Dear Forum member,
I am in a confused state. I am not too new to HR consulting, but I was not a full-time entrepreneur in it. I have worked in HR firms and have also done some recruiting for companies like BPOs and IT firms based in Chennai and Bangalore during my college days. During that time, most of them were either working with other consulting firms or some firms that were hungry for candidates.
Recently, my friends and I came up with an idea of getting into the recruitment business completely. I have sufficient contacts to get tenders and know how to find candidates. At the moment, we are focusing on middle-level companies.
Here is the problem: Some of these companies require our service but are not willing to pay for it; they are asking us to collect payment from the candidates. I don't want to lose these opportunities because each contact is valuable to me, and I may get more referrals from them. However, I also do not want to provide free services.
Charging Client: Impossible
Charging Candidate: Possible (But how and when?)
Candidates are usually unwilling to pay in advance before they secure a job unless we provide them with job security. Additionally, those who are aware of recruitment scams are cautious about paying in advance. If I try to charge them after they are recruited, they might avoid me as if I were a leech (which may be true). I am limited in how much pressure I can exert on the companies that need our services.
Any ideas from anyone would be greatly appreciated.
Thanks in advance.
VR
From India, Kottayam
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I am in a confused state. I am not too new to HR consulting, but I was not a full-time entrepreneur in it. I have worked in HR firms and have also done some recruiting for companies like BPOs and IT firms based in Chennai and Bangalore during my college days. During that time, most of them were either working with other consulting firms or some firms that were hungry for candidates.
Recently, my friends and I came up with an idea of getting into the recruitment business completely. I have sufficient contacts to get tenders and know how to find candidates. At the moment, we are focusing on middle-level companies.
Here is the problem: Some of these companies require our service but are not willing to pay for it; they are asking us to collect payment from the candidates. I don't want to lose these opportunities because each contact is valuable to me, and I may get more referrals from them. However, I also do not want to provide free services.
Charging Client: Impossible
Charging Candidate: Possible (But how and when?)
Candidates are usually unwilling to pay in advance before they secure a job unless we provide them with job security. Additionally, those who are aware of recruitment scams are cautious about paying in advance. If I try to charge them after they are recruited, they might avoid me as if I were a leech (which may be true). I am limited in how much pressure I can exert on the companies that need our services.
Any ideas from anyone would be greatly appreciated.
Thanks in advance.
VR
From India, Kottayam
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LOOK HERE U CAN CHARGE ONLY FROM CLIENT,, dont ever think of charging from candidate thats all,, no more explanations
From India, Pune
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57From India, Pune
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u can charge to your clients only, candidates will not pay anything. u can charge 1 months salary which decided by the company to the candidate. i think its enough 4 u.
From India, Ahmadabad
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From India, Ahmadabad
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Hello VR,
Let me explain a bit on what Ravi means... if I can read him right.
First and foremost, decide what YOUR CORE VALUES are - professionally and ethically - what's YOUR bottom line. If you think - what's wrong with charging from the candidates? - think for yourself IF YOU CAN GO ABOUT AND TELL EVERYONE YOU MEET that's what you do and it's right. If you can do it, go ahead. If not, then there is something wrong in that practice... right? Anything that has even the slightest need to hide or cover up isn't ethical - the thumb rule of ethics.
The first step to any unethical practice is very enticing and looks very small/simple. BUT REMEMBER IT'S ONLY THE FIRST STEP THAT'S IN YOUR CONTROL. Once you take it, you will not be able to return back to the right path... or at least it's really tough that you will begin to find the wrong path easier than working all the way back. The best and most recent example is of Satyam [don't say... not again!]. What Ramalinga Raju started... by his own admission... as a small adjustment in the accounts soon ate him up - and in the process, lakhs of people's money.
So I repeat what Ravi said: no more explanations.
The rest is your decision... but always be ready to face the consequences of your actions - be they positive or negative. To quote someone here: In nature, there are no rewards or punishments, only consequences [what we say in Hindu philosophy - karma... good or bad].
Regards, TS
From India, Hyderabad
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Let me explain a bit on what Ravi means... if I can read him right.
First and foremost, decide what YOUR CORE VALUES are - professionally and ethically - what's YOUR bottom line. If you think - what's wrong with charging from the candidates? - think for yourself IF YOU CAN GO ABOUT AND TELL EVERYONE YOU MEET that's what you do and it's right. If you can do it, go ahead. If not, then there is something wrong in that practice... right? Anything that has even the slightest need to hide or cover up isn't ethical - the thumb rule of ethics.
