|
The
economy’s hit a rough patch. Job losses are outpacing
hiring in the news. If you’re in the search business,
you might be worried about future business prospects.
However, a more immediate threat could come in the
form of canceled searches. As budgets get tighter,
the probability that a requisition will be canceled
mid-search grows. In the recruiting business, canceled
reqs are inevitable, even in the best of times.
However in a slowing economy, recruiters have less
leverage to recoup fees and costs — even costs stipulated
by contract. Moreover, a slowdown in hiring might
also favor taking a short-term hit in order to ensure
that relationships stay intact.
Good
economy or bad, a canceled search is never welcome
news. It can be a true test of a recruiter’s professionalism
— especially if the cancellation occurs in the early
part of the search. It is in the first third of
the search that recruiters commonly invest in candidate
identification and research -- creating liabilities
far in excess of the initial retainer. Most contracts
cover these costs and most clients will work to
pay them, as stipulated. When the client refuses
to pay, however, or simply can’t, you’ve got a choice
to make. Should you go to a collections agency?
Hire a lawyer? Eat the cost? There’s no right call
or good way out of this situation. You’ve either
burnt a bridge or are out cash.
Read
the full article at the following link:
http://www.recruitersworld.com/articles/rw/christine/cancel.aso
|
