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Explained: The Roles and Responsibilities of a Staffing Agency


February 4, 2021

Roles and Responsibilities of a Staffing Agency

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Ask any business owner or even an HR manager worth their salt, and they will say that the biggest asset of any organisation is its people. What they may admit to (with some reservations) is that a company’s biggest liability can also be people. It all depends on who you have hired.

Staffing is a huge responsibility! Do it well, and you have an unbeatable workforce that takes the organisation to new heights. Mess it up, and you will lose time, money and worst of all, reputation. And, it’s often impossible to predict which way would the dice of staffing roll. That’s why businesses are increasingly opting to employ the services of a staffing agency.

What is a staffing agency?

A staffing agency or an employment agency fulfils the hiring requirements of any company in accordance with the skills they need. The people that join the company through a staffing agency are not employees but temporary workers who are on the payroll of the staffing agency itself.

When should you opt for a staffing agency?

Sometimes business owners find it hard to outsource their workforce needs to staffing companies; they’d rather be the ones in charge of the hiring process. However, once they get over this mindset, they often find it useful to collaborate with placement agencies, especially a temp agency, for temp jobs.

Employment agencies are exceptionally handy in the following situations:

  • There is an urgent requirement for a large number of skilled workers on a short-term project.
  • Your business is a seasonal one, and you don’t need people around the year.
  • You need a highly qualified worker with a specialised skillset.
  • You do not have the resources or the time at your disposal to recruit a team.
  • You want to reduce recruitment costs like a large HR department, insurance for employees, etc.

Sometimes, a staffing agency can be single industry-focussed serving only a particular sector like IT or manufacturing. In other cases, they allow businesses to connect to specific roles like executive positions or subject matter experts.

What are the responsibilities of a staffing agency?

A staffing agency can provide end-to-end staffing solutions to a business, which includes:

  • Understanding the workload needs of the company
  • Determining the workforce required to meet the same
  • Conducting interviews and shortlisting candidates
  • Vetting potential candidates through background checks and employment history
  • Drawing contracts and looking at legal issues
  • Imparting training in case of gaps
  • Follow-ups on the performance of the temp workers to see if the requirements are met

Further, if the worker is not the right fit, then it’s the responsibility of the staffing agency to terminate the hire and compensate, as needed.

Additional Reading: 5 things to consider when selecting a staffing provider

What kind of roles do staffing or placement agencies offer?

Though employment agencies offer temp jobs, they can scout for different types of permanent jobs too, depending on the requirements of the business. When they reach out to job seekers, staffing companies categorise them into the below roles:

  1. Contract employment/Short-term hire: This model focusses on the immediate needs of the company. In this case, the project is short-lived, and it needs specialised services. Seasonal requirements and temp jobs usually fall under this category.
  2. Long-term staffing: This model takes a proactive look at the company’s needs and growth plan, for instance, if a company plans to set up a new branch or there are employees who are retiring or will be taking maternity leave or sabbatical.
  3. Temp-to-hire: In this model, the company takes the temp on a trial basis. If they meet the performance criteria, then the worker shifts from the staffing agency’s payroll to that of the company and has a permanent job with the company.

What are the benefits of a staffing agency?

It is not just the question of fulfilling a temporary need. There are many advantages for a business to collaborate with a staffing agency. For instance:

  • Staffing agencies have specialists to identify the right talent. They work with proven strategies, have metrics for effectiveness and technological tools to facilitate hiring. These may not be at your disposal.
  • Staffing agencies maintain a talent pool. They actively work on building a network of skilled professionals. They reach out to online communities, passive candidates, even host their own events to develop their talent pool.
  • Staffing agencies can hire faster and more accurately. With their access to the right talent, they find suitable candidates more easily than your internal teams. They refer to sourcing tools, professional portfolio sites and related platforms to fulfil your requirements in a short time.
  • Staffing agencies offer tailor-made solutions. With the many models of hiring available, staffing agencies devise a solution that works specifically for your company.
  • Staffing agencies let you focus solely on your growth. Considering the host of services they provide, staffing agencies ensure that the burden of the entire hiring process of quality candidates is on their shoulders.

Finding the right staffing partner

Before you decide to employ the services of a staffing provider, do ensure that they are the right fit for you. Consider answering the following questions as you learn more about them:

  • Do they offer the kind of staffing solutions you need?
  • What is their recruitment process like?
  • What services set them apart from other staffing agencies?
  • Do they provide a talented workforce in a timely manner?
  • What is their reputation in the market?

By learning about these parameters, you will know if joining hands with a staffing agency reduces risk or further imposes it. Only the right people can help your business, grow and only the right staffing agency can help you meet them. So, evaluate, assess, partner and hire!

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