The Service Agreement
It is most important that you read the contract thoroughly and carefully before you sign it. An informed customer is the best protection against questionable business practices. Ask questions about anything that is unclear to you.
Just because a contract is printed does not mean that it cannot be changed. If a condition seems unfair or excessive to you, ask to have it altered. By the same token, if an employment counselor makes oral promises to you that are contrary to or in addition to the statements in the contract, have those oral promises added in writing and signed by the agency owner or manager. Your copy should contain any agreed-on alterations.
If you are already interviewing with a company, this should be noted in the contract so you will have no obligation to the employment agency should the job come through. Ask for and keep a copy of any agreement that you sign.
A well-written service contract will explain what happens and what service charges are due in the case of several commonly occurring situations. Before you sign, be sure you know what would be your financial responsibility if:
You take a position through an agency and then lose the job. Usually, your responsibility depends on whether the termination was due to any fault on your part. If the employment ends for reasons unrelated to your performance, most employment agency contracts provide for partial reimbursement of fees you have paid. Check your service agreement to see what it says.
On the other hand, if you quit or are fired for cause from a position soon after you take it, most agencies expect their full service charge. Some agencies make allowances for this possibility, though. Refer to your contract and ask the agency about its policy before you resign. Some state laws limit the amount of the fee to be paid in these cases.
You accept a position but change your mind before reporting to work. In most cases, the full service charge would be due anyway. Remember that the agency is being paid for the service it rendered, not for the job it obtained. In this instance, the service was fully rendered, since the position was located, the applicant accepted and so did the employer. The agency completed its commitment and earned its fee, even though you later changed your mind.
You are referred to a company by an agency. Either you do not see that firm or you see it, but do not get the position. At a later time, however, you do accept a job with that same company. This is a "gray" area that often leads to disagreements. Most employment agencies argue that since they initiated the contact, they are entitled to a service charge. Often the service agreement will cover this point, making the job seeker liable for a charge if the position is obtained within a time period of six months to a year after the initial referral.
You are registered with two different agencies and they both refer you to the same position, which you accept.
Technically, you may be liable for two fees. Ethically, it is the agency that caused the "hire" to take place which is entitled to the fee. If this problem arises, responsible agencies usually settle the matter between themselves. The job seeker should exercise caution to avoid such an occurrence. Speak up immediately if you are referred to a company that another agency has already introduced you to.
