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What is direct recruitment?

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Natalie Howard - 14 Nov, 2022

Head of CX

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HR, Business,

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What is direct recruitment?

Direct recruitment is a term that's often misunderstood. Staffing is a service, but direct hiring isn't. Direct hiring refers to when companies hire employees directly without the use of third-party staffing agencies. The main benefit of direct hiring is cost savings—a company can save money by not having to pay a recruiter or agency fee when hiring new employees. However, there are also downsides to direct recruiting that should be taken into consideration before making your decision.

What is direct recruitment?

Direct recruitment is the process of hiring a candidate without paying a placement agency. If a company wants to hire someone, it directly contacts them and offers them a job. The company does not pay the agency for finding candidates for its vacancies.

There are two common types of direct recruitment:

  • Internal job posting - This is where an organisation posts vacant positions internally but also advertises externally if they can't fill the position internally within their own workforce or don't have enough internal candidates suitable for their requirements. This is usually done through email notification sent out by the Human Resource Department to all employees at regular intervals on current openings within the organisation unless there is some urgent need that requires immediate action such as when someone leaves unexpectedly due to personal reasons or health reasons etc... For example Google did this when they advertised 30000 jobs globally in 2016 following Brexit vote by UK which resulted increased demand from European countries looking into alternatives after leaving EU

Why do companies prefer direct hiring?

There are many reasons why companies prefer to hire directly:

  • Direct recruitment is cost effective. Direct hiring allows you to save on the fees charged by recruiters and headhunters, who can take up to 20% of the employee’s annual salary as their fee. You also reduce your time spent on interviewing and reviewing candidates by using online applications instead of relying on a third party to do this work for you.
  • It may provide better quality candidates because it gives you control over who applies for your job opening, what questions they answer in their application form, and whether or not they meet all of your requirements before they proceed with their application process. If a candidate doesn't seem like a good fit after filling out an application form but is willing to talk further about his or her experience and qualifications over the phone or via email before moving forward with an interview appointment, then that person has already demonstrated interest in working at your company. This gives them an advantage over other applicants who didn't go through this step first during initial contact with HR representatives at direct hiring firms. It might not be as helpful at firms where direct hiring is just being used occasionally when needed due to lack of available talent pool within local area communities surrounding HQ locations (where there might be few opportunities for finding qualified professionals locally).

When direct hiring is a good choice.

If you are looking to fill a position quickly, direct hiring is the best option.

When you have a small team and need only one person to join, it's better to hire directly.

If you don't want to pay a fee for the services of a recruiting agency, direct hiring is also an option.

If you are looking for experienced candidates with specific skills or expertise, then direct hiring can be useful.

The Basics of Direct Hiring

Direct hiring is when a company hires someone directly into a position. This is the most common type of hiring, but it's not always the best option for everyone. If you're looking for work, direct hiring is almost certainly the easiest route to getting hired quickly and easily—it usually involves fewer steps than other forms of recruitment and puts you in touch with people who can give you more information about your job prospects at once (instead of having to go through multiple layers of management).

Direct recruiting allows managers and recruiters to hire without paying a fee, but it's not always the best route to take.

Direct recruiting is a great option if you have a specific candidate in mind. If you need to fill an open position quickly, direct hiring might be the way to go. Recruiters and hiring managers who use direct recruiting often don't have time to wait for candidates from outside sources (like job boards). They're looking for ideal matches as soon as possible, so they use their own network of contacts to find suitable candidates. This strategy makes sense when there's an urgent need for new team members and no viable options available on the market at that moment.

If you're starting up a new company or department or even just expanding into a new product line, direct hiring can be useful because it allows managers and recruiters who already know each other well enough not only to get acquainted but also collaborate on finding the right people who will fit well into both teams' culture and objectives


Direct hiring is a great option for employers who want to hire people quickly. It’s also a good option when you want to keep costs low and avoid paying recruitment fees. But be careful—this isn’t always the best route to take!

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