5 Reasons Why Recruiters Fear Contract Staffing

Fear of the unknown is completely normal and common. (And it’s also completely normal and common that we’re discussing the topic of fear this close to Halloween.) That’s why it’s not surprising that recruiters who have never placed contractors have a lot of trepidation about contract staffing. In fact, some of them outright fear contract staffing!

Fortunately, once they start making contract placements, these recruiters find that their fears were unfounded. To ensure these common fears don’t keep you from enjoying the steady income and increased sales that contracting offers, we will debunk some of the biggest phobias.

Do YOU fear contract staffing?

Below are five reasons why recruiters fear contract staffing:

#1 — “It’s too difficult.”

We know that the back office tasks and liability can be daunting, but you don’t have to worry about them. You can outsource the employment of your contractors and those tedious, risky responsibilities to a recruitment back office. Focus on what you know best—closing deals and making placements.

#2 — “My direct hire business will suffer.”

Not so! In fact, the opposite can be true. How? Well, if you pick up a contract staffing client and they enjoy working with you, they may also use you for their direct hire job orders. If instead you turn down contract job orders from your existing clients, and they use somebody else, you’ve just opened the door to a competitor to gain both their contract staffing AND direct hire business.

#3 — “I won’t generate enough income to justify the effort.”

You won’t receive a big lump sum like you do in direct hire, but that doesn’t mean you won’t make a good income. Recruiter income in contract staffing situations is paid on an hourly basis over the course of the assignment.

This steady income actually can be enough to cover overhead costs, making direct hire pure profit. A common goal for recruiters is to maintain 10 active contractors earning them $12 an hour. That would be an additional half a million dollars per year. Do you think that is worth your minimal investment of time?

#4 — “Job orders are difficult to find.”

Considering that nearly every company in every industry is using contractors, this is definitely a misconception. As many companies transition to blended workforce models incorporating both direct hires and contractors, they need recruiters who can get them quality contract talent. Because of this, you don’t need a huge marketing campaign to launch contract staffing services.

Simply inform your current clients that you can provide contract candidates. They will likely be happy that they can take their contract needs to the same recruiter who has been successful in meeting their direct hire needs.

#5 — “Candidates don’t want to work on contract.”

In reality, a growing number of candidates are choosing contract staffing as a lifestyle due to the flexibility and potential for higher earnings that it offers. You won’t know which of the candidates in your database would be willing to work on a contract basis—and which would not—unless you ask them.

Do YOU fear contract staffing? There’s no reason why you should.

In fact, are YOU ready for contract staffing solutions or contract placement services?

Then download our Quick-Start Guide to Contract Staffing. Or request a demo with one of our contract staffing specialists.

You can can also call us at 888.627.3678. Start making contract placements and start making more money!

(Editor’s note: This article is intended for informational purposes only and should NOT in any way be considered legal advice.)

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