2. The hiring industry is on a roll now that the US economy is thriving again, with
multiple businesses putting out job openings.
More companies and organizations are looking to fill their vacancies by tapping
into staffing and recruitment companies. Surely, recruiting firms are making it
big in the middle of this hiring frenzy.
Despite the demand for their services, though, there are some problems firms
run into that make them lose more than gain. For example, missed recruiting
fees make such a huge impact some recruiting firms barely even survive.
But why are there unpaid dues? Are there ways to avoid or recover these missed
recruiting fees? Let’s deep dive.
3. WHAT ARE MISSED RECRUITING FEES AND
WHY DO THEY HAPPEN
But first, what are recruiting agencies, and what are these fees associated with
them?
Recruiting agencies are the intermediaries in a hiring transaction involving a
company and a prospect who may fit the current vacancy. The agency scouts,
screens, and ultimately recruits the latter on behalf of the former.
The intention is that the company who sought the recruiting agency’s help will be
as hands-off as possible in a process that could go extensive and arduous.
Why are there fees?
4. Well, recruiting agencies offer a service that does not
come off cheap. Companies pay recruiting fees for
the agency’s efforts, database or network, and
involvement in the placement of a candidate.
And these fees are the dues that often get unpaid in
the middle of the hiring process.
How do the fees go missing exactly? Most of the
time, it’s because the hiring company engages in
a billion-dollar problem called backdoor hiring.
5. BACKDOOR HIRING 101
Backdoor hiring, in a nutshell, is the process of hiring a candidate the recruiter
scouted and introduced behind the recruiter’s back. Then, because it was the
company that “essentially” did the hiring, they will give excuses not to pay the
recruiter’s placement fees.
Some tell-tale signs can clue you in on potential missed recruiting fees:
6. IF THE CANDIDATE ALREADY GOT SCOUTED OR
APPLIED TO THE COMPANY
It’s tricky when the candidate has already received recruitment emails or has
already gone through any steps in the hiring process. It’s tough because the
company can just claim they already knew the candidate without your help.
IF THE COMPANY KNOWS THE CANDIDATE
If the company knows the candidate through any of the initial ways of contact
stated above, there’s already a high possibility that they will pull the “we already
know him” card on you.
7. IF THE HIRING WAS PUT ON HOLD
The hiring process is advancing well, and you now even have a candidate, or two
lined up when the company decides to put it on hold. Sure, it may be for any
other reason. But sometimes, it’s because they were already hiring while you
waited.
IF THE CLIENT WENT RADIO SILENT
You have all the reasons to be suspicious, primarily if the preliminary interviews
were already conducted.
8. IF THE CANDIDATE IS MIA, TOO
The same goes for your candidate; if they are not replying, chances are they
already got in without your help.
IF THE CANDIDATE BARRED YOU FROM LINKEDIN
The professional networking site is one way to get updates on your prospects.
However, if they blocked you or deleted updates related to you, a backdoor hiring
might have taken place already.
9. HOW CAN RECRUITING FIRMS CLAIM THEIR
MISSED RECRUITING FEES?
Aside from constant vigilance against the six ways to spot a backdoor hiring, recruitingfirms
should ensure they thoroughly researched the company and the prospects they will be working
with.
Securing signed contracts and having safety nets like a 12-month possessory period are surefire
ways to guarantee they won’tfall victim to missed recruitingfees.
Recruiting firms can also invest in backdoor technology solutions to safeguard their interests and
efforts. These AI solutions allow and empower recruitingfirms to monitor candidates to avoid or
prove backdoor hiring scenarios.
