Retained vs Contingency Recruiters
A retained recruiter is paid part of the fee up front to run an exclusive search, and is usually the right choice for executive, confidential or hard-to-fill roles. A contingency recruiter is paid only when you hire someone they present, which works well for roles with a larger candidate pool. Companies with several open roles can also use hourly recruiting support, often called RPO.
How does a retained search work?
You engage one firm for the search and pay part of the fee at the start, with the rest paid as the search progresses or at placement. In return you get a dedicated search, a defined process and the firm's full attention. Retained search is the standard for CEO, C-suite and other senior roles, and for confidential searches where you can't post the job.
How does contingency recruiting work?
You pay a fee only if you hire a candidate the recruiter presents. Several firms may work the same role at once. It is low risk for the employer, but because the recruiter is only paid on a hire, attention tends to go to roles that fill quickly. Contingency works best for manager and professional roles with a healthy candidate pool.
Retained vs contingency: what is the difference?
- Payment: retained is partly up front; contingency is paid only on a hire.
- Exclusivity: retained is usually exclusive; contingency often isn't.
- Best for: retained for executive, confidential and hard-to-fill roles; contingency for roles with more available candidates.
- Depth: retained searches go after people who are not looking; contingency often starts with people who are.
Is there another option?
Yes. When you have several roles open at once, hourly recruiting support can be cheaper and more flexible than paying a placement fee on every hire. Riderflex calls this Recruiting on Demand: Riderflex recruiters working your roles on an hourly basis, with no long-term contracts, no exclusivity and no hidden fees.
Which model does Riderflex offer?
All of them. Riderflex offers retained executive search, contingency search, tiered single placement fees and Recruiting on Demand. We will tell you which one fits your role. Current rates are on our pricing page.
Frequently asked questions
Is a retained recruiter worth it?
For executive, confidential and hard-to-fill roles, usually yes. You get an exclusive, dedicated search that reaches candidates who are not looking. For roles with a large candidate pool, contingency or hourly support is often enough.
Do contingency recruiters charge anything up front?
No. A contingency recruiter is paid only when you hire a candidate they present.
What is the difference between RPO and a recruiting agency?
A recruiting agency is typically paid per placement. RPO, or recruitment process outsourcing, provides recruiters who work your open roles as an extension of your team, often billed by time or by program instead of by hire.
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Talk to Riderflex
Call (888) 964-5876, email info@riderflex.com, or start a conversation on our contact page. Riderflex is a boutique recruiting firm based in Denver, Colorado, founded in 2013, serving employers nationwide.