RE: How much should staffing agencies get above my hourly billable rate?

 


_____________________________
Larson J. Rider
PrideStaff
(408) 298-6775 office
(408) 661-7260 cell - after hours
www.pridestaff.com 
 


On 1/30/06, Tom Metro <[email protected]> wrote:

> > ...I agreed to 47/hour w-2. But a staffer just posted the same 
> > position on the la perl mongers list for 55-60 per hour.
>
> If you think that same employer is doing direct hires at a higher rate

> than you're getting from the agency, then it's up to you to find those

> job postings and apply directly.

I'm actually against that: I think recruiters are valuable and want to
work through them. I think it is unethical to get a company name from a
recruiter and then go apply directly.

* This is music to my ears of course. I have several contractors who
have had payment issues on direct contracts they have had in the past
and they love that we pay them regardless of collection issues. Of
course we check out EVERY company before we do business with them and
get a credit app etc prior to sending candidates to them. About your
ethical stance: Knowing this I would give you abundant information and
form a partnership of sorts with you. I too never steal a job posting
from a contractor. If they take a different job or get hired at that
one, I will ask them if they know of more openings and sometimes I get a
lead. Hell, I always ask for leads, but if a contractor tells me where
they are interviewing I will never act on it until they are clear of the
situation.
>
> If you found this job posting, then what do you need the agency for?

The posting was simply a different agency posting the same position.
But for some reason his advertised rate was 8-13 dollars higher than the
agency that was going to shop me.

Without knowing the agencies involved there are way to many reasons for
this to occur. Usually the higher posted rate was to get ad responses.
Did the first agency post a rate range? I rarely post a rate range
because people who's backgrounds justify the low end most often want
more than the market rate for their background. Remember I am always
trying to have everyone be happy with the deal, the majority of the time
I get someone a rate higher than they would accept. Yesterday I actually
scared a contractor (a Perl one, BTW, with giving them $10 more than
their minimum and $5 more than their top end that I told the contractor
I would try to get. The contractor is fully qualified for the position,
but was worried that client expectations would be too high for success.
Thing is that I am bound by contract to a percentage formula at my
lowest markup figure, so paying more benefited me and makes the
contractor more likely to stay in the contract. Of course it does not
hurt our relationship either. BTW I told my client exactly what I was
doing and why and they agreed it was a sound strategy. Oops sorry for
tooting my horn, but I get a kick when I boost people's rate, as long as
I don't hurt myself in the process.