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How Do Staffing Agencies Work?

Staffing agencies save time for both employers and jobseekers. If you are looking for an employment solution, you may want to learn more about how a staffing agency works to see if it is right for you.

What Does a Staffing Agency Do?

Staffing agencies match workers with employers looking to fill open positions. Employers pay the staffing agency to find and screen candidates, and the agency provides free job searching for workers seeking employment.

Here is an overview of the staffing agency process:

  1. An employer contacts the staffing agency for help with filling one or more positions. The employer describes how many employees they need, what the job requirements are, how long the position will last, and the rate they are willing to pay.
  2. The staffing agency uses its network to find suitable candidates, using internal lists, job boards, and social media.
  3. Workers who are seeking employment sign up with the staffing agency and discuss their qualifications with agency recruiters.
  4. The recruiters select several potential candidates for the job(s) and begin the recruitment and hiring process. In addition to reviewing resumes and other evidence of skills, they may perform screening interviews or introduce candidates to the employers, depending on the position.
  5. Once the employer decides to hire a candidate and the candidate accepts the job, the staffing agency takes care of most of the paperwork involved in managing contracts, employment taxes, and payroll for temporary workers.

Staffing agencies can help with temporary, temp-to-hire, and permanent job staffing. You can find specialized staffing agencies in virtually every industry and job category, from manufacturing to creative roles.

How Much Does It Cost to Hire a Staffing Agency?

Different staffing agencies have different payment models. Typically, the employer pays the agency’s fees. Jobseekers generally do not have to pay for job placement and may even receive incentives to work through the staffing agency, such as a $100 cash bonus or health benefits.

Fees can take several forms, such as the following:

  • Markups on the employee’s wages, depending on the job salary and location.
  • One-time fees for filling a permanent position.
  • Regular fees for filing a temporary position.
  • Contract buy-outs for filling temp-to-hire positions that turn into permanent employment.

Before hiring a staffing agency, you should always ask about their fee structure. That way, you can determine what you can afford and avoid unexpected expenses.

Which Local Staffing Agency Should I Choose?

Many staffing agencies specialize in certain industries, job categories and/or locations. Employers typically get the most value from a local staffing agency focusing on their industry, since these agencies are most likely to be familiar with local market conditions and industry job requirements.

If you are a Utah employer seeking specialized talent in warehousing, manufacturing, transportation,or anything in the light industrial industry, consider working with LG Resources. We post jobs daily on our job board and provide a range of customized workforce solutions, including flexible and project-based staff, temp-to-hire, and direct-hire placements.

Learn more about how LG Resources can meet your staffing needs in Weber, Davis, Salt Lake, and Utah Counties.

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