Brief review about contract to hire staffing services
Contract to hire staffing services are those services that are provided by staffing
agencies or firms acting as a middle man in recruiting candidates on contract basis for job
openings of their client company or organizations. The contract to hire staffing agencies
collects a fee during the contract period and receives a bonus in case the candidate of theirs
is hired as an employee on a permanent basis.
The contract to hire staffing agency usually enters into an agreement, which is known as
Contract-to-hire agreements that sets a period within which the concerned employee will
work for the employer. At the end of the contract period, the employer decides whether to
provide the employee an offer of working as a permanent employee or dismiss the
employee. The Contract-to-Hire employees goes through the regular interview, reference
checks and testing in advance like any other temporary employees either at the premises of
the staffing agency or at the place of the employer. Hiring the services of contract-to-hire
employee allows the client company to try out a key resource before actually committing for
a full time or permanent hire.
The contract to hire arrangement creates valuable synergies for the employee in case he or
she looking for a long-term assignment in addition of getting a good real working
experience. For companies preferring the contract to hire staffing services would derive
the below mentioned benefits and these are:
1. Contract employment allows both the employee and the employer to evaluate their
compatibility and suitability for a longer working relationship. Majority of contract
assignments lead to permanent employment for the contract to hire employee.
2. Contract to hire staffing addresses the project needs, business cycles and work force
peaks. It gives organizations the flexibility to hire talent they require when they need it.
3.Hiring contract employees through the contract staffing agencies allows companies to
focus on their key or core business activities rather than spending their valuable time on
recruiting efforts. In addition, organizations would be able to minimize costs and
administrative burdens and associated costs.
4. Hiring on a contract basis also provides a healthy relationship between the employer and
the employee. It also minimizes employer responsibilities such as wrongful dismissals,
mandatory deductions, severances, taxations and other liabilities that arise when hiring a
Thus, these are the benefits that an organization derives when going in for Contract-Hire