>
> > This argument/discussion is as old as zues's beard.
>

And this thread is as long as ZZ Tops beards combined. ;)

As primary antagonist I would like to call *case closed* in the
affirmative.

Regards,
Stonie.


On 31 July 2012 09:51, Shamael Keng <[email protected]> wrote:

> mind my spelling, written in a rush and in the middle of breakfast.
>
> On Tue, Jul 31, 2012 at 9:49 AM, Shamael Keng <[email protected]> wrote:
> > Hey guys.
> >
> > This argument/discussion is as old as zues's beard.
> >
> > Frankly if you don't want to use a recuruiter dont.
> >
> > If you do want to use a recruiter, negotiate your terms to suit both
> > parties. simple. Its a service, you engage them when you need them and
> > for a reason.
> >
> > I you want to bash on an industry just becuase you pay invoices which
> > "seem" too much. refer to above point.
> >
> > In an industry which employs a lot of "questionable" types, if you
> > have a bad experiance, name and shame. I can't say I have been
> > exemplery, but all I can say is ive been trasnperant throughout the
> > whole process.
> >
> > "Is your recruiter screwing you?". Probably if you let him. The whole
> > argument in regards to the costing or cost structure recruiters use,
> > use a niche recruiter, if you are going to use one. They will be more
> > open to negotiation.
> >
> > Do your homework, don't be lazy.
> >
> > You have gone to agency becuase you are having toruble finding the
> > right people. Don't go to monkey's when you want to find gold.
> >
> > Sorry but I fight for the good recruitment agent, the ones who add
> > value to business's thorugh finding resources which are hard to find.
> > In my eyes there is definate value add, Ive seen it.
> >
> > Regards
> >
> > --
> > SK
> >
> > On Mon, Jul 30, 2012 at 4:55 PM, Andrew Stone <[email protected]>
> wrote:
> >> Rob,
> >>
> >> Your post is a good summary of why many people consider the recruitment
> >> model you describe as being 'broken'.
> >>
> >> The on-costs you point out can be avoided in many cases... lots of small
> >> businesses are exempt from payroll tax (Current threshold in NSW is
> >> $689,000)
> >> And many industry segments for larger corporates (media for one) often
> does
> >> not require PI and PL for Developers.
> >>
> >> Recruitment agencies tend to charge the insurance anyway as they have a
> >> discounted policy for n Developers and it becomes another place to hide
> the
> >> cream (and seems like a value add with a bit of sales talk).
> >>
> >> Your argument about low paying jobs is a bit ironic... if the offered
> rate
> >> was ~30% higher due to the absence of a recruitment agent... the job
> might
> >> be worth taking.
> >>
> >> Regards,
> >> Andrew Stone.
> >>
> >>
> >>
> >> On 30 July 2012 16:11, Rob <[email protected]> wrote:
> >>>
> >>> Hi all,
> >>>
> >>> I am a recruiter, and have had success with this board in placing
> >>> candidates in the market. I totally agree with what Ashley is saying in
> >>> relation to fee structures etc. I would like to elaborate upon the
> concept
> >>> of Margin, which may equate to a higher than 20% markup. I have no
> doubt
> >>> that everyone understands this, but just to be sure, as an
> example...margin
> >>> is the percentage of the charge rate, and markup is the percentage on
> the
> >>> cost...two totally different things....especially when oncosts are
> involved.
> >>>
> >>> For instance, if I was to charge a 15% margin on a candidate, who was
> >>> earning $100 per hour, I would have to charge the client $129...this
> ensures
> >>> that I am earning 15% margin.
> >>>
> >>> To the candidate, I am effectively putting on a 29% markup...BUT only
> >>> earning 15% margin (of the charge rate)
> >>>
> >>> This is where the confusion lies the difference between MARGIN and
> MARKUP
> >>>
> >>>
> >>> ie. for $129 charge, 15% margin ($19), 10% oncost (workers comp, PI/PL,
> >>> Payroll Tax), and $100 for the candidate
> >>>
> >>> $100 + $10 + $19 = $129...the recruiter is earning 15% margin of the
> >>> charge rate.
> >>>
> >>> If we reverse it from a charge of $100 at a margin of 15%....I would
> earn
> >>> $15, oncost $7, candidate rate $77....this is a margin of 15% of the
