Reply to: Abraxas agency terms

[buffdaddy]

i will never know that.

all i am saying is that out of a small pool of agencies that my end client uses, Abraxas is most expensive. But i guess they got them a top notch contractor!

for good quality everyone pays a premium

[tim123]

I am an Abraxas contractor.

I know that their margins are higher than other since my Manager (aka End Client) told me that out of the 4-5 agencies that he uses, Abraxas are the most expensive.

How do you know that it isn't you who's most expensive?

tim

[buffdaddy]

I am an Abraxas contractor.

I know that their margins are higher than other since my Manager (aka End Client) told me that out of the 4-5 agencies that he uses, Abraxas are the most expensive.

[tino]

fair enough then chaps. my problem is that a margin of 30 per cent has priced me out of the role I was looking at.

obviously the client have a budget and by me looking for slightly more than is being advertised I seem to have gubbed myself

[happybloke]

My agency is a preferred supplier and their just taking
11.0% of the gross daily rate fee (£450pd).

I think average is about 15-20% for contractors I guess permanent
is going to be higher.

a few years ago I was doing a contract for a consultantcy through
an agency, and found out the rates when the consutantcy manager
left invoice printouts near the printer.

Client ->Consultantcy (£55ph) -> Agency (£35ph) -> Me (£27ph)

Market rates at the time (97-99) for my skillset was approx £25-30ph so
I guess consultantcies can take an even bigger cut than agencies,
especially with clients who don't know anything about IT market.

I know an agency that took a 100% mark up on what the contractor took ie if the contractor got £250 per day they charged £500 per day.

[Not So Wise]

Margins listed there seem pretty standard to me (for permie roles that is)

[VectraMan]

When I was in a position of recruiting permies (6 or 7 years back now), the agency cuts were the same as that. No suprise. The cvs we'd get from advertising via other means were all a waste of time, so it was worth it at the time.

[thunderlizard]

Yes 30% of first year salary is normal. How they keep a straight face when they say "refer a person to us and if he gets a job we generously give you £500 of high street shopping vouchers" is beyond me.

But if the chap stays for a few years and gets a couple of pay rises, it works out at a small %age.

[tino]

My agency is a preferred supplier and their just taking
11.0% of the gross daily rate fee (£450pd).

I think average is about 15-20% for contractors I guess permanent
is going to be higher.

a few years ago I was doing a contract for a consultantcy through
an agency, and found out the rates when the consutantcy manager
left invoice printouts near the printer.

Client ->Consultantcy (£55ph) -> Agency (£35ph) -> Me (£27ph)

Market rates at the time (97-99) for my skillset was approx £25-30ph so
I guess consultantcies can take an even bigger cut than agencies,
especially with clients who don't know anything about IT market.

I can understand the margins in contracting as there are invoicing costs and also the risk that the client possibly can't / won't pay and they still have to pay the contractor.

But when posting a permie, they send the cv's to the client, who will interview who they want and then appoint the appropriate candidate and run all payroll inhouse thus ending the agencies envolvement, and paying them "an introducers fee"

This is only my understanding and i may be missing a few "vitals" out

[Bright Spark]

My agency is a preferred supplier and their just taking
11.0% of the gross daily rate fee (£450pd).

I think average is about 15-20% for contractors I guess permanent
is going to be higher.

a few years ago I was doing a contract for a consultantcy through
an agency, and found out the rates when the consutantcy manager
left invoice printouts near the printer.

Client ->Consultantcy (£55ph) -> Agency (£35ph) -> Me (£27ph)

Market rates at the time (97-99) for my skillset was approx £25-30ph so
I guess consultantcies can take an even bigger cut than agencies,
especially with clients who don't know anything about IT market.

[tino]

There's more work that goes into recruiting than many people realise, particularly for permie positions...

*plonks tin helmet firmly on head, hunkers down for 1st wave of incoming...*

would you mind expanding mate?? I admit to being niave around this

[reformation]

There's more work that goes into recruiting than many people realise, particularly for permie positions...

*plonks tin helmet firmly on head, hunkers down for 1st wave of incoming...*

Well said.

[cojak]

There's more work that goes into recruiting than many people realise, particularly for permie positions...

*plonks tin helmet firmly on head, hunkers down for 1st wave of incoming...*

[tino]

Yeah. So?

Abraxus is no different to any other agency out there.

As an ex-HR bod, this is not news, neither is it outrageous.

30% - wow thats an eye opener then.

didn't realise the margins were that big

[cojak]

Yeah. So?

Abraxus is no different to any other agency out there.

As an ex-HR bod, this is not news, neither is it outrageous.