Which HR metric includes advertising, recruiting fees, travel, and relocation costs for hiring a new employee?

Which HR metric includes advertising, recruiting fees, travel, and relocation costs for hiring a new employee?

• A. Time to hire
• B. Cost per hire
• C. Applicant conversion rate
• D. Recruitment yield

Answer: (B)

Cost per hire captures the total resources spent to fill a position, including advertising, recruiting fees, travel, and relocation costs. It combines all the direct recruiting expenses and divides them by the number of hires in a given period, giving a clear average cost to bring a new employee onboard. This makes it the best choice for understanding the financial efficiency of the recruitment process and for budgeting or comparing sourcing channels. Other metrics focus on different aspects. Time to hire measures how long it takes to fill a role, not how much it costs. Applicant conversion rate looks at how applicants move through stages of the recruiting funnel, showing efficiency in screening and progression but not the dollar amount spent. Recruitment yield typically examines the ratio of hires to applicants (or to stages in the funnel) and informs quality or effectiveness of sourcing without reflecting cost.

Cost per hire captures the total resources spent to fill a position, including advertising, recruiting fees, travel, and relocation costs. It combines all the direct recruiting expenses and divides them by the number of hires in a given period, giving a clear average cost to bring a new employee onboard. This makes it the best choice for understanding the financial efficiency of the recruitment process and for budgeting or comparing sourcing channels.

Other metrics focus on different aspects. Time to hire measures how long it takes to fill a role, not how much it costs. Applicant conversion rate looks at how applicants move through stages of the recruiting funnel, showing efficiency in screening and progression but not the dollar amount spent. Recruitment yield typically examines the ratio of hires to applicants (or to stages in the funnel) and informs quality or effectiveness of sourcing without reflecting cost.