> charge
> >>> rate....but if you compare the $77 to the $100 charge, it is roughly a
> >>> 29-30% markup again.
> >>>
> >>>
> >>> So, if people are seeing 30% markups on their rates, please don't
> assume
> >>> that the recruiter is earning all of that....they aren't. On top of the
> >>> services of payrolling, recruiters take the risk of clients folding or
> not
> >>> paying, when we always pay our recruiters upon signed timesheets,
> regardless
> >>> if the client has paid or not....this of course saves the candidate
> from
> >>> having to chase payment (one more worry they don't have to deal with).
> AND
> >>> YES, sometimes clients do fold or don't pay.....which means as a
> recruiter,
> >>> you are out of pocket for the total candidate rate + oncosts and of
> course
> >>> with the margin that you have lost as well. Once had a client not pay
> for a
> >>> candidate for two months, they folded, ...so lost whole lot of money.
> Some
> >>> candidates may laugh and say, well them's the breaks....and well, I
> would
> >>> have to agree....but we do charge a fee for a service and the risk
> >>> associated where there is essentially no risk to the candidate in
> terms of
> >>> non-payment (with me anyway)
> >>>
> >>> Also, 15% or there abouts, in the scheme of things, with the amount of
> >>> payroll at risk, is not overly expensive (we currently have a yearly
> payroll
> >>> of about $1.5million per year give or take - money we pay out and hope
> to
> >>> get back - this is small for the market).....I have recruited for some
> of
> >>> the big4 and some of their charge-outs for their permanent employees
> are
> >>> amazing...we are talking 100-200% sometimes.
> >>>
> >>> So, if you are on a contract through a recruiter, and you are getting
> paid
> >>> on time for the work you are doing and the pay is correct (no hassles
> or
> >>> problems each week)...then this is a good thing and is part of the
> service
> >>> for that 15% margin that they earn.
> >>>
> >>> I firmly agree with Ashley that rule of thumb contract is roughly
> 20-30%
> >>> increase on a permanent salary...so if you are on $100 per hour,
> divide that
> >>> by 1.25 and you will get your equivalent permanent comparative rate
> which
> >>> can easily translate into a permanent salary package...roughly $115k
> >>>
> >>> EVERYONE, regardless of industry or skill needs to separate job worth
> from
> >>> personal worth. ie, if a CEO hit rock bottom and could only get a job
> as a
> >>> cleaner, he would only be paid a cleaners salary, even though he is
> worth a
> >>> CEO salary.
> >>>
> >>> So, if you are getting hit up for low paying roles, that is what the
> job
> >>> is worth to the employer, if you feel that it is too low, then don't
> go for
> >>> it (sometimes employers try their luck)....as recruiters we need to
> keep in
> >>> constant contact with candidates as their situations change and
> sometimes I
> >>> have had candidates go for lower rate jobs (rare, but it does happen).
> If
> >>> you are the best Ruby developer in the world, and you are worth $1000
> per
> >>> hour but only $50 per hour roles are available, then you have to make a
> >>> judgement call based upon job worth to personal worth....ie you can
> say "Im
> >>> worth $1000 per hour and not doing that" and don't work and get zero
> income,
> >>> or you could have income by working at $50 per hour....extreme example
> I
> >>> know, but hopefully highlights the point I am trying to make.
> >>>
> >>> Yes, there are cowboys in the industry, as with any industry, but like
> >>> Ashley said, there are some good recruiters out there that know their
> >>> markets well, and network hard to find out who, what, when, where, why
> and
> >>> how........, without finding that information out, they can't provide
> >>> candidates jobs nor can they provide clients candidates....hence the
> need to
> >>> call people...many many many many people :)
> >>>
> >>>
> >>> On Friday, July 13, 2012 4:02:19 PM UTC+10, Ashley P wrote:
> >>>>
> >>>> Chances are they might be :)
> >>>>
> >>>> But we aren't all bad!
> >>>>
> >>>> If you are a Ruby developer chances are you've probably seen my name
