This Philippine Start-up Brings Employee Referrals into the Digital Age
Tapping into your employees’ network can increase the chances of getting good quality candidates
PHOTO CREDIT: Getty Images
Joel Garcia, the founder and CEO of Recruitday.com, founded a company on a single idea. He wanted to simplify the process of hiring.
“When you need someone, and need them right away, you clear your calendar just to accommodate the influx of applicants, spend hours filling out the evaluation forms, only to end up with zero qualified candidates,” he says.
Recruitday.com is Garcia’s attempt to improve the quality of candidates, and the platform does this primarily through a re-envisioning of the referral process.
According to Garcia, the number one source of quality hires for a company in any industry is through employee referrals, but the process is still largely done manually by human resources.
Recruitday.com formalizes the referral system. Employees can view which jobs their company is hiring for, as well as the corresponding rewards for a successful referral. Once an employee has someone in mind, he can refer that person in just a few clicks. On the employer side, human resources can now more easily track who referred who, which rewards to give, and when the rewards need to be paid out.
“This is also an assurance for the referrer that his rewards will not be forgotten,” Garcia notes.
Recruitday.com monetizes by charging companies access to premium features, but if firms find the right talent on the platform, Garcia believes this should be a small price to pay. Referral systems save companies time and money compared to other ways they can source qualified candidates.
“[There is a lot of research that] already show that referred applicants who get hired are a better cultural fit and actually stay longer,” he says.
One of Recruitday.com’s users is a fast-growing IT consulting company who had previously tried popular job boards and open house recruitment events. While these efforts produced a large number of applications, the number of qualified candidates was low. After using Recruitday.com, they were contacted by many highly qualified candidates — all referred by their own developers.
Garcia says employees are generally excited to help recruit fellow team members, which is evident in the tone of their posts on social media that call for applications. Their referrals tend to make the best hires because of the simple fact they are like them.
“In a company, your employees' friends will most likely have the same skill set or experience as your employees because they either came from the same company, or same college and educational background. Tapping into that network can increase the chances of getting good quality candidates for your business,” Garcia says.
In addition to the referral system, Recruitday.com also has a job board for jobseekers. They can avail of tools like Job Guide and Job Comparison to evaluate their qualifications for particular openings and determine whether they are a good fit.
“We plan to further qualify candidates by giving employers the option to require jobseekers to take a skills test on our platform as part of the application process. We are also busy cooking up a kind of ‘upskilling’ for certain in-demand skills,” says Garcia, noting this feature will be launched in early 2019.
Garcia says that the jobseeker side of their marketplace has actually been more difficult to grow than the employer side.
“Lots of people say ‘it’s tough to find a job’ but when you look at job boards, newspapers, advertisements, a lot of companies are actually hiring,” he says, adding, “What is actually difficult is finding a good fit.”