Home > Podcast > How Nanny Agencies Really Work

Luxury Staffing Podcast
by Morgan & Mallet

Laurine Mallet co-founded Morgan & Mallet and was a nanny herself before that, so she has sat on both sides of the hiring table.

In this episode she answers real questions from Reddit, from parents who feel overwhelmed by fees, models, and horror stories. It is a clear look at how a good nanny agency actually works.

  • Understand exactly what agency fees cover, and why the nanny never pays a penny.
  • Learn the difference between employer of record and simple matchmaking, and which suits you.
  • Get the warning signs of a badly run agency, and the questions to ask before you sign.

 

Spotify
Youtube

Laurine walks through the full search from first call to shortlist, explains why three references beat one, and shares the matching details that make a placement stick.

She tells the story of a perfect candidate who could not take a job over one missed question about a cat allergy.

She also answers the feeling many parents carry, the guilt about paying for help, and why household work cannot be measured against your own salary.

Key Takeaways

 

  • A single search can bring 80 to 180 applicants, which a busy family rarely has time to screen properly.
  • A good agency charges the family a registration fee plus a placement fee based on the gross annual salary. The nanny pays nothing.
  • Employer of record means the agency is the legal employer, runs payroll and admin, and invoices you monthly with a management fee.
  • Warning signs include never meeting the candidate, checking only one reference, and pushing a CV without checking the fit first.
  • Match on more than availability: location, lifestyle, long term plans, and even pet allergies, or the placement will not last.

 

Full Transcript:

Transcript

The Best Part of Being a Nanny

Ben W
Before we start, what was the best thing about being a nanny, back before you co-founded Morgan & Mallet?
Laurine
Looking after a child is really great, because you learn a lot about yourself too. The little one grows up with you, and you teach the child good manners, values, and mindset. You also learn to be more patient. It is very personal, but that patience stays with you.

When an Agency Is Worth It

Ben W
When is an agency really worth it compared to doing it yourself on a site like Care.com or a Facebook group?
Laurine
Most of our clients are ultra high net worth and very busy, often CEOs. They have no time to search and they are not specialists in recruitment, while we are. We also handle references and criminal record checks with specific tools. It is better to give those tasks to an agency than to carry them yourself.

How the Fees Work

Ben W
There is a lot of confusion about the money. Some people say agencies take a cut of the nanny’s pay. How does it work for Morgan & Mallet?
Laurine
We charge a registration fee, then a recruitment fee, which is a percentage of the gross annual salary. The registration fee starts the search, publishes the ad, and covers looking at every applicant. Per role we can get 80 to 180 applications. We preselect about 20, interview them, check every document, and end with a shortlist of three or four. The nanny never pays a penny. It is completely free for the candidate, because the client pays our fees.

Employer of Record Versus Matchmaking

Ben W
One setup confuses some families: the agency is the legal employer, and the family pays by the hour while the agency handles payroll and insurance. How does that compare with simple matchmaking?
Laurine
Employer of record suits a client who does not want to handle the management and admin, often a family from overseas who does not know the local rules. We find the right candidate and we become the employer. We pay the salary and invoice the client monthly, including a management fee. Around 80 percent of our clients, though, prefer to employ and manage the candidate themselves.
Ben W
And someone at Morgan & Mallet manages that nanny day to day? If the nanny wants holiday or a pay rise, they come to you?
Laurine
Yes. We have a resources assistant in charge of that. She communicates daily with every employee about pay, sickness, and holidays. If a nanny wants a pay rise, usually after a year, she presents the case to us and we talk to the client. It depends on the negotiation and the salary the candidate expects.

The Process, A to Z

Ben W
When a family pays that fee, what are they actually getting? Background checks, references, contract, and what happens if it does not work out?
Laurine
A lead calls us, and we write a job description to match their needs exactly. The client pays the registration fee, and we publish the ad on our website. The recruiter reviews every application and calls candidates about availability and background. He makes a shortlist, meets them, and double checks the folder: ID, criminal record, references, and for a nanny the diplomas and first aid too. Then he sends the resumes to the client to organize interviews.

Warning Signs of a Bad Agency

Ben W
One parent had a nanny hide a pregnancy, and the agency never called the references. What are the warning signs of a poorly run agency?
Laurine
First, if they never meet the candidate. A video interview is fine, but some agencies skip the interview altogether. Second, if they do not check every reference. One good reference is not enough, so it is really important to check three. Third, if they push a CV to the client without asking the candidate whether the job fits. If you do not make the perfect match, the candidate leaves in a couple of months. That is why the search takes three to four weeks, and you match on location, lifestyle, and long term plans, not just availability.
Ben W
The most experienced recruiters seem to have this built in, spotting when to ask about long term plans, for example.
Laurine
Yes. For a family with a pet, we do not send candidates with pet allergies. I made that mistake once, long ago. I sent a wonderful candidate and forgot to ask about a cat allergy. The client loved her, and at the interview the candidate said she had a cat allergy and could not take the job. On everything else she was perfect. That is why every detail matters.

What the Family Should Still Do

Ben W
If the agency does the vetting, how much should the family still do themselves?
Laurine
We handle everything: the ad, the search, the reference checks, and organizing the interviews. The client comes to the interviews and should meet the candidate twice before making the contract. Some clients ask us to assist or to give them a list of questions, others prefer to lead. Either way, a strong second interview matters, and for a nanny the first meeting is often in a cafe for confidentiality, with the children only at the second.
Ben W
If a client is not used to interviewing, what questions do you give them?
Laurine
Let the candidate talk about their experience, professional and personal. Take the last five roles and ask who they worked for, the type of family, and the duties they handled. Ask why they left each job, and what they want to achieve next. Understanding their future plans tells you whether they will stay.

Questions to Ask Before You Sign

Ben W
If a family is meeting an agency for the first time, what should they ask before they sign anything?
Laurine
How many placements have you done? What is your process if the candidate does not work out and needs replacing? And how do you make sure you call the real references, not fake ones? Those three answers tell you a lot.

The Guilt About Paying for Help

Ben W
Many parents feel it is silly to pay a nanny more than they earn, or guilty for wanting help. What would you say to them?
Laurine
Do not compare the salary to your own. This is a completely different market. It is confidentiality, discretion, and your privacy, and someone caring for your child or a grandparent is not a material thing. The working hours are different too. A fair salary is the right thing, the same way you would pay any trusted employee well.
Ben W
One of the first things Morgan told me was that it is all about trust. You are finding a caregiver for your mother or a nanny for your child, the most important thing you have. If you are curious about the going rates, you can find our salary report on YouTube, Spotify, and householdstaff.agency.
Laurine
Exactly. In every market, salaries are different. This one has its own guideline and rates.
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