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Placement Agency Agreement

Placement Agency Agreement Template for Australia

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Key Requirements PROMPT example:

Placement Agency Agreement

"I need a Placement Agency Agreement for my boutique IT recruitment firm based in Sydney, focusing on permanent placements only, with a special emphasis on candidate replacement guarantees and including provisions for remote worker placements."

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Document background
The Placement Agency Agreement serves as a comprehensive legal framework for establishing and managing recruitment service relationships in the Australian business context. This document is essential when companies seek to engage professional recruitment services for their hiring needs, whether for permanent, temporary, or contract positions. The agreement details the scope of services, recruitment processes, fee structures, and mutual obligations while ensuring compliance with Australian employment laws, privacy regulations, and fair trading practices. It includes provisions for candidate sourcing, screening, placement terms, replacement guarantees, and payment conditions, protecting both the agency's and client's interests throughout the recruitment process. This document is particularly crucial in today's competitive talent market where clear terms and professional recruitment partnerships are essential for successful hiring outcomes.
Suggested Sections

1. Parties: Identifies and defines the placement agency and the client company, including their legal names, ACN/ABN, and registered addresses

2. Background: Outlines the context of the agreement, stating the agency's business nature and client's recruitment needs

3. Definitions and Interpretation: Defines key terms used throughout the agreement and establishes rules for agreement interpretation

4. Appointment and Scope of Services: Details the client's appointment of the agency and outlines the core recruitment and placement services to be provided

5. Agency Obligations: Specifies the agency's responsibilities including candidate screening, reference checking, and compliance with relevant laws

6. Client Obligations: Outlines the client's responsibilities including providing accurate job descriptions, timely responses, and necessary information

7. Fees and Payment Terms: Details the fee structure, payment timeline, and any additional charges

8. Confidentiality: Addresses the handling and protection of confidential information shared between parties

9. Privacy and Data Protection: Specifies obligations regarding personal data handling in compliance with Privacy Act requirements

10. Warranties and Representations: States the guarantees and assertions made by both parties

11. Liability and Indemnity: Outlines liability limitations and indemnification obligations of both parties

12. Term and Termination: Specifies the agreement duration, renewal provisions, and termination conditions

13. General Provisions: Includes standard legal clauses such as governing law, notices, and entire agreement

14. Execution: Formal signing section including date and authorized signatories

Optional Sections

1. Replacement Guarantee: Details the terms of candidate replacement if placement is unsuccessful, used when agency offers such guarantees

2. Volume Discounts: Specifies discount structures for multiple placements, included for clients with high-volume recruitment needs

3. International Placements: Additional terms for international recruitment services, used when agency offers cross-border placements

4. Specialized Services: Details additional services like psychometric testing or background checks, included when offering premium services

5. Client Staff Restrictions: Non-solicitation clauses regarding agency staff, used when protecting against staff poaching

6. Service Level Agreements: Specific performance metrics and response times, included for larger or more complex arrangements

7. Dispute Resolution: Detailed dispute resolution procedures, recommended for high-value or complex arrangements

Suggested Schedules

1. Schedule 1 - Fee Structure: Detailed breakdown of all fees, including placement fees, retained search fees, and additional service charges

2. Schedule 2 - Services Description: Comprehensive list of services provided, including standard and premium service offerings

3. Schedule 3 - Placement Process: Step-by-step description of the recruitment and placement process

4. Schedule 4 - Required Documentation: List of required documents and verifications for candidates

5. Schedule 5 - Service Territories: Geographic areas covered by the agreement, particularly relevant for multi-location clients

6. Appendix A - Standard Terms and Conditions: Detailed standard terms and conditions referenced in the main agreement

7. Appendix B - Privacy Policy: Detailed privacy policy and data handling procedures

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Clauses
Appointment
Scope of Services
Service Delivery
Agency Obligations
Client Obligations
Fees and Charges
Payment Terms
Placement Guarantee
Confidentiality
Privacy and Data Protection
Intellectual Property
Non-Solicitation
Warranties
Liability
Indemnification
Insurance
Term
Termination
Force Majeure
Assignment
Dispute Resolution
Governing Law
Notices
Entire Agreement
Severability
Variation
Waiver
Relationship of Parties
Compliance with Laws
Anti-Bribery and Corruption
Modern Slavery
GST
Time of Essence
Costs
Counterparts
Relevant Industries

Professional Services

Healthcare

Information Technology

Financial Services

Manufacturing

Mining and Resources

Education

Retail

Construction

Telecommunications

Legal Services

Hospitality

Government and Public Sector

Non-Profit Organizations

Energy and Utilities

Relevant Teams

Human Resources

Legal

Procurement

Finance

Operations

Risk and Compliance

Executive Leadership

Talent Acquisition

Administration

Business Development

Relevant Roles

Human Resources Director

Talent Acquisition Manager

Recruitment Manager

HR Business Partner

Legal Counsel

Chief Human Resources Officer

Operations Manager

Procurement Manager

Contract Manager

Business Development Manager

Chief Executive Officer

Chief Operating Officer

Finance Director

Company Secretary

Risk and Compliance Manager

Industries
Fair Work Act 2009 (Cth): Primary federal legislation governing employment relationships in Australia, including workplace rights, minimum employment standards, and unfair dismissal provisions that placement agencies must consider when placing candidates.
Privacy Act 1988 (Cth): Regulates how personal information must be collected, used, stored and disclosed by organizations, crucial for handling candidate and client data.
Australian Consumer Law (Schedule 2 of the Competition and Consumer Act 2010): Governs business conduct and consumer protection, including misleading or deceptive conduct provisions relevant to agency services and representations.
Anti-Discrimination Acts (Federal and State): Including various state and federal acts that prohibit discrimination in employment and provision of services, such as the Age Discrimination Act 2004, Sex Discrimination Act 1984, and Racial Discrimination Act 1975.
Independent Contractors Act 2006 (Cth): Relevant when dealing with independent contractors and understanding the distinction between contractors and employees.
Work Health and Safety Act 2011 (Cth): Establishes health and safety obligations that need to be considered in placement arrangements and included in agreements.
Workplace Gender Equality Act 2012 (Cth): Promotes equality for women and men in the workplace, which must be considered in recruitment and placement practices.
Modern Slavery Act 2018 (Cth): Requires consideration in recruitment practices and supply chain management, particularly for larger organizations.
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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