3rd May 2018

5 sharp practices that damage the image of recruitment


Inside track and sharp practice

The recruitment industry continues to suffer from an image problem. There are many reasons for this. Two that impact people in the most negative ways are when disappointed, unsuccessful candidates form the view that they failed because of an unfair process; and recruiters calling potential applicants up, briefing on opportunities and raising hopes, never to be heard from again.
However, it’s not just about candidates. It’s about clients too. As it’s their money ultimately, this impacts the value clients receive. In some cases, it may amount to fraudulent practice.
Every industry has an inside track. For some its process, for others it’s just the way things get done. Many industries have sharp practices that bend the rule book. Sometimes these are minor. Unfortunately, there are some recruitment practices that do go well beyond that and which only serve to reinforce the poor perceptions around the industry.
Here are some sharp practices that the recruitment industry really needs to discourage.

1. Achieving sales targets at everyone else’s expense

It’s all about commission. The quota of candidates to put forward has been filled. These lucky ones are put forward even though better candidates may be in the pile of CVs that are deleted. Employers don’t get the best employees, employees don’t get the right job… … but as long as it gets billed, who cares?

2. Billing big but not much value

Recruiters may invoice clients anything from 10 to 30 percent of the annual salary for each job. Sometimes the consultant has done little more than flick through a few CVs and resumes and made a few calls. When we’re talking annual salaries in the high five figures no wonder its high fives and Bolly all round at the end of the month…

3. Creating fictional jobs

Recruiters may advertise fictional jobs to attract the interest of candidates actively job seeking. The conversations that result with job seekers may provide leads to employers that are hiring and to whom the recruiter may be able to pitch candidates.

4. Using inside information from candidates

Candidates may be more than willing to talk about their existing employer, especially if candidates are disaffected. Info may include the state of morale, the names of others seeking move job and the names of managers. Now, how might a recruiter put that information to use?

5. Cheating on temp and contractor rates

Knowing the client’s budget and the rate expectation puts recruiters in a position of absolute power. It’s a game where recruiters hold the aces. Newly arrived overseas workers are particularly vulnerable as they often have poor market knowledge and may be desperate for income at any rate.
Given people have very negative views of recruiters the industry really does need to do more to accentuate more of its positive aspects. Agencies may put policies in place, but there are always those that seek to operate outside of the official playbook.

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ETZ recruitment back office automation and integration solutions help recruitment firms reduce back office costs by up to 85%. They also provide data and yield intelligence that can help you to identify irregularities and sharp practice.
With ETZ, recruitment agencies, your clients and candidates all benefit. ETZ brings more accuracy to timesheets and approval processes and accelerates invoicing and payments. Reducing costs with efficiency helps pull up on your bottom line.
To find out more about how we can help your recruitment agency towards a more efficient back office that delivers greater value, simply get in touch.
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