Predicting Job Offer Reneges using Machine

Learning

By:

Vaishali

404/2018
INTRODUCTION

Reneging means going back from a promise, which in a hiring process means not turning up for
the “job offered” and it is becoming the harsh reality in today’s world. Organizations incur huge
cost not just monetary but in terms of time and effort as well. Entire recruitment process has to
be scheduled again if the organization is unable to meet its demand for employees in a timely
manner. Since, each organization is facing a cut-throat competition from rivals, they try to hire
the best talents and it can be painful when an applicant reneges on the work contract.

LITERATURE REVIEW

In the candidates’ market, not just the companies but the applicants too have many options.
More organizations want best talent to be working for them. As a result, candidates have
no doubts about considering multiple options with multiple employees and they can be
involved in hiring process with more than one company. The candidate does what is in his
best interests, this could be a grey area from the perspective of the candidate but recruiters
consider in highly unethical [3].

Previous researched relating to people management, organizational behavior, employee

turnover for employees determine that recruitment and retention of candidates is greatly
influenced by not just the salary offered but also by the corporate culture and the leadership
style. Candidate renege is costly for the organizations but it is more costly for small scale
organizations [1]. Reneging has three major tangible costs associated with it – Screening,
Testing and Interviewing [4]. The purpose of the study is to identify the major factors that
influence the dropout rates of the potential employees. Analyzing the trend can help the
employers in using the appropriate techniques to find the most suitable candidates for the
organization. The key to find the trend of renege rate of employees is to make recruitment
process more stable and reduce costs associated with it [2].
OBJECTIVES

1. To identify the factors affecting renege of potential employees

2. To build predictive models that discriminate between the candidate who would join
and not join
3. To compare the accuracy of the models
4. To suggest recommendations for preventing applicant from turning down the offer

RESEARCH METHODOLOGY

For the study, a secondary research was conducted to gain more insights about the retention and
recruitment strategies in the human resource domain and how predictive analytics can be used to
predict the candidates who would join or not join the organization.

Data type: Secondary

Type of Research: Descriptive and Conclusive

REFERENCES

[1] Cappelli, P. (2001), “A market-driven approach to retaining talent”, Harvard Business

Review on Finding and Keeping the Best People, Harvard Business School Press, Boston,
MA, pp. 27-50.

[2] Flinn, C.J. (1986), “Wage and job mobility of young workers”, The Journal of Political
Economy, Vol. 94 No. 3, pp. S88-S110.
[3] Hall, D.T. and Moss, J.E. (1998), “The new protean career contract: helping
organizations and employees adapt”, Organizational Dynamics, Vol. 26, pp. 22-37

[4] Lockwood, N.R. (2006), “Talent management: driver for organizational success HR
content program”, SHRM Research Quarterly, available at: www.shrm.org/research/

quarterly/2006/0606RQuart.asp