Many companies use a one-size-fits-all approach when hiring, defaulting to permanent employees for nearly any need. However, certain alternatives are often a better strategy in specific situations, giving organizations much-needed versatility and workforce agility.
In order to ensure you use the right approach, you need to examine key points to determine your exact needs. If you want to figure out which hiring style is best for your company – direct hire, temporary, or temp-to-hire – here’s how to go about it.
When to Use Direct Hire
Direct hire – where an employee joins your payroll right away – is the default approach many companies use when they have any kind of vacancy. However, it’s only best in certain situations, primarily those involving a long-term need for a specific skill set.
Along with the position being relevant long-term, direct hire is an excellent choice for hard-to-find skillsets where competition for top talent is fierce. When a candidate has plenty of options when it comes to employers, they may not be as open to alternative arrangements, such as temp-to-hire. They know they can snag a permanent job with ease, so it’s often best to embrace the traditional approach and move them onto your payroll immediately.
Situations Where Temp Workers Are Best
Temporary employees are an ideal solution for short-term workforce augmentation. For example, if your company has a peak season where having more hands on deck is beneficial but doesn’t require a workforce of that size for the rest of the year, temp workers allow you to increase your staff without a long-term commitment.
Plus, temporary employees traditionally remain on a recruitment agency’s payroll. As a result, you can reduce your risk since the staffing firm is responsible for employer-related costs, such as unemployment and worker’s compensation. Overall, that can also reduce the overall cost, all while providing you with the utmost flexibility.
Temp workers are also a fantastic option for covering absences. If a core employee needs to be away for any amount of time, but that absence will significantly hinder productivity, a temporary employee can cover that gap, allowing you to augment your workforce until your permanent employee returns.
When Temp-to-Hire Is the Ideal Choice
With temp-to-hire, the end goal is to find a right-fit employee to join your payroll permanently. The main difference is that the worker initially starts on the recruitment agency’s payroll. This arrangement allows you to conduct a low-risk working interview, ensuring the candidate can handle the responsibilities of the role and meshes with your culture before you extend a permanent job offer.
Overall, temp-to-hire is a solid choice for long-term positions, particularly those that are entry-level or mid-level and don’t involve niche skills that could make direct hire the better choice. If you need to hire in bulk, it’s also a smart option since it allows you to assess how a group of new hires work as a unit, enabling you to ensure that everything gels before you extend permanent job offers.
Reach Out To Us
Ultimately, each of the hiring styles above can be part of an effective strategy. If you’d like to know how these versatile solutions can benefit your company, the team at GoSource wants to hear from you. Contact us today.