The most read blog post this month is the one from 2020 entitled ‘How much should it cost to advertise a vacancy?’ Teacher Recruitment: How much should it cost to advertise a vacancy? | John Howson (wordpress.com) So far, yesterday’s 10^th birthday post comes in second highes, with 20 views as against the vacancy post that reviewed the publication of the tes company accounts for 2019.

Today, the tes group, now entirely shorn of it print heritage, released its accounts for 2021-22 to August 2022. The company, fronted by its UK management, is ultimately owned by Onex Partners V, part of the Canadian ONEX Group of equity investors. Their third quarter report for 2022 identifies an investment of $98 US in the Tes Global (“Tes”), an international provider of comprehensive software solutions for the education sector  18d46e0 f-a5b9-435a-a039-9849ef723683 (onex.com) page 9

So, our major teacher recruitment platform, now offering a much wider staff management service to schools, increased its UK (mainly England) turnover from £54 million to £68 million in the year to August 2022. How important both staff management and the UK are to the profit of ONEX can be determined form the following figures

Turnover             2022                     2021

UK                        £68.2 mn          £54.0 mn

Europe                £  2.9 mn             £ 2.6 mn

Rest of World     £  9.0  mn           £ 9.0 mn

Income

Staff

Management    £61.2 mn          £56.5  mn

All activities      £80.2 mn           £66.1  mn

TES accounts – see link above page 29

So, in the last school year the tes took £68 million pounds from UK schools, the bulk of the money for recruitment and staff management by subscriptions from schools. 84% of staff management revenue came from subscription income and, as the accounts note (page 2) this was a 26% increase in revenue, presumably as more schools and Trusts migrated to subscription packages from point of sale purchase of advertising. The profit for the operating year was £28.7 million compared with £2.3 million the previous year that was badly affected by covid.

The group values its software at £46 million. That leaves me wondering what the book value of TeachVac’s simple but effective job matching service should be? Perhaps the £3 million suggested by our advisers is a little on the mean side.

TeachVac http://www.teachvac.co.uk costs less than £150,000 a year to operate. Being generous, it might cost £500,000 if operating on a similar cost model to the tes. The DfE job site probably costs a bit more, but we don’t actually know how much. The question for schools, MATs and the education sector is ‘How much of the money you are spending with the tes is for the downstream activities on staff management and how much for the job bord and matching service, and is it value for money?

Assume only 10% is for the matching, that could be £5-6 million of the subscription income after allowing for the tes turnover on Hibernia and other activities. TeachVac was established to demonstrate to the sector the cost-effective nature of modern technology over the former print advertising methods of recruitment. Readers can make up their own minds over value for money when comparing the £500 annual subscription to TeachVac that will reduce as more schools sign-up, and the cost of a subscription to tes.