3 Best Practices for Generating Employee Referrals


Kes Thygesen

This is a guest blog post by Kes Thygesen, the founder of RolePoint, Greenhouse's newest partner.

RolePoint is software that helps companies generate employee referrals through a combination of financial, social, and altruistic motivators. 

RolePoint is the leading provider of employee referral software. By using a combination of financial, social and altruistic motivators, RolePoint drives engagement within the employee population, encouraging employees to introduce high value passive talent to your organization. Social connectivity, incentive management and personal referral campaigns provide the best-in-class employee experience.

RolePoint builds upon the Greenhouse system by providing a complete pro-active engagement layer to motivate your employees to refer. Job and connection algorithms ensure every communication is personal. Reward management enables different incentive tiers, including probation periods and social recognition for top referrers.A full data suite gives your recruitment team full control and insight into how to continually improve your referral program.

Beyond the technology, RolePoint’s account managers are available to help suggest and coordinate referral campaigns, including processing rewards from local helicopter trip raffle prizes to charity donations on your behalf. RolePoint and Greenhouse have partnered to offer the most streamlined recruiter and employee platform.

3 Best Practices for Generating Referrals

1. Reward participation in the referral program, not only successful hires - Typically companies will put in place a cash bonus paid out 90 days after the referred candidate has been hired. When taking into account the time-to-hire this means the employee has to wait the best part of 5 months between referring and receiving a bonus, creating a very slow feedback loop and only rewarding successful referrers. Instead give away smaller bonuses earlier in the process for qualified referrals that make it to interview stage. This will ensure that a larger proportion of employees receive a reward and feel like their contributions are valued.

2. Think beyond financial incentives - Financial incentives will appeal to a significant proportion of your employees. There will be employees in your organization who will be primarily motivated by social and altruistic incentives. Social incentives can take the form of leaderboards highlighting the top referrers or appreciation emails thanking everyone who have made a referral in a given time period. Altruistic referrals can take the form of small charity donations to a philanthropic cause supported by your company.

3. Bring transparency to employees and recruiters - One of the main reasons employees become disengaged with a referral program is the lack of transparency when they refer someone. This is often called the ‘referrals black-hole’. Notifying employees of which rewards their eligible for and where their referred candidates are in the hiring process is a great way to build trust in the program and helps recruiters avoid numerous inquiries from employees chasing up candidates.

Photo Credit: Europe And Me Magazine 

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Referral Programs