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Hiring full-time employees is a costly and time-consuming process. But that doesn’t mean you can’t take action to minimize the expenses.

Many employers have been taking a hard look at their permanent roles to save money. While those roles are essential to the success and growth of the business, they are coming to the conclusion they don’t necessarily require a full-time employee.

Temp workers are nothing new. But the nature of temp work has changed. Many workers are opting for temp work because it offers more flexibility. And many employers are turning to temp workers for real payroll savings—both in time and for the company’s bottom line.

#1: Temporary Employees Don’t Require the Benefits Package

One of the most significant expenses for employers is providing your team with attractive benefits. But benefits like health insurance require employers to pay out plenty of proceeds to fund. The more full-time employees on hand, the more expensive the benefits package will end up being.

Paying employee benefits costs businesses across the country an average of $21,726.00 a year combined with the employee’s salary. On average, you are spending close to $72,000.00 annually on an employee.

This is one of the main motivating factors for hiring temp workers. Because temps don’t require a hefty package of benefits, you can save a sizable sum in benefit expenses—even if you offer slightly more in an hourly wage to attract top temp workers.

#2: Temporary Employees Don’t Require Unemployment

Another expense of permanent employees is the responsibility to provide for unemployment benefits when their position is terminated or worker’s compensation benefits if they’re wounded on the job.

However, this obligation does not extend to temporary workers. Because the vast majority of temp hires go through agencies to find positions, their unemployment claims are the domain of the agency rather than yours.

In addition to the savings of unemployment and worker’s comp, when you don’t have to worry about the liability and possible risk of your employees, that can be a lot of stress off your plate.

#3: Temporary Employees Allow You to Regulate Overtime

One additional benefit of temporary hires is that you can more effectively regulate the amount of overtime you will have to approve. This is because temporary workers can be hired on an as-needed basis. So, if some specific tasks and positions need to continue past the standard operational hours, you do not need them to work overtime.

Instead, some companies have been hiring two part-time temp workers for a single role, allowing them the flexibility to shift them out to fill in the gaps.

While overtime may not be a consistent issue for all employers, it can be a financial drain otherwise avoided by using temporary hires. It is also worth noting that overtime can be denied but will also cost you an employee working on a project that needs continued attention.

Take the Hassle Out of Recruiting

Temp workers can be an incredible asset to your workforce and a way to mitigate certain costs associated with permanent hires. This is not to say you do not still need permanent hires, but that certain expenses can be avoided by using temporary ones. That said, recruiting temporary workers can prove to be a challenging endeavor without assistance from an agency you can trust.

This is where Action Group Staffing comes in. We offer recruitment for temporary and permanent employees for several industrial roles. Contact us today and take action to improve your workforce and possibly lower your bottom line. We’re standing by and ready to assist you however we possibly can.


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