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Why Working with an Agency is Putting your Best Foot Forward

Updated: Sep 13, 2023

With so much mystery around recruiting it's time to explain what you get with a Staffing Agency, both for companies and candidates...

First, what does a company get out of using an Agency? Don't they have their own Recruiters anyway?

Yes. Many companies have in-house Recruiters and this looks different at every company. We have a range from MAANG companies which have teams of Recruiters and that's all they do, to companies with under 50 employees where a Recruiter may also wear many other hats, and everything in between.

The similarity is that all of these companies will benefit from using a Staffing Agency. The MAANG has a hard to fill role they need ASAP. The start-up doesn't have the time of day or the resources to recruit. The mid-size company needs extra support on certain roles.

But aren't agencies expensive??

Well... let's do some math. Typically an agency charges 15% up to 35% of the placements first year salary. This range depends on the seniority and difficulty of the job requisition.

Since 20% is average let's use this number.

You need to hire three software engineers this quarter that will be paid $85-120k depending on years of experience.

Let's say you end up hiring a junior level SWE at $85,000, a mid-level SWE at $100,000, and a Senior SWE at $120,000.

All together their salaries will be $305,000.

20% of $305,000 = $61,000.

That sounds like a lot considering you could maybe hire an in-house Recruiter for around that much per year. Maybe is a strong word. In-house Recruiters at large tech companies are making close to $200k their first year, so keep that in mind.

Ok So what's the point? Where's the value proposition?

Let's get to it, what does this $61,000 get you besides three really really good hires?

  1. A whole team of Recruiters. No worrying about if in-house Recruiters can't find the right candidate, or quit and you need to refill THAT job on top of the jobs you're already trying to fill! We got you.

  2. No extra costs or hidden fees. You're not paying out benefits, taxes, PTO, or software and equipment costs to an agency. Phew.

  3. No managing, all conversation. You won't be adding "Agency Recruiters" to the list of humans you have to manage. Agencies are your business partners, not employees!

  4. Streamlined hiring process. No more getting lost in the back and forth internal shuffle. Agencies present you with candidates, and may even set up certain dates and times for you to knock out the interviews.

  5. Variety, all under one roof. This is one of the best parts and loops back around to #1. Maybe you need to hire an HR Manager, a Software Engineer, a Project Manager, and a Business Development Representative. Many agencies have different Recruiters or teams so they can handle all different types of requisitions.

  6. Guarantee (typically 90 days). Agencies have a guarantee time to refill a position free of charge if the initial placement fell through at no fault of your own.

Some may add a 7th value of "you only pay if a placement is made", but we won't add that here, even though it is good to note. More agencies are leaning into retained search vs contingent. This means you pay a small portion of the placement fee throughout the project milestones to show that you are motivated to hire, and in turn the Recruiters are more motivated to fill your roles. This leads to higher success rates for everyone all around as agencies participate in risk sharing... more on that later.

Really, what's not to love about having a kickass staffing agency on your side?

Why should candidates work with Agency Recruiters?

  1. No Workday applications... usually. Large corporations will still make you apply through their Workday portal, even if you're going through an agency, because they need it on file internally. Sorry.

  2. We WILL fix your resume. If you seem to meet the basic qualifications for a job we will screen you and see what's up. If you do meet them and your resume is just messy or questionable, we will help you fix it up before we present you to our client.

  3. Interview and culture prep. We will prepare you for the company culture, what their interview process is like, what values are important to them, and more.

  4. Your own personal advocates! If our client says "I don't know about this one," or something along those lines, we will advocate for you and explain why you are a good fit for the company and the job. We handpicked you for a reason, afterall.

  5. You're now in our rolodex. Let's say a certain job didn't work out. There's a thousand reasons this could happen, but no matter. We get similar jobs often and you're now on our radar for a job with requirements that suit you better.

  6. We're speaking with hiring managers at multiple companies weekly if not daily. This benefits you because our advice can be both generalized and tailored depending on your expertise and industry. Follow us on LinkedIn for said advice.

Working with a Staffing Agency means everybody in the equation is a winner.

Let us know in the comments about your super totally awesome experience with a Staffing Agency!

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