These Are Secrets Why Companies Use Temp Agencies

These Are Secrets Why Companies Use Temp Agencies

by Purva Jagtap

Just like bad times are temporary in our lives, so do some workers in a company. The reason might be the extensive short-term workload or some worker’s rightful holiday. This creates the need for temporary workers.

 Now! How do companies hire these temporary workers.? The answer is they seek help from temp agency.

Don’t worry; we got you; even before you think why Temp agencies, here is the answer:

They Speed Up The Process:

Usually, any company will post an ad then wait for the candidate to apply until the deadline. In some cases, the deadline is extended too because of fewer applicants. Moving on, the candidates are shortlisted and then interviewed. After this, negotiations take place with the selected candidates. 

This whole process can last at least for a month. However, Temp agencies have access to loads of talents from which the company can shortlist. We have breezed through the selection process time. Now, all we need to do is shortlist the right candidate for the gig. The budget is provided beforehand, so there are no negotiations too. 

Companies Can Save A Lot Of Cost:

The above-mentioned lengthy process requires vast resources. Starting from the newspaper ads to the HR department expenses. In between, we have to utilize our admin team for the paperwork, the communication with the prospective employee, and much more. The technical team also plays its part in creating online application forms. The finance department has to create payrolls and other things.  

An employer saves up all these resources once he hires a temp agency. The temp agency filters the right candidates from their huge talent pool. Unlike your permanent employees, the pay ends as soon as the projects are winded up.

Employers Can Choose From A Huge Pool Of Talent:

We all know that temp agencies act as middle man. A temp agency has records of both the employee and the employer. Obviously, the employee records will be way vast than the employers. This provides the agencies with a huge pool of talent through which the employers can choose.

Agencies dealing with thousands of employees have taught them to organize and classify their talent pool. All the talent is sorted into groups. An Employer can shortlist with his required specific skill set. 

Companies Can Save Their Image Through Temp Agencies:

Agencies are image savers, especially in these uncertain times. Companies can get rid of the hiring and firing game. An employer hires talent on the basis of a gig. The gig length can vary, but the employer isn’t firing someone. The gig just ended. In other words, temp agencies help protect brand images. 

Just consider an IT company. They require people when they have more work. Now, if they just hired someone during peak workload. Then fires them immediately once the situation normalizes. What would people think???. This is where temp agencies offer temporary employment killing two birds with one stone. Agencies make money, and companies can protect their image. 

Hiring Has Never Been So Secure And Flexible:

Companies can always opt for another talent if they don’t get along. The process is super, considering the huge amount of talent available. The desired talent can be hired as long as you want. The hiring can be short-term or long-term.

Besides the flexibility, agencies provide guarantees upon every hire. Solutions are offered against any mishap with the hired employee. In case the employee runs away, the paid amounts are refunded. Agencies bear the insurance cost, so you are secured from other mishaps too.

Depending on the nature of a business, the reasons can vary. A business might choose an agency because they relocate really often. Let’s say they provide a camping service. In which case a temporary local is the best. However, these are the most common reasons why companies opt for temp agencies. 

Conclusion

I hope you have your answer. Let us see if you consider one too once you become a successful entrepreneur.

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