Backdoor hires and fee disputes are unfortunately a part of recruitment life. Clients dodging agency fees by sneaking candidates through the backdoor; it’s unfair and it damages relationships all around but it is happening more than you think. Our partners introPROTECT, in partnership with the Business School at the University of Brighton, are carrying out research to understand and improve the state of the market to prevent this crisis continuing.
Clearly, recruiters that run a tight ship are less likely to suffer the risk of a dispute. Watertight terms of business covering backdoor hires, contractor re-engagement and third party introductions is key; as is actually sending the terms out(!). However don’t forget there is still no value in attaching those terms if you haven’t taken the time to review them for accuracy!
With the piecemeal evolution of recruiters’ terms of business and the ‘borrowing’ of standard documents from previous employers, you may find your terms of business are a mess. The starting point for backdoor hire prevention comes with making the key elements watertight, these include; the definitions and provisions for ‘introduction’, ‘engagement’, ‘fee calculations’, ‘payment terms’ and ‘notification obligations’ (where the candidate is already in consideration by the client). Work hard on getting these details right and you are safeguarding against future disputes.
Some recruiters might be aware their terms of business are a little shabby, but don’t know where to start on improving them. Therefore, in a series of blogs to help recruiters PREVENT, DETECT and RECOVER disputed fees our first piece is all about PREVENTION: focusing on your terms of business.
We want to actively help recruiters work towards preventing back door hires with this natural starting point – ensuring your terms of business protect YOU the recruiter.
Please help introPROTECT improve the market for all recruiters by answering these simple questions. Include your email address if you want a FREE copy of the results (and tick the box if you want a FREE review from the experts at introPROTECT).
