William, I was a bit confused as well, thinking I'd put the pump in the bottom of the sump, so I sent your question onto Dean who runs the
vermifilter.com website. Keep in mind that the pump is always circulating the tank even when there is no inflow. In his response he used the example that "if the sump holds 200 litres of water and the pump flows 50 litres per hour, then over 24 hours the water in the sump is recirculated 6 times in a day". So, if the inflow rate doesn't exceed the 200 liters (or more accurately the volume difference between the inlet and outlet) in 4hrs then everything should get passed through the vermifilter of that stage at least once. Hence the need to size the system for your use. Having multiple stages also factors into the treatment, so its really nice that the system is so modular.
He added, "The recirculation pump can be either submerged directly into the water in the sump, or the inlet connected into the outlet pipe (the image in your link), or the inlet can be inserted directly into the sump. Its all the same, but importantly the recirculation pump must be below the surface of the water. A few inches is enough. It should be near the top where there is less chance of solids entering it." He also added more information on that
recirculation page that shows settling tanks inserted in series before the recirculating tanks to eliminate the need for filters to prevent clogging of the pumps. Feel free to reach out to him directly using the Contact Form on his site. He has been very helpful to me.