January 5, 2023
Contract Staffing FAQ
Contract staffing opens many doors and opportunities that you do not always get with permanent roles. According to a recent study, contract staffing holds 3.2 million jobs this year in the U.S. It is expected to grow another 6% in 2023. Here we answer some of your common questions about contract staffing and get down to how it could work for you or your business.
Contract Staffing FAQ with our Contract Staffing Manager, Kathy Hedrick
Recently, we sat down with our Contract Staffing Manager, Kathy Hedrick, to get answers to our most common questions regarding contract staffing and temporary work assignments.
Get to Know Kathy Hedrick
Kathy Hedrick has over 15 years of experience in Human Resources industry. She is constantly challenging herself to learn more advanced skills and strives to assist in developing business strategies that empower others for personal and business growth.
Currently, she leads our Contract Staffing Division as the Contract Staffing Manager, working with clients interested in hiring contract staff (short or long-term), as well as temp-to-hire. She focuses on playing “matchmaker” when talking with clients and candidates ensuring they are both excited and feel confident about their new journey.
For Kathy, matching the right candidate with the right company is imperative. Their work cultures must be compatible. Happy employees produce at a higher rate, and it becomes contagious. That is what will set a company apart from the competition.
Contract Staffing FAQ
According to a Staffing Industry Analysts report, contract staffing held 3.2 million jobs this year in the U.S. and is expected to grow 6% in 2023. That means there is a predicted 3.4 million jobs in the U.S. in contract staffing this year.
- How big is temporary staffing in our industry?
Career Builder did a study on industries planning on using temporary staffing agencies to hire temp employees in 2023. Manufacturing was second on that list, with 59% of employers planning to use contracted employees. Bottom line- contract staffing is HUGE!
- What are the typical pay and benefits for temporary employees?
There are many health benefits for contract employees. With MRT, we have multiple health insurance plans and options that are all ACA-compliant. On top of that, we also have vacation time that can be offered. Contract work may also be a great route for employees who are looking to be paid more. Often, contract work pays more per hour. At MRT, our average pay rate is $54 an hour.
- How do you find contract staffing candidates?
We have a vast network with thousands of connections that we update daily and constantly source for the best talent on the market. We keep a pipeline of candidates who enjoy contract work, and we know when they are expected to be available and coming off their current contract. We ensure that both the employee and the employer are a great match, and they align in their goals and values.
- How do we incorporate contract employees into our business?
Short answer- just give Kathy a call!
- How does contract staffing help with hiring limitations?
Contract staffing does one great thing- it keeps your headcount low!
When you use contract employees, they are not on your payroll, and therefore, not considered as part of your headcount. If you have a hiring limitation, but need more hands, contract workers can come in and alleviate some of that workload without counting toward your total number of employees. Another bonus is contract staffers will not count against your turnover percentage.
Will that help you on your annual bonus?
- What are the advantages of incorporating contract work into your business?
Whether it’s short-term contract, long-term contract or contract-to-hire, there are many benefits and advantages to including contract work in your business.
- When you need more flexibility for a specific job or task.
- For one off jobs or those requiring a very niche specialist or fast turnaround.
Thus, enabling you to concentrate on your core business. You can start on a project with short notice and ramp up quickly with many employees, and you get to specify the length of the contract. There’s no upfront cost, there’s no liability, no workers comp, no unemployment, and no onboarding.
Let these contractors come in and solve your business problems.
- Who is the employer of record and what does that mean for you?
Liability is put onto the staffing firm. Companies that hire contract workers are not liable for any onsite injuries or for providing benefits. Contract work allows companies to save resources, time, and money and puts all the liability back onto the staffing firm. That means no unemployment claims or workers comp claims for you, and you get to focus on your business!
- Why would we use a temp staffing service instead of filling the positions on our own?
Short answer leave recruiting and sourcing to the experts!
But honestly, 61% of freelance workers prefer to work with staffing firms. Staffing firms have connections to thousands of candidates that they’ve spent years and decades building this network. Candidates are at the touch of their fingertips, making the process quicker, more effective, and allows for them to present the best talent to you.
- What are situations in which contract employees would be needed?
Contract staffing is great for situations such as:
- Maternity or paternity leave
- Long term illness, or someone on FMLA.
- A unique project that needs specific skills
- Time sensitive deadlines that require more hands
- Seasonal needs
- IT upgrades
- Manufacturing expansion
- How do you think contract staffing has helped with supply chain issues and the expansion of reshoring?
With OEM and other manufacturers reshoring, the necessity for skilled trade workers has increased drastically. Programs that support manufacturing and infrastructure have increased the demand for more skilled workers. Contract staffing alleviates the pressure by hiring candidates for big projects and to also meet strict deadlines for your customers.
To learn about the basics of contract staffing; what it can do for you or your business, how it works, and the benefits read about it here.
If you are interested in the benefits of contract staffing or have questions regarding temporary workers, please do not hesitate to reach out to Kathy.
O: 850 542 1927
M: 229 869 2529