"Crowdsourcing is the practice of obtaining needed services, ideas, or content by soliciting contributions from a large group of people, and especially from an online community, rather than from single traditional vendors or suppliers." ref:Wikipedia
Crowdsourcing recruitment applies the principles of an employer using a community of independent recruiters to source resumes for a particular job.
Contrary to the traditional recruitment process where employers hire expensive recruitment services like staffing agencies, crowdsourced recruiting engages a large pool of independent recruiters to source candidates for a flexible, cost effective split fee.
Simply put.. crowdsourced recruiting = sourcing qualified talent for cheap
In crowdsourced recruitment, there are several recruiters working in parallel to find the best candidate to hire. An independent recruitment group consists of professionals including recruiters, organizational employees, individuals with the specified skillset, and agencies. Due to the nature of the marketplace, all independent recruiters find the most qualified candidates.
For example, a developer has a network of colleagues with a similar skillset that they have the potential to source resumes for jobs in the marketplace.
Primarily crowdsource recruiting is mostly beneficial to professional recruiters and independent recruiters. Crowdsource recruitment provides these recruiters the ability to add supplemental income to their daily living.
Jobhuk is a marketplace for crowdsourced recruitment that provides a medium for employers to post their jobs for the recruitment community to source resumes.
The business model for Crowdsourced Recruitment
Employers first post a job in the marketplace with a specific finder’s fee based on the type position. For a full-time position split fees are set anywhere between 5-30% and for contract positions the fee is fixed at 20%.
For example, if Employer sets a finders fee for 10% for a full time $60,000 position, then the fees is split $6,000 and $2000, respectively, between the recruiter and Jobhuk.
As for a contract position set at $100/hour, the job will be offered to candidates at $80/hr. The remaining $20 will be split $15 and $5, respectively, between the recruiter and Jobhuk.