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Retained vs. Contingent Search - The Client's View

A few times in the last three weeks, I have been asked by HR professionals and business people to explain the difference between Retained and Contingent search.  While this is in writing on our website (see www.abelnmagy.com/clients/retained-vs-contingent-search), I wanted to add it to our Blog as well.

A common question - and one that deserves some attention

A retained recruiter does not have the same financial interest in a placement as does a contingent recruiter.  The best fit for the client and candidate is the goal.  Closing the deal, while important and the clear final objective, is not the focus of each and every action.

A few clear differences - Retained Search Services

  • Retained search is always an exclusive arrangement.  As a result, search firms work on very few searches at any one time, assuring substantial effort is given to the search.
  • Intensive, focused research of related industries, organizations and individuals is undertaken for each search.
  • All candidates are thoroughly interviewed to the specific position competencies.
  • Educational credentials are verified and references are contacted.  (We have had three candidates 'fail' their education verification in the past few weeks.  While no longer as surprising as it once was, this reminds us of the importance in taking this step.)
  • Retained search, by its very nature means that the search process continues until a successful placement is achieved.

This is not a 'good vs. bad' comparison

Retained and Contingent search business models are very different.  Contingent firms have to work in a different manner and must deal with a much higher volume in order to survive. This means that there is less time for original research for each opening and clients will received more resumes with less specific candidate information.

Retained search is structured to provide more of a consulting relationship with both the client (organization) and candidate.  As a consultant, there is an orientation toward partnering throughout the search.

Keep asking us to articulate the difference.

Retained search is often more of a mystery than it should be.  Candidates assume we are the 'old' employment agency of the past.  Clients are in some cases unsure of the differences in the models - and which model would best fit their situation-specific need. Keep asking - we enjoy the dialogue!