The Department of Labor considers an employee whose term lasts a year or less to be temporary. Temporary jobs are often available for a variety of reasons and allow employers to obtain help they need without having to add new employees to the payroll. There is usually a deadline or a target date associated with temporary work that marks an end to the period of labor agreed upon by the employer and employee.
Benefits of Temporary Employees
Saves Time and Money
Hiring a temporary employee can get you the help your business needs quickly without the cost and effort of recruiting and hiring staff and adding them to your payroll. Temps work on site under your supervision while remaining employees of the staffing agency. That means there are a lot of costs you don't have to deal with including hiring, firing, unemployment, workers' compensation, and benefits.
Offers Staffing Flexibility
Temporary employees help businesses by quickly filling openings caused by seasonal demand or employee absences like vacation, illness, maternity, or disability leave. Employers can stay current and meet demands, while not overstaffing to fill temporary positions.
Provides Time to Builds Skills
Temporary employment not only helps employers, but employees too by allowing workers to explore new career paths and opportunities without a long-term commitment. Temporary work can be an excellent way to build skills and gain experience while making connections in a particular field of interest.
Challenges with Temporary Employees
Training and Safety Concerns
There is always an adjustment period whenever a new employee starts, and training is required no matter their level of experience or skill. Hiring a temp worker might be a good move depending on the amount of training needed to get the employee up to speed and your industry.
For example, if you work in an industry like retail that has a seasonal rush around the holidays, and the same temps return every year, you might not have to spend a lot of time training employees. However, according to the National Center for Biotechnology Information, temp workers have between 24% to 54% higher rate of injury than standard arrangement workers. For those in the construction or manufacturing industries, the risk of costly injuries might not justify the accessibility of hiring temp workers.
Morale problems can occur among your employee base, especially if temporary and permanent employees are working together for an extended period. Temporary workers can start to feel under-appreciated if they are performing the same job, putting in the same hours, but do not receive the same compensation or benefits as permanent employees.
The Bottom Line on Temps
Overall, using a temporary employee can be a great idea if you have a short-term need to fill or do not currently have the resources for a new hire. A temporary worker can be a good solution, especially for seasonal work or if you need to quickly fill an open position. If you're interested in keeping a temporary employee with your company, you might want to consider a temp-to-hire placement.