Since a major expense for a company is paying for labor, flexible staffing options can dramatically change your labor expenses. One of the easiest ways of doing this is deciding how much of your workforce is static—meaning you require them to be full-time employees year-round, and how much of the rest can be variable. Essentially, you want to determine how many full-time employees you’d like have in comparison to temporary or contract workers.
Having an optimized and flexible workforce can:
Reduce Payroll Burden
Contract employees are useful because you can hire talent only when it is needed. This allows you to make use of highly specialized labor which commands a hefty price tag, but only for the specific project at hand. You get the benefit of professional skill without having to commit to a full-time hire. Because contract-work is provided through the staffing agency, this eliminates significant administrative burden on your HR department as well as payroll since any and all wage reporting and tax documentation are taken care of by the staffing firm.