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Chris Laver HR Ltd: Terms of Business

The following Terms of Business should be read in conjunction with the Methods and Fees statement which forms part of our Terms of Business.

The initials CLHR and the pronouns 'we', 'us', and 'our' within the following Terms of Business refer to Chris Laver HR Limited. The terms 'employment' and 'work', as used throughout the following Terms, refer to activity paid for by the client, irrespective of its basis and the method of payment, whether on a salaried or fee basis (in the latter case, whether paid to the individual or a Third Party.)

The following terms are split into three groups for ease of reference (A) General, (B) Selection & Search Assignments, (C) Short Term Assignments

Section A - Terms relating to all work carried out by CLHR (Paras 1 to 10)

1. Appointment Fee
Chris Laver HR Limited is in all circumstances entitled to the relevant fee should a candidate be appointed within 18 months of being introduced to the client. Our fee is due as soon as the candidate accepts the client's offer of any position within the client's company or group. We remain entitled to the fee should a subsequent application be made by the candidate, or by a third party on his or her behalf, after we have introduced the candidate. The fee is not affected by any term or condition included in the candidate's contract or letter of appointment, or a decision by the client not to proceed with the candidate's appointment, after the client has received the candidate's acceptance.

2. Total Annual Remuneration
The candidate's 'Total Annual Remuneration' upon which fees are based includes all items making up the expected (or, in the case of variable results-linked payments, 'on target') remuneration in the first year of employment, including, inter alia: commissions, bonuses, profit sharing and London etc. weighting allowances. It is the client's obligation to provide CLHR with details of the candidate's remuneration and benefits on appointment.

3. Advice on Offer
It is part of our service to provide any advice that may be required, on request by the client, provided that the issue falls within CLHR's area of competency. We regret that we are unable to provide specific, research-based advice on remuneration and benefits levels.

4. Responsibilities
It is the client's responsibility to make the final selection and to appoint the candidate. The taking up of references is also the responsibility of the client, although we can assist with this process when requested. We are not responsible for the actions of the candidate once he or she has accepted the client's offer of employment.

5. Contract Information
Clients are required to send CLHR copies of all offers of employment and employment contracts and to advise CLHR in writing of the commencement date and of the acceptance or rejection of an offer of employment. This applies to all forms of work undertaken irrespective of the basis or method of payment - and to re-employment within the periods specified in these Terms.

6. Other Appointments
Should any candidate introduced by CLHR using any of the methods described in the CLHR brochure (Candidate Search, Executive Search or Selection Assignment), or by any other means, be appointed to any position other than that originally specified to CLHR, within the client's company or group, CLHR's fees for each such appointment will be calculated using the same percentage of Total Annual Remuneration as applied to the original assignment or, in the case of a shorter contract, as described under the terms relating to Short Term Assignments. (See Paragraphs 17 to 23).

7. Candidate Passed to Third Party
Should a client who has received candidate details from CLHR pass these details, deliberately or inadvertently, for whatever reason, to another company or group, the client to whom the candidate's details were sent originally will be responsible for paying the total fee (depending on the service used in the first instance) unless this has been paid by the company or group engaging the candidate within CLHR's payment terms

8. Copyright
CLHR retain copyright on all advertising and other written or pictorial material produced by them. Such material may not be reproduced, in whole or part, without CLHR's written consent.

9. Payment Terms

  1. All invoices are payable within 14 days of the invoice date. CLHR reserves the right to charge interest at 3% over Barclays Bank base lending rate on invoices outstanding for more than 14 days from invoice date
  2. VAT will be charged as required on fees and expenses invoices
  3. Any CLHR invoice not challenged in writing within 14 days of invoice date shall be payable in full except in the case of obvious errors in calculations
  4. In the event that a debt collection agency has to be used CLHR reserves the right to pass on the costs involved to the client.

10. English Law Applies
CLHR's Terms of Business shall be interpreted in accordance with English Law and in the event of any dispute, the English courts shall have exclusive jurisdiction. This applies to all terms described in this document (paragraphs 1-23).

Section B - Terms applying to Selection Assignments and Executive Search Please read in conjunction with General Terms as set out in Paragraphs 1-10

11. Exclusivity - Executive Search/Selection Assignment ONLY
NOTE: The following does not apply to the Candidate Search method. On retention as consultants under the Selection Assignment or Executive Search services CLHR will act as the client's sole source of candidates. CLHR's total fee will apply in respect of all candidates from sources other than CLHR who are appointed to any position for which CLHR are retained using these two methods (not Candidate Search). It is the client's obligation to provide CLHR with particulars of such candidates as soon as they are considered and of their remuneration and benefits should they be appointed. This clause does not apply to candidates already employed by the client company or group.

12. The Shortlist - Executive Search/Selection Assignment ONLY
A shortlist will normally consist of three candidates who, in CLHR's professional judgement, meet the specification provided by the client. This number may be varied by agreement with the client.

13. Change in Specification - Executive Search/Selection Assignment ONLY
Should the client change the job or person specification, or substantially alter the level of remuneration or benefits CLHR will be entitled to the fee accrued up to the time of the change. In addition, there may be a further charge for work that is necessitated by the change in instructions. This further charge will be in addition to the fees already agreed for the assignment. This does not apply to the Candidate Search Method where fees are only due on placement.

