Breaking the Letter Of Commitment With Recruitment Agency

Originally Posted by Unregistered

last year 2020

Can I know what is the agency name? So next time I can avoid or ask my friend to avoid the agency.

My friend just signed the LOA with this recruiter which have the clause (if renege after acceptance of the job via signing have to pay 1 month salary compensation) he regretted and scare there this recruiter will sue. I just went to Google about this recruiter, I see the reviews saying the agent will seek compensation for the details indicated. How? Any advise? Anyone have sign with this recruiter before? Any outcome?

My opinion is that if you're a small fry earning less than $500K, no headhunter or recruiter can force you to pay them any penalty regardless of what you have signed.

I have never heard of anyone being brought to court for a small sum of penalty. It's simply not cost effective - the lawyers and court fees are exorbitant, not to mention the time commitment. The recruiter can spend his time more productively than to chase after you.

SCT ruling is the same, and I quote from their website:

"Orders by the SCT can be enforced in the same way as a District Court order. This means if one party does not comply with the order, you may start enforcement proceedings against them in the civil courts.

Enforcing an order does not guarantee an outcome. You should weigh the pros and cons before proceeding."

And if you aren't a small fry, you should be financially powerful enough and knowledgeable enough to fight the recruiter. In all likelihood, you still don't have to pay anything!

TLDR; recruiters won't waste time and effort chasing after you, unless they can't make better use of their time to earn money, which means they cmi and they won't win anything (including fighting you) if they cmi.

Originally Posted by Unregistered

My opinion is that if you're a small fry earning less than $500K, no headhunter or recruiter can force you to pay them any penalty regardless of what you have signed.

I have never heard of anyone being brought to court for a small sum of penalty. It's simply not cost effective - the lawyers and court fees are exorbitant, not to mention the time commitment. The recruiter can spend his time more productively than to chase after you.

SCT ruling is the same, and I quote from their website:

"Orders by the SCT can be enforced in the same way as a District Court order. This means if one party does not comply with the order, you may start enforcement proceedings against them in the civil courts.

Enforcing an order does not guarantee an outcome. You should weigh the pros and cons before proceeding."

And if you aren't a small fry, you should be financially powerful enough and knowledgeable enough to fight the recruiter. In all likelihood, you still don't have to pay anything!

TLDR; recruiters won't waste time and effort chasing after you, unless they can't make better use of their time to earn money, which means they cmi and they won't win anything (including fighting you) if they cmi.

But recruiter file Small Claim Tribunal against me. What should I do?

Originally Posted by Unregistered

But recruiter file Small Claim Tribunal against me. What should I do?

From SCT website:

"Orders by the SCT can be enforced in the same way as a District Court order. This means if one party does not comply with the order, you may start enforcement proceedings against them in the civil courts.

Enforcing an order does not guarantee an outcome. You should weigh the pros and cons before proceeding."

Meaning - You have the option of not complying with the order.

Has SCT ordered you to pay anything yet? If not, wait. SCT may not necessarily side with them. If order has been issued, see above.

Originally Posted by Unregistered

But recruiter file Small Claim Tribunal against me. What should I do?

Use their SCT letter to wipe your arse after taking a crap.

Ya go SCT first, don’t pay a **** and wait for civil case!

Originally Posted by Unregistered

Ya go SCT first, don’t pay a **** and wait for civil case!

U have encountered this before? If yes, what is the outcome?

[frederickuren]

Originally Posted by Unregistered

My friend just signed the LOA with this recruiter which have the clause (if renege after acceptance of the job via signing have to pay 1 month salary compensation) he regretted and scare there this recruiter will sue. I just went to Google about this recruiter, I see the reviews saying the agent will seek compensation for the details indicated. How? Any advise? Anyone have sign with this recruiter before? Any outcome?

I would suggest you avoid this company in future. I've had a bad experience with them and they are not particularly honest and would even tell half-truths so as to quickly close the deal.

They operate similar to the worst dating agencies here, and are not particularly trustworthy. They are mostly fluff and do not preach what they proudly proclaim on their website.

Any headhunter with a sense of commitment to their client will place a period of whereby resignation will lead to a penalty.
This period will usually span between 1 to 2 months. Failing to adhere to this agreement will constitute as a violation of agreement and liable to 1 month’s wage of penalty to be paid to the agency.

It has 2 objectives.

1. Have the candidate commit to a decision made to accept the role offered by the agency’s client.

This is a very fair requirement for all parties. Candidates who decided to take up the role should have the same decency to stick to their decision and try things out until the expiration of the agreement unless health, safety and legalities are involved. For example, the selected candidate is required to break a law to fulfill his job responsibilities or take up safety officer roles without training or certifications when it is mandated by law.
Otherwise, it is very natural and basic for candidates to not resign from any roles they agree to take up. However, some companies require an absurd period like 3 to 4 months which also indicate alarm bells need to be raised. Why do they need to go beyond the norm of extending this period to 4 months? If this is the case, shun the company. The agency however should be left alone as they merely act out of their own interests and their obligations to their clients.

2. Ensure that manhours/efforts placed to secure the candidate to the role by the agency is protected against any violation by the candidate.

Agencies put in effort to run the head hunting, selection process and also the coordination between candidate and client should be fairly protected from any parties doing a renege on their promises. A candidate that joins a client company but resigns a day later just because they feel that the company is not their liking lacks the grit to hold out in times of adversity. An old fashioned virtue that some of the later generations consider obsolete, therefore bears no qualms making a mockery out of it. So think carefully if you want to accept the role. The interviews are good platforms for you to learn more about the job. You want to be treated fairly, so start by treating your agency and the company that is hiring fairly too. There is no era for good behavior.