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7 Misconceptions about Temp Staffing Agencies

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Image by Gerd Altmann from Pixabay

Temp staffing agencies are an integral part of the recruitment process followed in the corporate sector. This statement is often half-heartedly believed as it’s met with scepticism since candidates fail to grasp how substantial and integral recruitment processes can be.

Companies understand the importance and size of the process. As a result, they work hand-in-hand with reputed temp staffing agencies. However, candidates or potential employees are not aware of the inner workings of the industry.

How the recruitment industry works is not exactly an advertised bit of information. Consequentially, candidates harbour misconceptions about temp staffing agencies and risk missing out on great opportunities. For entry-level candidates, this can especially hamper the initial phases of their career.

Here are seven common misconceptions about temp agencies.

1. Staffing Agencies Offer Low-Paying Jobs

For most freshers or new candidates, their understanding of the recruitment process and the overall HR staffing industry is from second-hand sources and newspaper advertisements.

They form an opinion based on the number of vacancies and advertisements that the newspapers display. Some might make a few calls and use that experience to make a blanket judgment. That’s where you’ll go wrong.

The thing is that most advertisements are for entry-level jobs. Staffing agencies continuously look to take in candidates into their system so they can be placed into different companies.

Since most of these jobs are for freshers, temporary and contractual positions, the advertised packages are low.
However, the truth is far from the perception in this case.

In fact, staffing agencies house teams of professional HR executives. They bring the bargaining power to the table which the candidates cannot. At the interview table, a candidate can get strong-armed into a low-paying contract, but the presence of an HR team gives the candidate leverage to negotiate.

2. Staffing Agencies Provide Only Temporary/Contractual Jobs

As mentioned in the previous point, most candidates form their conception of recruitment agencies based on advertisements. Since most of these advertisements are about contractual and temporary placements, the general consensus remains that agencies do not carry permanent positions.

However, there are two perspectives on this. First, temporary and contractual jobs also result in permanent positions depending on the performance of the candidate. These positions are often created for seasonal profiles but well-performing candidates are almost always accommodated. These placements happen internally and are not advertised. As a result, people remain unaware.

Secondly, companies use temporary positions as a way to gauge the talent pool at staffing agencies. Announcing contractual and temporary positions indicate no mandatory commitment from the companies in case the candidates are not up to the mark.

3. Big Companies Don’t Use Staffing Agencies

One of the most common misconceptions about temp staffing agencies is that they are used by small and medium enterprises. In fact, most Fortune 500 companies use staffing agencies. They use these agencies for all kinds of positions including entry-level, mid-level, contractual, and senior-level positions.

But staffing agencies are usually directed to restrain from releasing the name of the company. As a result, agencies use ambiguous terminologies like ‘reputed IT company’ or ‘top four professional services firm’ as a way to describe the placement company. This does not allow the general public to understand which company is actually hiring. The name is only made known when they appear for the interview.

4. Temp Staffing Agencies Don’t Care For Employees

People think that recruitment agencies work mechanically and hence do not care for their candidates. However, the future of an agency depends on its candidates. If an agency consistently provides good quality and match for the company’s position, it bodes well for their future. As a result, they are invested in training and creating a pool of talented and job-ready candidates.

5. Staffing Agencies Charge Candidates

Another common question that people ask is Do staffing agencies charge a fee? or Do staffing agencies charge you?. The truth is they do. However, it’s not from the candidates.

Their revenue is generated from the companies. Companies offer a certain percentage as a commission for providing candidates. As a result, genuine staffing agencies do not charge a single cent from the candidates.

6. Temp Staffing Agencies Don’t Offer Mid Level and Senior Level Positions

Staffing agencies do not advertise mid-level and senior-level positions. These hirings are performed by professional headhunters. These profiles are filled with lateral hires, meaning the candidates are already present in the industry with another company. As a result, no advertisements are released to the public. The vacancy is intimated to their internal pool of experienced candidates.

7. Staffing Agencies Provide Menial Jobs

Temporary and contractual hires are viewed as menial jobs. There are some positions which are menial, but that is just because those positions need to be filled as well. It does not mean that higher positions or better profiles are not available.

So, these were the seven misconceptions related to temp staffing agencies. As you can probably see by now that most of these misconceptions are actually beliefs that have popped up as a result of a lack of proper information. Hence, in disproving these misconceptions we have tried to bring the practice of temp staffing into the light and give it the recognition it deserves.