Everything You Need to Know About Corporate Temp Agencies and How They Work

Introduction-

Temporary agencies, also known as staffing agencies, are in high demand in America right now. They offer complete employee hiring solutions and take care of most of the HR-related demands and tasks which can take a toll on some employers. The process of hiring employees, maintaining them, paying them salaries, doing background checks and interviewing them is quite taxing and requires a lot of time and effort. Corporate temp agencies take a huge chunk of work away from employers via their relevant services.

How They Work-

Many businesses who are looking to hire a corporate staffing agency have little idea of how they work. The premise is quite simple really; client companies have to list out open positions to fill. The staffing agency contracted to fill the positions will search for candidates using their huge database or post job listings for new candidates. Once the candidates are selected, they are interviewed for the job. This helps shortlist the most appropriate ones for the job, after which they are sent to the parent company to work.

Main Functions of Staffing Agencies-

Some of the main functions of staffing agencies are:

• Ø  Handling every task related to employee hiring from posting ads for job listings to interviewing, background checks and finalizing the right candidates.
• Ø  Maintaining the job lists and work timings of every employee under them and creating appropriate records for showing to employers.
• Ø  Paying employees salary based on the hiring company’s policies and other types of employee compensation packages.
• Ø  Handling employee terminations and other such proceedings.
• Ø  Providing employee benefits such as Medicare and 401k savings plans.

The functions performed by staffing agencies differ based on their clients’ needs.

Benefits for Employees-

Employees can hugely benefit from staffing agencies as their work history and resume is already stored on company servers when they apply for the job. This ensures that they can get notified whenever another similar job opens up. Plus, experienced employees don’t need to be interviewed as frequently as fresh employees. Staffing agencies also provide them with some permanent employee benefits that the hiring firm won’t otherwise provide to temporary and contractual workers.

Fees and Payments-

Different types of staffing agencies have different kinds of charging rates and methods. Some take a cut from the salary of the employees (they usually offer the ‘final’, deducted salary to the employee when offering the job). Some charge hourly rates irrespective of employee salaries. Some charge based on the number of positions filled, and so on.