How to measure your cost per hire
Know what each hire really costs so you can improve it.
12 Aug 2026
Cost per hire is one of the most useful recruitment metrics, but it's often calculated inconsistently.
Include internal costs
Count recruiter time, hiring manager interview time, advertising, assessments and onboarding, not just agency fees.
Compare like with like
Track the figure separately for different role types; a warehouse hire and a senior engineer will differ widely.
Look at quality too
A cheaper hire who leaves after two months costs more in the end. Track retention alongside cost.