Since you are reading this blog, it’s obvious that you either have questions about hiring a temp agency or you are just interested in seeing what a temp agency has to offer. When it comes time to hire a new employee, it’s fair to assume most employers are looking for nothing short of the perfect match for the position they are trying to fill, correct?
Let’s just say for the sake expediency that you are an employer that is looking to fill a position and you’re on the fence about going through a temp agency. There are some pros and cons that you should take into consideration that might influence which side of the fence you land on. Most employment agencies are great about vetting and providing the perfect candidate, while others miss the mark.
Here are just a few benefits, as well as drawbacks, you should consider when hiring through a temp agency:
Benefits of working with a Denver Staffing Agency
Considering a temp agency’s purpose is to match employees with employers, it’s sometimes better for companies to hire through an agency rather than advertise positions to the general public and for good reason:
Avoid Hiring Mistakes
When you hire through a temp agency, your company can be confident that the candidate is not only pre-screened, but tested for the job at hand. This is a great way to avoid poor hiring decisions that ultimately result in a loss of productivity and wages.
Eliminate Unemployment Claims
Temporary employees are hired with the full knowledge that their time at your company is short-term. For that reason, your company avoids any unemployment claims that may arise. If you decide the temporary employee is not a good fit for your company; it’s as simple as calling the temp agency and telling them that the temp employee is not working out, and the temp agency takes it from there. You avoid all of the costs, headaches and hassles involved in the termination process.
Reduce Recruiting Efforts
When hiring through a temp agency, the vetting process is done for you. So, instead of wasting time, money, and energy on the legwork that goes along with the recruiting process, your company can simply contact the temp agency you’ve selected and give them a job description of the position you want to fill. The agency will then send you a qualified temp employee to fill your specific needs.
Decreased Benefit Costs
Employee benefits is one of the primary reasons companies are moving to hire more temp employees. The cost of employee benefits is skyrocketing; costing companies to compromise their bottom line, reducing profits until it compromises the welfare of the company itself. However with a small change, a company can once again work towards achieving a healthy bottom-line by scheduling part-time employees hired through a temp agency. If you are looking to fill a full-time position your company may want to consider hiring two temp employees to cover the same job.
Drawbacks of working with a Denver Staffing Agency
Before making the decision to hire a temp agency, there are a couple of drawbacks you need to consider.
Although finding the perfect fit through a temp agency is a huge benefit, the contract buyout that goes along with hiring that employee full time is a major drawback, and most temp agencies require a significant buyout depending on the length of the remaining contract. However, it is also noteworthy that some temp agencies will work with their clients to reduce this amount if you are an ongoing and faithful customer.
The majority of temp agencies take the screening process very seriously in order to provide companies with the best possible match. But, unqualified employees sometimes slip through the cracks, especially in the case of larger temp agencies. When this happens the solution of course is to notify the temp agency immediately so they can provide you with another temp employee. Communication with the temp agency is key to making an agency relationship work for you, and to ensure that you get just the exact temp employee to fit your needs.
Lack of Strong Relationships
Employers like long-term employees because they are able to form strong relationships with the company as well as other employees. Temporary employees on the other hand don’t always have the chance to develop strong relationships. This can result in a loss of team spirit, and in some cases, a lack of commitment from the temp employee. The solution to this is relatively easy to solve. You must know the temp agency you hire, most temp workers work for temp agencies for specific reasons. The temp agency you choose not only screens their employees, but they pour into their lives. Their workers represent their company and so an agency like Temps on Demand trains their temp employees’ on attitude, learning to fit into a temporary position, working with diligence, and being effective in the position in which they are placed.
As you can see, there is much to consider when deciding to use a temp agency. The most important advice I can give you is to know the principals and the character of the agency you choose.
Staffing Agencies – Denver
Temp agencies in the Denver metro area are diverse and worlds apart in how they fill customer orders. As I mentioned earlier, it is of key importance to know the company values of the temp agency you select. There are many that know their employees well and when you call for a temp, they will know exactly who to send you. Working with smaller staffing agencies in Denver will sometimes bring you a better, more qualified employee, in that, the temp is well known by the agency staff for his/her work ethic and is not just another number in a large labor force. Bigger doesn’t always mean better.
Another factor to consider when using Denver Employment Agencies/Denver Staffing Agencies is the work classifications they fill for the majority of their clients. Are they diverse? Do they typically fill just labor positions, or does their labor force also include office and clerical personal, accounting, sales? If you are a contractor looking for temp laborers you wouldn’t want an agency that primarily provides clients with office personnel and vice versa.
The way we work is changing. In many industries in the Denver area, companies are starting to outsource projects using temporary staff in order to cut costs and reduce business expenses. As our world changes, we must begin to think out-of-the-box from what once was and move to alternative solutions.
One thing that will remain constant in the coming year is uncertainty. Given the current unpredictability in the market place today along with looming implementation of the Affordable Care Act, the recent government shut-down, and stock market fluctuations the staffing industry will likely continue to grow as companies bring on temporary and part-time workers.
It has been four years since the end of the Great Recession, and the temporary staffing industry has grown dramatically in those 4-years. Staffing Industry Analysts predict that the U.S. staffing industry will continue to grow at a rate of 6% in 2014.
If you have never considered using a temp agency/staffing agency, now might be the time for you to educate yourself and your corporate management team with fact based knowledge and trending solutions to cutting labor costs in your business setting.