A staffing agency versus in-house hiring — which should you use? HR professionals often have their hands full just dealing with current employees. That is often a good reason to consider a staffing agency.
Chron explains the advantages of using staffing agencies. The main considerations are expertise, cost, network and retention.
Staffing Agency Expertise
In any line of work, you’ll find: the greater experience is, the greater the extent of expertise. Recruiting is virtually all that staffing agency recruiters do. As a result, they become extremely competent in the hiring process. When a staffing agency specializes in a certain field, say construction for example, its recruiters become very knowledgeable about construction skills. They easily recognize the right fit for a job.
Compare the concerted effort of a staffing agency to HR employees whose job duties, in addition to hiring include: job reviews, calculations of annual fringe benefits alliance, compliance with COBRA guidelines, coordinating health and disability insurance enrollments with service providers to administrate programs, maintaining personnel files to comply with legal requirements, and maintaining budget spreadsheets containing salaries, and (in some cases) handling payroll taxes.
Companies save on the costs of pre-employment testing, background investigations and other screening. Using a staffing agency is cost effective.
Staffing agencies have continual access to skilled labor networks that are quite vast in comparison with an HR professional, who occasionally hires. The staffing agency may already have established relationships with skilled laborers who have proven to be reliable and hard working. Tapping a potential employee for the job can often happen very quickly.
When a company hires a temporary employee, they have a chance to observe their work and evaluate performance and job skills. This opportunity can lead to greater retention of laborers and cut down on turnover rates.