One recruiter has the job order, while another recruiter supplies the candidate.
This is the foundation of success in Top Echelon’s split fee recruiting network. The recruiter with the job order is typically referred to as the “importer” (as in “importer of candidates”), while the recruiter supplying the candidate is referred to as the “exporter” (as in “exporter of candidates”) on our recruiter split boards.
How You’ll Split the Placement Fee
Once the importer places the candidate supplied to them by the exporter and receives a fee from their client, a completed split placement has occurred. As per their agreement, the job order recruiter sends the candidate recruiter their portion of the placement fee.
In the case of a Top Echelon Network split placement, the recruiters involved would also owe the Network a 6% brokerage fee—3% from each recruiter.
That means both recruiters receive 47% of the placement fee.
Perm Split Placements vs. Contract Split Placements
In Top Echelon Network, there are two types of split placements—perm split placements and contract split placements. The majority of placements made in Top Echelon’s split fee recruiting network are perm split placements, also known as direct-hire split placements.
The job order associated with such a placement is a perm (or direct-hire) job order, meaning that the company issuing the job order wishes to hire a candidate on a full-time basis, as opposed to a contract basis.
All of the circumstances surrounding a perm split placement are the same as those surrounding a perm placement that isn’t a split. The Client Services Agreement that the job order recruiter has with their client dictates the terms and conditions of the placement.
For example, if the job order recruiter has a 90-day replacement guarantee with their client, then that guarantee is applied to any perm split placement that the job order recruiter makes with a candidate recruiter. More than 90% of the split fee recruiting placements that are made through Top Echelon Network are perm split placements.
Contract split placements operate the same as perm split placements, except that the job opening involved is a contract job order, as opposed to a perm job order.
Contract split placements usually happen more quickly than perm split placements. That’s because there’s typically more urgency tied to a contract job order. In addition, a contract worker can start more quickly than a perm worker, in most situations.
Just like a perm split placement, though, both the job order recruiter and the candidate recruiter split the placement fee from the client company in the case of a contract split placement. The difference is that the recruiters split the placement checks when they are issued, usually on a weekly or semi-weekly basis.
If the contract split placement is run through a back-office such as Top Echelon Contracting’s recruitment back office solutions, the back-office will take care of all the administrative, legal, and financial issues associated with the placement. This includes issuing the placement checks to each recruiter.