How to Detect Backdoor Hiring in 2025

Backdoor hiring — when a client hires your candidate without paying your placement fee — is a growing problem for staffing and recruitment firms. Studies show that up to 30% of placements go unreported, costing agencies thousands in lost revenue each year.

The good news? With the right tools and strategies, you can detect these hidden hires and recover what you're owed — fast, discreetly, and compliantly.

What Is Backdoor Hiring?

Backdoor hiring occurs when a company uses a recruiter to identify or interview a candidate, then bypasses the agency to hire them directly — avoiding the agreed-upon placement fee.

This often happens with:

• Candidates referred via LinkedIn or job boards
• Long-term contractors transitioned to full-time
• Internal promotions after external exposure

5 Signs a Client Hired Your Candidate Off the Record

1. No follow-up after candidate submission – Silence after a strong interview is a red flag.
2. Candidate updates their job title on LinkedIn – But your invoice was never paid.
3. Client avoids discussing the role – They may deflect or say the position was “put on hold.”
4. Same candidate appears in a different role – Hired under a new title to avoid detection.
5. High turnover in a specific client – Could indicate a pattern of fee avoidance.

How to Detect Backdoor Hires in 3 Steps

Manual tracking is slow and unreliable. Here’s how AI-powered tools like AITRIXIO help you stay ahead:

1. Upload Your Candidate List

Simply upload an Excel file with candidate names and associated company names. No complex setup.

2. Run the Smart Search

Our AI scans professional networks and employment signals to find matches from the last 2 years.

3. Verify & Recover Fees

Review verified placements and use the evidence to invoice confidently.

Final Tip: Run quarterly audits of your past submissions. Even old candidates can turn up in new roles — and that means recoverable fees.