When to engage recruiters and what to look for

In the current employment landscape, more candidates are applying for jobs, but specialist talent remains in short supply, says Nicole Gorton, director at Robert Half. 

“Top tier talent with technical expertise and other competencies – such as behavioural and leadership competencies and the ability to innovate and create efficiencies – are still in high demand, particularly around certain verticals relating to FP&A [Financial Planning and Analysis], cost optimisation and AI.”

For many organisations, filling these vacancies is a priority and key to growth.

Given that recruitment can be a time-consuming process, when is the right time to outsource hiring to a recruiting firm?

What are the pros and cons of engaging a recruiter?

Organisations need to firstly determine if they have the “internal bandwidth” for recruitment, Gorton says. 

Some internal talent teams may have effective processes in place to fill “rinse and repeat roles”, however, for more senior or specialist positions, a recruiter can offer access to new talent.

“A recruiting firm can attract talent that many internal teams can't, due to the investment of time necessary to access a different market – what we call the passive market,” she says. 

This cohort isn’t replying to job advertisements. 

“They're the candidates many companies want to access but can’t,” Gorton says.

“That's what we do – good recruitment firms have the ability, within their practice area, to populate the candidate matrix with people that companies would not typically access themselves.”

Another factor in deciding whether to engage a recruiter is time, says Geoff Balmer, director at accounting recruitment firm Richard Lloyd.

“The major benefit is that the work should be done for you, so the recruiter should be able to give you a shortlist of suitable candidates within a shorter period of time compared to the employer having to advertise themselves,” he says.

For a mainstream job – a financial accountant or financial manager, for example – Balmer says he would expect to send a shortlist to the client in 48 to 72 hours.

A shortlist supplied by a recruitment firm should feature a high-quality and diverse range of talent. 

“Recruiters will interview a whole range of candidates across all different salary levels,” Balmer says.

“Most interviews last for 30 to 40 minutes, and in that time, the recruiter will find out why someone has left their previous job, what they're hoping for and what their aspirations are, and when a job comes through, they match that person to the role.”

Recruiters also offer insights to candidates around career progression and salary expectations. 

In this sense, “recruiters are brokers of information,” Balmer says. 

This information comes with a cost. Australian employment company Seek notes that if a candidate put forward by a recruiter is hired, the rate can be anything from a flat fee of A$5000 to 25 per cent of the total fixed renumeration of the candidate.

What are the key qualities to look for in a recruiter?

Balmer recommends checking a recruitment firm’s online reviews as a first step.

Next, he says, investigate staff. “Tenure of consultants typically suggests that the company knows what they're doing.”

Gorton agrees. “Tenured recruiters typically navigate their way through roles that require technical expertise and the complexities of organisational culture, because they've got more experience,” she says. 

Balmer offers another piece of advice: “Look for a company with a strong marketing message and top results in Google search, so you know they're in touch with the right candidates.”

Gorton says a good recruitment firm carries out the appropriate due diligence to ensure candidates’ qualifications and employment history stacks up.

She also recommends opting for a specialist firm. “Expertise and specialisation mean a firm will understand the nuances, the challenges and talent pool of your area,” she says. “That's really important.”

When tossing up between going with a specialist versus a generalist recruiter, Balmer says a specialist firm often has the advantage of speed. 

A generalist recruiter will take time. “They're going to have to advertise the role, they're going to have to go onto LinkedIn, and it's going to take time to find the shortlist,” Balmer says.

A specialist can work much faster. 

“Generally, any specialist in any sector should be able to give you a shortlist ASAP, and they should also be able to give you good advice as to what you should pay and tell you what's the market like, so you get a good understanding of expectations and what you need to pay for high performer.”

What are the red flags to watch out for?

Gorton’s red flags include a lack of industry knowledge and poor communication. 

She would also be wary of a recruitment firm whose consultants can’t answer questions about a candidate. 

“Having a level of professional intimacy with candidates really showcases how well they know their product, which allows them to place candidates in the right roles,” she says. 

And, finally, the best recruiters do their homework.

It’s not just a case of looking up a website, Gorton says. 

“I'm talking about understanding the org chart, speaking to people that have worked there, reviewing coverage in the media and meeting with people who are responsible for the hiring in-person. They really get under the bonnet of the organisation.”