Over the past 15 years, I can count the number of times on one hand that I’ve seen some real possibilities created with a new product or service in the $120+ billion recruiting industry. Today is one of those days.
After spending some time with recently with Kevin Grossman, an industry professional I met 5 years ago virtually through social media – and later in person at several events and conferences, I knew he and the JobEscrow team had creating something valuable for organizations. Especially those that partner with recruiters that provide contingent or retained search services. Introducing JobEscrow..
What’s JobEscrow? In short it is an online marketplace where employers and recruiters conduct business leveraging a pay for performance model based on new hire quality and retention. Companies can buy a job credit for $410 – similar to the price of job postings elsewhere. They choose a recruiter through the JobEscrow network and both parties agree to a fee structure and a payment plan over time. JobEscrow does’t take a cut of the recruiting fees like other services and the fees are paid out over time through an escrow account based on new hire quality and retention.
Click on the screenshot to take a closer look at one fee scenario paid out over 2 years.
JobEscrow is set to launch next month and is currently looking for companies and agencies as part of their beta testing. In addition to the standard JobEscrow product once officially launched, the company will also enter the outplacement business (in a sense) and will offer an award to recruiters placing a candidate that was laid off from participating organizations.
Check out the video for an overview of JobEscrow.
You can quickly imagine the water cooler talk and recruiters saying this won’t work. For anyone who throws around buzzwords like talent management – I say put the recruiting fee where your mouth is. I welcome this pay-for-performance model where retention, among other quality attributes, is the primary driver in recruiter compensation (agency or corporate).
Talent Acquisition & Diversity Exec, Jason Buss, is the founder and editor of THQ and Recruiting Innovation Officer for...read more