Internal Hiring | Meaning and Definition

What is Internal Hiring?/What is Internal Recruitment?

Internal Hiring/Internal Recruitment is the method of choosing existing employees within the company/organization to fulfill job vacancies that are open. The necessity might be an urgent opening or a vacancy requiring a refill for a specific position. It is considered an efficient way of recruitment when there is a shortage of time. This is beneficial as the existing employees have experience and knowledge about the ongoing projects within the organization. Hence, it is money and time-saving as well as resourceful to continue the work without any delay. Often those employees are chosen who have a backup team for their ongoing work.

What are the types of Internal Hiring?

Internal recruitment comes in a number of phases, such as:

  • Employee referrals
  • Promotion of the employee
  • Transfer of the employee
  • Shifting the temporary employee to become a permanent one

Advantages and Disadvantages of Internal Hiring


  • Internal Hiring is time-saving, less cumbersome as well as requires low hiring costs.
  • It also saves orientation, interview, and onboarding efforts with no lengthy hiring process needed to be taken care of.
  • It is another way to decrease employee turnover.
  • It also saves the training time invested for the candidates.



  • Internal Hiring results in the lack of new faces representing fresh talents much needed within the company.
  • Internal Hiring, such as a promotion, is the victim of jealousy among the team members for the individual getting promoted.
  • With no fresh talent, no new ideas are witnessed.
  • No backup is provided for the individual getting a transfer.
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