn how to do a job which will never be given a chance to produce a return for the company.
  2. It takes more time to train a group and evaluate the progress of all individuals than it does to teach someone one-on-one.
  3. The time you or an employee spends training the group over what is needed to prepare a single person is time that could be spent completing or supporting activities that directly bring in revenue.
  4. All the information you need to determine who is the best person for the job can be gathered during an effective hiring process.

 

The Why in Dollars

In case you’re a numbers person, like me, let’s add some rough dollars to point number one above. This will help you see the bottom-line impact of paying multiple people to train for one opening.

 

For this example, let’s say you hire three people for a full-time minimum wage job. They are put through a four-week training trail period. After that time, you will keep only one worker and let the other two go.

First, let’s use the federal minimum wage of $7.25. (Do know that most state minimum wages are higher.) Each employee will train 40 hours each week for four weeks.

$7.25 per hour X 40 hours X 4 weeks = $1,160 per employee

Seeing you are letting go two of the employees, you paid $2,320 ($1,160 X 2) in wages for unneeded training. This is on top of the $1,160 you paid for the employee you are keeping.

Now, let’s look at a $15 wage.

$15 per hour X 40 hours X 4 weeks = $2,400 per employee

$4,800 in wages to pay employees who will be fired.

However, remember, that’s not the only cost during that time. Someone needs to train these workers. You also need to make sure you have enough equipment, materials, uniforms, etc. for the training employees so they can properly learn. Plus, let’s not forget employee related taxes and insurance. These costs can add up quickly.

 

You Can Avoid This Cost

You might be thinking that you’re okay with spending that money because it will help you make sure you are selecting the best worker. However, this is not the most effective way.

Instead of paying thousands of dollars to train people who will never be a lasting employee, you need to learn how to leverage the hiring process. When you navigate the hiring process correctly, you increase your chances of identifying if someone is the right fit BEFORE you make a hiring decision.

When it comes to your bottom-line, you are better off spending a little more time during the interviewing and hiring process than relying on hiring employees on a trial basis.

While hiring, you should ask the right questions to help uncover if they have the correct passion and skill levels. You can also do a shadow day, have them complete case studies, or have them show their skill through testing that is appropriate for the position.

If you depend on a probationary period to make your final employee selection, it’s time to review your hiring process. To get started, download your Free copy of Effective Hiring: Checklist and Process Guide.

Stop wasting money training extra employees and use that money to take your business to the next level.

Download your FREE copy of Effective Hiring: The Hiring Checklist and Process Guide by entering your information here:

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Hiring Employees on a Trial Basis, Employee Management, Small Business, JamieVC, Jamie Van Cuyk Consulting