One difficulty faced by a moderate sized business experiencing growth is sustaining a solid employee base. It’s a guessing game as to whether the growth will be sustained, or if it will stop. For some companies, seasonal periods mean peak sales they need personnel to accommodate. A contingent workforce solution may fill in the gaps. There are some distinct advantages for using contingent labor.
Financial Savings
A contingency workforce solution can help offset times of peak volume. Overstaffing is a common problem when businesses hire just to accommodate busy times. Contingent workers can save a company expenses since the staffing firm absorbs costs such as vacation time, sick pay, and health insurance. Hiring independent contractors also saves on expenses such as withholding social security, unemployment fees or payroll taxes.
Lessens the Strain on Admin
There are several administrative tasks that are handled by the company who supplies the contingent workforce solution. There is no need for documents necessary for employment and other time-consuming tasks like going through applications, interviewing candidates or preparing tax related forms. Administrative duties are also lessened in cases when it’s time to reduce the workforce.
Improved Job Security for Full Time Staff
Using contingent workers creates a type of buffer for the full time staff by providing the opportunity to scale the number of workers as needed. Temporary labor can give permanent employees a better sense of job security. When times get rough, they understand contingent workers will be the first to go if it becomes necessary to make cuts.
Effective Recruiting
Working with a firm who provides a contingency workforce solution can be a great tool for recruiting full time personnel. The company can easily evaluate a worker on their actual job performance. Those who do a good job, are efficient and effective may be offered full time positions after this real-life testing.
Check out the Innovative Employee Solutions website to learn how a contingent worker solution can benefit your business.
