Most employers have a passing knowledge of what contract staffing is, often confusing it with temporary or freelance help, and are not getting the benefits of a very important part of the staffing mix – contract staffing. Certainly, the most popular topic in staffing circles across the country is contract professionals. Yes, some authorities estimate 70 percent to 80 percent of all businesses are using contract workers on a regular basis and with great success.
Today, we will look at some of the reasons why business leaders have gone contract, how they do it and how contract staffing can do wonders for your business in these stressful times.
First, we should know that a “contract” employee is not the same as “temporary” or “freelance” employee. The contract employee is an employee of a contract staffing firm, like Kemper Associates, who is contracted out on assignment to another firm for a term from one month to many months until the job is finished. This contract person is a highly experienced and specialized professional paid by the contract firm, which also provides the contract worker with health insurance, handles all payroll deductions and other administrative tasks.
Among reasons you would need a contract professional are:
• Your company is under a hiring freeze but still needs highly skilled professionals to complete a project.
• Your company has found a very well-qualified candidate for a key position but wants to test the candidate on the job before offering a permanent staff position. Call it a “test drive,” if you will.
• Your company wants to bring back your own retired specialists, but you have no budget for staff workers for help with key project or tight deadline. This person knows your company and your projects and can step in “without missing a beat.”
• Your company needs to convert a 1099 independent contractor to a W-2 employee because of concerns with the IRS.
Contract staffing gives you important added flexibility. Here’s how:
1 Contract professionals can be brought on board quickly, often to meet those tight, short-term deadlines.
2 Companies can reduce layoffs by using contract specialists to meet increased workloads.
3 Highly experienced contract specialists can offer a valuable fresh perspective to various company assignments.
4 Companies have the option of hiring contract professionals on a direct-hire basis or letting them go at the end of their contract assignment while avoiding unemployment tax costs.
To sum up: contract staffing makes good sense in any economy. But during periods of economic slowdown, like the one we still are in, it proves essential and is used by just about every successful company. Contract staffing provides the flexibility to manage workloads and reduce employment costs. It allows employers to meet crucial deadlines with seasoned professionals while keeping control of staffing levels by not adding employees – and without adding salary costs, corporate benefits, employment and unemployment taxes, etc. If you haven’t examined contract staffing, it is definitely something you seriously should check into – and now.
Philip Kemper is founder/president of Kemper Associates, a 36-year-old Chicago-based national executive search firm specializing in permanent and contract staffing for tradeshows and exhibits, staging and equipment rental, business meetings and events production, video, training and incentives and more. His more complete bio is on LinkedIn at: www.linkedin.com/pub/philip-kemper/2/795/308/ . You may view Kemper Associates’ Website at: www.Kemperassociates.net and can contact Phil with questions, comments and employment needs via email at Kemperassoc@hotmail.com or his private phone line: (312) 944-6551.
