Human Resources Officer
Human Resources
Editor Medical
Ritu Chaudhry
Astt Mgr(hr),telecom Sector
Hr Executive
+1 Other

Hi group,
i have to design a referal recruitment program as my summer project.. can you please help me to understand and identify a few things about this concept:
- how can one design the referral recruitment program?
- what procedure should be followed?
- how to communicate the referrence scheme to employees?
- what should be the guidelines or rules and regulations?
- what should be the incentive given to the referee employee?
i will be obliged if you could help me this respect ....
UBS, Chandigarh
5th June 2006 From India, New Delhi
answers mentioned:
- how can one design the referral recruitment program?-this should be done in the same manner as how one would advertise for a vacancy but make it more attarctive as this would be on the basis of cvs refrred by the employees.
- what procedure should be followed?- fulfilment of basic criteria, knowledge of the product and dept, etc
- how to communicate the referrence scheme to employees?- an email could be sent by the admin team or the respective HOD.
- what should be the guidelines or rules and regulations?- Nothing really specific
- what should be the incentive given to the referee employee?- depending on what grade one is looking at..it varies from 5k-15k
5th June 2006 From United Arab Emirates, Dubai
HI Jasmin,
Even I am doing the project on Employee Referral Programs. Infact I have finished with it, kindly provide me your e-mail ID so that I can send you certain details..
I cant send here coz its kind of confidential.
6th June 2006 From India, Ranchi
Hey Jasmine,
I am currently handling another project. And for this particular project, I need some help in getting the packages offered by various organizations is various sectors to Graduate Engineers.
I mean what kind of CTC a co. from manufacturing, FMCG, Automobile, IT, etc offer to various students from IIT's, NIT's, Private Engineering colleges, etc etc..
Please help me out if you can.
Mail me back at
7th June 2006 From India, Ranchi

In the present scenario, companies are depending on 3 types of recruitments

1. Campus selection (fresher).

2. Job Consultants / Paper Ads

3. Employee referrals.

Of the three, the one most preferred by HR are the Employee referrals. Some of the reasons being, easy to get potential, reliable and experienced candidates, low or no investment, employees feel that they can work with their friend(s), which will create lively environment @ work and increases productivity for company

But still most of the HR gives preference to those who meet the job criteria…

Q) How can one design the referral recruitment program?

* Whenever an Employee Referral Program is to be announced, there should be some basic guidelines that should be followed. Like what is the total requirement and time frame to fill that requirement, what type of positions are offered, who are eligible for referral program, sketch candidate profile, how much %age of candidates are reserved under ERP as company may outsource some %age of manpower requirement to consultants.

How to communicate the referral scheme to employees?

Whenever there is a man power requirement due to project expansion etc, an internal mail / poster on notice board should be used for announcing Employee Referral Scheme. There should be a dead line as till when an employee can refer a candidate. Also include how much money will be paid for each successful referral and when it will be paid.

What should be the guidelines or rules and regulations?

Basically every job carries some minimum requirements like X- yrs of Exp. Tech / Non tech and programming skills, various domains / projects he worked on and job abilities required for that post.

What procedure should be followed?

Collected resumes should be screened and then candidates to be short listed and informed to both candidate and respective employee who referred him. Like every other interview, each candidate should under go three rounds of interview and then negotiate about pay if got selected. Also it will be better if a clause like minimum work period a candidate should stay in the company / though not mandatory.

what should be the incentive given to the referee employee?

Incentives should be based on number of candidates who successfully got placed. Each selected candidate should have completed minimum period – say 60days (Induction + Training and Job) before company pays incentive. {This clause is because company has to recoup the money invested on the candidate and that paid to the referring candidate}

Incentives should be anything from 2k per candidate and should increases with every additional candidate referred and successfully completes 60 days. Also announce reward for TOP REFERRER of the month / week.

Hope this information is useful for all those working on Employee Referral Program....


Kishore Chelluri

7th June 2006 From India, Hyderabad
hi jasmin this is alex can u mail me what Rohit has mailed u, if u can, myself is also trying to do the same for my summer project
8th June 2006 From India, Madras
hi alex.. kindly give me ur id... so dat i cn send u the information... Regards JASMIN MBA-HR UBS,Chandigarh
8th June 2006 From India, New Delhi
Hi Rohit,
I would appreciate if you could share the document ( Employee Reference Program) with me. These days I am working on it and your document would provide me more exposure in refining it.

12th June 2006 From India, Delhi
Hi Jasmin

Good piece of work chosen

ERP are very comman and in these days as they have the Adv of comparitevly lower cost, Short lead time and lesser number employees leaving job

My suggestions to u

How to design :-

keep in mind that what kind of job are u advertising u shud b clear of job and the people in the org who understand the job and the requirement,Total vacancies,and the time in which they are to be filled

What is the procedure

The ERP shud be designed in a way that the employees shud be given an employee ID which may be the usaul Employee Id or specialy designed ID for the practice that every resume shud specify the ID .Every employee shud be resitricted to refer say 2-4 resume

The employee who is reffering shud also qualify certain things like one sholud have a worked wityh u for at least an year or more. We may also bar the HR personnels of the Organization to participate

Incentive should be varied

Like the reffering employee of executive level will get say Rs 3000/- per sucessful recruitment

employee above executive level say Rs 4500/

employee senior level Rs 7000/

we may also add a feature to avoid stray refferals that any employee who is sending the resume who just not mach the crieteria two consective 2 time3 s the will not b eligible to reffer for next one time


12th June 2006 From India, Delhi
This is kiruthika, from bangalore. These discussions had given me more knowledge about ERP. I have a query, see i have totally 5 + yrs of experience in both Admin & HR. , out of which one yr in Manufacturing industry as HR executive and one yr in a consultancy. My four years in my career is in coinmbatore and rest 1 + in bangalore. please help me out in getting into a Generalist role in a software company.
13th June 2006 From India, Shamli
Hi Ritu / Jasmin
I would like to make a point .. that no variation in pay in respect to designation of employee. (Jr employee 1000 rupees, Sr. Employee 3000 Rs.) This may cause problems to the referral program as most of the employees feel they will be getting less reward than that of their superiors.
Dont restrict peolple from referring more than 2-4 friends.. coz from HR's point of view, more people referred better chances of getting suitable candidates.
Contest / Program should be fair enough and healthy to be participated by one and all
Keep updating employees about how many ppl are being refered and who got selected on a regular basis thru mails or company intranet or paste it on noticeboard ... this will create a competitive atmosphere...
All the Best!!
Kishore chelluri
14th June 2006 From India, Hyderabad
I just did what the CITE HR's PUNCHLINE is... "SHARE KNOWLEDGE"
Well.. mention not Jasmin.. I just shared what i know and im happy it helped you and those who want info on this...
All the best..
Kishore chelluri
14th June 2006 From India, Hyderabad
Hi Rohit,
Already I am implementing some referral program. Can you please forward your work on that to me also, so that I can make changes in my work.
My e-mail id is
22nd June 2006 From India, Hyderabad
This is Tejesh,
I started a Employee Reference programs in our org.
I prepared a circular and send it to all the staff, and we announced the Employee reference Bonus of Rs.1000/- those who refer a candidate.
If the candidate is selected and joined in the organization. The referred employee will get 1000/-. Once the new candidate completes his 6 months of service in the organization.
I am sending you the attached files about this employee reference program
23rd February 2008 From India, Mumbai

Attached Files
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File Type: doc employee_reference_programm_720.doc (24.0 KB, 343 views)

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