Why Using a Recruiting Firm is Cheaper Than Hiring Staff Yourself

There is that old cliché that if you want something done right, do it yourself. That is not always the case. For example, we can consider the task of hiring permanent staff for your company. There are many advantages to using a recruiting agency. This includes reducing many of the costs associated with the hiring process.

Here are three reasons why using a recruiting firm is cheaper than hiring staff yourself:

  1. Reduces cost associated with advertising, interviewing and hiring
  2. Reduces cost associated with training
  3. Reduces cost associated with a high turnover rate

Reduces Costs Associated with Advertising, Interviewing and Hiring

There are significant costs associated with advertising, interviewing and hiring. Because of the considerable resources of a recruiting agency, they are able to access a pool of talented workers much quicker and cheaper than you would be able to do on your own.

Part of the hiring process that a recruiting agency will look after for you includes:


  • Perform background checks
  • Check references
  • Perform screening techniques to verify that candidates have the necessary skills


If you were to engage in these steps for each applicant it could be very time-consuming. That is time that could be spent on improving the profitability of your company. Also, it is good to consider that a recruiting agency only has one focus. Their area of expertise is making sure your company finds the best staff possible. Because of this you are less likely to be stuck with unqualified employees. The costs in connection with this will be covered with the next two points.

Reduces Cost Associated with Training

Through the screening process, your recruiting firm will make sure that all applicants will have the necessary skills to perform the job. If your agency understands the needs of your company they can do much of the training before the new employee walks through the door. This will cut down on the considerable costs associated with training a new employee.

Reduces Cost Associated With a High Turnover Rate

A low employee retention rate can have the following negative effects on your business:


  • Increased spending  on advertising, interviewing and hiring
  • Increased spending on the training of new employees
  • It can lower employee morale


By finding workers that are the right fit for your company, your recruitment agency will help reduce the cost associated with a high turnover rate. Increasing your retention rate will increase your bottom line.

Doing it yourself is not always the best way to add staff. A recruiting firm can do it better and cheaper than what you could on your own.

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