The Uncommitted Employee: Why Nearly Half of Job Seekers Back Out After Accepting a Job Offer
In today’s competitive hiring market, even candidate job acceptance isn’t guaranteed that you’ll be able to fill your workforce. According to a 2023 Gartner study of nearly 3,500 candidates, 50% of respondents have accepted a job offer but backed out before starting. The statistic illuminates how important preboarding programs are to retain talent, even before their first day on the job.??
Why are so many candidates ghosting employers? And how can your company prevent this from happening? Here, we examine the most common reasons candidates abandon a job offer and what employers can do to combat this trend.
Why Do Candidates Back Out of Job Offers?
First, it’s helpful to be aware of why candidates go through a hiring process only to not show up for work on day one. The Gartner survey revealed some potential reasons.
1. Candidates Receive Multiple Job Offers at Once
One thing employers should be aware of is that the candidates interviewing with one company are likely interviewing with other employers, too. The Gartner survey revealed that 35% of candidates received four or more job offers during their last job search.
Even candidates going through more advanced hiring steps may likely do the same thing elsewhere. Employers should assume that the most in-demand candidates are also being sought out by other employers in the industry.
2. Candidates Aren’t Fully Committed
In-demand candidates also want to keep their options open, even when committed to a single employer. The Gartner survey found that 47% of candidates who accept a job offer are still available for other job offers. Many employed professionals keep one foot in the job market, as 42% of candidates think they could find a better job if they continue looking.
Knowing this, employers should also assume that candidates who do start working with one employer may still be actively on a job search. The likelihood increases if they’ve been talking to other employers despite starting a new job with one employer.
3. Reality Doesn’t Match Candidate Expectations
One primary reason candidates bail out on an employer is that the employee value proposition (EVP) doesn’t align with reality. According to Gartner, nearly 90% of candidates have abandoned a hiring process due to at least one mismatch in EVP preferences.
This reason lies entirely on employers. That’s why it’s so important to clearly and accurately communicate job and career growth expectations, including salary, benefits, work schedule, duties, management styles, team diversity, skills development, career development plans and anything else candidates value about job evaluations..
What Companies Can Do to Retain New Hires
Existing employee turnover is expensive, and it’s also costly to hire employees who don’t show up or who leave quickly after being hired. In addition to wasted time and hiring expenses, new hire turnover can negatively impact sentiment among your workforce and create ripple effects that affect business operations.
To improve new hire retention and ensure candidates who accept job offers last long-term, the following strategies can help.
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1. Improve Transparency Throughout Hiring
Knowing that many candidates drop out due to inaccurate EVPs, companies can combat this by improving transparency from when a job posting goes live. The Gartner survey revealed:
In some states, cities and counties, the law requires that salary information is displayed in a job description. Even if you’re not legally required to post this information, you can get more applicants you can afford by posting salary information in the job description.
Also, clarify what a candidate can expect from a job throughout the hiring process. Honestly, answer any questions a candidate has. In particular, focus on sharing information about the EVP areas that matter most to candidates today: benefits, work schedule, flexibility, typical job duties, management style expectations and career growth opportunities.
2. Offer Job Opportunities That Attract Top Talent
The only way to hire and retain top talent is to provide job opportunities that help employees grow their careers. The Gartner study found what candidates value in work, including:
Employers must remember that higher salaries, increased flexibility and better work-life balance are all potential factors that can lure current employees away to other employers. Companies must continually work to improve these offerings for employees to retain their talent.
3. Be a Great Place to Work
Finally, poor job experience may cause hired employees to become quiet quitters open to new opportunities. The Gartner survey found that 56% of respondents said the knowledge they have in their job is as important to their job satisfaction as benefits and salary.
Beyond compensation and benefits, survey employees about what would make your workplace better. This might include:
Employers should regularly survey employees about how they can improve their work environment and be a better employer. Implementing changes in response to employee feedback can help your company improve retention.
Improve Your Hiring Process with a Recruiting Partner
If you want to make more successful hires who stay with your company long-term, AccruePartners can help. Our recruiting firm can help you:
To learn more, contact AccruePartners for a free consultation.