Hiring temps is a great way to improve the quality of workers overall. This is because of the "try before you buy" position on hiring that many take when first approaching a temporary services agency. Another way to benefit from temp workers is to use them together with an employer of record, who will list that employee under its own company as a worker there. This helps as a way of outsourcing HR responsibilities like payroll, which can cut down on expenses. By combining these two approaches, a company would do very well for itself.

Trying out workers
According to the National Federation of Independent Business, there are many benefits to trying out a worker before hiring them permanently. For example, if someone does a great job in an interview, but turns out to be lazy on the job, this can be identified quickly when that individual is hired on a temporary basis. Additionally, most temporary services firms hire people after performing an interview already. They will also put that person to work at other jobs in order to test him or her on easy assignments first before gradually introducing the employee to more challenging work. Thus, the candidate found through an extensive screening process will likely be much better than someone who just appeared after seeing a job posting and having his or her resume approved.

People also have a tendency to work well or poorly with others depending on the circumstances. If someone is just a bad fit, it may have nothing to do with culture. In such a case, what might turn out to be a thorn in the side of the company can be a no-harm-no-foul release of the worker back into the temporary agency, thus avoiding a poisoned well.

Hiring through employers of record
Outsourcing HR services can sometimes be a great idea, and one way of doing this is through an employer of record, who will take care of the payroll and benefits for someone while that employee works for another company. The cost of non-compliance with payroll rules can be quite high. A recent report by Staffing Industry Analysts demonstrated that the U.S. Department of Labor's Wage and Hour Division found hundreds of thousands of misclassified employees who were listed as independent contract workers. The difference between these two worker categories is such that employers will often have to pay back wages, which can be very expensive. This can be avoided through the use of temporary workers, who are employees for the agency rather than for the company.

Combining these two approaches
A healthy company employs temporary workers and full-time employees. Having both means that the workers in management positions can be permanently employed – they are therefore less likely to leave the company because they have great opportunities for growth. In contrast, the temporary workers are going to have a great deal of ambition because they likely want to find full-time employment. This means that only the best people are going to be hired for the jobs where hard work and managerial skills are needed.

This results in a company with a lot of very good workers, all of whom are motivated to succeed.

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