How to Avoid Backdoor Placements

backdoor placements

Unfortunately, there are times when your customer may have a different perspective of their ideal prospect than you do. This commonly happens in hiring, so as a recruiter, you are likely used to handling it.

But what if you found another position for your target on LinkedIn and tried to get in touch with them there? Then you learn that the candidate is employed by a company that turned them down after you sent their CV months earlier?

Is the prospect now part of your backdoor placements list?

Backdoor hiring is the practice of an employer selecting a candidate through a recruiting agent.

The hiring business then decides, at some point in the near or medium term, to hire the applicant directly, without consulting the recruitment agency, to avoid paying a fee or placement fee. What’s worse is that occasionally the recruiter isn’t even aware they didn’t receive a special payment.

Going back to the question, yes, you probably got “backdoored.” But you can prevent this with the following strategies.

Say no more to backdoor placements

Some clients can be harder to approach than others, so you need to double-check a few things to increase your chances of collecting before you fall victim to backdoor hires or become paranoid.

  • Get a written contract

All commercial transactions must have a documented agreement. The recruiter’s position is strengthened by having a signed contract, who may have been too trusting or simply disorganized for various reasons.

  • Implement a possessory term of 12 months after presenting candidates

According to a possessory period agreed between the hiring company and the agency, the client is liable for paying a fee if they hire the candidate within a specific time frame.

  • Establish a name-clearing clause

In specialized industries where everyone knows everyone, it is conceivable that the client and candidate had already met before the presentation. Therefore, your agreement must provide that the customer must give you written notice within a 24-hour name-clearing period if they have spoken to the applicant in the last 30 days.

  • Know the affiliates of the business

The customer may send your candidates to one of the affiliates, branches, subsidiaries, or a different division; therefore, it is a good idea to be aware of these entities.

If the parent firm refers the candidate to an affiliate and they are employed, specify in your contract that the client will still be liable for the hiring fee.

To guarantee no backdoor placements, get the parent company to sign the contract.

  • Spend money on backdoor technologies

In the recruitment sector, AI has advanced significantly. Investing in backdoor technology enables you to follow or keep an eye on your applicants.

To Wrap It Up

Nothing is more frustrating than working so hard to find and place a candidate only to be forced to waive the placement fee because you forgot to include certain agreements or surefire techniques.

Ensure you’re protected; your agreements, clauses, and technical solutions should work to your advantage.

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