Temporary staffing is becoming more and more mainstream across the globe. It has also started gaining large-scale acceptance in India over the past decade. Temp staffing simply means hiring an employee whose payroll and compliance, etc. related tasks are taken care of by the temp agency..
A temporary worker works with the end employer but is on the payroll of a temporary staffing company that pay this worker their salary and benefits. Thus, the arrangement is in the form of a tripartite agreement between the employer, the employee, and the staffing company.
A temporary worker understands that the tenure is fixed and only for the short-term; and can only be extended if it’s mutually convenient to do so. In many cases, however, temporary workers do end up becoming permanent employees if the employers value their skills.
Temporary staffing in India was initially restricted only to the entry-level workforce and was mostly disorganized. Over time, however, both the companies’ requirements and employees’ work preferences have undergone a phase shift.
As a result, temporary staffing is now common across all levels of the organization, especially in sectors like IT, BFSI, healthcare and pharmaceuticals.
As an employer, it’s not always easy to know if employing a temp agency is the optimal solution for you. Here are some reasons companies hire temp agencies. If you find any of these reasons familiar, you may need a temporary staffing solution.
# Increased Seasonal Business
Some businesses tend to spike during particular seasons. For example, order volumes in e-commerce companies during Diwali and customer traffic in retail outlets and restaurants during Christmas and New year.
Businesses with a need for employees as a means to curb the increasing demand for new personnel often take the help of staffing agencies. These agencies take care of the payroll, compliance, insurance, etc. related functionalities for the businesses with regards to the new personnel and make sure that everything is proceeding according to the business’ standards as they will be held accountable and are liable for any hiccups.
# Ascending Statutory Compliance Requirements
When your HR department is overstretched or ill-equipped to handle payroll for many staff, outsourcing it to a temporary staffing agency would be a good idea.
A major advantage of outsourcing payroll of the temporary staff is that the temporary staffing agency is an expert at handling payroll. They administer employee benefit plans and maintain all the statutory data that is needed by the government authorities.
Top-notch temp staffing companies such as Paysquare offer both standard benefits as well client-specific benefits to the employees.
Standard Benefits Include:
- C T C including different components of earnings/ deductions such as PF/ESIC
- Group Personal Accident Insurance Benefit
Benefits to ensure parity with client’s permanent staff include:
- Leave Policy
- Retiral benefits Policy
- Reimbursements and Claims policy
# Niche Skills Needed for a Project
In the recent volatile times of the market, you may find yourself working on a project which requires certain specialized skills, particularly in the IT domain (e.g. graphics designing, coding etc). In such cases, employing a temp staffing agency is a good idea.
This is especially true if the deadline for delivering the project is close or if the skill is one that you won’t require once the project is over.
Temporary staffing services offer clients the possibility to acquire new personnel with the necessary skills without having to take care of any of their HR formalities like joining formalities, benefits administration, payroll, leave management etc.
# Support for Re-skilling Existing Employees
This happens when companies undertake major shifts, for instance, a digital transformation. In such a scenario, existing employees need to be re-skilled in the new workflows and technologies.
It is important for the company to have the right temporary staff, usually skilled IT workers, who can train their existing employees and handle these new technologies simultaneously without a hitch in the core operations.
In such scenarios too, temp staffing agencies can handle all the benefits and administration of the employees and give them benefits on par with the permanent employees making it attractive to join on a temporary term!
# Fast Expansion
When companies are budding and expanding quickly(for example recently funded startups), they may not have the necessary expertise to handle statutory compliances and payroll processing.
This includes the HR formalities when employees are hired and fired. As these companies grow quickly it becomes difficult to have the right HR infrastructure in place on time.
In such circumstances, a temporary staffing agency helps by undertaking all the regulatory and compliance burden.
Act Now and Maximise Your Business’ Potential
If any or all of these situations seem familiar to your business, then there is a good chance you need temporary staffing.
If you’re looking for a renowned Indian company that provides temporary staffing across domains like BFSI, consumer durables, retail, telecom, chemical, manufacturing, e-Commerce, and healthcare sectors, you can partner with Paysquare, a Pune-based service provider.
They take care of the entire burden of your temporary staff; from joining formalities to onboarding to regular payroll and exit from the company. By outsourcing your staffing to Paysquare, you are free to focus on your core business without any distractions.