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Contract vs. Contract-to-Hire

When a company needs staffing assistance but isn’t looking to bring on more full-time employees, per se, it has two options: contract or contract-to-hire.

Contract Employment

Contract employment is a great solution for unforeseen workloads, major projects, seasonal busy periods and leaves of absence. Temporary jobs normally have a timeframe with a specific end date. While a contract worker may perform work on-site for a company, they are technically employed by a staffing company.

The use of temporary contract workers is a versatile option for both professionals and employers. It allows companies to save on labor costs and gives professionals the chance to gain experience or earn a much-needed paycheck.

Contract-to-Hire

A contract-to-hire arrangement ostensibly begins with a short-term assignment, which can lead to an offer of full-time employment. Within this trial period, an employer has a chance to directly assess a worker’s abilities as they deal with responsibilities and established employees. This real-world, real-time evaluation provides a far more comprehensive picture of prospective staff members than a standard hiring process for full-time employment.

Concurrently, your contract-to-hire staff can see if they’re satisfied with their job duties, work environment, the company culture and apparent opportunities for advancement. Through daily experiences, both parties can achieve more sensible decisions about a future working arrangement.

Employers looking to establish a contract-to-hire arrangement ought to explicitly say so upfront. If a full-time position isn’t on the table, it is helpful for employers to make that clear as well. A staffing agency can use the parameters of the arrangement to find suitable applicants, and laying out intentions can also present miscommunication and any awkward situations.

Tips for Welcoming Both Contract and Contract-to-Hire Workers

Regardless of what type of talent acquisition solution your company uses, it’s important to set the foundation for a productive relationship by properly welcoming new workers.

Be sure to have an organized workspace for new workers. Provide your supplemental staff with a clean, organized space that has all the tools, supplies and equipment they need to succeed. Also, be sure email and internet access are ready for them, if needed.

To enable them to easily fit in and become as effective as quickly as possible, invest some time in proper onboarding, which may include a tour of the facilities and introductions to essential personnel. An on-boarding program can also lay out communication practices, standard procedures and specific expectations, such as when to elevate concerns to management.

Contract or contract-to-hire employees also want to be complimented when they perform well. It is important to be sure these workers get proper recognition; just as full-time staff members might receive for similar performances. If their efforts are valued and acknowledged, they’ll be more likely to work harder for your company and consider long-term employment.

Let Us Find the Right Talent Solution for Your Organization

At Thompson Technologies, we partner with our clients to provide them with proper-fit talent solutions. If your company is currently in need of such a solution, please contact us today.

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