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Why Do Companies Hire Staffing Agencies?

Hiring a staffing agency may just be a shrewd business decision for companies looking to gain an edge in finding top talent to fit their hiring needs.

As experts dedicated to sourcing and recruiting prospective job candidates, staffing agencies use their knowledge and network of connections to match companies with job candidates. Companies working with staffing agencies may even find opportunities they otherwise would not be presented with, without the help of specialized staffing experts.

Take a look at these four reasons why companies hire staffing agencies and consider whether it’s in your company’s best interest to do the same. 

1. To Save Time

Between searching job boards and career sites, extending personal outreach, screening candidates, and handling the admin work that follows, finding ideal candidates for your company can be an all-consuming, full-time job. Staffing agencies spend upfront time developing a clear understanding of how to meet a client’s needs while saving them time in the long run. A benefit of hiring a staffing agency is that they eliminate the hassle of the preliminary steps of the recruiting process by handling sourcing, screening, and the back-and-forth correspondence with candidates. With a clear picture of your company’s ideal candidates, paired with their expertise, staffing agencies turn the recruiting process into a more organized and stress-free task for companies.

2. To Save Money

Running an internal HR department can be expensive because its responsibilities are vast. Training and development, compensation, employee benefits, employee relations, hiring and recruiting, and more, all need attention. By hiring a staffing agency, companies can cut costs considerably by relying on a full agency of industry experts for the intricacies of recruitment and hiring, allowing internal resources to focus on other important business functions. Furthermore, companies that use staffing agencies also save on the ancillary costs associated with recruiting top talent, such as advertising open positions.

3. To Work with Industry Specialists

Staffing agencies are often comprised of employees in specialist roles whose expertise and bandwidth may far exceed that of a small company’s HR department. Many staffing agencies are entirely specialized or have specialized departments with industry-specific employees and recruiters. As dedicated experts in a particular sector, staffing agencies are privy to the latest industry trends, and, per their extensive network, are more attuned to those companies who are hiring or facing layoffs. Being “in the know” allows staffing agencies to get steps ahead of companies that are recruiting solely from their HR departments.

4. To Leverage Their Network of Connections

Staffing agencies are dedicated to finding top talent to match with companies, and their success comes from building relationships and an extensive network of candidates, hiring managers, business owners, and industry experts. With access to a bigger and broader talent pool, staffing agencies can leverage their brand recognition to source talent for smaller companies that may otherwise not find the same candidates.

Passive Candidates.

While staffing agencies have a large database of candidates who are on the hunt for a job, they may also reach out to passive connections when searching for top talent. A passive candidate is someone who is currently employed and not actively looking for a new job opportunity. There are many perks to pursuing passive candidates. For instance, they aren’t likely to be interviewing elsewhere. Sixty percent of workers aren’t seeking new jobs, but are willing to discuss new opportunities. This means that competition for this top talent is likely very low, giving the staffing agency the one-up to recruit them for your company.

Hiring a staffing agency isn’t right for every company. However, for companies looking to fill their organization with top talent, eliminate the stress of sourcing, recruiting, and on-boarding, and have the support of industry experts throughout the process, it may be wise to consider. Smaller companies with fewer resources and a less extensive network of connections may especially benefit from the bandwidth and expertise a staffing agency brings to the table.

To learn more about hiring a staffing agency and working with FrankCrum Staffing, call 888-670-1844.

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