What is Contract Staffing in Recruitment & Its Benefits?

What is Contract Staffing in Recruitment & Its Benefits?

7th April 2023

Every business owner today is seeking ways to earn profits and is willing to scale their business or company quickly. They want to manage their time and efforts efficiently in a way that adds value to their business. One of the most important pillars that ensure a business owner is able to manage time and the company well is its workforce.

The workforce can make or break a business. At times, it is crucial that a business owner hires employees ready to work for a shorter period on a specific project. This sort of short-term talent acquisition smoothens the entire working process. Here comes the need for contract staffing. It is where contract staffing services like Innovsource Recruitment Agency can help you. Continue reading this blog to understand more about contract staffing in detail.


Definition of Contract Staffing

Body Language plays a crucial role

Contract staffing is the process of employing workers on a short-term basis. You do not recruit someone as a permanent employee in your company or business. The contract lasts for a defined period of time after which the contractor or the company will not have any further obligations toward the other. The contract period depends on a specific project and its requirement.



Types of Contract Staffing

There are four types of staffing contracts that you can ask your contract staffing agency or services to offer. They are:

  • Fixed term contract
  • Part-time contract
  • Zero-hour contract
  • Agency staff

Fixed Term Contract

There are certain prerequisites to these types of contracts. They are normally signed for a single project and terminate once all the prerequisites are met. The contract can get extended and provides fixed compensation to the individual or the freelancer signing it.


Part-Time Contract

The individual bound by this contract has to work a certain number of hours as per the agreement. The individual gets security and opportunity like a permanent employee but has to work lesser hours and gets proper compensation depending on their working hours.


Zero-Hour Contract

This contract does not require any particular amount of time or a long period of work. The individual is expected to be available when called. Once they are done with their work, they can look for other opportunities for themselves.


Agency Staff

In this case, the recruitment of employees is done by staffing contract agencies. Here the staffing agency acts as the intermediary body between companies and job seekers. The candidate works for the company but is paid by the staffing agency or the company.


Benefits of Contract Staffing for Employers

  • Pretty budget-friendly.
  • Solves the problem of finding a skilled workforce for a specific project.
  • Makes employer management efficient.
  • Provides access to a larger talent pool.
  • Reduces the risk of hiring someone uncertain for the team.
  • Reduces the responsibility of the HR (Human Resources) department to hire new team members.
  • Makes workforce management easy.
  • Prevents laying off employees when things go another way for the company.
  • Gives access to a flexible workforce that will work as per requirements.
  • Improves the productivity and efficiency of teams.
  • Gives immediate results.
  • Reduces overhead expenses.


Benefits of Contract Staffing for Employees

  • In the post-pandemic world, all employees are used to working from home. Contract staffing ensures the hired individuals get a better work-life balance. The company will not have to worry about the benefits of employees, and employees do not have to worry about job security.
  • Some people are not able to fit the 9-5 job timings, contract staffing comes as a saviour to them as well. It gives them a chance to get higher wages and job conditions that suit the employees.

When Should You Not Go for Contract Staffing?

Contract staffing may not always be right in every situation. Here are a few of those scenarios:

  • One of the contract staffing challenges is you cannot use it to hire directors or your core management team. These positions have significant responsibilities towards the company and need to be hired through permanent recruitment/staffing.
  • If you have plenty of time & HR resources who can do the bulk-hiring job in-house than you can think of not outsourcing the contractual workforce hiring because the agency can save time & effort along with the cost of bulk-hiring.

Bonuses of Contract Staffing

Innovsource can help you recruit the blue-collar & contractual workforce for your company. Here is how contract staffing can ease your life:

  • The contractual employees are hired by contract staffing agencies. It saves you the time and effort to go through the entire hiring process.
  • The contract staffing agencies handle all the formalities like payroll management, employee background checks, contract legalities, and termination.
  • The contract's duration can be dynamic depending on your company’s needs.

To Wrap Up

Your business may not always need to onboard permanent employees for your team. You can select contractual employees for your company and fulfil all your urgent requirements in terms of work. You can also speak to our contract staffing specialist, and they can make the hiring process a lot more customized, quicker, and easier for you. Choose the recruitment strategy and people who suit your requirement, and your company will begin scaling up faster!

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