5 Tips on Selecting the Right Hospitality Recruitment Agency
At this point, you’ve probably already recognized the fact that you need external help in filling a job vacancy. Your HR team is busy juggling multiple tasks at the same time, but you need to source candidates for a certain position as soon as possible.
Time is of the essence, especially for businesses! You can’t fully function when you lack a member, after all. No need to panic because that’s where recruitment agencies come in. You have dedicated staff to assist you in your hiring efforts from start to finish. They’ll see to it that they successfully facilitate this important talent acquisition process.
5 Tips on Selecting the Right hospitality recruitment agency
- Narrow down your search on those that fit your criteria
This is arguably the most most important step of all and would help you on the succeeding parts later on.
First and foremost, what type of recruitment agency do you need? If it’s a temporary or contractual worker, then a staffing agency is the best option. How about top-level executives? Headhunting agencies are best in that area.
If you’re looking for full-time employees, then the traditional recruiting firm is what you should search for. You have to remember that there are niche agencies, too. As opposed to general ones, this recruiter agency has the edge to find highly skilled talents who truly specialize in their fields. Why? Because they understand the talent gaps in the market and help fill positions faster by providing candidates best suited for such specialty roles.
We wrote about the different types of recruitment agencies in detail here. Have a read to gain a better understanding.
- Clearly explain your hiring needs
The second step in selecting the perfect recruitment agency for your business is to elaborate on what your organization needs. It is best if you are as clear as possible about this so that they have a clear idea of what type of talent that you need.
Plan before contacting them. Do you need to fill only one position? Or are there a lot? What role are you trying to fill? Is it a permanent or temporary job? Is it entry or management level? What kind of prior experience do you want them to have?
These basic questions will help the firms lead you to the right talent accurately and precisely. Also, don’t be afraid to talk about your company, as well. There are lots of points to discuss:
Company background
Company mission and vision statement
Company values
Existing corporate culture
Description of work environment and more!
It may seem tedious to expound on such topics, but best believe that they are necessary if you truly want to get the best of the best in the market.
- Interview the Recruitment Agency
Don’t be shy to interview the recruiting agency like they are the candidate themselves. In the second step, you took the time for them to get to know your company. Now, it’s your turn to probe more about them.
You can ask the following questions:
How long has the agency been running?
Who are you working for so far?
How long does it take you to find the right talent?
What is your hiring process?
All of these will give you an immediate impression of whether or not they are capable of meeting your needs. Think about such queries and dig deeper into their background. This will reveal how prepared and professional they are, as well.
- See how the recruiters work
Asking about the agency is one thing, but knowing how their recruiters work is another.
The fourth step in choosing the best recruitment agency is checking the experience of their staff. There are plenty of ways where you can go about this.
You can talk to them directly and ask what their methods are. What do they do to pre-screen candidates? Is it in person or is it conducted online or via phone?
You can also ask how they source candidates. Seeking actively on platforms such as LinkedIn, Facebook, and others are given. This is effective because you know that there are individuals there looking for employment. However, remember that they only represent a portion of the talent market.
A good recruiter knows that there are more passive candidates in the world (70% as told by LinkedIn!), and these individuals can bring higher ROI than active candidates. They have more experience and they are what you can say “in demand” in a way.
The challenge is that they are not really looking for a new job, but are interested in hearing more about other opportunities elsewhere. If the recruiter is capable, he/she will be able to convince them to move eventually. Be sure to remember this!
You can also check testimonials and feedback on the internet. For sure, there will be reviews by clients stating their thoughts on working with them.
They are movers of the firm. They should be strategic and persuasive enough to convince talent to join your company.
- Ensure it’s within budget
This probably is a no-brainer for businesses, but it's still important to highlight. Once you feel that they tick the aforementioned criteria, then check if you can afford their services.
This is a vital step to consider. You’re already well-assured that they are able to provide you with high-quality talents, but it’s just a matter of discussing numbers.
Talk to your hiring team and superiors about this. Will it be worth it? Is it still within budget? How badly do you need to fill the position? This can influence your decision.
Alternatively, you can look at the prices of their services beforehand. Some may argue it’s a waste of time to get to know a recruitment agency and their recruiters, then finding out they are way too expensive.
You can get such information listed on their website or via online reviews. You can also contact them directly and ask this firsthand. Inquire about their services, terms and conditions, and, again, pricing.
Here’s a little backgrounder to give more insights about the costs of working with recruitment agencies.
According to Deloitte, the average cost per hire is $4,000. It can be lower or higher, depending on the role and how you go about your recruiting processes.
Now, the fees of a recruitment agency also vary depending on the position you want to fill. They take into account the following factors:
Number of positions to be filled
Type of industry to be filled
Type of job position
Type of job hire (full-time, part-time, etc.)
The expected salary of the job position and many more!
Generally, Undercover Recruiter said that they charge 15% to 25% of the prospective employee’s first-year salary. However, it can go as high as 50% if it’s a hard-to-fill role or if it’s a top-level position. That is how they calculate it.
Don’t forget to look at the bigger picture. While it may seem costly at first, think about the return in the long run. As HR practitioners, we believe that each and every employee is an investment. You think about how they can contribute to the organization and you can base potential profit from there.
It’s a tricky dilemma that will make or break your business. Don’t take this lightly!
Thank you for sharing that information! It's interesting to know about the potential fees charged by recruitment agencies. The percentage-based fee structure seems to be a common practice in the industry, where the agency's compensation is directly tied to the salary of the hired candidate.
According to what you mentioned, it appears that the fees charged by the agency typically range from 15% to 25% of the prospective employee's first-year salary. This range seems to reflect the average fee for most positions. However, it's worth noting that for more challenging or high-level roles, the fee can go as high as 50%.
This variation in fees could be attributed to the level of expertise and effort required to identify and attract candidates for these specific roles. Hard-to-fill positions often demand a more extensive search and screening process, which can contribute to the higher fees.
It's crucial for employers to consider the value that a reputable recruitment agency can bring to the hiring process. While the fees might appear substantial, they often reflect the agency's investment of time, resources, and expertise in finding the right candidate for your organization.
When evaluating the fees charged by a recruitment agency, it's essential to assess the agency's track record, reputation, and the quality of candidates they typically deliver. It's also worth discussing and negotiating the fee structure and terms of payment with the agency to ensure transparency and a mutually beneficial agreement.
Ultimately, the decision to engage a recruitment agency and the associated fees will depend on your company's specific needs, budget, and the importance of the position you are hiring for. It can be valuable to weigh the cost of the agency's services against the potential benefits of finding the right candidate efficiently and effectively.
If anyone has further insights or experiences to share regarding recruitment agency fees or considerations, I would appreciate hearing your perspectives.
I accept the point of view of the previous commenter regarding his opinion about using a recruitment agency if the business really needs qualified staff. My family has its own business, we have several showrooms in several major European cities such as London, Berlin, Prague and Vilnius. We sell branded stock items and have prestigious clients. To provide them with the best service we decided to turn to luxury retail agency and it was the best decision. High professionalism is what we expected from them and what we got. Our business will flourish more actively with the partners we were recommended by this agency.