Released on: November 25, 2007, 9:03 pm

Press Release Author: Toby Marshall

Industry: Non Profit

Press Release Summary: \"The current commission-based recruitment model where the
full fee is paid when the new employee starts is fundamentally flawed. It should be
changed to a staggered fee-for-service model. Where the recruiter shares the risk.
The lucrative commission systems used in many recruitment companies encourage
consultants to take a very short-term view and make quick placements regardless of
the suitability of the candidate."

Press Release Body: \"The current commission-based recruitment model where the full
fee is paid when the new employee starts is fundamentally flawed. It should be
changed to a staggered fee-for-service model. Where the recruiter shares the risk.
The lucrative commission systems used in many recruitment companies encourage
consultants to take a very short-term view and make quick placements regardless of
the suitability of the candidate."

Toby Marshall is the author of the Amazon best seller, Get Great People and he
presents globally on the Future of Recruitment. He is the founder of Abacus
Recruitment and has 18 years experience recruiting for 100's of companies in the
Asia Pacific region.

\"Recruiters haste to fill the most number of posts in the shortest time to make big
commissions means the real winners are the recruitment companies alone."

Toby argues that a better outcome for both parties can be achieved with a \"Risk
Sharing\" model for permanent appointments that shares the risk of hiring between
recruitment companies and their clients.

This involves a three-stage staggered payment system, with 20% paid at the briefing
stage, 40% on appointment and 40% at three months. He said Abacus has based its
business on this risk sharing model for many years. Apart from one other firm in
England, he is the only firm to have introduced it.

This fee-for-service model is superior to traditional guarantee periods, which are
(rightly) viewed sceptically by most HR managers. The replacement guarantee is
largely worthless once the recruiter has been paid their commission, and they get
nothing more for finding a replacement - most just put in a token effort, preferring
to work on other roles where they will get paid.

"Most recruiters would see this as treason but that's nonsense," he said. \"It\'s
about making recruitment consultants work in partnership with their clients and not
persisting with a 'dollars for bodies' approach".


Web Site: http://www.abacusrecruit.com.au

Contact Details: Toby Marshall can be contacted on (61 2) 9231 8500
Abacus Recruitment Solutions, Lvl 2, 300 George St
Sydney, NSW, 2000, Australia
E-mail: toby@abacusrecruit.com.au
Website: http://www.abacusrecruit.com.au