What Should You Expect From Recruiters?

90% of recruiters fall into one of two categories, they are either retained or contingent. The difference is significant and a candidate should know the difference so that they know what to expect from each. Granted there are other types, but they are few and one rarely encounters them.

Since September of 1980 I have been an executive recruiter. I still run an executive search firm, IMPACT Hiring Solutions. For the first 13 or 14 years I was a contingent recruiter and since then have been a retained recruiter. Having worked both sides of the street, I will explain the difference and why it is so critical as a candidate that you know which type of recruiter you are working with so you can properly set your expectations. I hope this will reduce some of the frustration in dealing with recruiters.  I know it will not eliminate it.

As a starting definition:

1) Contingent recruiters get paid when the candidate starts working. Until then they are working for free. Think of them as a 100% commission sales person. No sale no income.

2) Retained recruiters get paid by progress in the search.  This payment stream varies by agreement between the company and recruiter, however, as a general rule it is the first third of the projected fee to begin the search, the second in some period of time usually 30 – 45 days, and the final third when the person starts or in some agreed upon time frame. The retained recruiter is guaranteed, if not all of the fee, at least two thirds regardless of whether a person is hired or not. Much like a lawyer or tax accountant, the fee is independent of the results.

One is no better than the other and both serve a purpose and market. Either type of recruiter can be professional and unfortunately unprofessional. There is no rule that guarantees that you will get a highly skilled and professional recruiter with either type, anymore than you can with a lawyer, accountant, counselor, or any other profession. There are good and bad in all professions.

So what should you expect from each of these and how does this differ in the real world and the day-to-day workings of each type of recruiter?

First some ground rules: 1) This is “Recruiters 101” so I will not be able to cover every aspect and every situation. 2) This is an overview, so I will be discussing generalities. There are exceptions to everything. 3) Unless otherwise specified, I will be assuming a professional recruiter and not the flakes that are out there. 4) Don’t confuse recruiters with career counselors or coaches, resume writers or outplacement consultants. There is a big, big difference in all of these. 5) When possible I will try to contrast the two to help you understand what to expect from each.

Contingent Recruiters

Since they are basically 100% commission sales people, closing the sale is critical and so is time. When a company uses contingent recruiters, most of the time they engage more than one. Depending on the discipline and geographical area, that could be up to 10 recruiters working the same position. The company is also attempting to fill the position so the recruiter is not only competing against other recruiters but also the company.

Time is critical to contingent recruiters. The first recruiter to get the resume to the company is considered the recruiter of record and the one that will get the fee if that candidate is hired. Since candidates send their resume to multiple recruiters, having an inventory of candidates is critical. A good contingent recruiter wants active candidate’s resumes on file so that the minute a company calls with a job opening the recruiter can email resumes  before another contingent recruiter working with the same candidate can. This makes them the recruiter of record. From a candidate’s perspective, don’t send your resume to just any recruiter if you don’t want it sent out to companies without your knowledge. Contingent recruiters don’t want to take the time to call or email you, wait for a return call or email, to find that while they are waiting some other recruiter emailed your resume to the company.

Over screening resumes is the worst thing a contingent recruiter can do.

Contingent recruiters may or may not meet the company and hiring manager. This is not a requirement for contingent recruiters. Some will and some won’t. I always met every candidate before sending them out to a company. They may not have even been to the company, or ever met the hiring manager, so as a candidate you may not be able to expect all of your questions about the company, position, and future boss to be answered.

Retained Recruiters

Since retained recruiters get paid regardless of the outcome, they aren’t as driven by time as much as match. Retained recruiters generally have much longer guarantees so it is very important that the candidate is successful. For example, we have up to a year’s guarantee.

Retained recruiters are expected to be very selective. This is frustrating to candidates that think they are qualified, but the retained recruiter isn’t impressed. A big mistake candidates make is that they assume retained recruiters are looking for qualified candidates.  Retained recruiters aren’t looking for qualified candidates. The company can do that on their own. Retained recruiters are looking for exceptionally qualified candidates that the company can’t find.  As close to perfect as we can get.

Most retained recruiters have a very close working relationship with the company and hiring manager. They generally have spent a fair amount of time with the hiring manager, they should have a complete understanding of the position, and know what type of personality works well in this culture and with the hiring manager. Also, most retained recruiters will have an extensive screening process before the candidate moves on to meet the company.

A candidate should expect to be one of  4 or 5 candidates presented to the company for any one position.

The retained recruiter is not competing against other recruiters or the company. They know that if the candidate fails, this may be the last time they work with the company. Generally, they have a long relationship with the hiring manager and that is the person that hired them.

That is Recruiters 101, I welcome your thoughts and comments.

For more, join our LinkedIn Job Search Networking Group. CLICK HERE to join.

To learn more about the retained executive search process CLICK HERE.

If this was helpful to you then please pass it on to others. Consider emailing it to your network, updating it on your LinkedIn or Facecbook status, or mentioning it on Twitter. The more you help the better.

I welcome your comments and thoughts.

Brad Remillard

New Poll Shows Over 50% Unemployed For Over A Year

I recently conducted a  non-scientific poll using LinkedIn. 912 people responded to the poll and the results follow with some commentary on the results.

The only question asked was, “How long have you been unemployed and looking for a job?” Since most of the people on LinkedIn tend to be professionals, one can draw the conclusion that the majority of the people responding have a college degree, include all functional departments within a company, and that the respondents range from entry level professionals to the CEO suite.

Overall results are:

9% under 60 days

18%  3-6 months

12%  7-9 months

9%  9-12 months

51%  over one year

Many of the comments from the respondents would indicate that some have been unemployed for more than 2 years.

