You\u2019ve found a great candidate. Their resume looks strong, they interviewed well, and they seem like the right fit for your business. But here\u2019s the risk: a bad hire can cost your business up to\u00a030% of their first-year salary<\/b>\u00a0in wasted wages, training, lost productivity, and the expense of starting the hiring process all over again.<\/p>\n
For a $60k role, that\u2019s an $18,000 mistake \u2014 something most small businesses simply can\u2019t afford.<\/p>\n
That\u2019s where reference checks come in. They\u2019re one of the simplest ways to protect your business from costly hiring mistakes, yet many small businesses skip them because they take time, feel awkward, or assume the interview tells them enough.<\/p>\n
The truth is, a\u00a015-minute reference check<\/b>\u00a0can save you thousands of dollars and months of wasted time if it prevents the wrong hire. Here\u2019s why reference checks should never be overlooked and the questions that actually give you useful answers.<\/p>\n1. Confirming Skills and Experience<\/b><\/h3>\n
Resumes don\u2019t always tell the full story. A reference check helps confirm whether the candidate truly has the skills and experience they claim.<\/span><\/p>\n Questions to ask:<\/b><\/p>\n Tip:<\/b> Ask for specific examples, e.g. \u201cCan you describe a project where they had to use [X skill]?\u201d<\/span><\/p>\n Interviews are snapshots. References give you the bigger picture of how a candidate performs day-to-day.<\/span><\/p>\n Questions to ask:<\/b><\/p>\n Tip:<\/b> Listen for hesitations. If a referee avoids giving a clear answer, it can be a subtle red flag.<\/span><\/p>\n A poor hire doesn\u2019t just waste money, it affects morale, productivity, and customer service. According to the Department of Labour, a bad hire can cost a business <\/span>up to 30% of the employee\u2019s first-year earnings<\/b>.<\/span><\/p>\n Questions to ask:<\/b><\/p>\n Tip:<\/b> Always ask for at least two references, ideally one manager and one colleague, for a balanced view.<\/span><\/p>\n Skills can be trained, but cultural fit cannot. References help you assess how well a candidate is likely to fit into your team environment.<\/span><\/p>\n Questions to ask:<\/b><\/p>\n Tip:<\/b> Pay attention to whether their \u201cbest-fit environment\u201d sounds like your business or the complete opposite.<\/span><\/p>\n Hiring can feel like a gamble, especially for small businesses where every team member counts. Reference checks provide peace of mind that you\u2019ve done your due diligence before making the final call.<\/span><\/p>\n Questions to ask:<\/b><\/p>\n Tip:<\/b> Always finish with an open-ended question. That\u2019s often where referees share the most valuable insights.<\/span><\/p>\n We know small business owners are already juggling a lot, and reference checks often fall to the bottom of the list. That\u2019s why we offer <\/span>professional reference checks as an add-on service<\/b>.<\/span><\/p>\n For just <\/span>$150 + GST<\/b>, we\u2019ll conduct two reference checks per candidate using our efficient online system. You\u2019ll receive clear, reliable feedback to help you make faster, more confident hiring decisions.<\/span><\/p>\n Let us know if you\u2019d like to purchase or add reference checks to your next campaign, and see how much more insight you\u2019ll have to make the right hire with confidence.<\/b><\/p>\n\n
2. Understanding Work Ethic and Attitude<\/b><\/h3>\n
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3. Reducing the Risk of a Bad Hire<\/b><\/h3>\n
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4. Gaining Cultural Fit Insights<\/b><\/h3>\n
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5. Building Confidence in Your Decision<\/b><\/h3>\n
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How Recruit Shop Helps<\/b><\/h3>\n