It is true that times are hard. It is also true that it will not last indefinitely. There are different schools of thought when a company is looking to hire in these times, and there are times when companies should be looking at their hiring practices. A couple examples for your consideration:
School of Thought 1- If you are going to hire someone and you are going to pay them way less than what they are truly worth, there is a good chance that when the market starts swinging the other way they are going to bolt on you and leave at the first opportunity. Some companies don't calculate the money they lose in training and recruiting costs, intellectual property, clients who may wonder what's happening to your company with so much turnover, morale problems (and reduced productivity) with other employees as they observe the disruptive churn, and of course the time and effort to get someone to replace those who leave.
However, some companies don't have a choice. They don't have the budget to hire for what someone is worth, so they simply hire someone for what they can afford.
Advice to companies hiring- Before you hire, give some serious thought about who you are hiring. If your gut tells you that they are not going to stay when things turn around, you may want to think twice. There are studies that suggest the most expensive cost to businesses is turnover.
School of Thought 2- There is a local pizza company that only hires people who have Master's Degrees. Even their delivery people. What? That seems blasphemous. But wait a moment and consider the owner's logic. His thoughts are that when he hires people with advanced degrees (not that you need an advanced degree to do these things, but that's another topic all together), everyone knows they are not going to stay long term. But they need some income like everyone else, and he finds that they help to build the business. He has found that they streamline the operation, come up with better marketing strategies, show exceptional customer service, and create new processes such as purchasing, dispatching, training and a whole host of other things. He claims that his business has thrived by hiring really smart business people to do more menial jobs.
Advice to companies hiring- If your business could benefit by over-hiring, consider it. Especially if you don't feel the turnover will hurt you. There is usually high turnover in these types of positions anyway. The other thing to consider is that many of the people desperate for work now are mid-level and upper-level professionals. They need some type of income too, so you are doing a valuable service while also improving your business.
Any employer that is looking for a streamlined hiring resource might consider talking with Professional Career Solutions.