Referral bonuses skyrocket as staff shortages rise
With the shortages in the labor market, more and more companies are turning to referral bonuses to recruit new staff. Employees in IT, technology, healthcare, semi-government, and retail can get a bonus if they manage to recruit a new colleague. And the amounts are higher than ever, employers and recruitment agencies said to NOS.
Clothing chain SuitSupply, for example, recently doubled its referral bonus to 4,000 euros. "I would rather give this money to my own employees than a recruitment agency," founder Fokke de Jong said to the broadcaster. "They are magnets for new talent and thus deserve an extra holiday or a new car. It is beneficial for them and for us."
A large part of SuitSupply's employees now come in through referrals from other employees. "We do it because of the tight labor market, but also to find qualified personnel quickly. We have many requirements: you must know everything about styling and customization."
Jobs site Indeed told NOS that terms like "referral bonus" and "recruitment bonus" now appear in almost twice as many vacancies as a year ago. Koen Roozen, director of a recruitment office, said that about 10 percent of his employees were recruited in this way. According to Roozen, employers have been increasing recruitment bonuses for some time. "Where such a bonus used to be 500 euros, it is now 1,000 euros. Sometimes it goes far beyond that. That sounds like a lot of money, but recruitment costs through a recruiter are much more."
"People simply go the extra mile for money," Charlotte van Thienen, HR director at consultancy and technology company Accenture, said to NOS. Her company has been using recruitment bonuses for years. "Via via is simply a very reliable source: your employees are the best ambassadors for your company. And they have friends and family, but also LinkedIn. That's great, especially in a tight labor market."