NEW YORK—With the unemployment rate hovering at 9.6%, the job market has turned out to be somewhat of a rollercoaster for many American workers. Hiring tactics, turnover rates and recruiting methods have all been affected by the recent economic recession. Following are some interesting statistics and facts about the current employment picture:
64% of new executives hired from outside the company will fail at their new jobs.
Source: Harvard Business School Press
25% of Fortune 500 managers change jobs each year.
Source: The Wynhurst Group
22% of staff turnover occurs in the first 45 days of employment.
Source: The Wynhurst Group
New employees who went through a structured on-boarding program were 58% more likely to be with the organization after three years.
Source: The Wynhurst Group
The cost of losing an employee in the first year is estimated to be at least three times the salary.
Source: Mike Russel, Organizational Development Solutions
When newly recruited, the following types of executives experienced the highest failure rates within the first
18 months:
- Senior-level: 39%
- Sales: 30%
- Marketing: 25%
- Operations: 23%
Source: Coach John G. Agno
6.2 months is the breakeven point for new managers.
Source: Monster.com
Onboarding coaching produces the greatest results when maintained for at least 3 to 6 months after the new hire
or promotion.
Source: Human Resources IQ
One-fifth of this country's large, established companies will be losing 40% or more of their top-level talent in the next five years.
Source: Development Dimensions International
The major reasons employees fail in the new job:
- They fail to establish a cultural fit: 75%
- They fail to build teamwork with staff and peers: 52%
- They are unclear about what their bosses expect: 33%
- They don't have the required internal political savvy: 25%
- There's no process to assimilate executives into the firm: 22%
Source: Coach John G. Agno
—Hedley Lawson, Contributing Editor