What Is the Difference Between a Staffing Agency and a Recruiter?
A staffing agency usually places temporary or contract workers and often employs them, billing the client by the hour. A recruiter, or search firm, finds candidates for permanent jobs and is paid by the employer, normally a one-time fee on hire. Many firms do both, so ask which service you are getting.
Updated November 6, 2026 · Source: manpower.broker staffing guide; rules of thumb, so confirm terms in the written agreement.
People use these words interchangeably, but the business models differ, and that changes what you can expect.
The Three Models
Staffing agency: employs temps and bills hourly.
Contingency recruiter: paid only if a candidate is hired.
Retained search: paid in stages to run a dedicated search, usually for senior roles.
Advertisement
For Employers
Use staffing for speed and flexibility, contingency for ordinary permanent roles, and retained for confidential or senior searches.
For Job Seekers
Remember who the client is: recruiters work for the employer. They can give useful coaching, but should not charge you. Register with a few whose roles match yours, and keep applying directly too.
