By Kristen Wakulchuk


You’ve probably heard a variety of statistics on the cost of a bad hire. There are many estimates, including a report by the Society for Human Resource Management (SHRM), noting that the price tag could be a quarter-million dollars or more. 

As damaging as it is, this blow to your HR budget is only the tip of the iceberg. Lurking not far below the surface is the harm that can be done to your company’s reputation and brand image as the result of a hiring mistake. 

The Collateral Damage

Bad hires often result from the need to hire quickly. To avoid cracking under that pressure, it can be tempting to cut corners, including shortchanging yourself when it comes to properly screening job candidates. But it’s like putting a Band Aid on a wound that will continue to bleed until properly treated with strong sutures. It may help, for now. But in the long term, even one negligent hire can wreak major damage. 

  • If you hire the wrong person and keep them on board, productivity plummets. Somebody has to get the job done, so if one team member is underperforming, others are left to pick up the slack. Unless you put a stop to it, this could lead to top talent leaving your organization, taking their knowledge, experience, and expertise with them. It also lowers standards for the rest of the team. 
  • Your reputation takes the hit, internally and externally. Team members begin to question management’s ability to make good business decisions. This strains working relationships at all levels and further leads people to doubt the stability and future potential of your organization. And if a subpar employee is client-facing, their actions and performance could harm key customer relations as well. 

Bad Hires = Bad Reviews

In one recent study, it was noted that 86 percent of online consumers make buying decisions based on negative reviews.  Attention to negative information is a basic human trait – and all it takes is the perception of a bad experience to turn people away. 

  • Bad reviews go hand in hand with bad hires and their aftereffects. After reading one on an employment review site, a candidate is likely to decide it’s not worth trying to land a job at your company. These negative reviews will show up during every search. In addition to prospective talent, they could scare away customers and create an overall negative association that quickly takes root and flourishes. 
  • According to marketing analytics experts at, businesses lose up to 22 percent of customers when just one negative article is found by users considering their product. If three negative articles pop up in a search, the potential for lost customers jumps to an alarming 59.2 percent. 

Good Screening = Good Business

So, how do you help protect your company’s reputation by consistently making the right hiring choices?  Chane Solutions was founded 14 years ago on that very premise. A nationwide leader in the pre-employment screening and drug testing, we provide the fastest and most accurate reports possible while remaining fully compliant. Our team members have decades of experience and they’re ready to put it to use for you. Check out our customer testimonials or contact us today to learn more. 

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