Online recruitment cuts out the middle men

A new online recruitment service, being launched tomorrow, is aiming to put a spring into the step of accountants by slashing the fees charged for finding them work.

A new online recruitment service, being launched tomorrow, is aiming to put a spring into the step of accountants by slashing the fees charged for finding them work.

Until now recruitment sites have continued to rely on consultants to negotiate between the contractor and client but we2.net will change all that.

"At the moment the net is not being used properly for recruitment," said Jeremy Price, we2.net's managing director. "People are being lazy, in that they aren't taking the time to do the filtering before contractors appear on the site and all sites just lead back to the bricks and mortar of an office. We're going to change that and our new model could have a huge impact on the whole recruitment industry."

Contractors will search the site and decide which candidates they want to interview. Initial rate negotiations will take place anonymously via e-mail before any details about the company, or the candidate, are passed on. No middle man, so no need for an office, a large number of employees or big commission rates. We2.net will charge 10 per cent, compared to the usual 20-30 per cent.

"Given the technology available, it seems ridiculous that recruitment agencies continue to make excessive margins, said Mr Price. "Businesses know the type of people they want to hire and simply need to access them. When I was working as a contract accountant, nearly one third of my earnings went straight to a recruitment consultant without my ever seeing it. We'll change this which will be financially beneficial to both the contractor and the client."

We2.net, which secured £750,000 of funding from a syndicate of 27 individuals, will specialise in the accountancy sector, although Mr Price believes that model is suitable for all industries where there's a middle man.