Why Do Companies Use Recruitment Agencies?

Using a recruitment agency has become a cardinal part of the employment process. Today, rather than employing new workers all by themselves, companies have chosen to outsource this responsibility to recruitment agencies. This is done for a number of reasons, all of which actively work to create a better team of employees in a company. 

Why then do companies use recruitment agencies?


At every point in time, a recruitment agency has a number of applicants and this usually gives them the opportunity to choose the best when the need arises. Also, it has been statistically proven that companies that use a recruitment agency have a higher chance of getting the best job-seekers in the market than companies who do not use an agency. Also, candidates are more likely to register their information — qualifications and job types — with a recruiter as this gives them more chances of employment. Furthermore, it can be hard for a company to find that perfect candidate. However, due to the wide network of recruitment agencies, this potential can be leveraged to connect a talented individual with a potential employer.


It is no news that time is valuable in every human situation, and this is another cardinal reason why companies use recruitment agencies: to save time. When a company uses a recruitment agency, it has saved the time it would have taken it in running the employment process which includes: going through CVs, running background checks and so on. The function of a recruitment agency is to help you cut the time your company spends doing each of these things. Also, it is the duty of the agency to communicate all about the job to your potential employees. However, the duty of running the interview still falls back to the company. Administrative duties such as communicating the success of interviews, and the verification of individual details are all functions of the agency. 

When a company makes use of a recruitment agency, it has saved valuable time which would have gone into the employment process, and this time could be used in pursuing other profitable endeavors.


As earlier stated, one of the most important reasons why companies use recruitment agencies is because they help run background checks on potential employees. A background check is necessary in employment because it tells if all the information in a CV is correct or not. This means that when a company employs an individual, they can be rest assured that the recruitment agency has done all the necessary background checks, and has found the individual suitable for the company. 

Also, a recruitment agency has other functions like performing psychometric tests, contract explanation, explanation of requirements for permanent employment and so on. For companies, since a recruitment agency understands the market perfectly, they are able to come up with the salary data, which is usually based on reviews from Glassdoor and similar websites. 


One of the most common reasons why companies use agencies is because of their understanding of the market. There are several regulations that guide the employment of certain individuals in a company; no matter what the position is, a good agency is familiar with it. This saves companies the stress of having to bend to these regulations.

Also, due to their understanding of the market, recruiters know where to find certain talented individuals. They know the level of demand in a market for certain professionals. They know the growing skill sets in the market, and their rates of demand. They are also kept abreast of salary rates, current employment complexities, regulations, and skills with low demands. 


Sometimes, the need of your company can be very specific. This of course makes the requirements very tight. However, because recruitment agencies have a wide pool which contains individuals from various niches, they are your best chance at finding the perfect employee. For example, when an agency sends your company a list of shortlisted candidates, you can be rest assured that every single individual is qualified, and you only need an interview to pick the best. This is also why the interview process is important; in case the agency missed out on any special skill or requirements, you can make up for it during the interview process.


Asides the fact that recruitment agencies save time and connect your business with talented individuals, they also give your firm a professional look. Take for instance, small businesses such as start-ups and growing companies do not have a dedicated recruitment arm. So, to save themselves the stress of having to choose an unqualified candidate, they choose to employ the services of an agency. This naturally gives the company an opportunity to choose the best, and also appear professional to other companies. It is no doubt that this places the company in a space where expansion and growth is possible. 


The process of employment isn’t an entirely easy one. In fact, it is one of the most important processes in running a company. This is because individuals form a company, and if there exists a tiny inadequacy in any of these individuals, it will affect the company’s overall performance and growth. Also, the process of employment is a long one. However, if it is outsourced to another organization, the time saved can be diverted into other profitable endeavors, and this will of course lead to growth. Also, an agency shortlists the best individuals for a company, giving you an opportunity to choose only from the best. 

Conclusively, a recruitment agency is not a luxury for a company, it is a necessity for every company who wants to leverage on the employment process and turn it into a productive exercise. This productivity will lead to development, and also the full maximization of these talents will result in an all-round growth of your company.

About Ebrima Sawaneh 118 Articles
My Name is Ebrima. I write about personal finance, small business, and The Gambia to support young people. I am an accountant, banker, and Amazon international bestselling author. Feel free to drop a message or download my free eBooks - HERE read

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