Fehlende oder falsche Umwandlungsgebühren bei Temp-to-Perm

Definition

Australian temp agencies commonly charge clients either a markup on the hourly rate (often 25%–100% over the worker’s pay rate) or a direct billing model, and may also charge additional fees for specific services such as background checks or administrative work.[1] In many commercial contracts, when a host employer hires a temp worker as a permanent employee, a conversion/placement fee applies, usually calculated as a percentage of the candidate’s annual salary or a multiple of the hourly rate for a defined look‑back period. Because conversion eligibility depends on conditions such as number of hours worked, elapsed assignment duration or cooling‑off clauses, agencies that track these manually in spreadsheets or email chains frequently miss chargeable conversions or apply the wrong rate. Logic-based estimation: if a mid‑size temp agency makes 30–60 temp‑to‑perm placements per year, with a typical conversion fee of 12%–18% of a AUD 70,000 salary (≈AUD 8,400–12,600 each), missing even 5–10 unbilled conversions translates into AUD 40,000–120,000 annual revenue leakage. Additional leakage occurs where consultants discount fees ad hoc or fail to charge for early conversion within the high‑fee window, reducing expected revenue by another 10%–20% on those placements. As no specific statute governs commercial temp-to-perm fee entitlements, these losses arise from contract non‑enforcement and poor billing controls rather than regulatory prohibition.

Why This Matters

The Pitch: Temporary help services providers in Australia 🇦🇺 waste AUD 50,000–200,000 pro Jahr on missed or undercharged temp-to-perm conversion fees. Automation of conversion tracking (start dates, thresholds, sliding scales) and billing eliminates this risk.

Affected Stakeholders

Finance Manager, Billing Specialist, Recruitment Consultant, Branch Manager, Agency Owner

Related Business Risks