7 Steps to Achieve Recruitment Agency Compliance

Research has revealed that UK recruiters are still finding compliance and legislation a challenge.


Research has revealed that UK recruiters are still finding compliance and legislation a challenge. A recent survey conducted by recruitment software specialist Mercury xRM found that with constant changes to the legal landscape, recruiters are experiencing difficulties understanding all the compliance procedures they must adhere to.

With the latest shake-up being the Onshore Intermediaries legislation, Mercury xRM say that now is the time for agencies to act and take stock of their processes or else they could face hefty fines and legal action.

Mercury xRM join us here to share their list of effective compliance measures that recruitment agencies can start to put in motion right away to ensure your agency operates in a compliant way.

Put your compliance knowledge to the test

We have created a short recruiter compliance self-assessment checklist to test how clued up you are. This 10 minute exercise is a great way to test you and your recruiters and assess whether or not your agency needs a spring clean of its processes to ensure it is remaining compliant.

Form a compliance dream team

Appoint an individual or team to be responsible for compliance and legislation within your agency. They should have an understanding of employment law and regulations. Ensure that roles and responsibilities are defined, goals and objectives are set and review these on a regular basis. Awarding incentives when key milestones are achieved will also keep the dream team focussed and on-track.

Review your current processes

Make improvements to be more efficient and effective with less wasted effort on compliance and get your recruiters back to recruiting! The review should deliver an understanding of how a process is currently performed, the technology/systems that support the process and the people involved. For example how you gather, store and record candidate documentation such as proof of right to work, certificates, qualifications and references and how you ensure the ongoing validity of these documents to remain compliant. Put simply it will outline what needs to be done, how you are currently doing it, what does and doesn’t work and how things could be done better?

Build a compliance roadmap

A roadmap will make sure that gaps in the plan are identified and can be closed. It will recognise needs, such as training and technology investments to be made. An effective roadmap is carefully thought out with a vision and areas of focus that’ll be tackled to get there. It will set broad goals and provide the steps necessary to achieve them.

Work with industry specialists

Whist there are proactive steps you can take towards being compliant, peace of mind will really come when you work with a specialist organisation. Companies like UHY Hacker Young can ensure that your financial processes remain complaint with industry legislation. There are also leading compliance consultancies that specialise in recruitment and employment law such as Lawspeed. Working with a specialist organisation on an ongoing basis will allow you to focus on core activities, eliminate risks and you will also benefit from accessing up-to-date information, advice and support.

Make use of technology

Technology should proactively facilitate the compliance process and not hinder it. Your software should handle future legislative changes to ensure you remain compliant. This is something that we have worked hard to ensure is at the core of Mercury xRM, supplementing the way recruiters work. At Mercury xRM, our recruitment software features an intuitive client and candidate portal which proactively reports on candidate and employer compliance documents, ensuring that compliance is continually adhered to. But don’t just take our word for it, Mercury xRM just helped one of our clients achieve a 100% score for REC compliance as part of their audit.

Get accredited

A formal third party accreditation will demonstrate and give your candidates and clients confidence that they are working with a quality and fully compliant recruitment business, and differentiate your agency from competitors. There are many recruitment industry accreditations available however we particularly like SiR, the Standards in Recruitment Accreditation that can be gained by recruitment firms that meet a universal set of ethical and compliance standards

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