Lacorsa Dellas Peranza Business What Is a Temporary Workers Agency?

What Is a Temporary Workers Agency?

A temporary workers agency helps businesses fill gaps in staffing by sending temporary employees to client companies on a contract basis. The agency recruits candidates for specific positions, conducts basic interviews, and verifies candidate skills before assigning them to temporary jobs at client companies. The client company pays the worker an hourly wage and the agency charges a fee to cover the costs of finding candidates and managing HR functions for temporary workers on its payroll.

Staffing agencies are a common way for companies to manage workload fluctuations without overpressuring existing employees. Temp workers can also help with projects that a regular employee may not be suited to, like a new computer system implementation or an influx in customer orders. They can even provide support during periods of high demand, such as during the Christmas shopping season.

Benefits of Hiring Through a Temporary Workers Agency

Some staffing agencies have a general focus while others serve specialized fields, including IT, natural gas pipeline safety engineering, data entry specialists, and legal compliance auditors. Often, highly-specialized staffing agencies act as mini recruitment firms by offering candidates the right education, experience and skill set for specific roles.

While there are many benefits to using a temporary workers agency, there are some drawbacks. For example, temps are not as incentivized to perform well because they know their engagements with the agency will be short-term. This can lead to poor performance if the staffing agency does not monitor and discipline low performers effectively. Additionally, a worker’s schedule is not known in advance, which can make it difficult to plan child care or other commitments. Lastly, some people in the gig economy do not report their income to the IRS, which can lead to tax problems.

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