What is the Difference? Employment Agency V/s. Recruitment Agency

krpoPeople looking for a job can normally find it through recruitment or employment agencies. Although both provide sourcing services but actually, the two are very different. The employment agency deals directly with the people looking for a job and helps to get them work while recruitment agency is contracted by the employer and help them to find an appropriate candidate after thorough tests and screening.

A lot of confusion prevails regarding the roles both the agencies play in recruitment, and it sometimes results in unrealistic hopes when a job seeker desires to recruit a dedicated sourcing specialist to work for them.

Employment Agencies

Most employment agencies are aided by government, who pays them for helping candidates find a job especially the ones who are getting unemployment remuneration. Actually, these agencies work for job seekers and coordinates very closely with them to find a suitable job.

Once the candidate gets the work, employment agency directly pay them while keeping a part of the income as their fee.

Recruitment Agencies

These agencies work for employers and is contacted directly by job seekers. Their job is to select the best candidate for the post and refer it to the employer. The final decision regarding recruiting a candidate is not in their hands. If the candidate proposed by them gets the job, the agency is paid by the employer.

The recruiting agency is generally concerned about the employer’s interest. They are not worried about candidate’s employment condition. The employment agency tries to find any job for the unemployed whereas the recruiting agency tries to find the best suitable candidate, who will turn out to be a good employee, will be happy in the job and will work with the employer for a long period. They perform a process called cv screening as well as candidate screening before suggesting someone for the job.


The employment agency finalizes, within the company, the job details of the post required to be filled. On this basis, an advertisement is given in the newspapers/ website, and the applications are received against it in due course of time. The applicants are shortlisted, and candidates are then called for the interview. Each candidate is given marks by each individual in the interview panel on the performance of the candidate against predetermined skills, and finally, the candidate with the best score is selected for recruitment.

In the case of recruiting firm, they get the precise requirement of the candidate from the employer, and then they go through their in-house database that they create using an executive search to shortlist the candidates suiting the job. They go for the first interview to select few people and if required go for the second interview also to finalize one or two best candidates for the job. These candidates are then referred to the authorized person in the organization to select one candidate after the final interview.

Making the Right Choice

Sadly, few employment agencies have been rated negatively for giving false information and not making utmost efforts for longtime unemployed job seekers to find employment.

If a candidate decides to take the services of an agency for employment, they should research thoroughly before choosing the one who has your welfare at heart. Both employment and recruiting agencies look similar, and both get paid for a matching candidate to the job; however, they are classified in a different manner, in reality. One should be conscious of these differences while searching for next job.


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