How do referral and hiring bonuses benefit businesses?

Question

hello everyone:

I have a question. Could someone please tell me how hiring and referral bonuses help businesses?

Please help. Thanks.

Answer 1

Examples are best used to describe the benefits to a business. You manufacture widgets. Man in your product engineering dept. knows of and finds a large user for you. Referral Bonus ? You are in the stock brokerage business and find that a firm in competition with you has a broker who is dissatisfied with his present situation. He has a large list of clients and is a big producer of business. You want him as one of your brokers. You clear with the higher official of the firm to hire him and as an enticement you will give him a signing bonus The broker must stay with you for a minimum of x years.He signs on and gets his bonus.You get the benefit of his sales commissions house percentage.