Contingency Placement Client company pays a percentage of the candidate’s first year’s salary. Fees range from 20-25%. With typical salaries being 100K and above for experienced technical employees, contingency fees can range anywhere from $15,000 to $35,000, for one employee! Assuming an average of 3 hires in a year and an average cost of $25,000 per hire : total cost - $75,000.

Contract Recruiting Experienced contract (hourly) recruiters will charge from $50-$90 per hour. With minimum 3 month contracts, this option is also expensive. Assuming a 1 year contract at a rate of $65 / hour, a contract recruiter will cost about $130,000 annually. Additionally, often times contract recruiters do not provide their own resources (publically available or proprietary).

In-House Recruiting Job Boards are expensive, and so is the cost of combing through them every day and processing the files. Yearly job board costs can run 5-15K per job board or more. Thoroughly sourcing these job boards on a daily basis for new qualified candidates can take 2-4 hours minimum. This doesn’t include the costs of ‘waiting too long’ to conduct searches while competitors are jumping on ‘fresh’ candidates, nor does it account for the opportunity cost of candidates that were missed. Assuming an annual cost of $15K for several job boards plus a staff member at $25 / hour + benefits to source and enter candidates into a system, an in-house recruiting option can easily cost 50K or more. This doesn’t include the cost of an applicant tracking system.

Most in-house recruiters are too overwhelmed with other duties to be able to spend 2-4 hours on a daily basis to source effectively and perform the necessary data entry. Because of this, agencies often obtain referral fees from companies when the company should have found the same candidate themselves! Companies end up paying for job board subscriptions AND agency fees!

Our Solution to the skyrocketing costs! : Your openings are assigned to an expert sourcer in our office. Daily, we search available resources, as well as our proprietary candidate database, to identify qualified candidates for your requirements. The cost of resources is eliminated, you will now already have over half of the candidates agency recruiters will refer (see our Case Study as to how this happens and why), plus you will eliminate costly contract and in-house recruiting costs!! You receive the same service you'd receive from a combination of headhunters and staff recruiters, all for one low monthly rate.