The temp to permanent employment refers to an arrangement where the company hires a contract employee from an agency. If the employee performs well and the company is satisfied, they may offer a permanent position to the contract employee.
Companies find the temp to hire work arrangement useful but temporary employment laws are complicated which is one of the things that hold companies back. However, the temp to hire employment can be simplified by using temp to perm agencies ( VitaminTalent/Temp-to-Perm-Agencies ). Here are some tips that show how you can use a temp to hire an agency to your company’s advantage.
Use Temporary Workers to Deal with Workload Fluctuations
The temp to hire is a flexible work arrangement that allows companies to stay current with the needs of the workforce. Unexpected peak periods, employee shortages, special projects are some of the work scenarios in which companies need additional headcounts.
Temp to perm agencies specialize in providing temporary employees who can help companies deal with such workloads. If the company feels the increased workload will continue for longer periods they can offer permanent employment to the contract worker.
According to federal minimum pay rules; employees who have worked in excess of 40 hours in any seven day period are entitled to receive overtime pay from their employers. Do you know the overtime pay is 1 1/2 times the employee’s hourly rate? Your company’s operational expenses increase significantly with increased workloads.
The best way to keep your overtime hours down is hiring temporary employees from temp to perm agencies. The temporary employees would share the additional workload and your permanent employee is not required to work for extended hours. If the work does not require special skills, your supervisor can train temporary employees and get the work done.
Reduce Operational Expenses
The real employer of the temporary or contract employee is the temp to the permanent agency. In most temporary workforce arrangements, the temporary employee is not added to the staff roster of your company along with permanent employees. Your company is only entitled to pay wages for the hours of service rendered by the temporary employee. In most temporary employment arrangements, the client (where the employee works) is not required to pay health insurance or vacation to temps.
Eliminate the Probability of Bad Hires
The temp to permanent employment ( VitaminTalent/What-We-Do ) arrangement offers companies to test the temporary employee on all aspects such as required skills sets, behavior and cultural fit. It is very difficult for recruiters to find out information of all traits that will help in differentiating employee into a good one or bad one.
When companies hire a contract worker from temp to perm agencies they have ample time and opportunities to monitor the temporary employee and see if he/she is a perfect fit for the organization. This aspect of temp to permanent is very effective in eliminating the probability of a bad hire.
The above tips can help you gain maximum benefits when working with temp to perm agencies. Companies get certain advantages of using temporary employees through agencies without worrying about the contractual obligation of the employment.
Do you use temp to the permanent agency to hire temporary employees? Feel free to comment below.