How do I know if an Arise IBO is paying me what the client offers?
This is not an uncommon question for CSPs. I have been asked this question so many times, so I decided to created a post explaining why CSPs should NEVER ask this question.
IBOs are staffing agencies for Arise Virtual Solutions. I just want to make that clear right off the top.
What is a Staffing Agency?
A staffing agency is an entity that has employees/staff that can be hired out for temporary or long term work. A staffing agency is also referred to as an employment agency. It provides temporary workers. Some agencies are industry focused or specialized.
Staffing agencies are different from placement agencies or retained search services. Placement agencies collect a fee to recruit a full-time employee. Those employees belong to the client company – not the agency.
Again, Arise IBOs are staffing agencies. That is what we do, we provide (outsource) virtual agents to Arise to complete a job for a specific amount of time (full or long term).
Arise does not pay IBOs a special fee for being an Arise IBO. Therefore, whatever the client pays to the IBO is the only payment the IBO will receive. From that payment, the IBO must pay the CSP, pay fees to maintain their business and of course make a profit. IBOs are businesses and must make a profit as well. IBOs are not paid by Arise, so they must charge an IBO fee or have some form of structure to earn income for their business.
Some IBOs charge their agents a monthly fee or a pay cycle percentage fee. Additionally, other IBOs pay their agents a flat rate, based on whatever the client is offering, just as any staffing agency would. No matter what, this will vary per IBO.
Should a CSPS know what the client pays?
Whatever the client pays to the IBO is not for the CSP to know unless the IBO chooses to disclose that. This is why Arise does not release pay information to CSPs.
(I am using Kelly Services in this example. (It was the first local staffing agency I thought of)
Kelly Services gets a call from a local department store who needs a secretary to work the front desk for 9 months (possibly longer). The department store offers Kelly Services $28 per hour for the position. Kelly then posts the job online for $14 per hour. Kelly will keep half of the rate to put towards company costs and profit the other half will be the staff’s hourly pay.
Would you ask Kelly to prove how much the client is paying them right? No, of course not. You would accept or decline the job. IBOs work in the same way.
Again, we are staffing agencies for Arise. Please don’t EVER ask an IBO how much the client is paying them. It is very unprofessional.
If you are wanting to work for Arise clients and get paid the full rate that the client is paying, it is best that you establish your own IBO with Arise.
I hope this helps.