Global Talent Metrics, in partnership with i-mint, a rewards programme, on Tuesday launched an online employee referral sys tem called Starreferral. The sourcing system promises recruiters access to even passive candidates at a lower cost. Passive candidates don’t post resumes on job boards.
Once companies register with the programme and post job requirements, the system will scan an initial database of five million — mainly i-mint members — for suitability, profession and experience levels. A qualified group will be sent invitations to refer candidates.
Those referring potential employees can earn rewards points which can be exchanged for gift vouchers, jewellery, household appliances and electronic good among others.
While people volunteering references can earn, Starreferral’s corporate customers gain in multiple ways, the company says.
“Firstly, it eliminates the complexities of dealing with cash disbursements. Secondly, cost per hire can be as low as 60 per cent compared to traditional methods of hiring, since infrastructure costs are nil,” said the chairman of Global Talent Metrics, Cabot Jaffee.
The logic for ‘referrals’ is quality of the hire and is widely used by the industry.
Over a third of new hires at Cisco come from employee refer rals, for instance. “Referrals help the company source information from a reliable source – an employee. The candidate also has a basic awareness of the company’s work expectations and HR practices from the person who has referred him,” says Subash A.K.
Rao, director of human resource with Cisco India.
By extending the system to people outside the organisation, a firm can get many more quality references.