Tom Sorensen | NPAworldwide

How many times do I have to say this?



On average, recruiters only fill 1 out of 4 job orders when there is no retainer or exclusivity with their client (the hiring company).

"It is also bemusing that highly skilled professionals are ‘OK’ with working incredibly hard and providing exceptional value and only getting paid for 25% of the work that they do". Says Greg Savage.

What Greg alludes to is the practice and business model of 90% of recruitment agencies. 

The practice is commonly known as contingency recruiting. Here’s how it typically works:

Recruitment agencies agree to work on filling a job position for a client (hiring company), but they do so under the condition that they will only be paid a fee if the client hires a candidate that the agency presents.

  • Why do recruiters keep on taking job orders without telling the clients that in 3 of 4 job assignments, they do not deliver candidates? 
  • How can an agency recruitment consultant manage to work on 10 or up to 40 jobs every day? You get the picture?
  • Why are clients kept in the dark, waiting forever to get candidates? Clients will have wasted weeks or months and what has this cost them?

If recruitment was a consumer product, this bizarre practice would long ago have been a case for the Office of Consumer Protection.

Potential issues when recruiter is paid on success

Here is one of six potential pitfalls: It can strain the relationship between the agency and the client if the client is not receiving any candidates. Or the client feels inundated with resumes that don’t meet their expectations. Read more…

Multi-listed, contingent job-orders benefit no-one

With no commitment from the client through a retainer (deposit up front) or an exclusivity agreement, it’s easy for a consultant to give up after a few hours of work. Of course, the client will never be told that no one is working on their job. Read more…

Who is this guy, Greg Savage?

If you are in recruitment, HR or Talent Acquisition you should know or at least have heard of Greg Savage. Unless you have lived under a rock for the last decade. Read more…

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