When operating a business one of the biggest challenges is adapting to circumstances beyond your control. One of those circumstances is the economy. Even though you cannot control the economy, you can successfully adapt to any economic changes by investing in temp staffing.
There are a number of reasons why you should use temp staffing in a tough economy. These include the following three:
- Mitigate Rising Costs
- Improved Performance
- Increased Flexibility
Mitigate Rising Costs
An investment in temp staffing can potentially help your company combat against shrinking profit margins. Part of the reason for this is because temp workers are employees of the agency. Because of this fact the temporary staffing agency look after the paying of all expenses for the temp workers, such as the following:
- employee benefits
- unemployment insurance
- all source deductions (i.e. taxes, CPP, vacation pay, WSIB)
This will allow you to use a temp worker for a short term period without experiencing any increase to your company’s payroll. Another advantage to using temp staffing is that it will allow you to reduce the costs of paying overtime. You can simply use temporary workers instead of having to pay your permanent staff a premium to cover a few extra hours.
Temp staffing can provide an advantage when you are faced with short term projects. You can deploy temp workers who possess special skills that may not be available amongst your current staff. If it is not a skill set that is generally required, it would not make sense to hire permanent staff to look after a short term need.
Another advantage to using temp staffing is that you can “try before you buy”. By giving a temp worker a test run you can decide if they will be the right fit for your company. This will reduce the risks associated with hiring the wrong person. This will simultaneously cut costs and improve productivity.
The demand for workers continues to fluctuate. Temp staffing allows you to avoid becoming over or understaffed. When there are temporary increases in workload you can bring in temp workers to reduce the load. When that workload starts to decline, you can return the temps back to the agency. This increased flexibility will greatly cut down on the termination costs associated with layoffs.
Using temp staffing helps to mitigate your costs, improve your performance and increase your flexibility. You may not be able to control the economy, but by using temp staffing you can successfully adapt to any economic changes.