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Contingency, Retained or RPO: Which Recruitment Model Fits You?

Recruitment services are priced in different ways. Here is how the main models compare.

Contingency, Retained or RPO: Which Recruitment Model Fits You?

Contingency recruitment

You pay only when you hire a candidate the recruiter found. Fees are commonly a percentage of first-year salary, often around 20 to 30 percent in the market. It suits roles that are easy to define and fill.

Retained search

You pay in stages, starting before the search begins. It is used for senior or hard-to-find roles where the recruiter commits dedicated time.

RPO and dedicated recruiters

With recruitment process outsourcing, a provider acts as part of your team for a monthly fee, handling many roles. It suits companies that hire continuously.

How to choose

  • One or two roles: contingency or a per-role package.
  • A senior role: retained search.
  • Ongoing hiring: a dedicated recruiter or RPO.

What to ask any recruiter

Ask about the fee, when it is due, the replacement guarantee if the hire leaves early, how candidates are sourced and how often you will receive updates. Clear answers show a mature process.

Think about total cost

A model that looks cheap can become expensive if it produces many unsuitable candidates. Compare the cost per successful hire and the time to fill, not just the fee.

Hybrid approaches

Many companies mix models, using a dedicated recruiter for everyday roles and a specialist for senior positions. Choose what matches the volume and difficulty of your hiring.

We offer per-role, success-based and dedicated recruiter plans. Compare them with us.

M

Written by M.Salman

Practical notes from the Softnexis Technologies team on websites, online stores, hiring and dispatching.

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