How much does an IT department employee's departure cost a company, and why can support from a recruitment agency be right on target?

Finding a well-suited employee for the IT department is not as easy as it seems. Many are looking not only for interesting projects but also for well-paying ones. So, what happens when the collaboration comes to an end? How much does the departure of an IT specialist actually cost a company? Is it just a significant financial issue?

Definitely not. The departure of an employee is not only costly but also time-consuming. To calculate the cost of a recruitment process that does not achieve the desired effect, consider the following:

• Salary: The gross salary for the position and the number of months the employee worked.
• Knowledge and Experience Lost: With the departure of the employee.
• Administrative Costs: Associated with the employee's departure.
• Recruitment Costs: For the departing employee.
• Recruitment Costs: To fill the position.
• Medical Examinations Costs.
• Time Spent by Other Employees: On onboarding the departing employee.
• Time to be Spent by Other Employees: On onboarding a new person.
• Costs of Reduced Productivity: During the onboarding period.
• Potential Severance Costs.

Assuming an employee earns 20,000 PLN gross per month, the following costs are incurred (approximate and based on our own company data):

Departure of an Employee:

• Productivity Loss – 3,000 PLN (15%)
• Administrative Costs – 600 PLN (4h)
• Handover of Duties – 10,000 PLN

Total: 13,600 PLN

Replacing an Employee:

• HR Department Work – 3,000 PLN
• IT Portal Advertisements – 1,000 PLN
• HR Onboarding – 150 PLN
• Occupational Medicine – 250 PLN
• Overtime of Other Employees – 5,200 PLN

Total: 9,600 PLN

Onboarding a New Employee:

• Productivity Loss in the First Month – 14,000 PLN
• Productivity Loss in the Second Month – 7,000 PLN
• Onboarding by an Employee – 5,000 PLN
• OSH Training – 100 PLN

Total: 26,100 PLN

Adding up the above categories gives a considerable sum of 49,300 PLN. Of course, these are our internal calculations, based on IT industry data, but the fact remains that the costs associated with an employee's departure are much greater than we think. Hence, more and more companies are opting to work with IT recruitment agencies. What should be considered to choose the right one?

The most important in deciding on a recruitment agency is to thoroughly understand the dynamics and methods it uses to find the right candidates. At Catch a Geek, in addition to dynamics, reliability, and effectiveness, we are distinguished by a double verification process of candidates. What does this mean? It is an unusual element of our recruitment process – candidates initially go through specialized IT recruiters, and then undergo a quick technical assessment by our CEOs (programmers) who specialize in a similar field. This ensures that the candidates we recommend are perfectly matched to the client's requirements. Companies working with our team not only save a lot of frustration but most importantly avoid costs, which as we see can be huge if the person hired does not meet our expectations or decides to resign.

 

How does effective collaboration with a recruitment agency in the IT sector look?

Effective and Fast Results: At Catch a Geek, we deliver the first candidates within 7 days because we know the IT world from both sides: the client and the contractor. This knowledge allows us to accurately diagnose the needs of each side, as well as its capabilities and expectations.

Good, Honest Communication: In recruitment, it is extremely important to get to know the company's expectations for the positions presented. Their detailed descriptions are key to arousing interest among potential candidates, who in today's times of rapid information flow, like and expect to be well informed about the position. At Catch a Geek, every client is taken care of by a Key Account Manager, so that information flow is smooth and reliable.

Team: When starting cooperation, you count not only on good communication but also on great people with whom you can get along. At Catch a Geek, we create a permanent team, working together in the long term. By cooperating with us, you are guaranteed that there is no time wasted on onboarding new recruiters to your ongoing recruitment processes.

Reviews from Others: Before starting cooperation, it is worth reading other clients' reviews of the recruitment agency you plan to work with. A good company takes care to make customer feedback visible on portals. We invite you to visit clutch.co to read our clients' reviews.

 

In summary, it is worthwhile to invest in good cooperation with an IT recruitment agency. Finding the right employee in this sector is not only very demanding but also time-consuming, and