Referral Policy for Candidates
9/1/23 Updates
1: Given recent tax changes I have suspended the option of sending payment to charities, as recipients would have the fee as taxable income, but might not be able to write off the donation.
2: I am clarifying the referral policy, into Candidate Referrals and Placement Referrals.
My expectation is that the person or company being referred will know that the referral is taking place, or at least will be CC'd on an introduction email.
Candidate Referral: If you refer a candidate to me I will send you a $50 Amazon gift card (or possibly another of your choice if available) if the referral meets the following conditions. 1) The candidate must have the proper skill set for the types of positions I fill, 2) I need to have received a current resume for the candidate, 3) an acknowledgement from the candidate that the person is looking for a position of the types that I fill, 4) It is not a candidate that I have communicated with in the previous 6 months.
Placement Referral: If a candidate has met the conditions above, and if I place the candidate into a direct position, I will pay a Placement Referral fee based on a formula related to the amount I receive for the placement. I will not reveal the formula but fees can range from $400 to $1400 depending on many factors. If a Candidate Referral fee was paid on a candidate that fee will be subtracted from the Placement Referral fee.
Client Referral fee: If you refer a new client to me I will send you a $50 Amazon gift card (or possibly another of your choice if available) if I get a signed contract with the client. Further, if I place people with the client I will send you a referral fee for the first two placements made with the company within 6 months of the contract being signed. Referral fees will vary significantly depending on the nature of the contract so I am not even going to try to estimate numbers.
Please also note that any fees in excess of $600 will require me to get the social security number and address of the referring person (a completed W-9) because I will need to generate a 1099 at the end of the year. This is considered taxable income. I cannot pay the fee if this information is not provided.\
Quality is more important than quantity!
Thank you for your help!