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How Do Recruiters Make Money?

 
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Douglas B



Joined: 06 Jul 2009

PostPosted: Tue Jul 07, 2009 6:35 pm    Post subject: How Do Recruiters Make Money? Reply with quote

What's up, all?

Have read a few posts about recruiters' shortcomings. I agree with one response about if they dont answer, just go to some others. In the first line of my emails I put: "I am sending this letter to multiple recruiters." So far, I've had ZERO responses. Yeah for me! I wouldn't want to deal with someone who cant deal with that opening statement and come after me, rather than the other way around.

So, how do recruiters make money? If they post a job at 2.0 million/month, does that mean I should really get 2.5 million/month and the recruiter is somehow scarfing up the difference from the school? Or are they simply paid a flat fee up front?

Thanks for any comments.

Doug
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blonde researcher



Joined: 16 Oct 2006
Location: Globalizing in Korea for the time being

PostPosted: Tue Jul 07, 2009 6:47 pm    Post subject: Reply with quote

I was told by a recruiter in January 09 that SMOE pays recruiters 900 000 won for a seoul position and EPIK pays 900 000 for Busan and Incheon and 1 million for other places. Flat fee.

But all recruiters also have to guarantee teacher stays for 6-9 months (or they must refund or replace) and provide after care services and help for 12 months to teachers.
Recruiters also have to pay for sending the visa papers Fed EX to USA etc and pay for collection of teacher at the airport.
Recruiters also have to give interview and evaluation reports on each teacher to EPIK

Doesnt seem a lot of profit in this with the dollar/won ? Also seems a lot of work and responsibility involved.
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Goku



Joined: 10 Dec 2008

PostPosted: Tue Jul 07, 2009 6:52 pm    Post subject: Reply with quote

Edit: Removed
I totally misread the question

No offense to you OP if I did offend you.

Sorry


Last edited by Goku on Tue Jul 07, 2009 7:46 pm; edited 1 time in total
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Douglas B



Joined: 06 Jul 2009

PostPosted: Tue Jul 07, 2009 6:53 pm    Post subject: Thanks Reply with quote

Hey,

Thanks for that, Blonde. I was surprised that no recruiters have responded to me yet, as I am well-qualified and will stay so that they get their cash. I guess they figure less-confident, easily-bullied folks are a better investment for them.

Anyway, $800-1000 USD per teacher ain't too bad. If they place 2/month, they're doing as well as the teachers are, no?

Have found some recs on the board for recruiters. Do you have any?

Thanks again.

Doug
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DWAEJIMORIGUKBAP



Joined: 28 May 2009
Location: Electron cloud

PostPosted: Tue Jul 07, 2009 7:07 pm    Post subject: Reply with quote

In apgu / cheogdam / gangnam I know for a fact that recruiters get around 1.5 mil per placement and they get the full payment if teacher stays over 3 months....
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TheUrbanMyth



Joined: 28 Jan 2003
Location: Retired

PostPosted: Tue Jul 07, 2009 7:07 pm    Post subject: Reply with quote

blonde researcher wrote:
I was told by a recruiter in January 09 that SMOE pays recruiters 900 000 won for a seoul position and EPIK pays 900 000 for Busan and Incheon and 1 million for other places. Flat fee.

But all recruiters also have to guarantee teacher stays for 6-9 months (or they must refund or replace) and provide after care services and help for 12 months to teachers.
Recruiters also have to pay for sending the visa papers Fed EX to USA etc and pay for collection of teacher at the airport.
Recruiters also have to give interview and evaluation reports on each teacher to EPIK

Doesnt seem a lot of profit in this with the dollar/won ? Also seems a lot of work and responsibility involved.



[b] Bolding mine.

AHahahahahahahahahaha! Thanks, that made my day. Laughing Laughing Laughing
I haven't met ONE recruiter who's done a single one of the things I bolded. I'm sure they're out there, but most recruiters simply collect a fee from the school and move on. And many if not most hakwon contracts say that the TEACHER will repay the recruiter's fee should he leave early.
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Juregen



Joined: 30 May 2006

PostPosted: Tue Jul 07, 2009 7:39 pm    Post subject: Reply with quote

blonde researcher wrote:
I was told by a recruiter in January 09 that SMOE pays recruiters 900 000 won for a seoul position and EPIK pays 900 000 for Busan and Incheon and 1 million for other places. Flat fee.

But all recruiters also have to guarantee teacher stays for 6-9 months (or they must refund or replace) and provide after care services and help for 12 months to teachers.
Recruiters also have to pay for sending the visa papers Fed EX to USA etc and pay for collection of teacher at the airport.
Recruiters also have to give interview and evaluation reports on each teacher to EPIK

Doesnt seem a lot of profit in this with the dollar/won ? Also seems a lot of work and responsibility involved.


