How you reject a job applicant matters. Here’s why.

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Being a hiring manager is difficult. Deciding whether an applicant is the right fit for your company is one thing. Rejecting the applicant is another altogether. It’s not as simple as stamping on a big “REJECTED” sign on the application and shooing the applicant away. The way you approach an application can affect your company.

Like a tabletop roleplaying game, your actions can have profound consequences on the future of your company. Reacting one way can cause your company harm, while another will improve your company’s reputation. Here’s how it can play out.

Your company gains an embittered enemy. -2 reputation.

So the applicant was possibly the worst application you’ve ever had to process — incomplete requirements, late for the interview, sloppily dressed. Nothing gives you more pleasure than to reject this poor excuse of an applicant. But whoops, he feels so entitled that he gets angry with your company.

Or, it could be worse! Your applicant’s childhood dream might have been to work for your company. But you rejected her outright because she wasn’t a good fit for the company. It’s sad, but it happens. She didn’t take it the right way. Her perception of the company has now soured. She has resorted to spreading foul rumors about the company.

This is the worst outcome possible. Not everyone can handle rejection. While you aren’t in total control of how the applicant reacts, your actions can either guarantee or delay this. How can this happen?

Even in rejection, you must always be polite. An outright “no” isn’t enough. Rejecting the applicant without telling him/her the reasons why, or giving insufficient ones, will cause your relations to sour.

Most jobseekers acknowledge the possibility of rejection, but some will react horribly. They may tell other potential applicants that the company is a terrible company to apply for, putting your company’s reputation in jeopardy.

You gain a future applicant. +1 reputation and +1 future.

There are different reasons why you have to reject an applicant: lack of experience, lack of budget, or you’ve already hired someone else. As much as you like the applicant’s pizzaz or qualifications, you can’t accept everyone. Your job now is to kindly say “no.”

Properly saying “no” to an applicant is your first lesson in Human Resources 101. This involves a personalized rejection letter, citing understandable reasons for rejection, and ensuring the applicant that her application will still be considered in the future.

When you carefully let the applicant down, you’re saving your company’s reputation as a kind-hearted and just corporation. At best, the applicant will still favor your company for future applications. After she gains more experience, she might apply again to more favorable conditions.

Earlier this year, a seven-year-old girl sent in a job application to Google. As is probably obvious, Google isn’t too keen on violating child labor laws. (And besides, hiring an adorable seven-year-old might do horrors for office productivity.)

Google CEO Sundar Pichai saw the underlying value of this. Instead of downplaying it as a child’s fantasy, he responded in an equally adorable but still professional way — telling her to keep learning about computers and to send another application once her studies are done.

Conversely to the previous outcome, a proper rejection letter might spread favorable comments about your company. In Google’s case, they once again gained massive popularity (and a lifelong fan, to boot). At the very least, your marketing department will love you for the positive feedback.

You match the applicant to another opportunity. +1 talent and +1 reputation.