“The war for tech talent is fierce and securing the right people is costly and complex. But what many organizations fail to realize is how easy it is to lose hard-won hires,” comments Liz Raymond, VP of Global Talent at Nexthink. “Imagine starting a new job and being excited to hit the ground, only to find that you don’t have a laptop or the right software. This frustration, especially for digital native IT hires, can push talent straight back to the job market and double or triple the cost of hiring for many businesses. But this $2.2bn is just the tip of the iceberg – imagine this amplified across other departments or frontline roles beyond IT.

“Too often, IT is given just days to equip new starters, leading to rushed setups, tech issues, and bad first impressions. Organizations cannot afford to let talent slip through their fingers this easily, which is why HR and IT must become an employee experience ‘Super Team’, collaborating to understand all the tools a new starter needs. These discussions should happen in advance, with HR and IT working together to project hiring plans that detail the roles, locations, seniority, and digital needs of new hires. Not doing this can be costly not just for rehiring, but for other issues like negotiating software licenses – organizations risk overpaying instead of securing better bulk rates upfront.”

Based on Nexthink analysis of the US labor market, IT salaries, rehiring costs and research around onboarding issues, 117,711 IT or tech hires each year will have an underwhelming or terrible onboarding experience, with 29,428 leaving their role. This equates to 8% of the projected IT roles that will be created each year in the US from 2023-2033. With the average cost of replacing a technical role estimated to be $76,703, US organizations are wasting $2.2bn annually replacing IT or technology hires lost to poor onboarding processes.

This is why organizations must rethink how HR and IT work together and break down silos to create collaborative “Super Teams” that will ensure a smooth, efficient onboarding process. To do this, organizations should:

1. Develop a Shared Understanding – IT and HR must collaborate from the outset to ensure that IT recognizes that every tech initiative impacts the employee journey, while HR should deepen its understanding of IT tools and decisions.
2. Integrate Feedback & Data – IT and HR must adopt a united front by combining technical performance data with real user feedback to understand pain points, align on metrics, and make improvements to the onboarding experience.
3. Automate Where Possible – Reduce manual effort in onboarding by leveraging automation that integrates with IT and HR workflows to automate routine tasks, such as notifying IT about new joiners.

“Every aspect of the onboarding process is about removing friction and pain points,” concludes Liz Raymond. “While HR is the face of this process, IT is the department behind the curtain making everything happen. If HR and IT fail to collaborate, organizations face three major challenges. First, delayed access to tools and applications means new hires take longer to become productive. Second, a poor onboarding experience can tarnish the employer brand, making it harder to attract top talent through referrals, and even risking negative online reviews. Finally, internal relationships suffer, as frustrated managers lose trust in HR and IT. In today’s race for talent, first impressions matter, so businesses can ill afford to get onboarding wrong.”