> >>>> before either on Seek, at Ruby meet-ups or on one of those pesky
> Linked-in
> >>>> invites I send around. I really like the Ruby community and have a
> passion
> >>>> for working with developers to find them cool jobs.
> >>>>
> >>>> That being said recruitment gets a bad name especially amongst the
> Ruby
> >>>> community. I'm here to defend our reputation but also to acknowledge
> our
> >>>> flaws.
> >>>>
> >>>> Many recruiters do have no idea when it comes to development roles.
> They
> >>>> throw out buzz words like 'Apache' or 'Object Oriented' to make it
> look like
> >>>> they know what they are talking about.
> >>>>
> >>>> That being said a recruiter can often be of use. They can present
> >>>> opportunities that you wouldn't have heard about, discuss potential
> career
> >>>> movements or even help with your resume and skills training programs.
> >>>>
> >>>> Sure as a quality developer you could probably find a good job
> yourself.
> >>>> But are you sure it's the best job!!? Use your own networks in
> addition to a
> >>>> recruiter to expand the pool of jobs and find yourself in the best
> job you
> >>>> can!
> >>>>
> >>>> Tips on dealing with recruiters:
> >>>>
> >>>> 1. Don't only use a recruiter. Use your own networks as well. Come up
> >>>> with an many opportunities as you can yourself and then use a
> recruiter or 2
> >>>> to expand your opportunities
> >>>> 2. Don't be pushed around on Salary/Rate. Know what you're worth. Be
> open
> >>>> with your salary with a friend or former colleague to know what your
> worth
> >>>> and stick to it. (A common tactic is to ask people what they were on
> >>>> previously and hold them to a salary near this. You shouldn't fall
> for it.
> >>>> Be honest about what you were previously on but let the recruiter /
> hiring
> >>>> manager know that due to your research you believe the market rate to
> be X
> >>>> and that you are hoping for a figure around that mark.)
> >>>> 3. Ask who the client is. Often a recruiter will want to chat to you a
> >>>> bit first however, it is totally within your right to ask who the
> recruiters
> >>>> client is after an initial chat to determine your suitability
> >>>> 4. Remember your in control of the process. If you don't like a
> specific
> >>>> recruiter don't use him/her. In fact it's your right to call up and
> say I
> >>>> don't want you representing me to X.
> >>>>
> >>>> Can a recruiter really help me?
> >>>>
> >>>> Yes and no. It really depends on the relationships the recruiter has
> >>>> built.
> >>>> If the recruiter is blindly sending CV's around town without having
> met
> >>>> the hiring manager they really won't be of any use to you.
> >>>> That being said if they have built a strong relationship with the
> hiring
> >>>> manager their word often will decide whether or not you get an
> interview :).
> >>>> They can also act as a beneficial middle ground to assist in
> negotiations
> >>>> and getting things moving!
> >>>>
> >>>>
> >>>> Recruitment Rates
> >>>>
> >>>> Are recruitment rates too high? Well honestly yes they are fairly high
> >>>> but we are running a business and as you can all understand we need
> to make
> >>>> a profit!
> >>>> Also people don't realise the amount of effort we actually go to in
> >>>> providing a short-list. Many developers think I just simply called
> them,
> >>>> sent their resume to the company and got a massive cheque. What they
> don't
> >>>> realise is that to get that one person a job I had to look at over 400
> >>>> resumes, speak to over 80 people and all for a 1/3 shot in actually
> filling
> >>>> a position. I work 8-6 and I'm a fairly quick worker!
> >>>> That being said yes some recruitment rates are too high and companies
> >>>> need to be smart on who they use.
> >>>>
> >>>> Anyway if your looking for a recruiter who loves the Ruby community
> and
> >>>> who actually cares about your career please give me a call. I won't
> screw
> >>>> you over and I'm available after-hours with bookings and all
> conversations
> >>>> are 100% confidential.
> >>>>
> >>>> [email protected]. 0404-590-975.
> >>>
> >>> --
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> >>
> >>
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