SPHR Human Resources

Answer - C - If underutilization exists within an organization, employee referral programs are not likely to remedy that problem. If the current workforce has a majority group, then the employees referred will most likely be part of this same majority group and continue to fuel underutilization.

Key Takeaway: Both options A and D represent benefits of employee referral programs. Although the employee who makes the referral may be believe that the candidate whom they refer will succeed, that assumption is not necessarily accurate.