When it comes to landing that dream job in tech or media, it's mostly about what you know. Or at least your potential to learn and develop.
But, as this recent study from Switch on Business shows, who you know can be the real dealbreaker.
Using data collected for Glassdoor, it shows that many of today's biggest media and tech firms hire many of their new staff through employee referral programs.
In other words, having a friend at the company you want to work for gives you a major advantage over all the other applicants.
So which companies make the most of these referral programs? And how much do employees earn for a successful recommendation?
Find out the answer below.
The US tech firm with the highest number of employee referrals
Having the right skills to land a high-paying role at tech-giant Salesforce might get you through the interviewer's door. But if you really want that job, the best thing to have in your favor is a friend or two who already works there.
That's because Salesforce loves hiring people that their staff know, trust, and recommend. According to the data collected by Switch On Business, just over 4 in 10 (41%) of new Salesforce employees come through the company referral scheme. That's the highest referral rate for any tech company included in the study.
The firm incentivizes referrals by offering a $2,000 cash bonus for successful recommendations. Bonuses for referring people for senior roles and executive suite positions can go up to $10,000. Nice.
A report by fortune.com showed that Salesforce has paid out over $5 million in referral bonuses since the scheme started. And while that sounds like an absurd amount, it's actually money well spent. Referred employees tend to be more successful and stay at the company longer, reducing the costly churn rate and lowering other recruitment costs.
To ensure a steady inflow of potential candidates, Salesforce often runs recruitment mingling sessions. Called the "Recruit Happy Hours," these are network events where employees can bring along their friends to meet Salesforce recruiters in a relaxed and friendly environment.
Referring your way into a tech job
Employee referrals are a huge part of many other tech company’s recruitment strategies. And although nobody does it quite like (or as often as) Salesforce, it's now standard practice across the entire industry.
Software provider Nutanix is a big believer in the employee referral recruitment model. Over 30% of its current workforce was recruited by a friend already working there. And getting friends a job at Nutanix can turn into a very lucrative little side hustle. The firm offers a tiered bonus based on the number of referrals. Staff who bring in 5 successful new hires are rewarded with a $6,000 annual bonus.
Software firm Splunk, electronic agreement facilitator DocuSign, and marketing platform provider HubSpot are three more companies that are always asking their staff for referrals. In each case, a quarter of their new hires come through some kind of employee referral scheme.
Then there's Coinbase. The world's first publicly listed cryptocurrency exchange has experienced a massive amount of growth over the last few years. And much of it was driven by employee referrals. The Switch on Business study found that just over 1 in 5 Coinbase employees are referrals. Hopefully, someone there has a friend who can fix the platform's issues during busy periods, which impact user transactions, access, and the ability to sell your coins when the price is pumping. But that's a whole different story.
Using employee referral schemes to break into the media industry
Finding a job in the media industry is notoriously challenging. In fact, it's one of the toughest industries to break into. The industry is highly competitive, with a large number of candidates vying for relatively few positions.
Media jobs often require a unique blend of skills, including creativity, technical proficiency, and strong communication abilities, alongside a deep understanding of the audience and current trends.
Then there's the changing media landscape, including the rise of digital platforms and alternative media sources. This has put a giant strain on traditional media organizations, often leading to job cuts and fewer openings.
However, there are several ways to improve the odds of securing a job in the media. Networking is huge in this industry. And that includes people who already work for major media firms.
BuzzFeed, The New York Times, and even Warner Bros all use employee referral schemes when looking for new hires. At BuzzFeed and The New York Times, 20% of its staff were introduced to the company by a friend through a referral scheme. The figure is slightly lower at Warner Bros., where 18% of staff are referrals. Still, it proves that having friends in the right places will really boost your chances of getting a yes from a media recruiter.
Other major companies on the list published by Switch on Business include Paramount Global (15.03%), Live Nation Entertainment, and Walt Disney (6.2%).
Then there's News Corp, the media firm that owns many of the world's biggest newspapers and content sources. One in 10 people working on News Corps' globally leading media brands were referred to the firm by a current employee.
The US media companies that use employee referral schemes the most
But none of the media companies mentioned above utilize employee referral schemes as much as the Salem Media Group. Operating out of Irvine, Texas, Salem Media Group is a radio broadcaster, internet content provider, and magazine and book publisher that focuses on discussing and promoting Christian values. It describes itself as a trusted source of "family-themed content with conservative values."
The company likes to hire employees who embrace these values. So it's no surprise that it finds many of its like-minded staff through employee referral schemes. The data shows that 25.89% of the media group’s current employees are classified as referrals.
Activision Blizzard takes a very different approach to entertainment. The video game holding company is renowned for producing gaming franchises like Call of Duty, World of Warcraft, and the adrenaline-packed first-person shooter Overwatch.
However, the gaming giant has a very similar policy when it comes to recruiting. A quarter (25%) of all its staff came through employee referral programs.
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