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Internal recruitment


Internal recruitment means that a job vacancy is filled from within the business; an existing employee rather than employing externally. You may decide that you already have the right people with the right skills to do the job

Advantages

  • uses in-house resources and builds on skills and expertise of existing staff
  • retains valuable employees: avoids recruitment costs ensures a return on any investment in training and development
  • motivation: provides opportunities for development and promotion for existing staff
  • shorter induction period
  • generally quicker and cheaper

Disadvantages

  • limited number of applicants
  • external candidates might be better suited or qualified for the job
  • creates another vacancy
  • the organisation may become resistant to change

Cost

Low compared to advertising externally. It may also reduce costs by reducing staff turnover and by taking advantage of talent developed in-house.

Length of the process

Minimal.

Potential for discrimination

Recruiting through employee referral schemes, headhunting and word of mouth/networking may have implications for diversity. These methods can restrict the pool to people who are culturally similar to, or reflect the personal preferences of, current employees.

"Use of a consistent, clear procedure, agreed jointly between employer and employees, has many advantages and avoids suspicion of favouritism." ACAS

Conclusions

Internal recruitment can be effective when nurturing employees into senior position and can reduce recruitment costs. However, this is not a very diverse method of recruitment and you risk losing out on interesting and innovative perspectives from external candidates.

More advice for businesses

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Minister responsible

David Willetts is the minister responsible for this policy area.


 

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