Job Discussion Forums

ThaneKerner · Joined: 13 Sep 2009 Posts: 139

I've been looking over these threads and have a couple questions about how the job placement agencies make a profit on placing teachers:

1. I assume an agency gets a one-time fee from an emloyer after a placed employee arrives. True? This is reasonable. But what about after the teacher gets hired? Does the agency get residual income? #2 below will hopefully clarfiy what I'm getting at...........

2. If a teacher signs a deal with all sorts of 'provided perks', these perks (stipends) become income for the agency (and costs for the teacher) if the teacher elects to go with the company-provided option. For instance, if a teacher is given 250 a month for transport, how much will he get of that if he elects to use the company-provided transport? Zero? If so, that transport had better be fancy-schmancy indeed. 250 just for a seat in a van for 20 round trips a month? And utilities. Wow. Some provide a 400-dollar-a-month utility stipend. No way will I use that much in utes a month. Do the employers pro-rate?

3. I will assume an agency tries to take as long as it can in getting a teacher his/her iqama. This is so the agency can continue to make money off the teacher ( See #2 ). Is this 'whoring out' common?

I can see one area where agencies can make big bucks off teachers--accommodations. Specifically, forcing teachers to double, triple, and quadruple up in shared housing (that the agencies may very well own).

How deep does this hole go?

Agency Profit = Income paid to agency by Uni for teacher - basic salary pay to teacher + stipends that don't get paid to teacher

When a teacher gets his work visa and iqama, he is then an employ of the school where he teaches. He is no longer a mere 'temp'. Agency profit then goes to zero. No wonder it takes 6 months to get an iqama. Or even a year.

Maybe I'm wrong and the agencies pro-rate. If my stipend is 400 a month for utilities, and I use only 50 if I'm in agency-provided housing, I get the 350 remaining from the stipend. I hope it's like this. If the agency keeps all 400, man, those guys know how to gouge. Does the van have leather seats and a drink bar?

Linda467 · Joined: 01 Sep 2009 Posts: 138 Location: A Secret

Good question,

In the case of ISM/EDEX there is a 3,000 SAR going into accomodation and transportation so, I take it it comes with A/C, swimming pool, gym, individual lodging, furniture, 3 times a week cleaning lady ........... the works Laughing

Any other useful info anyone can share?

Cleopatra · Posted: Wed Sep 23, 2009 4:46 pm Post subject:

ThaneKerner · Joined: 13 Sep 2009 Posts: 139

Linda467 · Joined: 01 Sep 2009 Posts: 138 Location: A Secret

TK,

But of course, is money out of our pockets at the end of the day wherever we go because is a part of the salary, on the other hand many do not have any other options taking into account the hassle of looking for a property on their own in a language that they don�t understand (let alone the market) also the utilities, so most go for the package, including transportation and the rest.

So I believe in this case, we�ll cross our fingers and pray, pray Smile

ThaneKerner · Joined: 13 Sep 2009 Posts: 139

Again, I'll assume the agencies pro-rate. 250 a month for transport? Give me a break. Here's a great deal I've come up just for grins. I'm sure I'll get many applicants (figures are per-month):

Basic Salary: 1500 USD
Plane ticket allowance: 500 USD
Rent allowance: 750 USD
Utilities: 300 USD
Transport: 300 USD
Food allowance: 500 USD
Laundry allowance: 100 USD
Storage allowance: 500 USD
School allowance for kids: 2000 USD for each
Visa allowance: 250 USD
Teaching Materials allowance: 250 USD
Health insurance allowance: 250 USD

Sounds like a great deal. Let's take a second look and see if it REALLY is:

1500 for teaching? Sure. That's the basic salary.
Plane ticket allowance? You won't get that. I'm sneaky and will provide the ticket. I just told you you'd get the plane ticket stipend because that's what you want to hear.
Rent allowance? What rent allowance? I'm providing you with housing, schmuck. No stipend.
Utilities? I pay for those, so no stipend. Sorry.
Transport? I have a van that will take you anywhere. If you use it, and I'll make sure your housing is 20 miles away from the school so you'll HAVE to use it, you won't get the stipend. Hey--Life's a bitch.
Food allowance? Meals at the school are free, and I keep the pantry stocked at the dorm (sorry--I forgot to tell you it's a dorm). No stipend.
Laundry allowance? I have a maid who will do it free. No stipend for you.
Storage? I have a secured location for storage. You won't get the stipend.
Kids stipend? I secretly discriminate. I hire only single people with no kids. Sorry, but no stipend.
Visa allowance? I pay those costs, so no stipend there.
Teaching materials allowance? What kind of a school requires the teachers buy their own materials? I provide that. Sorry.
Health insurance? That's part of the requirement I have to meet to employ people. Being as I must provide it anyway, you get no stipend.

Net package: 1500 a month. Enjoy your great deal.

Never Ceased To Be Amazed · Posted: Thu Sep 24, 2009 10:02 am Post subject:

TK: Your posts are starting to sound negative...

NCTBA

Linda467 · Joined: 01 Sep 2009 Posts: 138 Location: A Secret

TK,

This is a way of looking at it and it is realistic up to a point but in my case I�m getting much more net a month basic salary besides I am renting my home so everything goes to the piggy bank Laughing

Good day !

ThaneKerner · Joined: 13 Sep 2009 Posts: 139

ThaneKerner · Joined: 13 Sep 2009 Posts: 139

veiledsentiments · Joined: 20 Feb 2003 Posts: 17644 Location: USA

The problem is that I have never heard of most of your "allowances." Have you ever heard of any employer offering a

laundry allowance
storage allowance
food allowance
teaching materials allowance
health insurance allowance
visa allowance

and I've only ever heard once of a:

plane ticket allowance

Then the allowances that are standard like:

Rent allowance
utilities
transport
school allowance for kids

.. are way too high in your example.

So... I'm not sure what you are trying to prove other than the fact that recruiters are not a good way to get a job because they are siphoning off part of what would be your income if you were a direct hire.

And everyone knows that. Cool

VS

Cleopatra · Posted: Thu Sep 24, 2009 1:47 pm Post subject:

... and I'm still waiting to hear just who is offering $300 a month for utilities.

Believe me, I really do want to know.

Never Ceased To Be Amazed · Posted: Thu Sep 24, 2009 1:51 pm Post subject:

...and I thought that I was being rather obvious. For me to be telling another poster that s/he is being negative about saudi...well...it brings to mind pots, kettles, and a very dark colour! Rolling Eyes

NCTBA

johnslat · Posted: Thu Sep 24, 2009 2:44 pm Post subject:

Dear NCTBA,

" . . . colour." OK, NCTBA - time to come home. You've been hanging around those British teachers far too long.

Next thing you know, you'll be calling it the boot and the bonnet on your car and spelling "tire" as "tyre."

Cheers, old bean,
John

Never Ceased To Be Amazed · Posted: Thu Sep 24, 2009 9:44 pm Post subject:

O.K., John, I'll think about it whilst they fix my "buncture". Laughing

NCTBA