5 Major Reasons Why We Advocate Zero Placement Fee
While the Philippine Overseas Employment Administration (POEA) allows recruitment agencies from charging placement fees from candidates, 9 out of 2,000 firms oppose the tide as an ethical practice to serve Filipinos.
Even if the no-placement-fee system may cause indifference to some foreign clients because of the inevitable higher cost, these agencies brave to pursue ethical recruitment with integrity in mind assuring that this is the way of fulfilling everyone’s goal for success.
Here are the main reasons why “zero placement fee” is the future of the Philippine staffing and recruitment industry:
- Technical Skills minus Financial Capacity equals High Ethical Corporate Standards
Workers should be selected and screened based on their technical skills and qualifications rather than their ability to pay placement fees to get endorsed for a job. No placement fee allows the partner recruitment agency to only factor out candidates based on their capabilities and experience, and not their financial ability to pay to get a job.
Employers who shoulder the cost of recruitment of workers abroad can be assured to receive a more ethical recruitment process from their partner agency. Paying this on behalf of their future employees give them the leverage to choose what kind of workers they need. They can also be insured with due diligence from their strategic manpower partner. They can be guaranteed that recruiters will work for the client’s best interest by not putting poor candidates just for the sake of extra commissions.
- Magnet to Best-Performing Candidates
The “no placement fee” tag on recruitment advertisements is an effective tool for talent attraction. Most qualified and experienced candidates are wise enough not to patron agencies which will just make money out of them.
While there is no doubt, availability of candidates in the Philippines, one would also have to understand that opportunities are being presented to them left and right. The common factor among the most successful recruitment agencies is their unwavering policy of not passing on the cost of the recruitment and processing on the candidates. If a candidate is presented 5 opportunities, and 2 of them are for companies who are professional and will not allow their agent nor their companies to burden the candidate any cost, the said 2 opportunities will be the one that the candidate will surely focus on.
Predominantly, the promise of ethical recruitment is the main selling point of each job order.
- Avoidance of Exploitation of Skilled Workers
Some recruitment agencies tend to charge high recruitment fees. This practice is already categorizable as illegal recruitment and is already an exploitation to their vulnerability even before they arrive at their job destination. In cases of maltreatment and abuses, migrant workers are subjected to “forced labor” when they find no way out of their job because of the debt bondage they had incurred to attain it.
Additionally, a worker not charged with a placement fee is in a better position to contribute effectively to the job he signed up for because he no longer needs to worry about loans to pay. The Institute for Human Rights and Business attested that “zero placement fee” will surely fortify the company with better workers. This scheme guarantees every worker’s financial wellness, which will, in turn, maintain their happiness and productivity at work. (Read more: https://rensol.com/ethical-recruitment-agencies-people/)
- The Philippine Government Encourages Fair Recruitment
With many reports on abuses and financial ruins to families of OFWs because of placement fees, government’s efforts to minimize victimization to exorbitant fees and fraudulent recruitment by means of overcharging was given the highest penalty under the law.
- A Commitment to Social Responsibility
The reputation and integrity of an employer is measured by how committed they are with their public service to provide opportunities that the less privileged, yet globally-competitive ones could afford. Coca-Cola, Hewlett-Packard Enterprise, IKEA, and Unilever are some of the employers that believe they should pay on behalf of their hired workers.
Anel Grup, a global Mechanical Electrical Plumbing company in the Middle East and Renaissance Heavy Industries, the construction branch of Ronesans Holdings – is a leading construction, oil, gas and power generation company in the Commonwealth of Independent States also promote the fact that shouldering the service fee of workers is a long-term investment and an element for their successes.
The report from IHRB reflected that zero placement fee works effectively for starting companies but for the case of Rensol Recruitment, this has been the aromatic scent, the word of mouth, and the integrity that makes these small companies, the fastest-growing in the industry.
ABOUT THE COMPANY: Rensol Recruitment and Consulting, Inc. is the fastest growing recruitment agency in The Philippines. A career consultant that aims to go above and beyond the level of expectations of both the aspirations of the candidates and the dream team standards of employers through providing exceptional opportunities and unparalleled quality-driven recruitment services.
Arnold brings decades of Technical Administration, Processes and Operations Management experience at Rensol. His key experience includes Sales, Marketing, and Business Development. His expertise in Human Resource includes Recruitment and Headhunting, Training and Development, Employee Relations, Employment Law, Conflict and Dispute Resolution, HR Policy Formulation and Performance Management.
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