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Do You Know Where Your Sendouts Are Working Today?

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Mar 31, 2014

Editor’s note: Jeff Allen has heard every employer excuse that you can imagine for not paying up — and dozens more that defy imagination. Over the last 18 months, he’s documented one a week. Because of the importance of collections, Fordyce will periodically reprise the most common situations he addressed. The complete collection is here.

What Client Says:

Another recruiter was responsible for the placement.

How Client Pays:

Executive search is a game anyone can play, and there are no rules.  So there’s always some unprofessional, unethical recruiter out there who’ll assist with the “undocumented candidate.”  A five-figure fee is motivation enough.

What does the hiring authority get in return?  Let’s look at a few of the most popular goodies:

  1. A kickback.
  2. A motivated agent to find him or her a better job.
  3. A lower fee.
  4. A promise to stop raiding the employer.
  5. A promise to legally defend the employer and indemnify it (pay any judgment).

The best way to get paid is to track the candidate closely.  It is a constant source of amazement to recruiters when they stumble on “undocumented” candidates working at clients.

Show me one, and I’ll show you a recruiter who:

  • Was probably told the sendout was a turndown.
  • Had no other opportunity for the candidate.
  • Went on to other searches.

Do clients pay two fees?  Absolutely!  You just have to show that they paid the wrong source.

There are probably many placements made that you don’t know about.  It’s like panning for gold to go back through your sendouts, focusing on suspicious clients and candidates.

Too many “almost hires”?  They’re “probably placed”!

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