The top 5 reasons new hires fail

Billions of dollars worth of annual Energy and Climate Tech investment disappearing on hiring mistakes? Not to mention the collateral damage.

Having had the privilege of discussing this with numerous business leaders and investors over the past few months, it's clear that this issue is a shared concern in scaling companies, even if opinions on the reasons why vary.

The USEER 2023 highlights a 3.9% annual growth in clean energy jobs, adding 114000 jobs, 30% of which will not be retained through the first 12 months. Combine that with the US Department of Labor’s calculation that a bad hire costs a minimum of 30% of an employee's first year's salary, and you start to see the staggering cost.

34000 failed hires at $30000+ cost per hire…

So, what are the top 5 reasons for new hire turnover? And are we running recruitment processes with these in mind

1. Coachability - 26%

The ability of our teams to accept and implement feedback is the leading reason for failure in the first year, and it needs to be better assessed during interviews.

2. Emotional Intelligence - 23%

The ability to understand and manage emotions, and accurately assess the emotions of others

3. Motivation - 17%

Sufficient drive to achieve their potential, and the objectives of the business.

4. Temperament - 15%

Attitude and personality suited for a particular role and environment

5. Technical competence - 11%

Many recruitment processes don't address the major drivers of failure, and focus only on the technical. Volta Search is different in that it focuses on all the key factors.