Hiring the Lowest Price Staffing Firm Often Means Lower Quality Temporary Employees

April 26th, 2010

Sometimes the least expensive isn’t the best. We all know it, but sometimes we need to be reminded of it.

Of course we love to get a good deal. Hunting for bargains seems to be human nature. But when it comes to hiring a temporary staffing service, selecting the service with the lowest price often isn’t the best use of your company’s funds.

Instead, as you interview different staffing agencies, find out the value they offer. Ask questions – lots of questions – and you’ll discover that there’s so much more to their services than simply asking the first person who comes into their office to go on over to your company to work for you on a temporary basis.

A staffing firm that offers you workers at a rate below what other employment agencies in your area offer may have to cut corners to provide you workers at that low rate. Are you really willing to give these up?

For example, hiring a cut-rate staffing company could mean that the firm won’t have the resources to thoroughly source and screen temporary employees. At worst, this could result in employees who have sketchy work backgrounds. At the least, this could mean your staffing service may not be able to find the workers with the skills and background you need.

If the firm does hire a lower-skilled person to fill your open position, you may have to take the time to train the person on the job. One of your regular employees may have to do double duty “cleaning up” the mistakes an unqualified temporary makes on assignment. Naturally, you may request that the firm replace the low-performing person. You also may decide to seek another personnel service to fill the position. Both actions cost you added time and money, costs that could have been avoided had you hired a staffing agency that has the means to find employees who can come to your site and be productive immediately.

In addition, lower priced staffing firms generally pay their employees less than a firm that charges a higher fee to you. Word gets around an area as to which firm pays temporary workers more and the best employees naturally will seek those personnel staffing firms first, leaving the lower-priced firm you’ve hired to send you  the least skilled and least reliable workers.

So is it worth saving a bit of money in the short term to possibly be saddled with the costly problems outlined above in the long term?

We believe in providing our client companies only the highest caliber of temporary employees. Won’t you call us today to discuss your staffing needs?

Control Workforce Costs with Contract Staffing

March 3rd, 2010

What business isn’t looking to control expenses? Staffing firms offer many effective solutions for reducing overhead, managing operating costs and improving organizational performance. Used effectively, staffing services can save you more than they cost.

Here are some key ways you can use contract staffing to reduce costs in your organization:

Convert fixed expenses to variable.
Develop a plan to staff your business strategically. Minimize the number of permanent employees on your staff to the level needed to sustain your core volume of work. Proactively plan to bring in extra help when it’s needed.

Bring in expertise on an as-needed basis.
Temporaries can deliver the experience and skills you need without impacting fixed expenses. As an added benefit, temporary “experts” are often less expensive than consultants.

Lower benefits costs.
Limit benefits expense by using temporary employees. Most temporary employees receive only limited benefits which are paid by the temporary staffing service. Companies with extensive benefits programs may not want to offer full benefits to all employees. Using a temporary staffing, payrolling or employee leasing service may make it possible to offer more limited and cost effective benefits programs to these employees.

Eliminate overtime.
Use temporary employees to reduce the amount of overtime worked by your permanent staff.

Reduce training costs.
Reduce training costs and learning curves by bringing in temporary employees who are trained and have experience using the skills you need.

Streamline recruiting.
Use a permanent placement service to eliminate the cost and time involvement associated with advertising, screening resumes, interviewing, testing and reference checking applicants.

Lower payroll expenses.
Eliminate the costs associated with processing and administering your company’s payroll and benefits by using a payroll or employee leasing service.

Reduce unemployment claims.
Using a temporary in place of a short-term employee prevents an unemployment claim from affecting the client company.  Legally, payrolled or leased employees work for the company providing the payrolling or employee leasing service. All claims affect the staffing service’s unemployment rating, not yours.

Eliminate operating inefficiencies.
Inefficient functions can be outsourced to services that can perform the work more effectively. The outsourcing service should be able to reduce expenses and improve performance while allowing your company to focus on its core competencies.

Develop a Strategic Staffing Plan for Your Organization
At Bayside Solutions, we help clients evaluate their current workforce and develop a strategic staffing model to help lower overall employment costs and access the skilled talent they need.  Discover more about Bayside Solutions contract staffing services.