The dangers of being piggy-in-the-middle commsDealerlogo

The dangers of being piggy-in-the-middle

Reading an article by Adrian Marlow, Chairman of the ARC, I agree entirely with his concern about how recruitment agencies are mostly held responsible for rising costs. It seems that blaming the agent is an instinctive reaction to avoid the nasty subject of market forces at work, writes Clive Jefferys, MD of telco recruiter, JMA Network.

This situation belies the general, widespread problem in the UK economy – the chronic shortage of experienced ‘white collar’ professionals available for new hire. Unfortunately, the media persists with the populist view that with 1.5 million unemployed there are still loads of people seeking work. However, the reality is that within high talent sectors like IT, telecoms, medicine, construction and engineering, hardly anyone is looking for a new job.

In all my 25 years in recruitment I have never seen such low staff turnover, no doubt because of post-recession adversity to risk.

Consequently, the price of basic salaries, advertising and linked recruitment costs has risen and employers don’t like it. Some look for the nearest backside to kick. Unfortunately there is little to be gained from blaming the middle-man, whose own costs of service and employment have risen dramatically too.

So now we see that companies are choosing who their best clients truly are. For hirers that don’t ‘get it’ about recruitment, they are finding it ever harder to secure an agent to work with them. More market forces.

Like all things in business and yours are no different, the ‘relationship’ is key to how you pick and work with clients. If you look at your own customer list, it won’t be defined by who pays the highest price, it’s not all about money!

Your best business will be typified by relationships that allow you to work closely together, the same side of the desk, often in difficult circumstances, to get the job done. That’s why we continue to do well. Human nature never ceases to please me that time, and time again, the best business is created by people who understand and trust each other!

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