An industry informal told me that about 5 years ago, a top Singapore headhunter that belongs to a very reputable company top billing to the client is about 1.2 million dollars per year. However, recent data of the top headhunters in Singapore had shown that the top billing is about 600K, that is about 50% of the 1.2 million dollars billing!
This data given to me was not verified and according to what I have mentioned in the market tumour many years back, I am actually not very surprise of this disturbing trend that is happening. Here are some of the reasoning why this is happening:
1) Market Tumour effect – People who have read about this will truly understand why any Singapore headhunter will never make their way to an interesting billing per year, simple because the statistic is never good. The chance is so low that the headhunters will slog until so hard and the return will never b there.
2) No sufficient Training – There are not enough training facilities available in the market and of course, the headhunting companies owner which many of them have ZERO interests to send their headhunters or recruiters for any advance training or they simple do not know there are such recruitment training available.
3) Overwhelming New Players Flooding in – Although the Ministry of Manpower had revised the requirements for new employment agencies to be registered, the headhunting industry where the salary is more than S$7,000.00 per month, the entry level is actually very easy. The banker’s guarantees required is only S$20,000.00 compared if you are to operating a normal recruitment agencies, your bankers guarantees is actually at S$60,000.00. This allows a lot of new players to enter and with that, more players with constant number of clients, it definitely gets more competitive and more price slashing will happened.
4) No CEI Training or Exam needed – As the Ministry of Manpower had indicated, since headhunters are working on Salary of S$7,000.00 monthly salary job assignment, they headhunters NEED NOT have to take the CEI training or Exam, this allows many people who are in different industries to enter this industry very easily.
5) Wrong Positioning: Many Singapore headhunters actually work on many job assignments which they are not specialised on, in fact, many of them said there are headhunters but work on positions which are pretty low packages. With that, their portfolio are actually not focus and becomes a jack of all trade and master of none, and with that, they are not able to have a synergy effect of FOCUS and the ability to close more cases are actually lessen.
Article by Dougles Chan – The Recruitment Guru
Dougles Chan is The Recruitment Guru for the recruitment industry in Singapore, providing personal one-to-one coaching and mentoring to be successful in the recruitment agencies and headhunting industry. He can be contacted at (65) 93880851 or email at email@example.com