Uberization helps Russian recruiting market overcome 25-year stagnation

    A platform for posting vacancies and resumes HeadHunter launches HRspace - a service for the interaction of employers and recruiters.

    Employers will be able to set their price for the work and choose the best performers. Recruiters and recruitment agencies will work more actively with customers who have a need for employees, but there is no way to look for them on their own.

    Up to five recruiters can work on one employer application at a time. The one whose candidate first goes to work or passes a probationary period (at the choice of the customer) receives a fee appointed by the employer. The commission of the service will be 20%, representatives of HeadHunter indicate.

    They claim that the model of this service is built by analogy with the Uber model. Looking ahead, we recall that this is not the first such service on the Russian market.
    First, the employer publishes an application for selection, setting the price that he is willing to pay the contractor for the work. HRspace reserves this money in order to provide the payment guarantee to the contractor. Then, executive recruiters see employers' applications and respond to them if they are ready to get to work.
    The service will take over the workflow and payment between customers and contractors: users will not need to conclude additional contracts, just accept the public offer of the service.

    “The burden of our obligations is the heaviest: recruiters can really earn money and so far do not pay anything for working with us. Employers save because they can set a price. We will filter out only completely “inadequate" vacancies, for example, a financial director for 10 thousand rubles, ”HRspace manager Roman Efimov told Kommersant.

    Competitors of the service on the Russian market are JungleJobs , Pruffi , HRTime , Stafory and others.

    Stafory is Russia's first service for employers and recruitment agencies, its representatives say. Among the minuses of regular recruitment agencies, they indicate :

    • Endless cold calls
    • Lack of an “honest” rating of recruitment agencies
    • The inconvenience of working with several recruiters at the same time
    • A large number of commercial offers and specifications sent by mail

    Personnel search model with the help of independent recruiters and recommendations of social network users is used by Alena Vladimirskaya Pruffi agency. Service commission is charged in the range from one to several monthly salaries of a successful candidate to someone who offers a suitable candidate.

    Vladimirskaya admits that HRspace can “kill” traditional small agencies, but only if it can provide recruiters with protection from dishonest customers. And in the case of the search for personnel, in her opinion, this will be much more difficult than in the Uber ecosystem.

    JungleJobs has been in the market for over a year. In August 2015, the Impulse VC Funds (in which Roman Abramovich’s structures participate) and The Untitled investedin the service of $ 500 thousand.

    “We believe that JungleJobs will be one of the companies that will change the archaic and opaque recruitment market and make it convenient for both customers and recruiters,” said Impulse VC fund partner Kirill Belov.

    “The HR-marketplace model where the employer and the recruiter meet, and in general the idea of ​​removing recruitment services has already become the impetus for the new development of this industry in Russia, where stagnation and stagnation have been observed for the past 25 years,” says Eugenia Dvorskaya, founder of JungleJobs. In her opinion, HRspace is well suited for mass selection, where an in-depth examination of candidates' knowledge is not needed.

    An example of a non-mass recruitment service is the Toptal foreign platform .. It unites under its flag 3% of specialists who meet the highest requirements of professionalism.

    “There are many professionals on the market whose high level is obvious. People should be able to find out that there are cool specialists and they can be hired. And the way to find out about this should be absolutely scalable, and most importantly, all participants should trust it, ”said Taso Du Val, CEO of Toptal, in an interview with Megamind. Toptal is an online community of software developers and designers.

    On February 26, Megamind wrote that Mail.ru Group Limited announced the sale of the HeadHunter service.

    The amount of the transaction to sell HeadHunter to a consortium of investors led by Elbrus Capital, previously acting as one of the buyers, amounted to 10 billion rubles. The company, whose assets are limited only to a staff recruitment site, was valued at six times its annual profit.

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