3 ways to save recruitment
These changes apply not only to technology and people, but also to entire companies, which must respond in an agile way to the current needs of the business environment and ensure the continuity of the organization’s work regardless of the economic situation. In many industries, seasonality is an additional challenge, which forces even greater mobilization in a given period. We are talking about the manufacturing, logistics, trade and service industries, for example. In order to achieve business goals and remain competitive on the market, employers should ensure that internal processes are arranged in such a way as to be able to flexibly manage human capital. On the one hand, it is necessary to have permanent, qualified employees on board, and on the other hand, it is supported by temporary workers, whose number can be quickly increased or decreased if necessary.
Establishing cooperation with a temporary employment agency saves a lot of effort, but also time and money. What are the 3 most important benefits for an organization using the temporary employment service?
Relieving the burden on the HR and HR and payroll departments
Using the services of a temporary employment agency is, above all, a great support for HR and HR and payroll departments, or actually relieving them of many time-consuming tasks. It is the agency that is responsible for searching for and hiring the right employees. Therefore, the internal HR department does not have to plan the recruitment process, arrange meetings, or conduct interviews with candidates, but can focus on other key tasks that will realistically translate into the organization’s profits.
The same is true for the HR and payroll department. It is the agency’s tasks to include the entire HR and payroll service of temporary workers. What’s more, the agency can also take care of a number of other activities for the company, such as referring the company to medical examinations or initial health and safety training.
Cost reduction and flexible management
Cooperation with a temporary employment agency also ensures cost optimization. The agency’s margin is much lower than the potential personnel cost of conducting the recruitment process, handling rotation and performing HR and payroll settlements of the selected employees. And let’s remember that in the case of employment of foreigners, there is also the time necessary to legalize the employees and their accommodation and possible organization of transport from their place of residence to the workplace. In addition, there are external costs for, for example, the publication of job advertisements, travel to recruitment meetings, purchase of other forms of job advertisement, etc.
“Our experience shows that few companies in Poland calculate real recruitment costs. While external costs are checked, personnel costs are very rare. And the reality is merciless – if you want to hire more employees for e.g. a season, you need additional hands – not always just two – to work. Employers usually do not find it profitable to hire a new person for a few months, so they shift responsibility to the HR department, which is usually heavily burdened with daily work anyway. He has two ways to choose – either overtime or postponing his current tasks. Both solutions are not beneficial for the employer. Using the services of a professional temporary employment agency is the best possible solution here – says Agnieszka Haponik, Business Development and Marketing Director at LeasingTeam Group.
Cost optimization is indispensably linked to employment flexibility. By using the temporary employment service, the company pays the agency only when it needs employees. During the peak season, it increases the crew, and when orders run out – it reduces the number of employees. This is possible thanks to the freedom in the duration of temporary contracts and shorter notice periods.
It is also worth considering introducing temporary employees to the company in a situation where the full-time team regularly works overtime. On the one hand, this will relieve employees, improve their efficiency and avoid the phenomenon of demotivation that can lead to resignation. On the other hand, it is a real saving for the employer, because the costs of overtime (+50% or +100%) are usually much higher than the agency’s margin.
Changing fixed costs to variable costs
Every manager is well aware of the importance of proper management of fixed vs. variable costs. In many companies, the former, i.e. to a large extent employee salaries, constitute a significant part of the company’s overall costs. As a result, companies very often define rigid salary budgets for each department. In the event of an accumulation of tasks or extra orders, employees work overtime or some projects are postponed. Both of these solutions in the long run entail real losses for the organization.
The solution to this problem may be temporary workers, who in such a situation can be entrusted by the company with some of the responsibilities of a given department, without increasing fixed costs.
– Every month, the employer-user receives a VAT invoice for the service from the temporary employment agency. Therefore, the client changes the fixed cost, which would be salaries in the case of internal employment, into a variable cost. In other words, it has the right number of people on board to carry out all the planned tasks, but it does not increase the salary budget – explains Agnieszka Haponik.
As the issues discussed above show, cooperation with a temporary employment agency is the answer to many challenges that entrepreneurs face on a daily basis. The company is given the opportunity to flexibly adjust employment to current needs, relieves internal departments and thus generates significant savings or reduces expenses.
Temporary work also means office workers
Importantly, temporary employment agencies can support employers in recruiting both production and office workers. There is a common belief that temporary workers are primarily manual workers. However, this has long been outdated. Yes, agencies support their clients in acquiring the so-called blue collars, but they also cooperate with a number of so-called white collars. We are talking about employees of administration, call center, customer service, and even departments such as finance or marketing. A temporary employment agency is therefore able to offer clients employees for almost every department that operates in a given company.
– White collar temporary work is becoming an increasingly popular service among customers. Employers are cost-conscious and know how important it is to be flexible in these challenging times. Within the company LeasingTeam Porfessional, which specializes in white collar services, we support clients in almost all areas of their business, from accounting or human resources, through administration and customer service departments, to marketing and sales. In our opinion, this trend will deepen – comments Agnieszka Haponik.
Doświadczony analityk rynku pracy, specjalizuje się w badaniach nad trendami zatrudnienia i zmianami w strukturze zawodowej. Jego artykuły, publikowane w renomowanych czasopismach branżowych, pomagają czytelnikom zrozumieć dynamikę rynku pracy.
