Present employees are well aware of the qualifications, attitudes, experience and options of their friends and relatives. They are also aware of the job requirements and organizational culture of their company. As such, they can make preliminary judgment regarding the match between the job and their friends or relatives. Hence, the HR managers of the company depend on the present employees for reference of the candidates for various jobs. This source reduces the cost and time required for recruitment. Further this source enriches the effectiveness of recruitment.
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