For a layman, which we doubt would be any reading this blog post. Contract staffing is a process where a company outsources its staffing requirement to a reliable contract staffing agency. In simpler terms, a company needs a particular number of staff with a predefined skill sets but they don’t want them on their payroll, in this scenario they hire an agency to fulfil their requirement.
Why companies choose this format?
There could be many reasons for a company choosing to opt for contract staffing. They could be tactical aiming to fulfil a short term requirement or it could also be a strategic move meeting the long term business objectives of the company. Whatever may be the reason, contract staffing to date has always created a win-win situation for every party involved. There are many benefits that are inherent with a contract staffing arrangement, some of them are:
- Cost saving
- Minimal internal HR resources utilization
- No additional burden of compliance
- Ability to manage multiple locations easily
- Enhanced ability to match demand with staff
- The companies always have the option to quickly resolve issues
- Better motivated workforce
- Efficient and legally complaint business environment.
The picture from employee side
One of the reasons behind contract staffing gaining popularity in India is the fact that the employees have also begun to love it. This is specially true for the blue collared workforce of India. Lets be a little candid here, blue collared workforce is like our operations backbone, they are the ones who get things done and put in hard and long working hours.
For a very long time their proper management has been ignored, there is no one to be blamed for it, it is just that our business environment was such. With changing times the level of awareness increased and companies also realized that their staff requires more than just timely disbursal of salaries to be motivated. They have to be made happy to control attrition. One way this could be achieved is when the worker knows that he has is freedom and legal rights taken care of.
When working for a contract staffing company or agency, the worker knows that every legal requirement will be met for sure and they would have a proper grievance redressal mechanism that would listen to them and help them out. This is assurance and the respect they need which is being provided to them.
What companies stand to gain from contract staffing?
A lot actually, the company choosing to opt for contract staffing can save a lots of money and hassles that they would generally face while engaging their in-house HR team to manage the duties. Things like compliance modalities and payroll are managed by the staffing firm and they have the ability to handle the requirements of multiple locations on the fly.
Apart from these there are many more intangible benefits for the companies that they can avail. To know more, you can always connect with one of our staffing experts. Visit : https://protostaff.com/contact/