How to Utilize Student Debt as a Recruitment Opportunity
As most college grads know, student debt is a heavy burden to carry. In 2016, the average student carried more than $37,000 of debt from student loans, the highest it has ever been. While graduating from college should be a happy time to celebrate the future, it leaves many students worried about repaying their loans and finding a job that can help them live a debt-free life.
Many organizations began to offer student debt forgiveness or student loan payments to new hires to help ease the stress of debt, and it’s quickly proven to be a tremendously sought after job perk. More than 40 million Americans have student loan debt, and most of them would gladly accept a job that would help them get out of it, but unfortunately, only 3% of employers offer student loan payment programs, according to the Society for Human Resource Management.
A report by NerdWallet found that, on average, employees who received student loan repayments from their employer shaved off three years of student loan payments and saved more than $4,000 in interest. Who wouldn’t want this perk?
Why to Focus on Economic Impact for Recruiting Millennials
Many studies in the past year have indicated that company culture is the main focus for millennials because millennials tend to care more about having a job that they enjoy and feel does good work rather than their salary. However, that doesn’t take into account the rising amount of student loans new graduates are suffering to pay.
While it may be true that millennials care more about the work than the salary, they also do not want to live with their parents beyond graduation or struggle with debt for ten-plus years. If your organization wants to capitalize on the millennial job market and hire new graduates, consider creating a budget for a student loan repayment program. It could be a big factor that impacts your employer brand and how many applicants apply for future jobs. Talk to management to discuss how to work this option into your hiring strategy and you’ll surely see an increase in job applicants as well as reduced turnover when you begin to publicize the new program.
How to Incorporate Video Interviews
When you use a strategy like student loan repayment to increase applicants, you may see such an influx that it’s difficult to narrow down the best applicants. With recorded video interviews, you can invite as many applicants as you want to participate in a video interview, and you can review their recorded responses much more quickly than wading through every resume and conducting phone interviews. One-Way interviews also allow you to ask every applicant the same questions, making it easier to compare similar candidates based on their responses, and you can include questions related to the student loan repayment program to gather information about how many candidates applied for this reason.
No matter how you screen or hire them, job seekers will appreciate opportunities to reduce their student debt, and employers can create a competitive advantage by incorporating these programs as well as attract more applicants to company job openings.