Breaking these numbers down further, 39% of the respondents were female and 61% were male according to LinkedIn. There was almost no difference between females and males out of work for more than a year with 52% for females and 51% for males. The other lengths of time were also very similar between females and males.

The most controversial part of the poll was how LinkedIn broke the number down by age. Of all of the comments received, this was the topic that received the most discussion. For the most part, people commenting clearly thought age discrimination was alive and well. As a recruiter for the last 30 years I’m not sure this is accurate.

Of those 18-24 years old, 50% have been unemployed for more than a year, 22% for 3-6 months, 17% for less than 60 days and the balance of 11%  between 7-12 months.

Of those 25-34 years old,  41% were more than one year, 19% for 3 -6 months, 18% for less than 60 days, and the remainder of 22% between 7 – 12 months.

Of those 35-54 years old,  49% were more than one year, 19% for 3-6 months, 11% for less than 60 days and 21% between 7 -12 months.

Of those 55 and older, 55% were more than one year, 16% 3 -6 months, 6% less than 60 days and 23% between 7-12 months.

It doesn’t surprise me that the largest number of people unemployed for more than a year are in the over 55 age group. I would expect this to be the case. Granted, there may be some age discrimination going on, but for the most part this age group is the highest paid group and the most senior on the corporate ladder. It is for these reasons I believe this is the largest group. Our recruiting business is primarily mid-sized company executives. Generally these executives take the longest amount of time to come back from a recession. I started recruiting in 1980, so this is my 4th or 5th recession as a recruiter, and in all previous recessions this is the last group companies hire. Not the oldest, but the most experienced and most highly compensated. In today’s world, a new phenomenon is taking over with companies bringing on interim or temporary executives instead of out right hiring them.

I don’t see age discrimination when the age group of 18-24 has only 5% less looking for more than one year than the 55+ group and a 1% difference for 34-54 group. In most cases this would be within the margin of error.  I think it has more to do with experience. The 18-24 age group typically has the least amount of experience and those 55+ typically have the most. Companies tend first to hire in the middle of the bell curve before moving to the outer extremes.

Regardless of how one wants to view the results, the fact is that the largest group in every age group is more than one year. To me this is the most important information coming from this poll. I wonder how much longer than a year have possibly many been looking and how many have just given up?

Unemployment is alive and thriving at all age levels. Unemployment doesn’t appear to care about your age all that much.

If you would like to see the results of this poll for yourself CLICK HERE.

If you would like some free tools to help you get out of  your job search regardless of how long you have been looking CLICK HERE to download our LinkedIn Profile Assessment and CLICK HERE to download our Job Search Self- Assessment Scorecard. Both of these tools will help you to identify key areas to improve your job search.

I welcome your comments and thoughts.

Brad Remillard

Most Recruiters are Wasting Your Time

How do You Find a Recruiter that will work with you?

Networking – Networking – Networking (more on this subject later)

Many candidates assume the recruiter is “working with them” if one of the following scenarios take place:

1. The recruiter accepted your resume
2. The recruiter called you back on the phone and interviewed you
3. The recruiter asked you into their office for a formal interview
4. The recruiter sent you out to interview with one of their clients

Is the recruiter working with you – helping to identify great opportunities, thinking of you first when an appropriate search tumbles across their desktop, giving you ideas/suggestions/recommendations on how to improve your job search/career management?

Absolutely NOT!

You are nothing more than a piece of paper at this point. Perhaps, your “filler” because their client needed to see two other candidates before making a decision on the real candidate they wanted to hire.

There is no relationship – no chemistry – no mutual support.

AND the worst thing is that the recruiter you’ve called or sent a resume to could be the WRONG recruiter. This is THE primary reason most candidate-recruiter relationships never develop – you’re talking to the WRONG recruiter.

How do you find the right recruiter?

The right recruiter is someone who consistently makes placements of candidates just like you – frequently – successfully – consistently – regularly.

NOT occasionally – infrequently – sometimes – maybe – once in a while.

Have you ever asked a recruiter how many times in the last year, quarter, month (take your pick) did they place someone in a job just like the one you’re seeking?

You would probably be shocked by the answer you hear.

How do you find recruiters who frequently place talent just like you?

Below are a few key steps you can follow to identify appropriate recruiters and begin to develop a “tight” relationship. How could we define a “tight” relationship – it’s one where the recruiter passionately pitches you to their client, you’re the one they think of first on a search assignment, and when the hiring manager rejects you – they fight to the end to convince the hiring manager to meet you.

Can you claim to have this type of “tight” relationship with any recruiters? Probably NOT! Perhaps, the reason is that you’re spending time trying to develop a relationship with the wrong recruiters.

The STEPS to Recruiter Nirvana:

1. Ask your peers which recruiters they are working with
2. Ask hiring managers/executives which recruiters they use to fill jobs like the one you want
3. Look in recruiter directories on the internet for which recruiters specialize in your function, industry, or geography
4. Read the blogs of the very best recruiters (unbiased impression coming up here  – like Brad and I)
5. Which recruiters are ranked in the top 50/100 on twitter and other lists?

Let me throw out a couple of examples:

You live in Los Angeles and are seeking a Chief Financial Officer Position. Who are the top 3 executive search firms who specialize in financial management search in the LA metro area? If you don’t know this answer, you’re flying blind.

You live in Boston and are seeking a Vice President of Marketing Position for a Consumer Products Company with global operations. Who are the top 3 search firms in the US focusing on International Vice Presidents of Marketing for Major Consumer Product Companies? Again, if you don’t know this answer,  you’re flying blind and probably have been wasting your time with other recruiters.

Is it time in your job search to leverage yourself and start spending time with the “right” recruiters so that you can develop a “tight” relationship?

Barry

PS Download our FREE Job Search Self-Assessment to determine if you are effectively leveraging recruiters and other key elements of your job search.