Temporary employment agencies vs. temporary contracts: comparison
Posted: Sun Dec 15, 2024 9:01 am
A temporary increase in customer demand is a situation that a business owner often has to deal with, often due to temporary employment. In many cases, the need arises to hire workers for a specific period of time.
And that's when the question arises: what is better, the services of a temporary employment agency or managing temporary contracts ?
There are three main advantages offered by temporary employment agencies :
They carry out the staff selection process and therefore assume its costs.
They usually have a database of candidates for multiple positions, which reduces search time .
They are responsible for
azerbaijan email list 194608 contact leads paying salaries, social taxes and, where appropriate, dismissals.
In other words, it is an outsourcing of the functions of the human resources department and some of its risks. In exchange, the user company pays a fee for its services.
Temporary employment agency vs. temporary contract
The size and capacity of the company, the duration of the professional relationship and the corresponding collective agreement are the keys to deciding whether it is more profitable and/or appropriate to directly hire a temporary worker or use a temporary employment agency.
By law, the salary of a temporary worker must be identical to that of those who are on staff and occupy the same position.
Based on this, we can establish several very simplified assumptions to help you make the decision:
Self-employed person running a small or medium-sized company that does not have a human resources department and needs workers for a single month or a few days. A temporary employment agency is a good option.
The temporary employment agency will be responsible for the search, interviews, payments and termination of the contract or dismissal, if applicable.
Self-employed person running a small or medium-sized company that does not have a human resources department and needs one or more workers for a year.
Always remember that choosing the best option will require a detailed analysis:
Estimate the time and effort to find the right person and convert it into cost
Add your full business cost
Next, analyze the ETTs' budgets month by month and multiply it by the duration of the contract.
In the analysis we must include the possibility that the activity can be contracted for work or service
In addition to the economic cost, there is one last consideration: temporary employment agencies are experts in staff selection, so they offer (in theory) a guarantee that their choice will be the right one. This concept has more weight the more difficult the selection is, both due to specialization and the lack of workers for the specific position.
And that's when the question arises: what is better, the services of a temporary employment agency or managing temporary contracts ?
There are three main advantages offered by temporary employment agencies :
They carry out the staff selection process and therefore assume its costs.
They usually have a database of candidates for multiple positions, which reduces search time .
They are responsible for
azerbaijan email list 194608 contact leads paying salaries, social taxes and, where appropriate, dismissals.
In other words, it is an outsourcing of the functions of the human resources department and some of its risks. In exchange, the user company pays a fee for its services.
Temporary employment agency vs. temporary contract
The size and capacity of the company, the duration of the professional relationship and the corresponding collective agreement are the keys to deciding whether it is more profitable and/or appropriate to directly hire a temporary worker or use a temporary employment agency.
By law, the salary of a temporary worker must be identical to that of those who are on staff and occupy the same position.
Based on this, we can establish several very simplified assumptions to help you make the decision:
Self-employed person running a small or medium-sized company that does not have a human resources department and needs workers for a single month or a few days. A temporary employment agency is a good option.
The temporary employment agency will be responsible for the search, interviews, payments and termination of the contract or dismissal, if applicable.
Self-employed person running a small or medium-sized company that does not have a human resources department and needs one or more workers for a year.
Always remember that choosing the best option will require a detailed analysis:
Estimate the time and effort to find the right person and convert it into cost
Add your full business cost
Next, analyze the ETTs' budgets month by month and multiply it by the duration of the contract.
In the analysis we must include the possibility that the activity can be contracted for work or service
In addition to the economic cost, there is one last consideration: temporary employment agencies are experts in staff selection, so they offer (in theory) a guarantee that their choice will be the right one. This concept has more weight the more difficult the selection is, both due to specialization and the lack of workers for the specific position.