5 Common Hiring Mistakes and How to Avoid Them

Hiring a new team member is an exciting milestone for any small business. It can also be an extremely stressful and nerve-wracking process. Job seekers may think all the pressure is on them, but for employers, a new hire always comes with its own set of risks, investments and considerations — and the potential for mistakes, according to Business News Daily.

If you're gearing up to start the hiring process at your company, here are five common mistakes you should avoid.

Hiring friends and family

Wherever there's an open position, there's an eager group of individuals offering their friends and relatives as "perfect" candidates for the job. It may be tempting to hire family members and friends, especially in a small startup setting, but a close relationship with a person doesn't automatically qualify them as a good employee.

Trusting first impressions

Some potential employees may seem perfect on paper or during the interview, only to turn out to be a complete disaster later on. Ted Karkus, CEO of Cold-EEZE manufacturer Prophase Labs, noted that employers frequently view candidates in terms of whether or not they like them, as opposed to matching their strengths with the responsibilities of the position. While you can't know for sure how a new employee will perform once hired, you can mitigate the risk of a bad hire by not factoring first impressions into your decision.

"It's so easy to assume that a firm handshake and good eye contact means someone is competent across the board," said Jason Berkowitz, vice president of client services at recruitment outsourcing firm Seven Step RPO. "Don't use the interview to try to validate a good or bad snap judgment [of a candidate]. Hiring managers should actually try to disprove their initial impression. If you like someone off the bat, look for reasons they aren't right for the job. If you dislike someone, look for reasons why they are right for the job."

Asking the wrong questions

Most hiring managers are aware that certain explicit questions about age, ethnicity, religion and other personal topics are off-limits during an interview, but some seemingly innocent questions can really get you in trouble.

"There are a lot of hot button questions that can create problems," said Matthew Kaufman, head of attorney services at Rocket Lawyer. "The federal government prohibits employers from making hiring decisions on the basis of race, ethnicity, religion, sex, disability, veteran status, national origin, age, political affiliation or genetic information. If you refuse to provide someone employment they may come back to you and claim it's because of something they found out when you were questioning them."

Kaufman provided some not-so-obvious examples of questions that could potentially be interpreted as discriminatory:

• "Do you go to church nearby?" (religious affiliation)
• "Do you play any sports?" (disabilities/handicaps)
• "Where's your accent from?" (national origin)
• "We seem about the same age, right?" (age)

Berkowitz emphasized the importance of training hiring managers to not only conduct effective interviews, but also to be legally compliant to avoid this problem.

Not thoroughly vetting candidates before hiring

A candidate may have an impressive résumé, but how do you know he or she will be the right fit? Conducting background checks and calling previous employers for references can save you a lot of hassle.

"Always vet the person's character and don't settle for hiring people who look qualified," Ganahl told BusinessNewsDaily. "It is also helpful to start them out as a consultant and make that person prove his or herself [before hiring full time]."

Having an unclear hiring policy

One of the most critical mistakes a company can make is failing to define its hiring policies before beginning an employee search. An unclear policy can confuse the hiring managers and candidates at best, or invite legal troubles at worst, especially when it comes to contract workers and exempt versus non-exempt employees.

"Employers should all have an employee handbook and a hiring policy in place," Kaufman said. "This helps identify issues to avoid and serves as a legal shield to potential liability in the future."

To ensure that your hiring process goes as smoothly as possible, Karkus recommended bringing on a professional management consultant to help write and review job descriptions and potential candidates.

"Write a definitive job description prior to interviewing," Karkus said. "Only interview candidates who match the job description. Following this process, any candidate that you like can be hired because you already know that he or she is a good fit for the position."