What Are the Costs of Recruitment Agencies in South Africa?

Recruitment agencies are a valuable resource for employers looking to fill job gaps quickly and efficiently. The cost of a recruitment agency to an employer will depend on the position being held, but on average, you can expect to pay 20% of the average salary when you hire for a permanent position. Most rates range from 15 to 25%, so it can give you an idea of the high and low numbers. For temporary and temporary hiring positions, the staffing company is the official employer for tax purposes, so the agency must confirm that the workers you use are, in fact, employees and not independent contractors.

When it comes to direct recruitment services and temporary staff, many agencies specialize in one or the other. The company will typically pay the employee's hourly rate and associated costs, which may include between 25% and 100% in the profit margin to the agency directly. It is important to clarify any questions with the agency and get everything in writing. Talking about new employees with your agency representative can help both you and the company in your future talent searches.

Personnel agencies offer a wide range of benefits, especially if you're in an industry with hard-to-fill jobs. It is completely illegal for an agency to charge a fee for registering or finding employment; if you come across any agency that charges, you can report it to the nearest Department of Labour office.

Esther Woodcock
Esther Woodcock

Esther has been in Marketing field for 15 years