ST. LOUIS, June 19, 2019 /PRNewswire/ -- All talent and HR
teams share a similar mission, finding the best candidate for each
open position. They also face a similar challenge, finding
candidates with staying power. According to analysis released
today from Equifax, employers who use pre-employment verification
of a candidate's work history have the advantage. With a
comparative tool in the mix, the analysis shows both a lift in
one-year retention rates and a corresponding reduction in
cost-per-hire.
The Equifax analysis, conducted by the Workforce Solutions
business unit, revealed that for some employers, verifying
employment history could lift one-year retention rates as much as
45 percent higher on average than their peers that don't. The
analysis shows notable increases in one-year retention for
employers that use pre-employment verifications in traditionally
high-turnover positions and industries including hospitality (25.1%
improvement in one-year retention), administrative (26.9%), retail
(18%) and manufacturing (17.1%).Gains were also seen in positions
that often require certification and training, such as healthcare
(7.6%) and transportation (6%).
"Many HR and Talent departments rely on applicant-reported
information and don't have an automated way to easily or discreetly
fact-check work histories," said Jan
Johnson, VP for Talent Solutions Product Management at
Equifax Workforce Solutions. "With the data available in our
Pre-Employment Verification solution, we're able to help increase
the accuracy of the applicant information so they can make better
candidate decisions, improve the quality of hires and focus on
growth."
With low unemployment, recruiting teams can be hard-pressed to
deliver a viable candidate pool. A verified work history helps
provide a more thorough view of relevant experience for open
positions and helps employers compare information to identify
candidates that are better suited for the position and the
business' culture. It also helps hiring managers spot red flags in
a sea of auto-populated and manually uploaded resumes and social
media profiles.
The cost benefit of making better hiring decisions can also be
significant. In high turnover industries, stretching tenure even a
few weeks can net significant savings. For example, one national
retailer with nearly 175,000 new hires each year estimates a
savings of $3.9 million annually
using employment verification during the recruiting phase. With
verified work history to help optimize the candidate pool, the
retailer saw an improvement in length of tenure from 4.5 months to
4.7 months. That 2-week improvement in retention created big
savings over the course of a year.
The Equifax analysis sampled 1,800 organizations across 18
industries with at least 500 new hires over a set two-year span and
compared those that use Pre-Employment Verifications data and those
that did not.
About Equifax
Equifax is a global data, analytics and
technology company and believes knowledge drives progress. The
Company blends unique data, analytics, and technology with a
passion for serving customers globally, to create insights that
power decisions to move people forward. Headquartered
in Atlanta, Equifax operates or has investments in 24
countries in North America, Central and South
America, Europe and the Asia Pacific region. It
is a member of Standard & Poor's (S&P) 500® Index, and its
common stock is traded on the New York Stock Exchange (NYSE) under
the symbol EFX. Equifax employs approximately 11,000 employees
worldwide. For more information, visit Equifax.com and
follow the company's news
on Twitter and LinkedIn.
Contact: Kristi Kovalak,
314-214-7107
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SOURCE Equifax Inc.