Understanding Recruitment Agency Agreements: What Should Companies Look For?

What are the terms and conditions under which a company associates with a recruitment agency or a recruitment consultant?

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The terms and conditions governing the relationship between a company and a recruitment agency or consultant are crucial for ensuring a successful partnership. These agreements typically outline the responsibilities and obligations of both parties, including aspects such as payment terms, candidate sourcing strategies, confidentiality clauses, and dispute resolution mechanisms. Clear communication and alignment on these terms are essential for establishing a mutually beneficial collaboration that meets the hiring needs of the company while adhering to ethical and legal standards.

Consulting Fees and Terms

We shall be charging a professional consulting fee of 8.33% on the Annual CTC of the employee (Service Tax is applicable as per Government Notification).

We shall be charging a professional consulting fee of 10% on the Annual CTC of the employee plus service tax as applicable for Senior Managerial and above positions.

Candidate Replacement Policy

We shall be providing you with a free replacement of a candidate within 3 months of his/her joining in case he/she leaves the organization.

Payment Terms

We expect our payments to be released within 15 days of the candidate joining your organization.

Resume Ownership

Sourced resumes are the property of "KSC" for a period of 12 months from the date of submission.

As discussed, please acknowledge the mail/terms and conditions and send the requirements at the earliest. Waiting for a positive response.

Hi Viraj,

Consulting charges depend on a case-to-case basis, but as per industry standards, 8.33% is the charge that is typically applied by most consultancies. This percentage is variable and can change depending on the size of the deal and the terms of the contract.

Regards,
Chandan