Staffing agencies can perform recruitment, selection, and on-boarding processes for companies that can’t justify employing a full time recruiting team, or need specialized help outside of their typical focus. Some staffing agencies just provide temporary workers, while others provide candidates that are prepared to become permanent hires should they be a good fit for the business. Whether you need a permanent employee or a short term hire to support a specific project, staffing agencies can provide advantages like expert advice and counsel on hiring practices, cost savings, access to a larger more qualified pool of applicants, and better employee retention after hiring.
What kind of Expertise can a Staffing Agency Provide to Help my Business?
Staffing agencies often have a much higher level of expertise when it comes to recruiting than a human resources department because that is all they do. Human resources departments typically focus primarily on preventing companies from making decisions that can result in lawsuits or falling out of compliance with hiring laws and standards, and hiring usually takes a back seat to keeping employees happy and in compliance. Hiring recruiters, employment specialists, or a recruiting manager to supplement your HR department not only requires a lot of effort in finding the right candidate, but it can be a lengthy and expensive process.
Staffing agencies are so focused on hiring that they frequently provide services that rival the best qualified recruiters and specialists, and usually at a lower overall cost when taking all factors into account. Employees of staffing agencies have more expertise related to employment trends and recruiting practices because that’s what they focus on all day every day. Specialized staffing agencies take this a step further by also adding industry specific knowledge to their skill set, further improving results, and supplying a larger specialized pool of candidates that can suit your needs.
Can a Staffing Agency Actually Cost Less than Hiring in House?
Utilizing a staffing agency can actually result in lower costs when it comes to hiring qualified staff and recruiting applicants. When you factor in the cost of managing the total employment cycle, including pre-employment testing, background checks, drug screenings, etc. staffing agencies can provide both a significant time and financial savings when compared to trying to manage the process internally. Staffing agencies also save the costs related to payroll processing, benefits administration, and in some cases training and ongoing HR as well. Many small employers in particular find that staffing agencies actually provide a significant savings while also providing better candidates.
Staffing Agencies Have a Bigger Network Than Your Company
Staffing agencies are constantly working to connect with potential candidates, and therefore have an existing pool and network of candidates much larger than any single employer. Just take into consideration what you would have to do to hire seasonal workers: advertising, interviewing, on-boarding, asking employees for referrals, background checks, etc. all in a very short time frame to make a seasonal hire effective.
Staffing agencies already have identified candidate pools and relationships that make finding new candidates faster and easier, saving much of that time, and reducing the work of acquiring those seasonal candidates significantly. In fact they probably already have relationships with qualified workers they consider dependable and reliable who can fill a vacancy more quickly than you would expect.
Can Using a Staffing Agency Actually Help With Employee Retention?
Yes, in several ways. First, using a staffing agency for temporary hires gives you the opportunity to observe that hire in their role without any risk. If the hire has performance issues or isn’t a good fit, the agency handles correcting the problem or removing the hire. On the flip side If the candidate is an excellent fit you have the option to move them to a permanent hire status, it’s really a win/win. This can significantly cut down on turnover because the built in trial period as well as the secondary support provided by the agency really lets you see hires in their best possible light.
In particular using staffing agencies for high-volume placements can greatly reduce strain on your organization reducing the likelihood of issues with employee morale and burnout during rapid expansion, while greatly reducing costs associated with onboarding and turnover that can accompany rapid hiring.
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