Backdoor hires are, for the most part, unintentional. We’ve talked about this topic before on our blog. There is no doubt, however, they still occur consistently across all industries. Our current data suggest a backdoor hire occurs in every 571 client CV submissions. Which industries have it occur most often you ask? Read on….
Sales - 1 backdoor hire in 378 submissions
Typically for sales roles, the reason a backdoor hire occurs is due to the candidate being so good at what they do (sell, follow up, building networks), that they ultimately talk their way into a role months after the interview. Quite often the hiring manager is a different person in the business that the agency has initially worked with - and is unaware of the initial CV send.
Construction - 1 backdoor hire in 397 submissions
Construction is one industry where, unfortunately, we are seeing a number of backdoor hires due to clients trying to avoid a fee. This is not always the case, but we do see instances where the company tried to “pull a fast one” on the agency more often than in any other sector. Our data may be a little skewed, given that we look at publicly available information (we may not be identifying all of the site staff), however it is a common theme amongst the construction recruitment agency data we have analyzed.
Oil & Gas/Mining - 1 backdoor hire in 412
Oil & Gas/Mining backdoor hires typically occur due to two major factors - the global nature of the positions and the cyclical nature of the industry. It’s not uncommon for a candidate to be submitted, and end up in a different position in a different country. Depending on the terms of business, this may not actually result in a fee being paid, however we do see many candidates taking employment with the company their resume was sent to in a completely different location. We also see hiring "binges" - where candidates whose resume is sent in times of lower commodity prices, have been hired as the commodity price (and subsequent demand for talent) increases.
IT/Tech - 1 Backdoor hire in 438
The demand for top tech talent is extremely high globally. As such, candidates are consistently headhunted by both agencies and internal recruitment teams. We typically see multiple approaches to one candidate, with ownership at times getting forgotten/muddled in the process.
Finance and Banking - 1 backdoor hire in 472
Finally, the finance and banking industry makes our list of industries where backdoor hires occur the most. The resounding reason we see for this is the Preferred Service/Vendor List (PSL/PVL) that many larger financial institutions use to “manage” recruitment agencies. In these instances, the candidate is submitted for a very specific requisition, only to be hired in a different role later on. Whilst this ultimately may not always result in direct fee recovery, knowing this is happening to your agency is crucial to maintain transparency with your clients and ultimately assessing the value of being on these vendor lists altogether.
Want to found out the statistics on backdoor hires in your industry? Request a demo at www.HIRABL.com.