In the UK’s security industry, it’s common to focus on visible expenses such as wages, equipment, and technology. However, beneath these apparent expenses lie hidden security costs—financial drains that can significantly impact your bottom line. These subtle leaks often stem from inefficiencies in security staffing, high employee turnover, compliance challenges, and outdated hiring processes.
Security firms that switch to smarter hiring strategies gain a competitive advantage, lower operational costs, and a stronger reputation in the industry. This is why addressing these issues is crucial for maintaining a healthy security budget and ensuring the sustainability of your operations.
Let’s discuss a few factors contributing to hidden security costs.
High Turnover: The Hidden Cost of Constant Rehiring
Security firms experience some of the highest turnover rates of any industry, with many employees leaving within months of being hired. This creates an ongoing need to recruit, train, and onboard replacements, driving up costs and reducing efficiency.
Recruitment Costs
Finding the right candidate takes time and money. Advertising vacancies, screening applications, conducting interviews, and processing paperwork all require financial investment and human resources. In the UK, the average cost of replacing an employee is £30,614, a figure that includes lost productivity and the administrative burden of hiring.
Training Expenses
Once hired, security personnel require training to ensure they meet industry standards and client expectations. This includes SIA licensing requirements, site-specific training, and health and safety protocols. The cost of training can quickly accumulate, particularly if staff leave before businesses see a return on investment.
Lost Productivity
New hires take time to adjust, and their efficiency is lower than that of experienced employees. Supervisors may need to provide additional oversight, impacting their own productivity. High turnover rates mean security firms are constantly operating in a state of transition, which can negatively affect service delivery.
Recommended Read: Recruitment Red Flags in Security Hiring
Overpaying for Last-Minute Security Staffing Needs
Unexpected absences or resignations create immediate security staffing gaps that security firms must fill quickly. Without a structured security hiring process in place, these gaps are often managed through costly alternatives.
Overtime Payments
When full-time security officers are unavailable, businesses often rely on existing staff to cover extra shifts. While this ensures continued service, overtime pay can be significantly higher than regular wages, significantly increasing payroll expenses.
Subcontracting Costs
Hiring security personnel through subcontractors may seem like an easy fix, but it comes at a premium. Agencies charge fees that eat into profit margins, and the security officers provided may not always align with the client’s expectations or company culture. Over-reliance on subcontractors also reduces control over workforce quality.
Time-Consuming Hiring & Security Staffing Processes
The longer it takes to hire a security officer, the more a company loses in revenue and productivity. Outdated hiring methods prolong vacancies, causing operational disruptions.
Extended Vacancies
Security roles cannot remain unfilled without consequences. Every day that a position remains vacant, a company risks contractual penalties, service disruptions, and client dissatisfaction. Slow recruitment processes mean businesses struggle to respond to security staffing needs efficiently.
Administrative Burden
Manually processing applications, conducting background checks, and verifying SIA licences require time and effort. HR teams already stretched thin must dedicate resources to these tasks, pulling focus from other operational needs. Automating these processes can significantly reduce hiring times and improve efficiency.
Inconsistent Quality
Traditional hiring methods, such as generic job boards, often lead to an influx of unqualified applicants. Sifting through applications to find suitable candidates is not only time-consuming but also increases the likelihood of hiring someone who doesn’t meet the necessary standards.
Compliance and Vetting Expenses
The security industry operates under strict regulations, and failing to comply with legal requirements can lead to severe penalties and reputational damage.
Manual Vetting Processes
Conducting thorough background checks manually is expensive and time-intensive. Companies often have to rely on third-party services, increasing costs. Compliance with BS7858 screening requirements can take weeks, delaying the hiring process and leaving businesses short-staffed.
Risk of Non-Compliance
Employing security personnel who lack proper vetting or licensing can result in fines. Additionally, failing to meet compliance standards could lead to contract losses, insurance issues, and potential legal action.
Recommended Read: How to Accelerate Screening While Ensuring Compliance
Poor Staff Performance Leading to Client Losses
The effectiveness of security personnel directly influences client satisfaction, retention, and business growth. A single poorly trained or unreliable security officer can lead to contract cancellations and reputational damage.
Service Failures
Security officers must be prepared to handle emergencies, enforce site policies, and de-escalate conflicts. Hiring underqualified personnel increases the likelihood of security breaches and operational failures, putting businesses and their clients at risk.
Client Dissatisfaction
Clients expect high standards from security providers. If staff are late, poorly trained, or unprofessional, clients may choose to switch providers. Negative reviews and word-of-mouth complaints can significantly harm a company’s reputation in a competitive industry.
Reputational Damage
Security firms depend on trust and reliability. A single bad hire who fails to handle an incident properly or acts unprofessionally on-site can lead to long-term reputational harm. In an industry where contracts are often won based on reputation, maintaining high security staffing standards is essential.
Check out our resource on managing multiple contracts for streamlining security hiring.
Stop the Budget Drain & Adopt Golder Security Staffing Solutions
Every security firm faces hidden security costs that impact profitability, from high turnover and overtime pay to compliance risks and inefficient hiring processes. Addressing these issues requires a strategic, cost-effective security hiring approach.
GuardPass provides a technology-driven solution to these challenges, helping security firms reduce recruitment costs, speed up hiring, and ensure compliance. With access to a pre-vetted workforce of SIA-licensed security professionals, businesses can quickly fill vacancies with qualified candidates—without the added expense of overtime or subcontracting. They can also fill urgent security roles via flexible staffing.
By integrating automated compliance checks and BS7858 vetting, GuardPass eliminates the time-consuming burden of manual hiring while ensuring every employee meets legal and industry standards. This not only reduces the risk of fines and contract losses but also improves service quality and client retention.
Ready to eliminate hidden security costs and optimise your security operations? Sign up for GuardPass and get started today.