14. Cancellation or Deferment - Executive Search/Selection Assignment ONLY
Should a client cancel or defer a Selection Assignment or Executive Search, CLHR will be entitled to the fee accrued at the time of the cancellation, or deferment. In addition, a further charge will be payable equal to 50% of the next stage fee which would have been due had the assignment proceeded as originally instructed. This further charge will be refunded in the event that the original instructions are reinstated, provided that no more than 3 months have elapsed since the original cancellation or deferment

15. Expenses - Executive Search/Selection Assignment ONLY
The following expenses are charged to the client's account:

  1. Client requested advertising
  2. Candidates' interview expenses
  3. Where appropriate, with the client's prior agreement: consultant's travel, accommodation and interviewing venue costs and communications internationally (if likely to be significant)

16. Guarantee - Executive Search/Selection Assignment ONLY
Should a candidate be introduced under the above mentioned services prove unsatisfactory and be dismissed by the client within 3 calendar months, the guarantee is as follows:

  1. CLHR will provide a replacement candidate without further charge or will refund one third of the total fee.
  2. This guarantee is subject to CLHR's payment terms having been met.

Section C - Terms applying to Short Term Assignments Please read in conjunction with General Terms as set out in Paragraphs 1-10

17. Short Term Assignments
Fees charged for the appointment of a candidate introduced by Chris Laver HR Ltd (CLHR) to a short term contract are related to the duration of the tenure.

For each 3 month period a fee of 5% of annualised remuneration is charged - to a total maximum of 20%.

Duration

% of Annualised Remuneration

Up to 3 months

5%

Over 3 but less than 6 months

10%

Over 6 but less than 9 months

15%

Over 9 months - or on conversion
to a permanency at any time

20%

 

 

This flexibility makes it easier for you to extend a contract - or convert it to permanency. You simply inform us and we will invoice you for the appropriate fee. For example, if you have engaged someone on a 3 month contract but then offer the permanency, the fee will be 20% of the new start salary - minus the sum paid for the original 3 month placement.

18. Other Appointments
Where a candidate introduced by CLHR is appointed to any position in the original client's company, group or associated organisations, other than that originally specified, the fee due to CLHR will be the same as it would have been had the employing unit contracted directly with CLHR and CLHR's Terms of Business will apply in full. However, the original client will be held responsible for ensuring that these requirements are met and that any unit to which candidate details are sent is made aware of this requirement in advance. Such circulation to others should occur only after consultation with CLHR, to protect candidate confidentiality.

19. Payment of Fees
The appointment of a candidate introduced by CLHR requires the payment of the appropriate fee to CLHR, within the agreed terms of business. There is no time limit to this requirement.

Where a jobholder originally introduced by CLHR is re-employed after a break in employment, by the client or by any associated company, within 12 months of the original termination, the appropriate fee becomes payable. In calculating fees the employment will be taken as continuous. This applies where repeated re-employment occurs but remains subject to the overall maximum fee of 20% in respect of a placement within the company or group of associated companies, even where the role itself may have changed. (See the next paragraph in respect of the calculations).

Where a candidate returns to new responsibilities, or to a different employment basis (e.g. part time) fees will be charged on the basis of the new level of remuneration. If responsibilities change during a period of continuous employment under these short term assignment terms, the basis for calculating extensions - or conversions to permanent status - will be based on the new level of remuneration. However, such changes will not be chargeable during the lifetime of the original contract for which a fee has already been paid - provided that the change is notified to CLHR at the time.

20. Provision of Information to CLHR
It is the responsibility of the client to advise CLHR of all intended extensions and conversions to permanencies - and to provide information regarding any changes to the arrangements covering any candidate originally introduced by CLHR.

21. Flexibility
Our aim is to be as flexible as possible in meeting any special needs. You are invited to discuss with us any aspect that you feel does not meet your needs in particular circumstances.

22. Pro-rata Fees
We are unable to charge less than the 3 month rate (5%) - and consequently, requirements for very short term assistance may be met more cost-effectively by others. However, where it  is known that a contract will last for a predetermined period we can offer a special fee agreement in advance. For example, were the contract to be for 7 months, we could charge the extra month, above the 6 months, as one third of a quarter. Other flexible arrangements can be envisaged e.g. where multiple appointments are to be made and our aim throughout is the right service for you at acceptable cost.

23. Payroll / Administration
The foregoing assumes that the appointed person will join your payroll, our fee being for the provision of the suitable candidate. However, in exceptional circumstances, for example, where payroll numbers cannot be increased - clients occasionally ask us whether we could pay and administer an individual on their behalf. While we do not offer this facility as standard, we are able to do this in certain circumstances, such arrangements being negotiated as a separate contract.

Section D - Policy on References

Recent legislation covering the conduct of recruitment agencies includes new responsibilities regarding the taking up of references.

Having considered those requirements in the context of our type of business - and the needs of the majority of our clients - we outline below how these requirements may be met effectively and efficiently.

Our business is mainly concerned with placing before you the details of potential candidates who match your specification.

At the early stage it is unlikely that candidates we put forward would authorise us to take references ahead of being offered the given appointment. Many will not wish their current employers to become aware - directly or indirectly - of their job search. This means that it is at the offer stage that references need to be taken up.

Our view has always been that the employer is generally best placed to take up references, once a provisional offer has been made, particularly where both written and verbal references are required. This avoids any possibility of a conflict of interest arising - or appearing to rise. It also means that more searching questions may be pursued and evaluated by the potential employer than is possible for a third party.

However, we have always offered to take up references where the client prefers this and this policy will now be strengthened.

To clarify our position, avoid duplication and preserve candidates' confidentiality our revised policy statement is set out below for your guidance.

Chris Laver HR Limited - Policy on References
Where a candidate introduced by Chris Laver HR Ltd has been made an offer, or provisional offer, of employment it is part of the service provided by Chris Laver HR Ltd to take up references provided that the client requests it and that the candidate has given his or her agreement.

Chris Laver HR Limited
Southbank House
Black Prince Road
London
SE1 7SJ
Tel: 020 7582 5341
Mob: 07984763 370


enquiries@chris-laver-hr.co.uk

www.chris-laver-hr.co.uk