Economics of Hiring

Cost of Vacancy: Calculate the Cost of Open Roles

Built In

What This Article Covers

Every unfilled position costs an average of $4,129 per 42 days. For revenue-generating roles, vacancy costs run $7,000 to $10,000 per month. Leaving a sales role open can reduce company revenue by 5% or more.

PersonaScore's Take

An empty seat isn't free — it's bleeding money every day. But rushing to fill it with the wrong person costs even more. The fastest path to the right hire is a structured process that identifies fit early, not after 90 days of regret.

Why This Matters

The economics of hiring are brutal when you get it wrong. A single bad hire can cost $17,000 to $240,000 depending on the role, and nearly 9 out of 10 hiring failures come down to behavioral fit rather than technical skills. The ROI calculation for structured assessments is straightforward: even preventing one bad hire per year pays for the investment many times over.

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