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Most agencies do have in-house recruiters, at least the ones I know. Tighter budgets mean fewer jobs. Generally, external candidates are the goal, but not always. Does anyone work somewhere where the internal movement is good?
Yes
Bigger shops usually do, smaller ones often lean on managers plus external recruiters. The layoff waves definitely made a lot of places cautious about adding headcount. When a role opens, internal candidates do get a look, but it’s rarely “internal only”, they still want options.