The first step to any unethical practice is very enticing and looks very small/simple. BUT REMEMBER IT'S ONLY THE FIRST STEP THAT'S IN YOUR CONTROL. Once you take it, you will not be able to return back to the right path... or at least it's really tough that you will begin to find the wrong path easier than working all the way back. The best and most recent example is of Satyam [don't say... not again!]. What Ramalinga Raju started... by his own admission... as a small adjustment in the accounts soon ate him up - and in the process, lakhs of people's money.
So I repeat what Ravi said: no more explanations.
The rest is your decision... but always be ready to face the consequences of your actions - be they positive or negative. To quote someone here: In nature, there are no rewards or punishments, only consequences [what we say in Hindu philosophy - karma... good or bad].
Regards, TS
From India, Hyderabad
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Thank you for your advice. Let me tell you what I have seen. When recruiting people for companies like Idea, Aircle, Airtel, etc., I have noticed consultants in Chennai, Kerala, and Bangalore charging the candidates. However, those working with MNCs like Sutherland do not charge the candidates.
I accompanied my friend to company XYZ (a well-established company) in Cochin for a job opportunity in a software company in Infopark, Cochin. Eventually, the lady informed us that we would need to pay them an amount equivalent to one month's salary after my friend receives his first pay. This same dialogue was echoed by a few other consultants, with four of them being well-established with bases in more than five cities in India, and the rest being startups.
VR
From India, Kottayam
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I accompanied my friend to company XYZ (a well-established company) in Cochin for a job opportunity in a software company in Infopark, Cochin. Eventually, the lady informed us that we would need to pay them an amount equivalent to one month's salary after my friend receives his first pay. This same dialogue was echoed by a few other consultants, with four of them being well-established with bases in more than five cities in India, and the rest being startups.
VR
From India, Kottayam
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Hi VR, Ravi has put it succinctly. Kindly take a look at http://www.business24-7.ae/articles/...cdf7f0812.aspx that may change your views.
Simhan A retired academic.
From United Kingdom
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Simhan A retired academic.
From United Kingdom
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Dear Peer,
This is not the right practice to charge a candidate who really seeks a change. If you are so good in talent acquisition, why doesn't the employer give you a right pay?
In today's market trend, employers are seeking the right candidate for the right position. It is a very big challenge for them. Prove yourself and find the right company to move forward. Again, don't think to charge the candidate.
Regards, Nelson Chennai.
From India, Bangalore
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This is not the right practice to charge a candidate who really seeks a change. If you are so good in talent acquisition, why doesn't the employer give you a right pay?
In today's market trend, employers are seeking the right candidate for the right position. It is a very big challenge for them. Prove yourself and find the right company to move forward. Again, don't think to charge the candidate.
Regards, Nelson Chennai.
From India, Bangalore
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VR...i guess u shd drop the idea of charging frm candidates .....there are lot of companies who pays u for getting them right candidates......rest is upto u to decide
From India, New Delhi
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From India, New Delhi
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Don't make candidates feel that they have to pay for getting selected. They have already paid in the form of "investment" in education. Trust me, if tomorrow I were contacted by a consultant and asked to pay the amount if I got selected, I would say, "Why would I pay for getting through the interview...are you talking for me or clearing the test for me?"
But on the other hand, if the company pays the consultant, then it just speaks about the company that they are ready to spend for the right talent. Here, you need to understand what you are trying to sell and to whom. Are you selling the right talent to the company? Or are you selling the company to the candidate? I hope you got my point here.
Take care and make wise choices/decisions. Not everything in life comes in a trial and error basis. Once your company's name is spoiled, it's gone forever.
From India, Madras
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But on the other hand, if the company pays the consultant, then it just speaks about the company that they are ready to spend for the right talent. Here, you need to understand what you are trying to sell and to whom. Are you selling the right talent to the company? Or are you selling the company to the candidate? I hope you got my point here.
Take care and make wise choices/decisions. Not everything in life comes in a trial and error basis. Once your company's name is spoiled, it's gone forever.
From India, Madras
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Thank you all for your valuable suggestions and advice. However, I have received a few contracts from clients who are willing to pay. After reconsidering this matter with my partners, given the high level of competition and the need for longevity in this field, I have decided not to charge the candidates under any circumstances.
Thank you again, all.
VR
From India, Kottayam
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Thank you again, all.
VR
From India, Kottayam
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