Construction Recruitment Fees Explained
Transparency matters. Here’s exactly what recruitment costs and why it’s worth it.
Permanent Placement Fees
Flat fee model: $3,000-$6,000 per placement. Percentage model: 10-15% of annual salary. You only pay on successful placement — no upfront costs, no risk. If the placement doesn’t work out, replacement guarantee applies (typically 4-8 weeks).
Labour Hire Margins
Hourly margin of 20-35% on top of the worker’s base pay + loadings. You pay one all-inclusive rate. The agency handles payroll, super, workers comp, and insurance.
The Cost of NOT Using an Agency
Seek ad: $300-$600 per listing. Your time screening applications: 10-20 hours. Interview time: 5-10 hours. Wrong hire cost: $15,000-$30,000 (lost productivity, re-hiring, project delays). Meanwhile, every week the position is unfilled costs $5,000-$10,000 in delays.