Wis. Admin. Code DWD § 277.09

Current through May 28, 2024
Section DWD 277.09 - Classifications, fee schedules, and other requirements
(1) CLASSIFICATIONS OF LICENSES.
(a)Class I applicant-paid fee agencies. A class I license is for agencies which charge and collect a fee from the applicant for securing work for persons in the following positions:
1. Administrative
2. Clerical
3. Commercial
4. Executive
5. Professional
6. Sales
7. Technical
8. Domestic, household employer, unskilled or untrained
9. Industrial worker or mechanic, skilled or unskilled.
(b)Class II modeling agencies. A class II license is for agencies which secure work for persons to act as live models or to model for photography.
(c)Class III nurses registry agencies. A class III license is for agencies which operate a nurses registry which secure work for persons who are licensed practical nurses and registered nurses.
(d)Class IV other agencies. A class IV license is for agencies whose activities are of a specialized nature or limited to specific areas of activity or types of placement that do not fall under the other classes of license.
(2) FEE SCHEDULES.
(a)Class I applicant-paid fee agencies.
1. For placement of 3 calendar months or more duration, regarded as a permanent position by both parties, the total fee charged to an applicant for employment may not exceed the following schedule:
a. Positions paying less than $583.33 per month - 72% of the first month's salary.
b. Positions paying $583.33 or more but less than $666.66 per month - 84% of the first month's salary.
c. Positions paying $666.66 or more but less than $750 per month - 96% of the first month's salary.
d. Positions paying $750 or more but less than $833.33 per month - 108% of the first month's salary.
e. Positions paying $833.33 or more per month - 120% of the first month's salary.
2. The total fee charged to an applicant for employment for temporary placements of less than 3 calendar months may not exceed 20% of the wages or salary of the applicant. The total fee charged for a temporary placement may not exceed 75% of the fee charged for a permanent placement.
(b)Class II modeling agencies. The total fee charged to an applicant for employment may not exceed 15% of the sum received by the applicant from the employer. In addition to the 15% charge to the applicant, the agent may also charge the client a service charge for specific services performed.
(c)Class III nurses registry agencies.
1. For private nursing the total fee charged to the applicant for employment may not exceed 5% of the wages or salary received by the applicant from the employer.
2. The total fee charged to the applicant for employment for all other placements may not exceed those prescribed in par. (a) 1.
3. If prior approval from the department is received, a registration fee may be charged not to exceed $20 per month providing each applicant for employment is given a reasonable number of bona fide job offers and the actual registration fee does not exceed 5% of the annual wages or salary received. If the applicant registers for a lesser period of time, the sum received may be prorated to the actual period of availability.
(d)Class IV other agencies.
1. Charges to the applicants for services or employment shall be approved as being reasonable for the services offered or provided.
2. Each agent or applicant for a class IV license shall submit to the department for approval:
a. A schedule of fees, charges, and commissions which they intend to charge to applicants for service or employment.
b. Copies of all forms and contracts pertinent to the placement of applicants to be used in the operation of the agency.
c. Adequate supporting materials justifying the proposed schedule of fees and contracts.
(3) OTHER REQUIREMENTS.
(a) All fee schedules of class I, II, III and IV agencies for applicants for employment shall base the fee upon the first month's salary.
(b) The fees contained in sub. (2) are presumed reasonable, and application for the fees shall be approved without supporting materials. If an applicant for a license or agent submits a schedule of higher fees, the applicant or agent shall file a supporting statement specifying the reasons for, and reasonableness of, the requested variance. In such cases, the department shall deny the request if it determines that the requested schedule is unreasonable. No agent shall request or accept any placement fee or charge until the placement is made.
(c) Agencies may be limited to specific areas of operation within a class or may be licensed to operate in more than one classification.
(d) No charge for a placement may be made by an agency to an applicant unless the agency has made arrangements to bring to the attention of the employer the qualifications of the available applicant by means of an employment interview and the applicant accepts employment.
(e) If an applicant accepts a position to which they were referred by an agency with the understanding that the fee or any portion of the fee was to be paid by the employer, and they leave that position for any reason, they are not liable to the agency for that part of the placement fee understood to be paid by the employer, notwithstanding contractual provisions to the contrary.
(f) If an employee is referred to a position by an agency with the understanding that the fee is negotiable, the results of this fee negotiation shall be made a part of the agency's record, and the employee is not liable to the agency for that portion of the fee which the employer has agreed to pay, notwithstanding contractual provisions to the contrary.
(g) For placements in hourly paid positions, the total fee charged to the applicant for employment shall be computed on the basis of an amount not to exceed the actual earnings of the employee during the first 41/3 weeks of employment.
(h) If a job applicant accepts employment and thereafter fails to report for work, the gross fee charged to such applicant may not exceed 25% of the maximum fee allowed in this section, provided, however, if the applicant remains with their same employer, the fee may not exceed 50%.
(i) If a placement fee is paid partially by the applicant and partially by the employer, the total fee that the agency may charge for that placement may not exceed the applicant's fee schedule on file and approved by the department.

Wis. Admin. Code Department of Workforce Development § DWD 277.09

Cr. Register, July, 1970, No. 175, eff. 8-1-70; r. and recr. Register, June, 1985, No. 354, eff. 7-1-85; r. (1) (e) and (2) (e), Register, April, 1991, No. 424, eff. 5-1-91.