Staffing agencies are the go-between employers and employees. They help employers to find talent and employees find work. Businesses that don’t have the resources to find talent use staffing agencies, while professionals can use staffing agencies to get noticed by employers.
What do staffing agencies do?
Staffing agencies’ responsibilities include:
- Staffing for temporary and contract employers
- Managing employees’ placements
- Outsourcing and outplacement
- Human resource services for employers and employees
Staffing Agency vs. Recruiting Agency
Staffing firms are similar to recruiting firms, but recruiters usually focus more on hiring for full-time, long-term roles. Staffing companies may manage more aspects of the hiring process (such as completing background checks and managing payroll and benefits) than recruitment firms.
Is it a good idea to use a staffing agency?
One of the benefits of staffing agencies is that they work directly with employers and know what they’re looking for in terms of qualifications. They can also share positions not widely known to candidates searching for a new role. Lastly, agencies can also help candidates prepare for interviews or rework their resume to fit a job description.
Pros and cons of working with a staffing agency for employers
| Pros | Cons |
|---|---|
| Produce faster results as they have a larger talent pool | Can be expensive, especially for small businesses with restrictive budgets |
| Seamless hiring as they take on much of the operations | Might focus more on faster hiring, as opposed to spending a significant amount of time finding the perfect fit |
| Help cover short-term needs | Might focus more on faster hiring, as opposed to spending a significant amount of time finding the perfect fit |
| Access to a variety of skilled workers to match client’s needs | Staffing companies work with multiple clients at the same time and have to divide their resources and attention |
How much do agencies charge?
The agency fee is usually around 15-30% of the candidate’s first-year salary. The employer pays this amount after the candidate is placed.
Agencies may also require a retainer fee for their services. This is typically independent of the outcome and is paid whether or not a candidate is placed by the agency.
Agencies may also charge a flat fee, irrespective of the candidate’s salary.
What types of positions do staffing agencies fill?
- Secretaries, office managers, receptionists, and so on
- Food handlers, cleaners, machine operators, maintenance workers and more
- Engineers, scientists, laboratory technicians, architects, technical writers, computer programmers, etc.
- Physicians, dentists, nurses, hygienists, therapists, custodial care workers, and more
- Accountants, bookkeepers, attorneys, paralegals, middle and senior managers, and so on
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