You think so?

on a yearly basis how much do you want to make?

60.000.000? --> /900.000 = 67 teachers

Is it that difficult to handle 67 teachers with basic support for that kind of money? I don't think so.
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Oreovictim



Joined: 23 Aug 2006

PostPosted: Tue Jul 07, 2009 9:07 pm    Post subject: Reply with quote

My last boss said that she paid around 1,500,000 won to the recruiter for each hire. This was in Bundang, so I could see it being more expensive there.

But it's weird when I hear of stories where recruiters check up on the teachers. Maybe it's different for hagwons. Last contract, the dude met me at the airport and we took a bus to the city where I'd be staying. I never heard from him again, but why would I want to?

My first contract, I didn't even get so much as a thank you e-mail, let alone having her meet me at the airport.
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different



Joined: 22 May 2003

PostPosted: Wed Jul 08, 2009 5:06 pm    Post subject: Reply with quote

I really don't understand why schools use recruiters. Can anyone explain why? If I ran a school, I'd want to choose teachers myself instead of leaving it up to some businessman.

Plus recruiters are shockingly expensive.
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frankly speaking



Joined: 23 Oct 2005

PostPosted: Wed Jul 08, 2009 7:10 pm    Post subject: Reply with quote

OP. of course no recruiter is going to respond to you if you tell them that you are dealing with other recruiters. Why would they spend hours interviewing you, sorting out positions that you would like just for you to take a position from someone else.

How would you feel if you spent 3-4 hours on a customer at your store explaining things and helping them in every way that you can, just to have that customer buy the product from the store across the street.

Recruiters make descent money, but don't be fooled they earn their salary.

Standard fees for recruiters go up and down and depends on the school. I remember a while back recruiters making up to 2 million per teacher, but that was when there weren't many qualified teachers. My friend is a recruiter and he told me that he averages about 1 million per teacher. However with some schools, he gets paid half up front and the other half after 6 months.

I would much rather teach than spend the hours it takes to make money as a recruiter.

Schools outsource recruiting because a director's time is worth a lot more than 1 million won for the countless hours it takes to fill one position.

One of the schools I worked at offered me a bonus of 100,000 won for every teacher that I recruited. I just laughed.
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Ukon



Joined: 29 Jan 2008

PostPosted: Wed Jul 08, 2009 7:25 pm    Post subject: Reply with quote

different wrote:
I really don't understand why schools use recruiters. Can anyone explain why? If I ran a school, I'd want to choose teachers myself instead of leaving it up to some businessman.

Plus recruiters are shockingly expensive.


Same reason people use real estate agents.
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Otherside



Joined: 06 Sep 2007

PostPosted: Wed Jul 08, 2009 8:22 pm    Post subject: Reply with quote

TheUrbanMyth wrote:
blonde researcher wrote:
I was told by a recruiter in January 09 that SMOE pays recruiters 900 000 won for a seoul position and EPIK pays 900 000 for Busan and Incheon and 1 million for other places. Flat fee.

But all recruiters also have to guarantee teacher stays for 6-9 months (or they must refund or replace) and provide after care services and help for 12 months to teachers.
Recruiters also have to pay for sending the visa papers Fed EX to USA etc and pay for collection of teacher at the airport.
Recruiters also have to give interview and evaluation reports on each teacher to EPIK

Doesnt seem a lot of profit in this with the dollar/won ? Also seems a lot of work and responsibility involved.



[b] Bolding mine.

AHahahahahahahahahaha! Thanks, that made my day. Laughing Laughing Laughing
I haven't met ONE recruiter who's done a single one of the things I bolded. I'm sure they're out there, but most recruiters simply collect a fee from the school and move on. And many if not most hakwon contracts say that the TEACHER will repay the recruiter's fee should he leave early.


That clause is a beauty. I'm pretty sure in many of the cases, teacher pays back the recruiter fee and recruiter finds a new teacher for free... and Hagwon owner keeps the rest Very Happy

Another thing that confuses me. People here say that more expensive areas: Bundang/Gangnam etc pay their recruiters more? Why is this the case, these areas are far more in demand for teachers. From a recruiters point of view, it's much easier to hire teachers for Gangnam/Bundang than for a 1 horse town in Jeollabuk-do. And don't say it's because recruiters have more costs in expensive areas..fact is, more the most part recruiters can be based anywhere and not necessarily in the area they serve. (some of the biggest recruiters aren't even based in Korea).

Personally, I'd love to get into the recruting game. I'd need to recruit 3-4 teachers/month to make what I'm making now (if benefits are included), which I don't think is that hard. As long as you can get a contract with one of the Big PS boards EPIK/GEPIK/SMOE, I think you're sorted.
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