How are “new hire” and “replacement hire” defined?

When an employee is brought aboard to take the position of a leaving employee (retirement, termination, or even death) the new employee is considered a replacement. There is no effective change in payroll. A new hire is considered to be an addition to existing staff. New hires represent an increase in payroll costs.


Hope that helps you out. =)



A note about HR laws:
Laws concerning employee treatment, benefits, hiring and firing…etc are multi-level. What this means is that there are Federal laws, state laws and sometimes local regulations that have jurisdiction over an employee. The information presented here should not be considered legal advice. Ultimately, employers with serious legal questions should consult local attorneys with expertise in worker relations.
The questions and answers presented here are based on research and data from internet sources and should not be considered the final word.

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