If you have never used an agency before how should you know which one to commit to and what are some red flags to look out for?

The hiring process for a nanny or household staff is hard enough to navigate on your own. I’m here to answer some commonly asked questions and hopefully provide some insight.

How do I decide which placement agency to use? Do all of the best candidates have a favorite agency?

1. Job candidates are not bound to one specific agency. In fact, many candidates will apply with multiple agencies to strengthen their chances of finding their dream job.

2. It’s more than just pricing. Company values, communication style, swiftness in response time, general like-ability, and trust-factors all go into a client’s decision making when choosing a private household staffing agency to hire.

With that being said…what are some things to look out for?

Transparency in Contracts

All placement agencies will have clients sign a “contract” or “agreement” before they begin their search. Do not confuse this with an exclusivity agreement, however, as many agencies are okay with clients utilizing other agencies or even continuing their own search.. This document basically solidifies a client’s commitment to their job search through the agency. It will often require an initial deposit. This deposit is to make sure the client is invested in their candidate search or willing to “put your money where their mouth is”, so to speak. This ensures that the agency’s efforts are not being wasted when they begin a unique employee search. It also helps to ease the burden of any upfront costs the agency encounters in their search for candidates. It may not seem like it, but agencies use a lot of time, money, and manpower in order to fill a role. It involves posting job ads on multiple sites (mostly paid ads- and they’re not cheap!), screening through hundreds of unqualified applicants, interviewing qualified candidates for a specific role, running background checks, social media checks, and calling references. It would be a huge let-down for an agency to spend weeks or even months searching for a specialized candidate only to never hear back from the client.

Red Flag: The agency isn’t transparent about their contract, pressures the client to sign, or doesn’t let the client take their time to review it before making their decision.

Now, I know what you’re thinking… What exactly am I looking for in this contract?

Term and conditions of obligation of the agency to the client:

The contract should describe in detail the length of time for which this contract is valid and under any conditions in which the terms will not apply.

Fees:

The contract should lay out the fees, including any deposit or initial search fee required, as well as the final placement fees due once a candidate has been selected. It should tell you the timeline for when the fees are due (Ex: before, or on, the hiring date).

Refund Policy:

All nanny and domestic staffing placement agencies registered in the state of Illinois are considered private employment agencies and they are required to offer a 30-day refund policy in order to maintain their license with the Department of Labor:

“If the employer pays the fee, and the employee fails to remain in the position for a period of 30 days, such licensee shall refund to the employer all fees, less an amount equal to 25% of the total salary or wages paid such employee during the period of such employment, within 3 days after the licensed person has been notified of the employee's failure to remain in the employment, provided such 25% does not exceed the amount charged for a permanent position of like nature.” - Private Employment Agency Act

Some agencies will extend their refund policy beyond this 30 day minimum with a “guarantee” in the form of a full or partial refund or a replacement search.

Replacement / Guarantee Policy:

Most agencies will offer some type of guarantee policy, for which the specific conditions under which a client can fall may vary. While an agency may “guarantee” a candidate for 90 days, and although the candidate did make a verbal commitment, a candidate is not an indentured servant and realistically could decide to leave a position at any time. This guarantee policy does hold water, however, assuming that the agency elaborates on what replacement or refund policy they can provide in an event that a candidate does decide to leave. Some agencies might offer a a full refund, or more commonly they will offer a “credit” or replacement search to find a new suitable candidate (typically only one replacement is provided). They may also build their guarantee policy in to their placement fee packages by offering a longer guarantee policy for a higher placement fee. Others will offer a standard time period for their guarantee policy, but will have specific conditions under which the policy applies. At this point, you may be thinking… if nothing is guaranteed, what is the purpose of using an agency, anyway? This leads me to my next point:

Effectiveness at Screening Candidates

When a candidate is hired through an agency they are making a commitment to both the agency as well as the family they are hired on with. First and foremost, agencies do a good job of setting expectations with a candidate before they will ever recommend them for a role. A good placement agency will get to know the candidate’s job history, their wants and needs for their next position, their personality characteristics, and their career aspirations. They will get to to know their candidates on a personal level instead of treating them like a number. Further, a good candidate understands that “job hopping” will not make them look good in the eyes of the agency and will diminish their chances for quality work in the future. There are only so many agencies out there and a good candidate will have a hard time getting hired by a dream client without the help of an agency. It is not in their best interest to burn bridges.

The most effective agencies understand that the client, candidate, and agency must work together in perfect harmony.

You’ve got enough on your plate in your day-to-day life — let us make your life easier by handling your unique household staffing needs.

If you are a family looking to hire a nanny, household employee or other home service, submit an application with My Household Managed.

If you are a professional nanny, house manager, or other household employee looking for a job, apply at My Household Managed.