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Direct Hire Staffing Agreement for the United States

Direct Hire Staffing Agreement Template for United States

A Direct Hire Staffing Agreement is a legal contract used in the United States between a staffing agency and a client company for permanent placement services. This agreement outlines the terms and conditions under which the staffing agency will source, screen, and present candidates for permanent employment positions with the client company. It includes provisions for fees, guarantee periods, replacement terms, and compliance with U.S. federal and state employment laws.

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Direct Hire Staffing Agreement

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What is a Direct Hire Staffing Agreement?

Direct Hire Staffing Agreements are essential documents for companies seeking to engage professional recruitment services for permanent placements in the United States. This agreement type is specifically designed to protect both the staffing agency and the hiring company while ensuring compliance with federal and state employment regulations. The Direct Hire Staffing Agreement typically includes detailed terms about placement fees, candidate guarantees, replacement provisions, and the scope of recruiting services. It's particularly relevant in today's competitive job market where companies increasingly rely on professional recruiters for their permanent hiring needs.

What sections should be included in a Direct Hire Staffing Agreement?

1. Parties: Identification of the staffing agency and the client company

2. Background: Context of the agreement and general purpose

3. Definitions: Key terms used throughout the agreement

4. Services: Detailed description of recruitment services to be provided

5. Fees and Payment Terms: Fee structure, payment schedule, and related terms

6. Guarantee Period: Terms of replacement guarantee for placed candidates

7. Confidentiality: Protection of confidential information

8. Term and Termination: Duration of agreement and termination provisions

What sections are optional to include in a Direct Hire Staffing Agreement?

1. Non-Solicitation: Prevents parties from hiring each other's employees - used when protecting against employee poaching is a concern

2. International Placement: Additional terms for international recruitment - used when placements involve cross-border hiring

3. Volume Discounts: Special pricing for bulk hiring - used when client expects to make multiple hires

4. Background Check Requirements: Specific screening requirements - used when client has specific verification needs

What schedules should be included in a Direct Hire Staffing Agreement?

1. Fee Schedule: Detailed breakdown of all applicable fees and charges

2. Service Level Agreement: Specific metrics and standards for recruitment services

3. Required Qualifications Matrix: Standard requirements for different position levels

4. Background Check Requirements: Detailed screening procedures and requirements

Authors

Alex Denne

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

Jurisdiction

United States

Document Type

Agency Agreement

Cost

Free to use
Clauses



























Industries

FLSA: Fair Labor Standards Act - Federal law establishing minimum wage, overtime pay, recordkeeping, and child labor standards

Title VII Civil Rights Act: Federal law prohibiting employment discrimination based on race, color, religion, sex, and national origin

ADA: Americans with Disabilities Act - Requires reasonable accommodations for qualified individuals with disabilities

ADEA: Age Discrimination in Employment Act - Protects workers 40 and older from employment discrimination

EEOC Regulations: Equal Employment Opportunity Commission guidelines ensuring compliance with federal anti-discrimination laws

IRCA: Immigration Reform and Control Act - Requires verification of employee eligibility to work in the US

FCRA: Fair Credit Reporting Act - Governs the collection and use of consumer information including background checks

NLRA: National Labor Relations Act - Protects employees' rights to organize and bargain collectively

State Employment Laws: Various state-specific regulations governing employment relationships and working conditions

State Non-Compete Laws: State-specific regulations governing the enforceability and scope of non-compete agreements

State Background Check Laws: State-specific requirements for conducting employment background checks

State Wage and Hour Laws: State-specific regulations regarding minimum wage, overtime, and working hours

State Licensing Requirements: State-specific licensing and registration requirements for staffing agencies

Fee Structure Provisions: Contract elements defining payment terms, fee calculations, and payment schedules

Guarantee Period Clauses: Terms specifying the duration and conditions of placement guarantees

Replacement Provisions: Terms outlining conditions and processes for candidate replacement

Direct Hire Conversion Terms: Provisions governing the conversion of temporary workers to permanent employees

Confidentiality Clauses: Terms protecting confidential information and trade secrets

Non-Solicitation Provisions: Terms preventing poaching of employees or clients

Liability and Indemnification: Terms defining responsibility and protection against legal claims

Termination Clauses: Conditions and procedures for terminating the staffing agreement

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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