Traditionally, most businesses would look externally to recruit new employees. Nowadays, many hire from the inside. In this blog, we outline the advantages of hiring internally instead of recruiting external talent. These include:

  1. Reduced Costs
  2. Increased Employee Engagement
  3. Reduced Time to Hire
  4. Retain Your Best Talent



The average cost of hiring a new staff member is around £50,000. This is a substantial figure, especially if your business wants to hire at scale.

Hiring internally is a much cheaper option. First of all, you won’t need to pay recruitment fees, which can quickly tally up with no guarantee of success.

You also won’t have to worry about some of the smaller costs, including new equipment and having to pay for additional software licenses.


Hiring internally is an effective way to increase engagement. Naturally, most people want to progress in their careers and receive opportunities to learn new skills. 

Hiring internally is the perfect opportunity to make this happen. For example, a new vacancy might open up in your business for a senior position.

Instead of bringing in a fresh face, you could consider offering the position to someone who already works for your business who’s been smashing it out of the park in their role.

By offering the employee a promotion, they’ll feel valued by your business, which is one of the best ways to improve employee engagement.

The Impact of L&D Report



Recruiting externally can be a long process, especially in the current climate. As the UK skills gap continues to widen, so does the time it takes to find the right people for the job.

Hiring internally is a much quicker process. You don’t need to spend time doing background checks, whittling down a large candidate pool and regularly checking in with recruiters.

Your current employees are prescreened to fit your culture and you can easily access their track record. This means you should clearly define their skillset and whether they’re suitable for a particular job.

Internal candidates might not always need to go through the entire interview process. For example, if someone moves roles within their department, the department head already knows the candidate.



Every business wants to keep hold of its best-performing employees. They can be relied on to do a good job and are more likely to contribute towards you meeting your goals.

The market is competitive. Good talent is in demand. Therefore, businesses need to do all they can to ensure their employees are in it for the long run. One way to do this is by recruiting internally.

Actively recruiting internally sends a message to employees that you care about their professional development. This builds a culture of trust, which in turn increases engagement and encourages people to remain with your business for longer.



To offer your employees new job opportunities, they need the right skills under their belt and the confidence to take on more responsibilities. Your business should provide regular training and development opportunities to your staff for this to happen.

Offering career development initiatives help employees establish a sense of value within the company and fosters loyalty, ultimately resulting in increased staff retention.

Training and development is also one of the most effective ways to develop future leaders and boost engagement in the workplace. Employees will feel more confident trying out new ways of working and taking on more challenging work.

By doing so, they’ll naturally begin to develop in their career, opening up more opportunities such as promotions and salary increases.



As one of the UK’s leading specialist providers of digital marketing and leadership courses, we have the knowledge and resources to support your business so you can embrace your very own training and development programme.

For example, as the world continues to be driven by digital, employees need to learn new skills and be confident trying out new technologies to ensure your business can continue to grow.

In-house digital marketing skills will become a critical skill set for every business, regardless of size.

Having employees who understand digital, can deploy campaigns, create content and analyse and report on the outcomes will be invaluable. After all, no outside agency knows your business or organisation better than those within it.

If your company has an objective to continually develop your marketing, our Level 3 Digital Marketing Programme could be the perfect opportunity. Find out more about the programme, what it entails and the benefits it can offer to you and your employees by downloading a copy of our brochure below.

Digital Marketing Programme

Oliver Simpson

Written by Oliver Simpson