"How much does it cost to hire someone or to get a temporary employee?"
I get it. You need to hire someone, but can’t find them on your own and the job has been open for two, four, eight weeks now. Now you decide to turn to a staffing company as a last resort and want to know the price, it makes sense. Before looking at what a staffing service may cost, you should first explore the expenses you already have as part of the equation.
What are the hidden costs to a job vacancy?
Don’t overlook the lost productivity and potential costs associated with the job being vacant. Cross-training employees covering job vacancies makes sense, but not always. If you pull that crosstrained employee to do their job AND cover the vacancy for two, four, eight weeks, you need to estimate the price for errors, missed deadlines, and overtime. Depending upon your business or industry, you might be surprised at the hidden costs tied to a vacancy.
What is your time worth?
The next big factor in this equation is “how much do you get paid per hour?” This is an easy step to miss. Decide who is going to take charge of the process and do some estimating on the overhead expenses. Determine the equivalent hourly wage of the person leading the search and estimate how much time per day that person will spend on contacting candidates, scheduling interviews, and handling follow ups.
How much time do you need to screen and interview applicants?
First, look at the calendar and set a target hire date, then work backwards from that date. Assume the ideal candidate needs to give a two week notice and determine the date offers that need to be extended. This way you can be sure enough time is allocated to the process.Who is involved in the hiring process?
If you have more than one person involved in the interview process, be sure to add up their hours spent in interviews multiplied by the equivalent hourly pay rate and add it to your other totals.
Do you have a job description?
If not, you should! Whether you hire on your own or utilize a staffing company, being able to articulate a summary of the role and how the position fits into the overall scope of the organization could be the deal breaker on candidate acceptance. People want to work for companies where they feel they can impact the organization. Your staffing company representative should help you with this step if you need it.
Working with a staffing company early in the process can help reduce these costs by offering a temporary employee to cover the vacancy and reduce the time spent interviewing by presenting only qualified and interested candidates.
Once you have determined how much your vacancy could cost, the price of using a staffing company may have new perspective. Call us at 800-910-7354 or visit our website at www.celebritystaff.com to locate one of our offices and meet with an account manager who will review your situation and help you decide if our services are right for you.
Patty North, CPC, SPHR, Celebrity Staff General Manager
Patty began her career at Celebrity Staff in 1994 and currently serves as the general manager of Celebrity Staff, a leading staffing and recruitment firm, specializing in placement of administrative, management and legal professionals. Patty has assisted organizations across a four state region with the development and implementation of best practice strategies in the areas of talent acquisition and talent management. Her collective insight and expertise on workforce planning, garnered from her 25 years in the staffing industry, has enabled clients ranging from small businesses to Fortune 500 corporations to improve performance and gain a competitive advantage in their respective markets. Patty is a Certified Personnel Consultant (CPC) and has her Senior Professional in Human Resources Certification (SPHR). She has a Bachelor of Science degree in Human Resources and Family Sciences.