Benefits of retained recruitment

In this post, we look at the benefits of retained recruitment. Paying particular attention to how retained recruitment increases your business efficiency and reduces turnover.

In a recent study, it was found that over 59% of businesses use recruitment agencies.

This suggests companies are recognising the benefits of using a quality recruitment agency. This is even more prominent when considering retained recruitment agencies.

Retained recruitment vs contingency recruitment

Before we explain exactly what retained recruitment is, it may make it easier to firstly understand contingency recruitment first.

What is contingency recruitment?

Contingency recruitment is a type of recruitment agency.

If utilising contingency recruitment, recruiters will not be paid unless you choose to employ a candidate that they put forward.

With contingency recruitment, the power is in your hands (The employer).

You might have multiple agencies and HR teams trying to fill a role all at once, which can create healthy competition among them. Ultimately the employer will get the best possible candidate for the job, and this can help you to build your team better. All of these things can get very competitive when there are many people applying for jobs.


What has retained recruitment?

Retained recruitment is the opposite of contingency recruitment. Regarding this type of service, you are paying to 'retain' a recruiter to your cause - guaranteeing them exclusivity and an income from the job once they find a suitable candidate.

Positions for recruiters with retained recruitment firms are typically in high-paying jobs and aimed at candidates who are hard to find.

Why is retained recruitment effective?

Companies that use retained recruitment are more likely to have lower turnover rates. This is because they are better able to find candidates who fit their company culture and values as well as take care of employees who are already working there.

Let’s look at more benefits of using retained recruitment…

The benefits of retained recruitment for businesses

Time and cost-saving

Hiring a retained recruiter means that you have someone who will find the perfect candidate for your business and reduce your workload in the process.

With their earned expertise, they can do searches much quicker than you can, which will allow your business to operate at full capacity sooner..

Contingency recruiters may work with a number of clients at any given time. However, retained recruiters are 100% committed to you. This leads to more time being spent on you, which in turn can have a far greater impact on the final quality of hire.

Candidate screening

You will also save time and money, as retained recruiters also carry out the candidate screening. This ensures your candidate is qualified for the role before you spend time interviewing them.

Increased attention to detail

Recruiting is a lengthy process with many stages. You need to make sure that you get them right for the role that you are filling; this may take time and effort, mainly when the role is senior or difficult to fill. Retained recruiters have an advantage over many other types of recruiting agents because they have access to an additional network of passive talent.

On top of this, retained recruiters can actually read your needs and actively match it with the perfect candidate.This works for so many people because it will allow you to focus on other aspects of your business that you might find even more important. If a company agrees, it can carry out tasks such as psychometric testing and/or background checks, improving the whole recruitment process.

More flexibility

When working with a retained recruiter you'll have more flexibility and the agent will be able to offer you a personalised experience. As retained recruiters are more committed, they're going to want to make sure you're completely satisfied. As a result, the time frame, payments and rebate period (if applicable) can all be discussed and agreed upon in a way that is mutually satisfactory.

Recruiters remove problems

Recruiters need to not only be able to find the best candidate, but they also should be able to work their way through the recruitment process with excellent communication. This means that recruiters must know when to talk diplomatically and have the right negotiation skills.

Retained recruiters will remain in contact with you at each step. They handle any issues that may come up during the process, so you never need to worry about them. The best part is, this saves a lot of your time normally taken up dealing with these issues.

Strengthen relationships

A retained recruiter is an external point of view and can analyse situations before they start. Often able to solve problems before they even arise.

As they don’t just look to fill the position as soon as possible, you’ll be able to spend more time with the recruiter. They will also have a better understanding of your company’s precise needs. A retained recruiter is more vested in helping you find the right candidate when they have a strong relationship with you.

Improved access to talent

If you use contingency recruiters, you will most likely receive many candidates who are on every other recruitment database. They often don’t have time to go through the extensive list of candidates due to demand and workload. Especially as it's unclear if they will get paid for their time spent searching.

However, a retained recruiter will have a detailed search process. The recruiter will not only be working with their active connections but also with passive candidates. This is when you're most likely to find new hires who suit the role in question.

Other strategies can include paid targeted marketing, market mapping and other strategies to find passive talent. It takes time to build relationships with these professionals and a retained recruiter can be a great way to do this.

First refusal benefit

Opportunities with a retained recruiter will often mean you're offered the first refusal of a candidate throughout the search process. This helps to prevent competitors from your field from taking your potential hire: it's especially appealing when you're tight on resources.

Conclusion: Benefits of retained recruitment

Retained recruitment companies are a great way to find the right candidate for the job. They work with you to find the right person for your company. And they are more often than not more invested in your success than other recruiters.

Recruiters can be a valuable resource to any business that is looking to hire new employees or fill vacant positions. Retained recruitment companies offer a personalised service that is tailored specifically to your needs and desires. Making them an excellent option for businesses of all sizes.


We hope you enjoyed this post on, the benefits of retained recruitment. For more information on recruitment tips, take a look at our blog here.


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