Definitions of the various types of recruiters.

Contingency Recruiter
The recruiter is paid upon a successful hire/placement. The recruiter is responsible to do the initial recruiting, screening and interviewing. The contingency recruiter will also arrange interviews with the candidates for the employer. The employer pays either a flat fee or a percentage of the first years salary– only if they decide to hire the candidate.

Retained Recruiter
Similar to a contingency recruiter in that the employer pays the fees. The main difference of a retained recruiter is that the employer pays a nonrefundable retainer fee for the recruiter to perform a search. A portion of the overall search fee is paid upfront and the remainder at an agreed upon later date (often times after a set number of qualified candidates have been presented). This retainer fee is paid whether or not a placement/hire is made. Companies often use retained search firms for higher level positions within an organization. For example a CMO, Vice President of Sales, etc.

Retingency Recruiter
Retingency is a new made up word in the recruiting world for a search that combines both elements of a contingency search and a retained search. In this situation, a portion of the overall search fee is paid upfront (retainer) and the remainder is due only upon a successful hire (contingency).

Staffing (Contract/Freelance/Temporary)
A Staffing Firm provides candidates for a client company's project needs (when a direct-hire employee is not needed). In this relationship the candidate is often times hired by the staffing agency and the staffing agency pays the candidates wages or invoice. In this situation the client company pays a premium hourly rate to the staffing firm for the contract, freelance or temporary employee.

Outplacement Recruiter
An Outplacement Recruiter or Agency provides job hunting assistance to jobseekers, typically downsized/displaced individuals. Many times the employer will hire an outplacement company to help their recently downsized workforce find jobs. Outplacement services provides resume/interviewing assistance, career counseling, etc. Candidates can also hire an outplacement recruiter to work with them, however, this is often an expensive endeavor.

Note - TBN Consulting does not work on an outplacement basis. Our fees are always paid by our clients (the employer).