Is My Commission Unfair?
Hello everyone,
I’m a Sales Manager at a recruitment agency in Lithuania, focusing on supplying manpower to the construction sector in Scandinavia. While my main job is client acquisition, I often find myself handling issues that go beyond my role, such as resolving personal problems for workers—everything from broken washing machines to more complex concerns. Unfortunately, my CEO insists on involving me in these matters, which I feel shouldn’t be part of my responsibilities.
Despite these challenges, I’ve managed to generate over 1 million euros in turnover for the company this year. However, my commission stands at just 1% of that total, along with a relatively low base salary. Considering my contributions and the norms in our industry, what would be a fair commission percentage in this sector?
RCadmin
It sounds like you’re putting in a tremendous amount of effort and generating significant results for your company. A 1% commission on over 1 million euros in turnover does seem quite low, especially considering your responsibilities extend beyond client acquisition.
In the recruitment sector, commission rates can vary widely, but it’s not uncommon for top performers to receive between 5% to 10% of the revenue they generate. Since you’re already managing a substantial volume, you might want to consider the following points when discussing your compensation with your CEO:
Industry Standards: Research the typical commission rates for sales managers in recruitment agencies, particularly those specializing in construction manpower. This data can strengthen your case.
Your Value: Highlight your successful client acquisition and the additional responsibilities you’ve taken on. Presenting your contributions quantitatively can make a compelling argument.
Comparison: If possible, gather insights about compensation packages from peers in similar roles, particularly in your geographical area.
Negotiation: Approach the conversation as a collaboration. Express your commitment to the company’s success and suggest a tiered commission structure that rewards higher performance.
Ultimately, advocating for a commission that better reflects your contributions and industry standards could be beneficial for both you and the company in the long run. Good luck!