Talent is a prized asset in the software industry. As a result, “boomerang hires” – former employees who return to their previous companies – are becoming increasingly common. This phenomenon offers unique opportunities for both companies and employees, but also presents challenges that require careful consideration. 

This article delves into the nuances of boomerang hiring, examining its impact on individual careers, company culture, and the overall health of the software ecosystem.  

The Rise of the Boomerang Employee: A New Era of Talent Mobility

This dynamic environment fuels employee mobility, with many professionals seeking new challenges and experiences at different companies. But now, they eventually come back! This has several drivers, including a growing emphasis on employee experience and retention within the tech sector.

Several factors contribute to the rise of boomerang hires in the software industry:

  • The “Great Resignation”: The pandemic-era “Great Resignation” saw a surge in employee turnover across industries, with many seeking new opportunities. In 2022, Microsoft discovered more than 41% of the entire global workforce were considering quitting their jobs within the year.
  • Rapid Industry Growth: The software industry is characterized by rapid technological advancements and constant evolution. This creates a dynamic environment where employees may seek new challenges or explore different career paths before returning to their previous employer.
  • Stronger Employer Brands: Companies are increasingly investing in building strong employer brands, fostering positive relationships with former employees and increasing the likelihood of their return.
  • Skills Shortages: A study by Deloitte forecasted that the demand for tech talent will grow from 6 million in 2023 to 7.1 million tech jobs by 2034 in the United States alone. The ongoing talent shortage in the tech industry makes rehiring experienced, familiar employees a valuable strategy for companies.

Benefits of Boomerang Hires for Companies

Rehiring former employees can offer significant advantages for companies.

Rehiring a familiar face can significantly reduce the time and resources associated with training and familiarization. After all, boomerang hires already possess a deep understanding of company culture, processes, and tools, allowing them to quickly become productive members of the team.

This streamlined onboarding process translates to reduced training costs and increased efficiency, making boomerang hires a cost-effective solution for companies seeking to fill critical roles.

Rehired employees possess valuable institutional knowledge and established relationships within the company. This familiarity enables them to contribute effectively from day one, accelerating project timelines and improving overall team productivity.

HRPA compiled relevant data in this, including the estimate that a Fortune 500 company can save upwards of $12 million yearly by recruiting boomerang workers. By minimizing the learning curve, boomerang hires can quickly integrate and contribute meaningfully to team goals.

Returning employees often foster cross-pollination of ideas.   Employees who have gained experience at other companies often return with new skills, perspectives, and a broader understanding of industry best practices. This influx of new ideas can foster innovation and drive positive change within the organization.

Successful boomerang hiring programs can boost employee morale and demonstrate a commitment to employee growth and development.  

Challenges of Boomerang Hiring: Navigating Potential Pitfalls

While boomerang hiring offers numerous benefits, it also presents potential challenges that companies must carefully navigate.

If boomerang hires are consistently rehired into the same roles, it can limit career growth opportunities for both them and other employees. For all, encouraging career growth and providing opportunities for skill development is crucial to ensure that boomerang hiring fosters a dynamic and engaging work environment.

There is potential for disillusionment if the reasons for the initial departure were not adequately addressed. In these cases, rehiring may not be a sustainable solution and could lead to further employee dissatisfaction.

Companies must thoroughly address the underlying reasons for the employee’s initial departure to prevent a recurrence of the same issues. Once again, open and honest communication with the returning employee is essential to address any lingering concerns and ensure a successful reintegration.

Companies must be mindful that rehiring former employees can sometimes lead to resentment among existing employees who may feel overlooked or undervalued. There can be a slight rise in costs too, to adjust compensation to newly acquired skills. 

Rehiring processes should be carefully managed to avoid perceptions of favoritism and ensure that all qualified candidates are given equal consideration. Open communication and transparency are crucial to address any concerns and maintain a positive and equitable work environment.

Companies must ensure that rehiring practices are fair and equitable, avoiding any potential for discrimination or favoritism.

You may want to check our Job Dissatisfaction in Tech: Why Your A-Team is Calling it Quits (and How to Keep Them) article to learn what’s impeding boomerang hires at your company.

A 360° Approach to Boomerang Hiring: A Collaborative Effort

Addressing the complexities of boomerang hiring requires a multi-faceted approach that involves all stakeholders:

For Companies

  • Foster a Positive Work Environment: Cultivate a positive and inclusive work environment that encourages employee growth and development.
  • Maintain Strong Relationships with Former Employees: Stay connected with former employees through alumni networks and professional events.
  • Conduct Thorough Re-onboarding: Develop a comprehensive re-onboarding process that addresses any underlying issues that led to the initial departure.
  • Prioritize Employee Growth: Offer opportunities for skill development, mentorship, and career advancement to all employees.

For Employees

  • Maintain Professional Relationships: Cultivate and maintain positive relationships with former colleagues and managers.
  • Continuously Develop Skills: Invest in continuous learning and professional development to enhance your skills and marketability.
  • Reflect on Past Experiences: Analyze the reasons for leaving your previous role and identify areas for personal and professional growth.

For Industry Leaders

  • Promote Industry-Wide Best Practices: Advocate for ethical hiring practices and encourage companies to prioritize employee well-being and development.
  • Address the Root Causes of Employee Turnover: Investigate and address the underlying factors that contribute to high employee turnover rates.

For Policymakers

  • Support Employee Rights: Advocate for policies that protect employee rights and promote fair labor practices.  
  • Encourage Lifelong Learning: Support initiatives that promote lifelong learning and skill development among workers.

Boomerang hiring is a growing trend in the software industry with both potential benefits and challenges. By fostering a positive and supportive work environment, prioritizing employee growth and development, and addressing the root causes of employee turnover, companies can effectively leverage the potential of boomerang hires while ensuring a positive and sustainable work experience for all employees.  

Ubiminds can help companies build high-performing teams by connecting them with top talent, including potential boomerang hires, and fostering a positive and inclusive work environment.

Frequently Asked Questions (FAQs)

Boomerang hires can significantly reduce onboarding costs and increase employee productivity due to their existing knowledge of company culture and processes.

Potential challenges include resentment among existing employees, the risk of stagnation, and the need to address any underlying issues that led to the initial departure.

Companies can prepare by fostering a positive and inclusive work environment, prioritizing employee development, and conducting thorough re-onboarding processes.

Employees can maintain professional relationships with former colleagues, continuously develop their skills, and reflect on their career goals.