Welcome to The Fordyce Letter:

The Fordyce Letter

Straight Talk for the Recruiting Profession


Articles tagged 'legal'

Industry News

Updated LI Terms: Content Is Yours and Don’t Spam



LinkedIn logo

LinkedIn logoFor most recruiters, LinkedIn’s updated user agreement that goes into effect Thursday doesn’t change much. Recruiter customers will still be able to search for candidates, download profiles, send InMails, and generally source as they have before.

The biggest change is that LinkedIn says you own the content you post on the site. That, and the simplicity and clarity of the wording of the updated terms of service, have earned LinkedIn kudos with one writer calling the changes “monumental for the industry.” More about that later.

For recruiters who use LinkedIn mostly or exclusively for sourcing, the impact of the updated TOS is minimal. The most significant addition is one that limits the use of information in member profiles. It bans sharing or disclosing “information of others without their express consent.” That’s a restriction that doesn’t apply to Talent Solutions customers, but it does to others. A recruiter who captures information from a public profile could, technically, be found in violation of the TOS, however policing such a casual use is practically impossible. More likely, the provision is there to backstop the prohibition against the wholesale downloading or scraping of member information, as was the case with HiringSolved.

Fees, Jeff's On Call!

Why Adam & Eve Won’t Get the Fee (and Neither Will You)



ask-jeff4

Hello Jeff,

As an avid follower of yours, I’m constantly learning the do’s and don’ts of executive search. Thank you for this vital information!

I can’t imagine this is the first question of this kind. But if anyone can help me, it’s you.

My client engaged me in an a VP contingency search for which I introduced a VP from a similar business. It took much convincing to ignite the interest of this candidate and my client was very pleased with the introduction. They interviewed my candidate and formed quite a quick bond — several meetings later, the VP candidate received a verbal offer. After much contemplation, the candidate felt she was not ready to leave her employer for a vertical move and she declined the position.

Here’s where it gets dicey: in lieu of accepting the job offer, my candidate offered up a referral — one of her subordinates who she felt was ready to advance into a VP role. So, in essence the VP candidate who I sent to my client, in turn directly referred a candidate to my client who they ultimately hired.

Fees, Jeff's On Call!

Fee Agreements End the ‘Free Sample’ Defense



Jeff Allen COllection Tip

Editor’s note: Jeff Allen has heard every employer excuse you can imagine for not paying up — and dozens more that defy imagination. A few years ago he began documenting them in a weekly collections column. Because of the importance of collections, Fordyce will periodically reprise the most common situations he addressed. The complete collection is here.

What Client Says:

We thought the referral was a free sample.

How Client Pays:

Some fee-avoiders think that the more outrageous the lie, the more likely it will be believed.

Industry News

California Law Now Makes Employers Liable For Staffing Firm Violations



California flag and capitol

California flag and capitolCalifornia employers will now share liability with their labor contractors for complying with  state labor and wage laws, including safety and workers’ compensation laws.

Governor Jerry Brown signed into law the hotly contested AB 1897, which extends to nearly all employers rules that previously applied to temps and contract workers in the agricultural, construction and garment industries.

Fees, Jeff's On Call!

Whose Fee? Phantom Recruiters and Contract Terminations



ask-jeff4

Dear Jeff,

I have been in the industry for over 15 years recruiting across Europe and the Middle East, permanent search and selection for senior management up to board level positions across a variety of industries.

My team and I always look out for your column with intense interest. Even after 15 years in the industry I constantly learn new insights to improve our business and overcome the more unusual challenges. Thank you for that, because we could never get the information anywhere else at any price.

We have a long-standing client that asked us to start a contingent search a few months ago. We sourced a candidate, set up interviews, and finally an offer has been accepted. However they now realize the CV was

Candidates

If It’s Not In the Offer Letter, It Doesn’t Exist



fordyce-default

There are many misconceptions about offer letters. However, before you read this post, please be aware that this is not intended to be legal advice. However, I want you to know what an offer letter is and is not.

Up until about 15 years ago, some of my candidates got offer letters, some did not. It made no difference. Today, it is a matter of course. In fact, most of my candidates will not resign from their existing company until they receive an offer letter. They are correct to wait for the letter. However, even if they have one and it has been signed by both parties, it is not a contract of employment. An offer letter merely spells out a company’s intention to hire, but it is not a guaranty of employment and it is not a contract.

Fees, Jeff's On Call!

No ‘Mistake” If You Caused the Hire



Jeff Allen COllection Tip

Editor’s note: Jeff Allen has heard every employer excuse you can imagine for not paying up — and dozens more that defy imagination. A few years ago he began documenting them in a weekly collections column. Because of the importance of collections, Fordyce will periodically reprise the most common situations he addressed. The complete collection is here.

What Client Says:

There was a mistake about who referred the candidate.

How Client Pays:

Jeff's On Call!

Instant Falloff? Worry About Protection, Not Collection



ask-jeff4

Hi Jeff,

I am a big fan of yours, and have followed the Jeff’s On Call! column for years.

We just just heard something very disturbing, and need your help.

Our client is in in Pennsylvania, and we made two placements with them in the past. We were paid with no problems.

Our most recent hire is a controller who lives here in Florida and was expecting a moving company to arrive tomorrow for relocation to her new position. She just received an email from our client telling her that they lost a big contract, and decided not to have her start with them. She is furious, as you might expect.

Ask Barb

Are Your Recruiters W-2 or 1099?



Ask Barb

Dear Barb,

I have my recruiters all working on a 1099 and at a recent conference I heard you say that they may not qualify as an independent contractor. Can you explain further?

Stephen Z.
New Orleans, LA

Dear Stephen,

Talk this over with your accountant and go to IRS.gov and print out the various requirements which must be met in order for someone to qualify as a 1099 employee. If they do not meet 100% of the qualifications listed, you need to deduct payroll taxes. Better safe than sorry.

Barbara J. Bruno, CPC, CTS

Fees, Jeff's On Call!

You Said You Were Doing This As a Favor



Jeff Allen COllection Tip

Editor’s note: Jeff Allen has heard every employer excuse you can imagine for not paying up — and dozens more that defy imagination. A few years ago he began documenting them in a weekly collections column. Because of the importance of collections, Fordyce will periodically reprise the most common situations he addressed. The complete collection is here.

What Client Says:

You said you wouldn’t bill us if we hired the candidate.

How Client Pays: