A wide range of companies use recruitment agencies to help find candidates for various roles. These agencies can be a valuable resource for businesses, providing access to specialized skills that are not available in the local workforce. Generally, they operate on a success fee basis, charging around 15% to 25% of the candidate’s salary upon placement. They will usually advertise vacancies online, interview candidates and draw up a shortlist of suitable applicants for the company to choose from.

Many recruiters offer a database where jobseekers can register their details and then be alerted when a role matching their profile becomes available. For many, this is the quickest way to find work, as it saves time having to search for jobs individually. Others may ask for a face-to-face meeting or a telephone interview to assess their suitability and make a decision on whether to put them forward for a role. Once a person has been placed in a job, the agency will then contact them to set up their start date.

Recruitment agencies that source workers for clients but don’t pay them directly are known as employment businesses and must be licensed by the HMRC to supply agency staff. These agencies can be held liable for working time regulations and minimum wage rules, and are responsible for ensuring that agency workers are supplied with the right paperwork for tax deductions, national insurance contributions and holiday entitlements. Day-rate contractors, Limited Company Contractors (LCCs) and self-employed individuals operating through Personal Service Companies have distinct work arrangements and are subject to IR35 legislation. Employer Recruitment Services UK