The Six secrets recruitment agencies hide from you

July 1st, 2015

Many recruitment agencies are overpriced, unethical and some downright deceitful, so it’s small wonder people are starting to say the recruitment agency model of hiring has had its day.

Hiring with an agent looks very appealing to many. While it’s usually incredibly expensive, much of the hassle is managed and you only pay on success! You may be surprised to learn about some of the hidden downsides of using recruitment companies.

With just a few changes to the way you approach hiring, with Simplified, you can save up to 80% of your hiring costs and mitigate all these issues.

Sourcing direct with Simplified definitely has the edge over recruitment agents, and here’s why:

1 – Agencies promote their brand with your money

With Simplified – we make your employer brand a prominent part of your job advertising. Your jobs feature your logo and company name. This ensures that money you spend advertising jobs increases your brand exposure and helps you build up your profile as an employer. When you send jobs to an agency, the first thing they will usually do is advertise a job with their branding on all the main job advertising websites. This advertising features their name and logo – not yours. Essentially they are building up the profile of their company and growing their candidate database, with your money.

2 – Agencies own candidates who apply for jobs you send them

With Simplified, you retain full ownership of your job applicants. After all, they’re applying for your jobs, not ours! Agencies, on the other hand, are only concerned about getting the highest fee they can for ‘their’ jobseekers. They claim ownership of all applicants who apply for all roles they advertise – including yours! They’ll have no qualms about offering candidates who apply for your roles other jobs with your competitors or other employers they represent. Especially if they pay more in placement fees than you do!

3 – Agencies minimise your advertising reach

We squeeze every little last bit out of your budget by sourcing as many different channels as we can. We want you to spread your net as wide as possible to reach all candidates who could potentially add value to your organisation. It’s a different story with agencies – they want to maximise their own profits. In fact, if you choose an agency fee at the lower end of the scale, you’ll be lucky to even hear about some of their best candidates as the agent will try and minimise spending on your role by limiting their advertising.

4 – Agencies seek to increase candidate wages

At Simplified, we have no interest in higher wages for your new recruits. What you pay us is based on your sourcing activity and the work you ask us to do, not applicants’ salaries. Here again, agencies are different. Their fee is based on candidate pay, as a percentage of the annual salary, so they always want to drive wages up and will do their best to ensure you pay as much as possible. They also represent the candidate so will often coach candidates to ask for more money if they think it’s available.

5 – Agencies poach your top performers

It’s not something we’d ever do as when you hire with Simplified, we represent you not the candidate. Agencies however regularly contact new recruits a few months or years after they’ve been hired, dangling new roles at other employers so they can make more money out of your talent. This is commonplace, and hikes up recruitment costs needlessly.

6 – Agents make you pay for every hire, every time

When you hire with Simplified, you’ll quickly discover that if you’re regularly advertising jobs, you will develop a talent pool of applicants which you can then hire from without having to incur additional costs. With Simplified you do not need to pay again to do this, as you have already bought full ownership of all candidates you attract when you paid for us to source them. With agencies it’s a very different story. Agencies advertising your role will collect a number of good candidates from the advertising and sourcing they do. They will then bill you for every new recruit. If you find three new people that you want to hire via an agent, it will cost three times the fee. This is despite the fact that there is often little or no extra work they have to do.

Sourcing direct via Simplified is the best way to eliminate all these issues. In addition it’s also 80% cheaper than using recruitment agencies!

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We have also developed a free guide to online recruitment advertising which explains how to best use direct sourcing to hire the best talent.

DOWNLOAD OUR GUIDE

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