Staffing Agency Markup vs Recruiting Software: Construction Cost Comparison

Construction staffing agencies charge a substantial markup on every hour or a large placement fee, while recruiting software is a flat, predictable cost, so above a modest hiring volume software almost always wins on cost per craft hire.

How agency pricing works

Agencies charge a markup on hourly wages or a percentage placement fee. Either way, the cost scales with every hire and hour, indefinitely. You never stop paying for the same roles.

How software pricing works

Recruiting software is typically a flat subscription regardless of hires. EasySource publishes flat-rate pricing rather than charging per hire or per jobsite.

The break-even

Multiply agency markup per hire by monthly craft hires, then compare to the flat software cost. For most contractors hiring at volume, software pays for itself within a month or two.

The strategic difference

Beyond cost, insourcing builds a lasting capability and an owned pipeline, while agency spend leaves nothing once the invoice is paid.

A real-world example

A contractor hiring dozens of craft workers a month calculated its annual agency markup at many times the cost of a sourcing platform, and shifted most routine hiring in-house the next quarter.