When to Use a Recruitment Company and When to Go It Alone

Life is hard for businesses looking to recruit newwhere to find and how to attract employees of
staff at present. There is a worldwide skills shortageparticular skills types. If you are unable to attract the
and online job advertisements are at a record high. Inemployees you want yourself, you may require the
response, the recruitment business is booming asservices of a recruitment agency that has good
employers look for external assistance to ease theirindustry contacts and can headhunt the appropriate
plight.staff you require.
The question is, when should you use a recruitmentWhilst most recruiters are sales professionals (not
agency and when should you go it alone?employee selection specialists), some agencies hire
Recruitment agency fees are expensive and youstaff with extensive experience in a field (e.g.
want to be sure you are getting value for yourelectrical engineering) and teach them how to recruit
money.and place. Recruitment consultants who themselves
The first thing it is important to understand is thathave the particular skills and experience you require,
most recruitment firms are really just job advertisersare generally better able to understand and assess
and do not undertake employee selection for you aswhat it is that you are looking for. This means that
well. There are some agencies that do and if youthe quality of the short listed candidates that are
require this from them this should be an importantprovided to you to assess will be higher.
part of your selection criteria when deciding whichMany employment markets are so large that for a
firm to use.business to initially screen all applications for a position
Given that most recruitment firms don’twould be so time consuming that it could result in lost
provide selection services, if you are able to write anbusiness whilst this process occurs. This is particularly
effective job advertisement or have other arenasthe case in large cities such as New York and
through which you can source potential job applicantsLondon, however this problem also occurs in cities
yourself, such as through word of mouth from yourwithin the EU where applicants readily apply for and
current employees or through other contacts; or viamove to new jobs right throughout the region. The
signs in your place of employment or local area, thenuse of recruitment firms in this instance can save
you will save considerable amounts of money byconsiderable time and stress provided that correct
undertaking all of your employee recruitment andselection and screening procedures are utilized.
selection process yourself.Similarly, if you do not have the time to undertake
A recruitment firm can offer you great benefits ifthe recruitment and selection process yourself and
you are looking to hire staff for short periods of timethe cost to your business in lost business or business
and also wish to use the recruitmentdevelopment opportunity during the recruitment
company’s services as an outsourcedprocess is more than the cost of utilizing a
employer. The recruitment firm will charge you anrecruitment firm, you should definitely consider
hourly or daily rate for the contractor and also act asoutsourcing your recruitment. If you choose to go
the worker’s employer and will be responsiblethis route however you should insist that your
for insurances, salary, superannuation and allchosen firm undertakes the whole process for you
employee benefits. Although this is generally moreand uses scientific selection methodology.
expensive than if you act as the employer yourself,At the very least your recruiter should undertake
there is just a single invoice to be paid rather thanbackground and reference checks on your behalf and
the workload associated with an additional employee.use behavioral based interviews. Otherwise you will
Also the recruitment firm takes all the risk and youend up having to put in just as much time and effort
can ask for replacement staff at any time if theyourself anyway to assess the applicants they send
employee is not working out like you hoped or if youyou. If not, the effect of your outsourced employee
no longer require their services. This can beselection process will be just as effective as taking a
particularly useful if you require particular skills for onlylucky dip from a hat. And you will have to deal with
a short period of time, for example you need anthe consequences, which could not only include you
accountant to help you out at tax time or abeing stuck with a less than productive employee,
receptionist to fill in whilst your regular employee isbut even a disaster. I can assure you that the time
on leave. Using a contractor through a recruitmentand effort required to performance manage a poorly
firm can also often be cheaper than using aperforming employee or one with a bad attitude is
professional services firm.much, much more than would be required to
A recruitment firm can also provide you with benefitsundertake a successful selection process in the first
if they are expert in a particular industry or employeeinstance.
market. They may have specialized knowledge of