Employee referrals have proven effective for the Hendrick Automotive Group dealership, which sold 1,872 new and used vehicles last year.
“If our employees are willing to say, ‘This guy or that girl could be a great fit,’ we want to have the opportunity to try and speak with them,” Secondo said. “You have to constantly look for ways to be on top and the best way is to start with your people. “
Mall of Georgia Mini pays employees $ 1,000 for each referred hire that remains with the company for at least six months. More than 80 percent of the store’s 53 employees were referred by other employees.
Meanwhile, workforce turnover is less than 20 percent.
“We haven’t had any technicians leaving the dealership for over two years,” Secondo said. “It’s a crazy statistic because techs are extremely, extremely difficult to keep.”
Secondo said he hires 90 percent of referrals.
“We are saving hours in interviews and due diligence,” he said.
The referral program has helped transform the entire workforce into recruiters and created a “culture of accountability,” Secondo said.
Employees who have been referred are likely to perform better because they know that a friend or family member at the dealership has put their reputation on the line to vouch for them.
Meanwhile, the employee who made the referral is also motivated to do well.
“You never want to recruit someone and then get beaten up by them,” Secondo said. “So that creates a competitive culture in a positive way. “
Recommended employees have also jumped in because they have a mentor in the dealership who can show them the ropes and put them at ease in a new environment.
“It gives you a sense of confidence knowing that someone is going to kind of take you under their wing, rather than just stepping into a whole new culture and environment,” Secondo said.