What Do You Need to Consider When Using Temporary Employees?

Most business owners will eventually come to a point where they need to hire  short-term employees. The process for doing this doesn’t have to be long or difficult. Staffing agencies can make your hiring process a breeze, but there are still a few things to consider before you hire.

The Cost of Hiring

When you bring a new employee into your business, you probably don’t think about what the hiring process costs. You have the expense of job ads or fairs, the cost of your time to look through resumes, fees associated with background checks, and the expenditure of training a new staff member. For a savvy business owner, it doesn’t make sense to spend so much on a short-term investment.

Fortunately, because temporary employees don’t require the same benefits as permanent employees, it’s typically cheaper to hire temps for short-term assignments. Plus, if you hire from a staffing agency, it will handle the employee’s background testing, all necessary paperwork, and payroll. This will allow you to save both time and money.

Types of Short-Term Workers

While you may be under the impression that contractors and temporary employees are the same thing, there is one very important reason to understand the distinction: there are legal implications of hiring each. Because contractors are not considered employees, you won’t be responsible for providing them with benefits or even paying taxes for unemployment.

Temporary employees, on the other hand, are treated similarly to any other employee. While benefits that must be provided vary from state to state, you will most likely be required to offer unemployment benefits, worker’s compensation, and to pay Social Security taxes.

It’s important to consider how hiring a temporary employee or contractor could affect your bottom line. If you don’t have it in your budget to hire a temporary employee and offer the necessary benefits for a very brief assignment, it could be in your best interest to hire a contractor instead. However, if the assignment is going to last for several months, you may have no choice other than to hire a temporary employee.

Safety Concerns

Whenever a new staff member comes on board, it’s important to make safety a priority for everyone. For jobs that can be dangerous, special care should be taken to ensure that the temporary employee has all of the necessary safety training in order to perform their job tasks. Never assume that your new worker has been in identical conditions previously and knows exactly what to do in the event of a hazardous situation.

Needing a temporary employee isn’t a bad thing– it’s often a sign that your company is growing. As long as you research good hiring practices and ensure that your temporary employee is an adequate fit for your business, the whole experience can be good for all parties involved.