In March 2021, 9.7 million Americans were unemployed. Although the unemployment rate has slowly edged down to 6%, the rate is still significantly higher than its pre-pandemic levels making background check turnaround time more important than ever.
The challenge presented now is why are businesses still struggling to fill open positions?
In the past year, there has been a steady increase in monthly job openings. Monster conducted a survey that found 87% of employers are struggling to find qualified employees. Many business owners have shifted the blame for this challenging hiring environment from the COVID virus to the extension of federal unemployment benefits.
Why do companies need to hire faster?
Considering the current hiring crisis, the most qualified candidates are in high demand and are likely to receive more than one job offer. A company’s decisiveness in the hiring process is critical for landing the best candidates.
Faster hiring does not mean that a company should abandon its hiring standards. It just further re-iterates that a CRA’s background check turnaround time is essential.
Benefits of Faster Hiring Practices
1. Reduce Total Financial Cost
On average, ⅓ of job vacancies are open for a month or longer.
It is estimated that over $160 billion is wasted each year on businesses failing to hire new employees in a reasonable window of time. Waiting too long to hire applicants can also result in a bidding war, which means higher salaries.
2. Secure Highly Skilled Employees
The best candidates are not willing to wait around.
The standard amount of time for new college graduates to receive an official job offer is 25 days after their initial interview. The current labor shortage is making recruiting even more competitive, so it is crucial for managers to secure top applicants.
3. Gain a Competitive Advantage
Hiring faster enables you to hire the top applicants before your rivals do.
The longer the hiring process takes, the more time candidates have to interview elsewhere. By acquiring the most complete candidate records, hiring managers have the ability to see the bigger picture and make better hiring decisions.
Why does turnaround time matter?
By speeding up a company’s hiring process, you are enabling it to receive better response and acceptance rates from its top candidates. If your screening process is delayed, then your clients may go somewhere else or even forgo some of their screenings altogether.
Promptly returning background checks to assist companies in making their hiring decisions will increase customer satisfaction and encourage customer loyalty.
How do CRAs decrease their turnaround time?
CRAs can decrease their turnaround time (TAT) by investing in the freshest, most accurate, complete, and full coverage data. Reduce the amount of time spent double-checking data accuracy by implementing the most comprehensive product suite.
Learn more about our extensive product offerings and decrease your background check turnaround time today with Tessera Data!