Hishem AzzouzHost Of Recruitment Mentors Podcast

Commission Structures in Recruitment

Name: Commission Structures in Recruitment
Uploaded: 2023-07-21T16:00:07+00:00
Duration: 42 s
Channel: Hishem Azzouz
Description: A recruitment firm discovered its commission structure was creating a massive pay gap: junior 360 recruiters were earning £150-200k while delivery-team…

21 Jul 2023 · 1 min

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A recruitment firm discovered its commission structure was creating a massive pay gap: junior 360 recruiters were earning £150-200k while delivery-team recruiters made far less. They restructured how deals were split between teams to even things out.

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Commission, what were we saying? How have you structured that? So we originally, we had a sort of flat fee structure, basically the more responsibility they have as a delivery person, the higher commission they get per placement. We had a lot of feedback over like last summer and stuff around like some of the delivery people who are maybe a bit unhappy. But the problem is that there was a huge discrepancy between the delivery guys and the 360 guys. And we had a fair few of them who had only been in recruitment for, you know, like a couple of years, 2, 3 years earning sort of, you know, £150,000, £200,000 a year. And because there's such a difference between the two teams, that was basically just like pissing them off a little bit. So we did a big like deep dive into it and changed the model a little bit to bring the two commissions a bit more in line, basically split the value of the deals.