Recruitment agencies and excessive fees

Hi everyone, I hope your Easter Weekend is going greeeeeeat. I discovered something v interesting about recruitment agencies last week and instead of resting (Zzzzzzz), I decided to put this article together.

Recruitment agencies have become a popular resource for job seekers in South Africa, offering assistance with job searches, application processes, and interview preparations. These agencies are intermediaries between job seekers and employers, and their primary function is to match qualified candidates with suitable job vacancies. However, some recruitment agencies in South Africa continue to take a certain amount from people's salaries, which raises concerns about their ethical practices.

It is not uncommon for recruitment agencies to charge a fee for their services. It has always been common in some industries, such as the domestic work and hospitality sectors, where agencies charge a placement fee for finding workers. This commission can range from 5% to 15%, depending on the industry, level of seniority, and other factors. This practice is legal, and many recruitment agencies justify it by stating that they invest time and resources in finding the right candidates for their clients and that the commission is a way to ensure that they are compensated for their efforts.

Last week, I met up with a friend and we were discussing our career aspirations. She looked at me and asked if I knew anything about recruitment agencies. I said, "THEY HELP PEOPLE FIND JOBS". And she continued, "Some are 100%, however they deduct a certain fee from your salary for a certain period'. I thought to myself, with youth unemployment at 63.3%, why don't they deduct JUST once? People are already financially struggling and I feel like these recruitment agencies are preying on vulnerable people. I found it sad. Although, I am aware that it's not all of them.

In 2019, the Department of Employment and Labour issued a notice that prohibited the charging of placement fees by recruitment agencies. The notice stated that it is the responsibility of the employer to pay for the services provided by the recruitment agency, and any fees charged to job seekers would be considered a violation of the Basic Conditions of Employment Act. However, some recruitment agencies have continued to charge placement fees, despite the government's notice.

I argue that instead of charging excessively recruitment agencies should be paid a fixed fee for their services. Dear job seekers, be vigilant and read carefully contracts before signing to ensure that you understand the terms and conditions.

Yours in Labour Relations

Nobesuthu Mahlangu