Leopard Hot Spot and Law Blog


How To Avoid Commission Wars

by Beverly Aarons 4. September 2009 08:44

What happens when several different recruiters submit a high value candidate for the same job at the same time, a commission war, if the employer decides to hire the candidate? Often disputes can arise about which recruiter submitted first, did the most work or who truly represents the candidate. Commission wars are occurring more often because candidates are submitting their resumes to various recruiters who may all be submitting for the same positions.  There is an article in The Houston Chronicle highlighting how one commission war was resolved, and not in the favor of the recruiters or the candidate.

The article said

The job seemed like a perfect fit. The Port of Houston Authority was looking for a security network engineer, and Michael Garrett figured he had all the qualifications. So did his recruiter, IS&T, who brought Garrett in for an interview, verified his education and job history, ran a criminal background check and presented him to the port. But then the application hit a snag.

It turns out that Garrett, like many job seekers, had posted his résumé on more than a dozen job boards and worked with several recruiters over the years. With so many copies of his résumé floating around, it's not hard to imagine another headhunter hit the send button first.

And that's exactly what happened: Earlier in the day another recruiter submitted Garrett's résumé, which Garrett said was done without his knowledge or permission. By the time Tony Pannagl, managing partner for IS&T in Houston, said he could prove he was the only recruiter representing Garrett, the port identified another candidate for the $80,000 to $85,000 a year job.

It doesn't sound too profitable for anyone involved, well maybe the other candidate.  One way to avoid commission wars is to ask the job candidate where he/she was submitted their resume, including employers and other recruiters. Also, recruiters should really focus on creating relationships with employers so that they give them the first opportunity to fill a position, thus avoiding disputes with other recruiters.

(source: http://www.chron.com/disp/story.mpl/business/6592376.html)

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