Since the launch of LinkedIn, Glassdoor, etc., it has been widely popular among employers and employees. Almost everyone we know has a profile and is very active on LinkedIn or Glassdoor, including successful personas and multinational companies. But who are they? Why do they have such high demands in the market?
They are online recruitment agencies. Their work is to act as a mediator between employers and job searchers. While looking for an eligible candidate for a vacancy, recruiting companies often seek help from recruitment agencies to make the process more efficient. But are recruitment agencies really worth the hype? Do they really increase efficiency and lower the overall cost? Why are big companies so invested in hiring recruitment agencies NZ like sourced.nz etc.? Read this article to find out all the answers in this article.
What Are Recruitment Agencies?
Before delving deeper into the worth of recruitment agencies, one should understand what a recruitment agency is and how they work.
A recruitment agency basically acts as a middleman between a company and a potential job-seeker. The agency works as an extended part of the company’s HR department and hires the best possible candidate on behalf of the company.
How Does A Recruitment Agency Function?
Both employer and applicant can hire a recruitment agency. However, the role played by the agency differs based on who is hiring them.
Step-1: Finding The Right One
The first step is the same for both job-seeker and employer. It is to look for an agency that fits your conditions. Different agencies specialize in different industries. So, before hiring an agency, one must ensure that his requirements align with that recruitment agency’s specialization domain.
The process differs from the following steps-
For The Applicant
Step-2: Registering Under That Agency
Once the right agency is found, one should register himself under the agency with their contact details, updated resume, educational qualifications, relevant skills and training, and other personal information. Few recruitment agencies require candidates to go through certain tests and interviews to check their potential to forward their CVs to employers. When one is done registering, he can look for his desired jobs.
Step-3: Applying To A Job
After being completely registered under the recruitment agency, one can go through the list of job openings and apply via his account. Sometimes, agencies recommend relevant job roles to you as well.
For The Employer
Step-2: Hiring The Agency
Once the employer has finally found a good, trustworthy recruitment agency, he should get in touch with the manager or PR department of the agency, negotiate the cost and hire that agency on a contractual basis.
After hiring, provide the recruitment agency with the job details, and they will find a suitable candidate for you.
Step-3: Post-hiring Of The Employee
If the employee is hired on a temporary or contract basis, the recruitment agency manages all documents, training, timely payroll, taxes, and every other paperwork. The company needs to be involved only when it is permanent employment.
But is a recruitment agency as helpful as it sounds?
5 Importance Facts About Recruitment Agencies:
A few things need to be considered to check whether a recruiting agency is worth one’s time and money.
1. Fast Service:
Finding a perfect match between an employer and future employees takes ages. Getting the right company or the candidate sometimes depends on sheer luck. However, the introduction of recruitment agencies has reduced the gap between job openings and seekers to almost zero.
2. Reasonable Pricing:
Sometimes the process is totally free of cost for the aspirants. Most recruitment agencies provide both general and premium plans to job seekers. Although employing companies are charged a certain amount for the service, they get. But the rate is relatively lower than what the company has to pay for the entire recruitment process by itself.
3. Access To Greater Opportunities:
One can only do so much with limited connections, networks, and information. In comparison, recruitment agencies have a much bigger network both on a national and international level. Some agencies also have their own channel and exclusive sources. Aspirants get more opportunities and information, and employers get more candidates to select from.
4. Long-term Benefits:
Recruitment agencies are great match-makers. They have more information on both employing companies and applicants. They understand which job role suits whom far better than the HRs and job-hunters. Some agencies even provide their clients with tips, assessments, and interview guidelines. As a matter of fact, building a connection with recruitment agencies can be quite beneficial in the long term, even if the result is not very clear at present.
5. Distribution Of Responsibilities:
Unless a company is looking for a permanent employee, the responsibility of hiring a candidate, training him properly, keeping track of his daily performance, handling all paperwork, providing monthly wages on time, paying taxes regularly, etc., is part of the hired recruitment agency’s work. Besides this, the agency is also responsible for preparing a registered candidate for his dream job and helping him get it.
But are these all? The answer is no. There are some extra benefits but only for client companies.
Special Benefit Of Hiring Recruitment Agencies For Employers
Reduction In Overall Cost
Permanent employees are costly. Companies must take care of health care, medical insurance, post-retirement benefits, paid leaves and vacation pay, and so on. However, hiring temporary or short-term employees through recruitment agencies is extremely cost-saving.
No Need For Overtime
Working permanent employees overtime is quite costly. But with the vast availability of contractual employees, there is no such need.
Avoiding Risk Of Wrong Hiring
It is not only difficult but almost impossible to cheat hiring experts. And recruitment agencies have a better knowledge of markets as well. So, there is a little-to-no risk of hiring the wrong person.
Although it may seem like recruitment agencies are only helpful to corporations since they get the most benefits, job-seekers registered under an agency are many steps ahead of those not. Good recruitment agencies have almost zero drawbacks and would save both recruiting companies and aspirants a lot of energy and stress.