Job Placement Agencies
We’ve all been in the situation, at one point or another in our lives, of having to look for work. Whether it be looking for part-time, summer or career positions, most of us have had to go through the painstaking, lengthy and often tedious process of searching through newspapers, career centres, job banks and the like.
For those of us with career jobs in mind, the task has become especially more difficult. Gone are the days when folks spent 20-plus years working for the same companies. The rules have changed and in today’s increasingly fast-paced and technologically advanced society, the turnover rate for jobs is quickening.
Many employers now hire consultants and contract workers, forcing job seekers to be more flexible and versatile with their skills, and to remain competitive for their next eventual job move two or three years down the line. Thus, recognizing these significant shifts in employment trends, have come the hordes of job placement agencies.
Most agencies will take on candidates for free and either charge “finders fees” to employers seeking the ideal worker, or hire themselves out to individual companies with the sole task of recruiting personnel for them. However, buyer, beware, for there are some agencies (sometimes passing themselves off as head hunters) that have no qualms about double billing, often demanding enormous fees from both job seekers and employers.
A few hours before starting this article, I spoke to a friend who’d just returned from a second interview with one of these so-called “head hunters”. During his first meeting he was drawn in to what at the time appeared to be the essence of the corporate dream.
The executive he met with brought him into a plush office and proceeded to tell him about their selective screening process. He was asked if he was serious about committing himself to properly developing his career. After convincing them that he was, they asked him to return for a second free consultation and insisted that he bring his girlfriend along. Only then would they reveal their fee.
At the second meeting the agency repeated their sales pitch to his girlfriend and explained their network of international contacts, making sure to drop some big names into the monologue. They went on to explain how the average job seeker (through classified ads, the Internet, personal contacts, etc.) can only access 20% of the job opportunities available.
Their agency, however, boasted the ability to access the other 80%, what they referred to as the “hidden job market”. They blurted off a long list of services (editing resumes, cover letter targeting, interview prep sessions, etc.) and padded it with some more statistics, before revealing their service fee. Said fee is on a sliding scale, based on the salary they estimate they’ll be able to negotiate for their client. It should be known that the client holds an MBA in Marketing and International Business from McGill University and was the recipient of several scholastic awards.
Well, for the possibility of getting him an executive position starting in the neighborhood of 50K, they expected a fee of $5,000. I kid you not, and they wanted two thousand up front.
The agency’s point man proceeded to leave the couple alone in his office and told them that he’d wait outside in the hall until they made their decision. By this point, my friend wasn’t just angry; he was livid at their approach and audacity. They wanted 10% of his “potential” annual salary and they insisted that his girlfriend be there so that they could get her to help them rope him in. Is it any wonder that he turned them down flat? Isn’t it enough that he’s already paid for two university degrees? Now he’s got to pay the agency too?
To charge 10% of someone’s annual income is ridiculous and outrageous, especially before they’ve even had a chance to earn it. There are plenty of good job placement agencies, some of which do charge a modest registration fee. However, there are also plenty of free services available, especially over the Internet.
Popular websites include monster.com, JobShark.com, HeadHunters.com and CareerMosaic.com, to name just a few. There are also plenty of government job sites and other employment services available. The bottom line is that with so many free and viable services available, isn’t a jobless candidate better off operating his own placement agency, focusing on his most important client?
Agencies that charge a hefty sum: 30%
Agencies that charge a reasonable sum: 60%
Youth employment placement agencies: 85%
