Temp-to-hire is a trend that is gradually increasing across industries. Temp-to-hire is normally processed through a staffing agency wherein the candidate is initially hired on a temporary arrangement. While there is no guarantee that it would turn into a permanent position, at times, temp-to-hire may be converted into a full time role depending on the candidate’s job performance. Flexibility and faster hiring process are the best benefits of temporary staffing, and hiring a contractor gives your company immediate productivity.

How temp-to-hire works

Temp-to-hire work assignments last anywhere from three to six months on an average. There is a possibility that it could be extended after this duration. The arrangement resembles the probationary term where a candidate is assessed for three months typically before a permanent offer is made.

The full benefits including insurance, perks or leaves do not usually apply to temp-to-hire candidates. But some recruiting firms provide those benefits to the contractors. The employee is under the contract of the third party staffing agency for the entire duration of temp-to-hire.

A study by CareerBuilder showed that 42% of organizations want to increase temporary staffing.

Benefits of Temp-To-Hire

Cost saving: Hiring the right candidate takes time, effort and money. With shrinking HR departments and the consequent resource crunch, hiring managers are under constant pressure to hire quickly and hire right while justifying the costs of hiring. Cost to hire an employee is significant when all factors are added up to include cost of advertising, screening, interviewing, attending job fairs or conducting paid searches in job portals. These costs can be minimized with a temporary staffing sourced from a recruiting firm.

Time saving: Recruiters spend a lot of time screening resumes. It is estimated that for a single job, on an average 250 resumes are screened. The long process of screening, interviewing and onboarding also mean there is consequent delay in filling up a vacant position. Time lost also translates to loss in productivity. Temp-to-hire through a staffing agency saves up considerable time which also means cost savings.

Try before you buy: Even with the most structured interviews, it may be a challenge to assess the suitability of a candidate. The actual job performance after hiring may not match up to the expectations in a permanent hire. On the other hand, temp-to-hire gives the best opportunity to see if the candidate is the right fit in terms of culture alignment, skills and competencies. With real assignments being handled during the contract, a more accurate picture can be obtained of the temp-to-hire employee.

Using a staffing agency can help 

Employers across industries are taking the help of a staffing agency to hire the right talent in the quickest span of time.

A reputable staffing agency can close the skills gap and help companies find the right fit for the job. With a wide array of skills available with the staffing company, it is easier to hire right. Most industries can benefit from staff augmentation and temp-to-hire positions for skills such as accounts payable/receivable, administration, marketing, information security, technical support, and customer support.