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TRENDS IN EMPLOYEE REFERRAL PLANS
This Case Flyer and the base article1
can be used to understand the importance of referral
schemes as a part of scouting for the right talent. Highly suited for discussion on recruitment,
this Case Flyer also enables a discussion on the pros and cons of referral schemes. With several
startups and established companies doling out several innovative gifts – from iPads, iPhones,
Harley Davidsons, to sponsoring foreign holidays – the referral schemes definitely help to connect
with and recruit the right talent. However, many question if employee referral schemes end up
promoting an inappropriate behavior among the referring and referred employees. How would
employee referral schemes impact employee loyalty? Why are employee referral schemes relatively
popular amongst younger employees, than the older employees? Why are employee referral
schemes encouraged more in startups?
Pedagogical Objectives
• To understand the role of referrals in finding the right talent for companies
• To examine when and where the employee referral schemes should be encouraged and
promoted
• To discuss and debate on advantages and disadvantages of employee referral schemes
Positioning and Setting
The Case Flyer can be used to understand the concept of ‘Employee Referrals’ as an outside
source of candidates in the ‘Human Resource Planning and Recruiting’ module of Human
Resource Management course.
ABSTRACT
© www.etcases.com
1
Devina Sengupta and Anumeha Chaturvedi, “Industry Goes Innovative with Staff Referral Plans; Offers Attractive
Rewards”, http://articles.economictimes.indiatimes.com/2014-10-31/news/55631734_1_referral-cash-rewards-
recruitment, October 31st
2014, (accessed date: November 25th
2014)

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Trends in employee referral plans

  • 1. TRENDS IN EMPLOYEE REFERRAL PLANS This Case Flyer and the base article1 can be used to understand the importance of referral schemes as a part of scouting for the right talent. Highly suited for discussion on recruitment, this Case Flyer also enables a discussion on the pros and cons of referral schemes. With several startups and established companies doling out several innovative gifts – from iPads, iPhones, Harley Davidsons, to sponsoring foreign holidays – the referral schemes definitely help to connect with and recruit the right talent. However, many question if employee referral schemes end up promoting an inappropriate behavior among the referring and referred employees. How would employee referral schemes impact employee loyalty? Why are employee referral schemes relatively popular amongst younger employees, than the older employees? Why are employee referral schemes encouraged more in startups? Pedagogical Objectives • To understand the role of referrals in finding the right talent for companies • To examine when and where the employee referral schemes should be encouraged and promoted • To discuss and debate on advantages and disadvantages of employee referral schemes Positioning and Setting The Case Flyer can be used to understand the concept of ‘Employee Referrals’ as an outside source of candidates in the ‘Human Resource Planning and Recruiting’ module of Human Resource Management course. ABSTRACT © www.etcases.com 1 Devina Sengupta and Anumeha Chaturvedi, “Industry Goes Innovative with Staff Referral Plans; Offers Attractive Rewards”, http://articles.economictimes.indiatimes.com/2014-10-31/news/55631734_1_referral-cash-rewards- recruitment, October 31st 2014, (accessed date: November 25th 2014)