When Is Temporary Staffing More Efficient Than Permanent Staffing?

 The right team is the difference between success and failure. It takes good judgment to find great employees and maintain the right staffing level for an efficient business at any given time.

For many businesses, the best staffing solution leans on permanent employees combined with a flexible temporary staffing solution that you can add in when needed. Below, we discuss when it makes sense to hire temps and when it’s more efficient to hire a permanent employee.

When Temporary Staffing Is More Efficient

You Need Specialized Skills For a Limited Time

Every business has times when it needs specialized expertise from outside its regular employee base. Maybe you need some highly specialized welding work or advice from an IT specialist once in a while. In these situations, you likely can’t justify bringing on someone for a full-time role.

Working with a temp staffing agency is often the most efficient way to get special skills on a temporary basis. You can get access to the expertise you need, when you need it, without making a huge long-term commitment.

You Have a Major Project With an End Date

Launching a new product, doing major repairs, or putting together an event often means you need more hands on deck… for a time. Once the event is over, though, it won’t be efficient for your business to keep all that additional staff on your team. You already know you’ll likely need to downscale back to your regular team size.

Temporary staffing is a good way to fill the manpower gap for these kinds of needs. You can hire a temp or contractor to help until the project is complete, then part ways on good terms.

You Have Seasonal Needs

Industries like retail, outdoor activities, and hospitality tend to have predictable waves of high and low demand. If you know you’re going to have 40% more business in summer and less again in the fall, it doesn’t make sense to fill out your summer team with permanent employees.

Temporary staffing is the perfect choice for this situation. This way, you don’t have to take on all the extra legal paperwork and tax complications that come with laying off a long-term employee. Meanwhile, your temp staff will appreciate that you gave them realistic expectations about when the job would end. Being honest about your employment intentions tends to foster better relationships, which might come in handy if you want to bring a temp back in the future.

Your Current Employees Are Overwhelmed

Most employees can handle a large workload for a little while, but that’s not sustainable for long. Longer hours and higher stress lead to burnout, and your business will ultimately bear the costs of more absenteeism, lower-quality work, and turnover. In the long run, overwhelmed employees mean a less efficient business.

Temporary staffing is often a good way to give your employees some breathing room. Sometimes, all they need are some extra hands to carry the workload.

When Permanent Staffing Makes More Sense

You Need a Long-Term, Full-Time Role Filled

If your business’s need for a skillset is here to stay, there’s no sense in hiring a temp (unless maybe on a temp-to-hire basis). Over the long run, it will be more efficient to just hire a permanent employee.

If you don’t have time to deal with the hiring process right now, consider hiring a staffing agency to help you recruit, screen, and hire your new employee. A staffing agency will have the expertise to sift through the piles of resumes, efficiently test candidates’ skills, and find the right person for the job.

You Need Someone With More Experience

Let’s face it: most people would rather not work temp jobs. Only 4.3% of U.S. workers have temporary or contingent jobs, and of those, nearly half would have preferred a permanent job. Experienced workers are typically in a better position to bargain for a job with a consistent paycheck, good health insurance, and other benefits.

If you’re looking to hire an experienced employee, you’re competing against employers offering full-time positions for that talent. In many cases, your best bet is to invest in a long-term position.

Find the Best Staffing Solution For Your Team

Whether you’re looking for temporary staff, long-term employees, or candidates who are interested in a temp-to-hire arrangement, LG Resources can help you find the right people. Our staffing agency has helped match over 2,000 local business employers with over 20,000 employees over the past decade.

Our agency hires for skilled labor, light industrial work, and a wide range of other roles. We can typically find employees quickly from our large pool of pre-qualified talent. Fill out our employee request form, and we’ll be in touch soon.