Sharp agency tactics to watch out for
Tuesday, 28 January 2003
Running a recruitment agency is a business like any other. It's a cut-throat and competitive industry, where a slight difference in strategy can give you an edge. Some agencies go down the holier-than-holy path to get ahead, while others choose the "all's fair in love and business" philosophy. Some of the tactics outlined below are wide-spread and understandable in a competitive environment. It still benefits IT workers to be ready for them, however. Some are unforgivable, and most agencies look down on them as much as their clients do.
Before anyone on the IT worker side of the fence gets too self-righteous, ask yourself the following: are you always entirely honest when dealing with your agency? Thought not. Ever lied about your income or embellished your resume? Thought so.
Here are some of the agency sharp tactics I have come across in my years in IT. Some have happened to me personally, some have happened to people I know, but all of them have occurred.
Asking which other companies you've been put forward to.
The agent on the phone will swear they need to know so that they don't put you forward for jobs you've already been put forward for by someone else. This isn't the reason. They're fishing around for jobs that they can fill. If you say "I've been put forward for a networking role at Telstra", you can bet the agent will be on the phone to Telstra trying to sell other candidates to them the minute you hang up. No matter how hard they pressure, or what they say on this one, your only smart response is: "I'm sorry but I can't tell you that. Call me with any jobs you get through and I'll let you know if I've been put forward for them already."
Telling you you've been renewed for three months when you've only been renewed for one
This actually happened to me. I was getting to the end of a contract and the agency was checking out if I was going to be extended. I liked where I was working, but they were cutting IT staff and an extension didn't look likely. Because of this, I'd been looking around for something else and had a couple of other three month contracts lined up. My agency rang me back and told me that I'd been extended for three months in the current contract, with one week's notice if the client wanted to terminate me. I called the other agencies withdrew my applications. I received a contract renewal for three months in the mail from my agency.
Two weeks later, I found out from my boss that the renewal was only one month and was unlikely to be extended past that. I called the agency and they insisted that a mistake had been made. This was despite them telling me on the phone and in writing that a three month extension had been agreed to. I can only assume that they were hoping to get another extension at the end of the month. If they weren't able to, they could simply say that I'd been given notice by the client. If they did get an extension, they could pretend that nothing had happened.
The moral of the story is always to check with your manager that what the agency is telling you is true.
Getting you to give notice in your current job before they give you anything in writing
I wanted to move from my current job and get a new one. I went to an interview though an agency. The job was good, the money was good, the people were nice. The agent called me soon after the interview and told me I'd been offered the job at the rate we'd agreed to. The new client wanted me to start as soon as possible, so I had to give notice the next day at the site I was working at. I gave my notice, the boss was sorry to see me go, but understood.
The next day, the agent rang me to say that a terrible mistake had been made. The new client still wanted me, but the pay offer was 20% less than we had agreed. I was furious. This was less than I'd been earning before. I'd given up a job for the promise of another one. I had nothing in writing, so couldn't prove anything.
I've also heard of agencies doing this when you've had a job offer. They tell you about a great job that's just coming up. You'd be perfect for the role and the money's better than your current offer. Think long and hard before turning down the definite offer you already have for the promise of something else. If the agent is merely stringing you along, you could lose a valuable job.
The moral is, never act on anything unless you have it in writing. Even this is no guarantee, but an agent is less likely to give you the run-around on paper than verbally.
Asking for references when they haven't even got a job
An agent rings you up and says: "We probably have a job coming up that you might be right for. Can you send me through the names and phone numbers of your last three managers. We always check references in advance."
This is an example of an agent fishing for names. An agent's most valuable asset is their database. If they can add the names and numbers of potential clients just by promising you a non-existent job, that's good business for them. Managers hate getting hassled by agents and are unlikely to be pleased that you've given our their name. Only give references to agents if you're certain they have a job. Often it's a good idea to wait until you've actually been interviewed by a potential employer.
More fishing for contacts
You tell them you used to work for Telstra.
"Oh yeah," they say, "I know all the managers down there. Were you working for John Smith?".
"No," you reply, "It was Dave Jones."
Now they've got another name to add to their database. This practice can be seen as relatively harmless. It doesn't cost you anything to help them out, after all. Just remember that next time Dave Jones is looking for a contractor or permie, there's every chance that the agent you've just spoken to will put someone else forward in competition with you for the role.
Asking you what your bottom line is
Be extremely careful when discussing with agents what you'll work for. The figure that you give them is the most you'll receive when getting offered the job. If you tell them $55 an hour, then that's all you'll be offered.
Agents say its in their interest to get you the most they can, because that means they get more. To some extent this is true. Mostly though, they just want the sale. If they get you in there at $55 rather that $60 an hour, the difference to them is relatively small. You are easier to sell the cheaper you are, so agents will always be trying to get you to lower your rate.
The less ethical agencies may also use your agreeing to lower their rate to increase their own margin. If the client has already said they'll pay $80 an hour for you, the less the agent can convince you to take, the more is left of the pie for them. Click here to read more about agency margins.
Remember that there are many agencies out there who are honest and up-front about everything. They hate the cowboys even more than IT workers do, as they tarnish the entire industry and take business from them through unfair practices. Hopefully the above will prevent IT workers from falling for some of the sharper tactics that are practised.
Paul Knapp (editor@brainbox.com.au)
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delaying tacticsAnother tactic used by recruiters is the 'delaying tactic'. Sometimes they call you to tell you that the client was happy with your interview, but it looks like the start of the job will be delayed for a while before you get the contract, or the second interview will take a while because Mr X is going to be out of the office. You haven't got the job. Maybe you are on a waiting list should someone else not take the job, and the agency will need to call someone quick. Maybe they want to keep a list of people who can replace the guys they have actually taken on, in case one of them isn't up to scratch, jumps ship, etc. Maybe the agent just wants to keep you interested for a while longer because something else might be coming up that he can reel you in with. Just don't trust ANYTHING that they say. Brian Kemp, 04/30/2009 01:52:00 PM
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