What is the difference between a recruiter, a headhunter and an agency?
The critical question with all of them is who pays them, because that determines whose interests they serve — and in almost every case, it is not you.
Internal (in-house) recruiter. Employed by the hiring company. They work for that employer, fill its roles, and are measured on time-to-hire and quality. They are usually the most transparent about the role, because they know it well and have no incentive to place you somewhere unsuitable — a bad hire is their problem too.
Recruitment agency (contingency). Paid a fee by the employer only if a candidate is placed, typically a percentage of first-year salary. This is the most common model and it shapes behaviour:
They work at volume, since most submissions do not convert.
They compete with other agencies for the same role, which creates pressure to submit fast.
They have no incentive to discourage you from a role that suits you poorly.
They may submit your CV to employers without asking, which can block a direct application. Always require explicit permission before your details go anywhere.
Executive search (headhunter, retained). Paid an agreed fee regardless of outcome, usually in instalments, for senior or specialised roles. Because payment is not contingent, they can afford to spend months on a thorough search, approach people not looking for work, and advise the client that nobody suitable exists.
Headhunters typically approach you rather than the reverse, and being on their radar is a long-term relationship rather than a transaction.
What good agency recruiters genuinely offer: access to roles not advertised, knowledge of what an employer will actually pay, feedback that employers will not give directly, and salary negotiation on your behalf — since their fee rises with your salary, this interest is genuinely aligned.
Practical guidance: ask who the client is and whether they hold the role directly; never let a CV be sent without consent; and be wary of roles that seem to exist mainly to collect CVs.