In short
Under a traditional fee, what you get back depends entirely on the rebate clause: a scale that usually tapers over the first weeks or months, often subject to conditions, and sometimes offered as a replacement search rather than money. Under a monthly percentage model, billing simply stops when the employment stops, and payments already made are not refunded. Read the clause before the search, not after the resignation.
Key facts
- Traditional fee
- Recovery depends on the rebate clause you signed
- Common structure
- A taper — the amount returned falls week by week
- Frequent condition
- Rebate void if payment terms were missed
- Monthly model
- Billing stops; earlier payments are not refunded
The clause nobody reads until it matters
Rebate terms are agreed at the point everybody is optimistic, and read for the first time on the day someone resigns. By then the terms are fixed.
There is no single industry standard. Terms vary by supplier and are negotiable, which is precisely why you should look at them before instructing a search rather than assuming they resemble the last agency you used.
Questions to ask any recruiter before instructing
Ask for the answers in the contract wording, not in an email summary of it. These are practical questions, not legal advice.
- Is the remedy a cash rebate, a credit note, or a replacement search — and who chooses?
- What is the exact taper? Write out what returns at week two, week six and month three.
- Which departures are covered? Resignation, dismissal, redundancy and role withdrawal are often treated differently.
- What voids it? Late payment, a changed role, an internal transfer and redundancy are common exclusions.
- How long do we have to claim, and what must we provide?
- If it is a replacement search, is there a deadline by which it must be delivered, and what happens if it is not?
- Does anything survive if we stop working with you before the search completes?
How the two fee shapes behave when someone leaves
| Departure point | Upfront fee | Monthly percentage fee |
|---|---|---|
| Before start date | Usually no fee due, subject to the terms | No fee due — billing runs from the start date |
| Inside the rebate window | Partial recovery or a replacement, per the taper | Billing stops from the end of employment |
| After the rebate window | Fee is spent in full | Billing stops from the end of employment |
| After a long tenure | Fee was spent years ago | Billing stops, having tracked the whole tenure |
Under the monthly model, payments already made are not refunded — the protection is that future payments end, not that past ones return.
Why this is the alignment argument in one line
If a supplier is paid in full at the start date, their commercial interest in month seven is goodwill. If a supplier is paid monthly only while the hire remains employed, their income and your outcome move together.
That is the whole argument for the SUS model, and it is worth stating its limit honestly: alignment is not a guarantee of retention, and it does not make the model cheaper in every case.
Common questions
- Is a rebate the same as a guarantee?
- No, and the words are often used loosely. A rebate is a contractual remedy with conditions and a time limit. Ask for the clause, not the adjective.
- What if the hire is dismissed rather than resigning?
- Many rebate clauses treat dismissal, redundancy and resignation differently, and some exclude them. This is one of the most important things to check in the wording before you instruct.
- Does billing stop under SUS if we make the role redundant?
- Billing is tied to the employment continuing, so it stops when the employment ends. The specifics for your situation are set out in the terms agreed with you in writing.
Sources
Where a fact in this guide comes from a document you can check yourself, it is listed here. We do not cite market statistics or benchmark data we have not published.
Talk it through
A short, direct conversation about the role, the market and whether the SUS model fits what you are trying to do.
Arrange a conversationAny percentages or figures shown in this article are illustrative examples used to explain the model. They are not quoted rates, market benchmarks or salary data.