a bad hire costs 1 x base salary. Reducing turnover creates huge savings for a business

1. Bad Hire Calculatorhttp://www.adpselect-info.com/badHireCalculator.html
Calculate how much a bad hire can cost your organization
Employee turnover. Lost work days. Accidents.Inefficiency. These are just a few of the ways a bad hire can damage your
bottom line. The calculator below can help you estimate the costs your company incurs for making a bad hire.
This bad hire calculator accounts for the cost of advertising the position, HR staffing costs, interviewing time and salary plus
any relocation and training costs.
Bad Hire Calculator
Cost to Advertise the Position
4
Number of ads 750.00
$ Price of each ad
placed
HR Staff Costs
25 Hours involved 44,800.00 Annual HR salary
$
Costs to Interview
5
Number of candidates 3 Number of interviewers
interviewed
40,000.00 Average salary of interviewers
$
Productivity Losses
30,000.00 ENTER the position's salary
$
Relocation Costs
9,708.00 ENTER 0 if relocation does not apply
$
Cost of Training
3 Number of months spent training
Total Cost of a Bad Hire
$ 41,795.67
*Averages were compiled from: USA Today 2004 Classified Advertising Rates; Workforce Management, March 2003: "Estimating the
Financial Value of Staffing-Assessment Tools" by Dr. Charles Handler and Dr. Steven Hunt; 2002 SHRM/EMA Cost Per Hire Survey; HR
Magazine, November 2003: "HR Compensation Special Report"; Workforce, January 2001: "The Importance of Cost Per Hire" by Barbara
Davison.
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