Before looking for the ways to deal with the issue of overdue recruiting fees, it seems pretty good the clear the basic concept of hiring fees. Most of the employers and applicants as well asked that what is the recruiting fees and why we should pay for it.
What is recruitment fees?
When a person got a job through any recruitment agency, he or she has to pay a percentage of his first-month salary to the agency. This fees is known as recruitment fees and is charged for the services of finding a suitable job opportunity for the applicant.
In the same manner, when an employer hires a candidate via recruiter services, he/she also has to pay the percentage of the basic salary of an employee to the recruiting company. This percentage may vary from company to company or sometimes may be negotiable.
What is Overdue Recruitment fees?
The recruiter, employer and the applicant agree in providing services and receiving fees for it. When the hiring procedure becomes complete, and the contract is finalized between the employer and the applicant, now it is time for paying recruitment fees. Sometimes people do not pay this fees and delay it unnecessarily making lame excuses. This non-paid fee is now converted into the overdue recruitment fees. Recruitment companies make efforts to recover this overdue fees.
How to deal with the problem?
For the recruiting agencies, the issue is severe because it directly affects their finance and future in business. Every problem has its solution so it must also have. Every recruiter can take the following safety measures.
l First of all, prepare a well-versed agreement and signed it with your client whether an applicant or an employer.
l Mention your fee in the agreement. If there is some negotiation on price, then the settled cost must be written in the contract.
l For late payments define a late fee in the agreement.
l Send your invoice on time to avoid excuses.
l In case of payment date is passed, send a reminder and keep a proper follow up for the payment.
l A recruiting agency may encounter a false statement from the client of no hiring. It requires intelligent tracking for recruitment.
l If you get no response on the reminders, then send a strict reminder including the notice to bring the matter in the legal department.
l If facing any issues in a proper follow up then hire some backdoor hiring experts that can follow the procedure for you and recover your dues.