It’s no secret that workforce costs are on the rise. It can be difficult to keep your business profitable when you’re faced with sky-high operational costs. Hiring temporary employee to work at your business can help you to better manage staffing costs, keeping them at a level you can afford.
Whether you’re looking for more efficient ways to handle staffing during peak seasons, trying to cut back on training costs, or searching for a more efficient way to handle staffing gaps, temporary employees can be the answer you’re looking for when you need extra help.
Five Ways to Cut Costs with Temporary Workers
Developing a strategic workforce plan that leverages temporary employees can help you better control rising labor costs. Here’s five ways your company can benefit from hiring temporary workers:
- Extra Help When You Need It.
Many companies have a peak season each year when business experiences a significant increase. You’re either forced to pay employees overtime to work extra hours or risk losing major profits because you can’t keep up with demand. Temporary employees offer a unique solution, as you can hire them when you need extra help, but won’t be left with additional staff when business slows back down.
- Lower Benefits Costs.
If your company has an extensive benefits program, new hires can be a pricy addition, as you have to pay coverage costs in addition to salary expenses. Eliminate benefit costs when you hire temporary employees, as the staffing agency provides coverage to workers.
- Cut Back on Training Expenses.
Training new employees can be a costly process for your company. Not only are you burdened with the expenses associated with teaching a new worker to perform necessary skills, work is left to pile up during the training process, creating deep inefficiencies.
- More Time to Make Better Hires.
Rushing to hire a new employee to fill an open position can be very costly. A recent study from the Center for American Progress found the average cost of replacing an employee earning $50,000 per year or more is 20 percent of their annual salary. When you hire a temporary employee to fill in during the interim, you’re able to take your time hiring the right person, not simply the first one that comes along.
- Manage Employee Absences.
When a team member arranges a prolong absence, such as an extended vacation or maternity leave, it can create chaos at your business. If you’re short a key team member, work often doesn’t get completed in a timely manner, which can negatively impact profits. Hiring a skilled temporary worker to step in during extended absences allows for a smooth transition, creating little disruption to your business and your bottom line.
Thinking about hiring temporary workers for your business? Contact PrideStaff North Dallas. We have a wide-range of skilled professionals ready to perform great work for your company.