buyers guide to temporary employee services

Copyright © 2008 All rights reserved.

ATR International, Inc.

A Buyer’s Guide to Temporary Employment ServicesHow to find the service that is right for you

Choosing a temporary staffing firm

often amounts to nothing more than

a last-minute phone call to fill an

absence or to get help in a crisis.

However, a more strategic approach

to choosing the proper firm can minimize

costs and increase effectiveness and productivity.

This guide, and the

accompanying white

paper, is the starting point

in helping you compare companies and identify

the best temporary staffing firm for your business.

So How are Temporary Employees Commonly Used?

• To address normal fluctuations in a company's work flow

So How are Temporary Employees Commonly Used?

Examples of this include hiring temps for defined projects, unexpected orders, or time-sensitive projects.

• To address normal fluctuations in a company's work flow

• To fill positions that are temporarily vacant

Examples of this include hiring temps for defined projects, unexpected orders, or time-sensitive projects.

Examples of this include maternity leaves, sabbaticals and extended illnesses.

So How are Temporary Employees Commonly Used?

• To address normal fluctuations in a company's work flow

• To fill positions that are temporarily vacant

• As a source for permanent employees

Examples of this include hiring temps for defined projects, unexpected orders, or time-sensitive projects.

Examples of this include maternity leaves, sabbaticals and extended illnesses.

This is often referred to as temp-to-perm or "try-before-you-buy."

So How are Temporary Employees Commonly Used?

• To address normal fluctuations in a company's work flow

• To fill positions that are temporarily vacant

• As a source for permanent employees

• To find immediate expertise within a certain skill set

Examples of this include hiring temps for defined projects, unexpected orders, or time-sensitive projects.

Examples of this include maternity leaves, sabbaticals and extended illnesses.

This is often referred to as temp-to-perm or "try-before-you-buy."

This cuts down on ramp up time for time-sensitive projects.

So How are Temporary Employees Commonly Used?

What Types of Positions do Temporary Employees Fill?

Industrial and Production33%

Industrial and Production33%

* Technical (computer programmers, engineers, analysts, etc.) is the fastest growing category of the three.

Clerical and Office35%

Clerical and Office35%

Technical*32%

Technical*32%

What are the Differences Between Firms?

1. How do they find candidates? Most temporary staffing firms use internal networks, referals, job fairs, and Internent tools such as job boards to attract and recruit candidates. Look for firms that use these as well as more creative approaches.

1. How do they find candidates? Most temporary staffing firms use internal networks, referrals, job fairs, and Internet tools such as job boards to attract and recruit candidates. Look for firms that are not solely dependant on these approaches, but

use more creative approaches as well.

2. Local, national or global? National and global firms can attract greater numbers of candidates due to their brand name. Local firms, however, are often better known within their region and usually have a better understanding of the local market.

3. How do they screen candidates?Staffing firms use many different methods for screening candidates. These methods may include: computer testing, psychological evaluations, personal interviews, background checks, education verification, drug testing and work experience verification.

Cost Breakdown Temporary staffing firms generally charge a fixed hourly rate per temporary employee.  This hourly bill rate will vary depending on the temporary employees skill set. Easy to find, less skilled workers typically result in lower bill rates than harder to find, highly skilled workers.

The bill rate usually includes:

Cost BreakdownTemporary staffing firms generally charge a fixed hourly rate per temporary employee.  This hourly bill rate will vary depending on the temporary employees skill set. Easy to find, less skilled workers typically result in lower bill rates than harder to find, highly skilled workers.

The bill rate usually includes:

Pay rate: This is the hourly rate that is paid to the temporary employee by the staffing firm

Cost Breakdown Temporary staffing firms generally charge a fixed hourly rate per temporary employee.  This hourly bill rate will vary depending on the temporary employees skill set. Easy to find, less skilled workers typically result in lower bill rates than harder to find, highly skilled workers.

The bill rate usually includes:

Pay rate: This is the hourly rate that is paid to the temporary employee by the staffing firm

Statutory government payroll costs: This includes things such as FUTA, SUTA, Worker's Compensation, etc. 

Cost Breakdown Temporary staffing firms generally charge a fixed hourly rate per temporary employee.  This hourly bill rate will vary depending on the temporary employees skill set. Easy to find, less skilled workers typically result in lower bill rates than harder to find, highly skilled workers.

The bill rate usually includes:

Pay rate: This is the hourly rate that is paid to the temporary employee by the staffing firm

Statutory government payroll costs: This includes things such as FUTA, SUTA, Worker's Compensation, etc. Benefits: This cost will vary and should be negotiated up front with the staffing firm. Firms can be flexible with benefits. Keep in mind that benefits can be an effective tool in increasing worker retention.

Cost Breakdown Temporary staffing firms generally charge a fixed hourly rate per temporary employee.  This hourly bill rate will vary depending on the temporary employees skill set. Easy to find, less skilled workers typically result in lower bill rates than harder to find, highly skilled workers.

The bill rate usually includes:

Pay rate: This is the hourly rate that is paid to the temporary employee by the staffing firm.

Statutory government payroll costs: This includes things such as FUTA, SUTA, Worker's Compensation, etc. Benefits: This cost will vary and should be negotiated up front with the staffing firm. Firms can be flexible with benefits. Keep in mind that benefits can be an effective tool in increasing worker retention.

Profit: The staffing firms profit is also included in the bill rate.

Additional Tips

Guarantees Ask about guarantees from services for the workers. Reputable services

generally guarantee satisfaction by waiving fees for workers who do not work out over specific periods of time.

Additional Tips

Security ClearancesIf security clearance is of concern, see that the staffing firm is set up to accommodate your needs.

Additional Tips

PricingUnderstand that the lowest priced staffing firm probably won't get you the best candidates or do the best screening of those candidates. As a result, it is important to balance cost and your desired quality of candidates. "You get what you pay for" is an adage that truly applies to the staffing industry.

Additional Tips

Conversions Make sure to inquire about the cost of converting a temporary employee to a permanent position before working with a service. Doing this ahead of time can eliminate any unexpected costs should you decide to bring a temporary employee on as a permanent employee.

So which temporary staffing firm is right for your company?

There are 20 questions you need to ask, here are a few:

• Do they specialize, or have a division that specializes in, the types of positions you are looking to fill?

• How long has the staffing firm been in business?

• Will they give you a tour of their local facility?

• Are they relationship builders or order fillers?

For more information about finding the best temporary employee service for your company, please login to our Resource Center. There you will find the 20 question you need to have answered to insure you make the right choice.

We hope you find the information useful.

Please visit www.atrinternational.com