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The Disadvantages of Man Power Staffing in Chicago
Hiring new employees can be a daunting task for even the most seasoned HR managers. Hiring the wrong person can have detrimental effects on the business and the bottom-line. To curb some of these pitfalls, many businesses turn to third-party agencies to fill vacancies in their business. These agencies are usually highly efficient and professional; however there can be a few drawbacks—especially if there are any misunderstandings in communication. These are a few possible disadvantages to going with an external staffing agency.
1) Service Costs
Hiring staffing agencies comes at a cost. You will be required to compensate the firm for their services. Typically, you will be required to pay administrative fees as well as a percentage of each employee’s salary. In many cases, these costs are negotiable. It is however, the responsibility of the business owner to do their due diligence and calculate whether it has a positive return on investment. The ROI of the business are of paramount importance when it comes to staffing.
2) Lack of Control
By taking yourself out of the hiring process you will relinquish some amount of control. Many individuals would love to carefully screen, interview and interact with potential hires before making a decision. This is especially true if your business has a unique culture that is better suited for specific personality types. It is highly recommended that you communicate thoroughly with the agency so they know exactly what you’re looking for.
3) Indirect Access to Candidates
Similar to the above concern, by relinquishing your control over the hiring process, you will have limited access to the candidates. This can make it difficult to ensure you’re getting the right person for the job. The agency should have already done the required background and reference checks as well as a thorough interview process in order to ensure your candidates are top-drawer.
4) Low Morale
By using temporary staffing solutions, there is the potential drawback of reducing the morale of your temporary staff. In most cases, temporary employees do not receive the same benefits as salaried ones. This can have a negative impact on morale and can harbor resentment towards permanent workers—especially if they are working together on similar jobs.
5) Legal Issues
By hiring temporary workers, businesses can open themselves up to legal issues. There have been a number of cases where business have been accused of hiring temporary workers and keeping them on too long in order to avoid their employer responsibilities.
It is extremely important for business to communicate clearly with their agency in order to reduce the occurrence of misunderstandings and to ensure both parties are satisfied with the arrangement. By ensuring communication is clear, most of the drawbacks to hiring a staffing agency can be eliminated.
Call Us Today 630-756-5546
1) Service Costs
Hiring staffing agencies comes at a cost. You will be required to compensate the firm for their services. Typically, you will be required to pay administrative fees as well as a percentage of each employee’s salary. In many cases, these costs are negotiable. It is however, the responsibility of the business owner to do their due diligence and calculate whether it has a positive return on investment. The ROI of the business are of paramount importance when it comes to staffing.
2) Lack of Control
By taking yourself out of the hiring process you will relinquish some amount of control. Many individuals would love to carefully screen, interview and interact with potential hires before making a decision. This is especially true if your business has a unique culture that is better suited for specific personality types. It is highly recommended that you communicate thoroughly with the agency so they know exactly what you’re looking for.
3) Indirect Access to Candidates
Similar to the above concern, by relinquishing your control over the hiring process, you will have limited access to the candidates. This can make it difficult to ensure you’re getting the right person for the job. The agency should have already done the required background and reference checks as well as a thorough interview process in order to ensure your candidates are top-drawer.
4) Low Morale
By using temporary staffing solutions, there is the potential drawback of reducing the morale of your temporary staff. In most cases, temporary employees do not receive the same benefits as salaried ones. This can have a negative impact on morale and can harbor resentment towards permanent workers—especially if they are working together on similar jobs.
5) Legal Issues
By hiring temporary workers, businesses can open themselves up to legal issues. There have been a number of cases where business have been accused of hiring temporary workers and keeping them on too long in order to avoid their employer responsibilities.
It is extremely important for business to communicate clearly with their agency in order to reduce the occurrence of misunderstandings and to ensure both parties are satisfied with the arrangement. By ensuring communication is clear, most of the drawbacks to hiring a staffing agency can be eliminated.
Call Us Today 630-756-5546