The Hidden Cost of a Vacancy: Why Waiting to Hire May Be More Expensive Than You Think

When a key technical role opens up on your team, how long can you afford to leave it unfilled? It’s a question every hiring manager has faced, and one that’s easy to underestimate. Because of all the economic uncertainty in recent months, many companies are tempted to try and fill roles on their own using their own resources. They’re hesitant to work with recruiting partners, especially when budgets are tight. But here’s the hard truth: leaving a technical role unfilled for too long could be costing your team far more than you think.

According to recent studies, replacing a technical employee can cost a company between 100% and 150% of that employee’s salary. For executive-level roles, the cost can rise to 200%.

Let’s say the role in question is a Software Developer in Texas, where the average salary is $145,000. If that developer leaves, the cost to replace them is likely to be at least $145,000…and possibly far more.

What drives that number?

• Loss in productivity while the role sits empty

• Job posting and advertising costs

• Time spent reviewing candidates and conducting interviews

• Training a replacement hire

• Strain on team morale and performance

And that’s just the beginning. Keep in mind that a vacancy can have a large ripple effect on the rest of the team. While that vacancy remains in place, current team members picking up the slack may become overworked or dissatisfied, increasing the risk of additional turnover. What starts as one unfilled role can quickly compound into a larger cultural issue for the whole group.

What About Recruiting Costs?

To cut expenses, some companies choose to handle hiring internally rather than working with a recruiting agency. But does that really save money? The average recruiting fee is about 20% of a candidate’s first-year salary. On paper, that may sound like a large investment. But when you consider the cost of leaving a critical role open for months at a time, the picture changes. An experienced recruiter can often fill a position in a fraction of the time it might take an overwhelmed HR team—especially when that team lacks technical expertise. Faster time-to-fill means reduced productivity loss, better team morale, and a quicker return to full operational strength.

What’s the Real Cost of Waiting?

Every day a position remains unfilled, your company is absorbing hidden costs. If the right recruiter can shorten that gap, the fee may not be a cost—it might be a savings.

So before dismissing outside help as too expensive, it’s worth asking:

• What is the role costing us every week it remains open?

• What impact is the delay having on our team?

• And what would it be worth to get the right person in the seat fast?

Sometimes, the smart investment is in speed, expertise, and a partner who can deliver results.