How to Determine Whether You Need Temp, Contract, or Direct Hire Staffing

Whether for seasonal surges or to build your overall staffing numbers, working with an employment agency is a great way to find high-quality candidates to fill open positions. But when it comes to choosing between temp-to-hire, contract, or direct hire staffing, you might not be sure which is the best fit for your business needs. Let us break things down for you! Read on to learn more about these three categories of staffing and how job placement agencies, like the professional team at DeLong Staffing Specialists, can help.

What Is Temp-To-Hire Staffing?

A temp-to-hire job is an employment arrangement between an employer and a job seeker that is officially temporary, but offers the possibility of the worker being hired as a full-time employee at the end of the specified employment period. This type of staffing position may also be referred to as "contract-to-hire," and allows both parties to determine whether or not the position is a good long-term fit.

Temp-to-hire works by putting the temporary employee on the payroll for DeLong Staffing Specialists for a specific period of time. We handle the paperwork and legalities, and the “employee” works for you. Once the agreed-upon period of time is over, the employer can either extend the temporary employment, permanently hire the employee, or end the contract. If an employer chooses to hire the worker, the contract with us ends and the employer assumes all responsibilities for legal requirements, payroll and benefits.

Temp-to-hire positions can be short or long term, and allow for the ultimate flexibility for employers. Employees are able to showcase their skills and consistent performance in hopes of gaining a full-time position, but can also choose to keep things temporary if that suits them. Either way, employees gain valuable experience, expand their professional network, and both parties can fill gaps, either in employment or staffing.

What Is Contract Employment?

Contract employment is similar to temp-to-hire employment in that it is for a set period of time, but unlike temp-to-hire employment, contract employment does not focus on gaining an eventual full-time position. Instead, both parties know that this is a more project-oriented position. It may be for a seasonal surge in business, or a push to finish an important project. Once the goals are complete and the contracted time has elapsed, the contract worker’s employment ends. Both parties can benefit when they have this understanding from the outset.

What Is Direct Hire Employment?

Direct hire employment is the third common type of employment available from job placement agencies. Direct hiring is the closest thing to a typical job hiring process, but typically employs the help of a staffing agency. The employing company is seeking a qualified candidate that fits their requirements and has the necessary skills to fill an open position. When they work with an employment agency, the recruiter will narrow down available applicants to find those who are ideal for the job. They present these options to the hiring company for the final decision.

Some positions are more likely to be direct hire jobs, such as those that require proficiency in a particular skill set or demand specialized training. Both the employer and candidate benefit from the process, since the pool of workers is naturally smaller and more competitive. The employer has a guaranteed fit, and the worker knows that their skills and training make them valuable. This type of staffing can yield more committed, long-term employees. And unlike temp-to-hire positions, when a job seeker is hired directly by an employer, they will be full-fledged employees of the company, not the staffing agency. 

Which Type Of Employment Services Should You Choose?

All of these types of employment arrangements have their own ideal applications in an employer’s staffing arsenal. Each employer will need to evaluate the duration, scope, budget and skill requirements of their project to make the best decision. An employment agency can work with you to determine which type of employment service may work best.

The key factors that can help you to decide are:

• Duration: immediate, short-term needs vs. ongoing, permanent roles
• Specialization: high-level, strategic, or core roles vs. more general positions
• Budget: temp-to-hire, contract, and direct hire positions all have different overhead costs, recruiting and onboarding costs
• Flexibility: temp-to-hire offers the most flexibility for employers
• Urgency: temp-to-hire positions can be more quickly filled, while direct hires require more lead time

Employers who need to fill a position quickly may opt for temp-to-hire, with the option of gaining a full-time employee in the long run. On the other hand, if they have a specific project that requires extra staff, they can plan for this with contract employment. And if they need a new permanent hire but don’t have the staff or bandwidth to handle the recruitment process themselves, then direct hire could be their best option.

All that said, employers don’t need to feel pressured to choose just one type of employment service. In fact, a hybrid approach can actually serve to offer more efficient solutions to a wide range of staffing needs. 

Work With Our Cleveland Employment Agency

When you need employees right away to fill seasonal, temporary, or long-term positions, you can rely on the skilled, professional team of recruiters at DeLong Staffing Specialists. We’ve been working hard for Cleveland employers and job seekers since 1983. Our experienced staff average over 12 years with us and have a combined 125+ years in the staffing market.

Next time you need to fill an open position and the thought of recruiting and hiring becomes overwhelming, leave the hard work to us. We supply top-quality workers for open positions in the manufacturing and office/professional sectors. There are plenty of staffing agencies in Cleveland, but our experience and expertise set us apart. Contact DeLong Staffing Specialists today to learn more and get started finding the employees you’ve been searching for!