Staffing needs during the current economic climate are very different from what they were just one year ago. Many firms have had to make the difficult decision to lay off valuable and veteran employees to coincide with a diminished cash flow and shrinking pipeline of work.
They are not alone. With the national unemployment rate reaching its highest level since December 1983, companies across the country ¾ and in diverse sectors ¾ have been forced to re-examine their workforce and staffing needs, and many have had to reduce their workforce accordingly.
When signs of the next upswing in the economy begin to appear, companies may wish to consider creatively balancing short-term or immediate business needs with long-term growth and workforce management strategies. Partnering with staffing companies is an excellent way to supplement existing staff as work needs begin to increase.
A working relationship with a staffing company allows firm owners to focus on winning new business instead of concentrating on hiring full-time talent. Hiring an employee on a contractual basis offers a flexible cost cushion because the cost to hire contract employees can be significantly less than the amount to hire and train a full-time employee directly.
Contract positions have gained popularity specifically in the construction industry, especially when hiring for new construction or other similar projects with definitive schedules. As projects of some magnitude and other new ones develop, staffing companies can provide qualified contract employees with an agreed upon start and end date. This can alleviate the need to lay off employees after the completion of projects. It also opens the door to potential future employment opportunities, such as converting the employee to a permanent position.
Top companies are always looking for the best and brightest candidates in the industry. Staffing firms fulfill a company’s immediate need for qualified employees while also providing the freedom to continue and/or end employment at any time. This allows companies to take full advantage of their internal resources and focus solely on current and new projects.
The economy will begin to turn around at some point and some indicators are showing that it may be sooner rather than later. The companies that are best positioned ¾ with every creative staffing tool in their arsenal ¾ will be able to reap the benefits sooner. Contract staffing might not be the solution for every scenario, but it does warrant careful consideration for short- and long-term solutions that will have lasting benefit.
