Fixed Fee Commission System
This is a system whereby a recruiter is paid a fixed fee per placement. The fixed fee will sometimes remain the same no matter how many placements you make or for some companies increases in value depending on the number of placements you make in a month or quarter.
Pro’s
- Good for high volume low fee desks
- Good start off system for junior contract recruiters before they have built a significant monthly contract revenue base
- Simple to understand
- Drives a high volume approach
Con’s
- Not good for high fee value desks as the % value of the commission per deal is very low
- Fixed fees are often too low
- The system is applied to the wrong desks and markets
- Can lower quality of service as the drive by the recruiter is for fast high volume deals
