Employment Agency Fee in SIngapore

There are more than 1200 licensed employment agencies in Singapore, most of them are located at shopping centres along Orchard Road such as Lucky Plaza, Far East Shopping Centre, Bukit Timah Shopping Centre in the western part of Singapore and City Plaza in the eastern part of Singapore. These maid agencies offer many different packages. For one maid agencies, the packages for maids of different nationalities are also different. Because of this, many employers find it disturbing when they find a huge difference in the maid agency fee.
For maid agencies, the following will usually determine their package fee:

1. Recruitment cost. This is the fee that the employment agencies in Singapore pay the maid agencies in maid's home countries for them to train the maid and doing some paper such as application of passport for the maid. 
2. Operating cost. Overhead cost such as rental, manpower, advertisement fee. 
3. Administrative fee in setting up the business such as license fee and fee for their employee to get their license to work as employment consultant. 

Because of intense competition (many closes their business after a few months as they cannot make any sale), many maid agencies also spend a lot of money on advertising their service.

Government restricting factor
For Filipino maid and Indonesian maid, the maid agencies are not allowed to charge maid a high placement fee. Because of this, part of recruitment cost, in the end, will be bear by the employer. This explains why agency fee for Filipino maid and Indonesian maid are usually higher.  Usually, maid employer will need to pay more than $1200 as agency fee in hiring maid from Indonesia or the Philippine.

Willingness of Maid to Pay the Placement Fee
Some maids, especially Myanmar maids are willing to pay 7 months of salary as the recruitment fee. Some maids are only willing to pay 4 months.

Profit consideration
It has been estimated that the maid agency will be able to earn $1300. if they are able to successfully place a new maid with an employer. For transfer maid, the fee may also be around the same number. As you can see, profit margin of maid agency are very high, that is why many are able to support with just a few transaction in a week.

To read more, you can refer to employment agency fee in Singapore