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Agency fees

  • 04-01-2018 9:06pm
    #1
    ddub11
    Registered Users, Registered Users 2 Posts: 203 ✭✭


    Ok maybe a silly question but im curious.
    Iv been set up with an interview for a job by an agency and i am curious as to how they make their money from this arrangement.
    Do they get a payment from the people who are giving me the interview?
    Do they get a percentage of my salary?
    Do they pay my salary or the company who employs me (if i got the job)

    I know some of those questions may be silly but i have never had any dealing with agency's before and i have not got a clue of how this arrangement works.

    Any info would be appreciated,thanks.


Comments

  • #2
    Tenigate
    Closed Accounts Posts: 849 ✭✭✭Tenigate


    They might pay you €15 an hour and bill your employer €30. You would be agency staff. The difference represents vat, payroll taxes, holiday pay and their profit. That's an example, not sure of actual rates but doubt I'm too far off.

    Or alternatively they could place you with the employer, and your employer pays them a lumpsum (perhaps upfront, and another lumpsum in a few months if you stay there). And no, it's not taken out of your wages.


  • #3
    ddub11
    Registered Users, Registered Users 2 Posts: 203 ✭✭ddub11


    Tenigate wrote: »
    They might pay you €15 an hour and bill your employer €30. You would be agency staff. The difference represents vat, payroll taxes, holiday pay and their profit. That's an example, not sure of actual rates but doubt I'm too far off.

    Or alternatively they could place you with the employer, and your employer pays them a lumpsum (perhaps upfront, and another lumpsum in a few months if you stay there). And no, it's not taken out of your wages.
    Thanks for that
    I have an interview monday so ill fire a few questions at the guy interviewing me regarding how it works,just looking for a bit of info before i sit down and talk to them.


  • #4
    Tenigate
    Closed Accounts Posts: 849 ✭✭✭Tenigate


    ddub11 wrote: »
    Thanks for that
    I have an interview monday so ill fire a few questions at the guy interviewing me regarding how it works,just looking for a bit of info before i sit down and talk to them.

    If your interview is with the company, don't ask questions like that!

    If your interview is with the agency, well they'll probably bring it up. You don't want to sound daft so don't ask your charge out rate or placement fee (none of your business), or deductions from salary for their services (there are none). All you need to know is your salary, and that can wait til the job offer stage.

    There really are only 2 outcomes.
    1. You'll be agency staff, and the agency will pay you an hourly rate. Every week you'll write your hours on a time sheet, get your manager to sign it, and email it to the agency.
    Or
    2. The agency will place you. You'll be a company employee and the company will pay your wages directly.

    Good luck with the interview.


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