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Job openings up, hiring down

Posted on July 8th, 2014 Read time: 2 minutes

Job openings stood at 4.6 million in May, according to the Bureau of Labor Statistics. USA Today reported this was the greatest number of openings in seven years. However, hiring is falling behind what it was before, reducing from 4.8 million new hires to 4.7 million.

Some economists believe the dip in hiring is because U.S. citizens don't have the right talents for the jobs that are opening, USA Today cited. But it may also be due to company selectivity because of the large number of unemployed to choose from.

Those companies seeking out the best candidates would do well to take time their hiring only the best person for the job. One way of doing this is with the "try before you buy" approach, which means hiring temporary workers through an employer of record and selecting the best fit for the company. This manner of picking employees is a great way to see what someone is like when he or she is really working, instead of merely giving an interview.

Temporary workers are also inexpensive solutions to short-term hiring problems.

Outsourcing as a way of doing business
One way of streamlining a company is outsourcing work to another company. For example, many businesses outsource HR services or payroll. Even United Airlines has begun outsourcing many of its jobs, according to the Wall Street Journal. The company is currently restructuring, looking for ways to save money. Another company in the same industry that outsources much of its work is Alaska Airlines.

At many smaller airports, the person who represents one airline might also represent a competing carrier at a different time of day for another flight. These workers generally work for a staffing firm that outsources to the airlines.

If United used full-time workers instead of outsourcing, it would likely have to pay much more, the Journal reported.

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