Partnering with a staffing service can be defined as an agreement between a business and a staffing service where both parties profit from the relationship. It requires that both parties respect and trust each other. They work together to find solutions. Partnering is more than just a good position that is filled, quality service or being responsive to business needs. Successful partnering brings long range strategic value to each organization, helping to increase productivity, control expenses and improve profitability.
To illustrate the benefits of partnering with a staffing service, here are three examples of how businesses are profiting by partnering with a staffing company.
Industry: Healthcare, fully accredited network of HMOs
Challenge: In an industry that is being driven by cost control, a regional HMO in Orange County, California was experiencing growing labor costs and difficulties in finding and keeping temporary employees.
Objectives: Retention of a flexible workforce due to an internal headcount restriction and cost control.
Partnership: The HMO and a staffing service teamed to provide an innovative solution where after six months the contingent staff would transition to the staffing service employ. The employee would receive a comprehensive benefit package where costs would be shared between the staffing service and the HMO. Also, a cost reduction plan was implemented based on length of service of each employee. A partial list of the benefits are: holiday and vacation pay that mirrors that of the HMO’s regular employees, health insurance, a 401k plan, direct payroll deposit, annual merit review, credit union and child care discount.
Results: This program began with seven employees, and now has over 40 employees participating. This comprehensive program has resulted in higher self-esteem of the contingent workers, higher productivity, lower turnover, reduced training expenses and increased employee referrals. In addition, the HMO has lowered its labor expenses and enjoyed increased profits.
Industry: Public school district: substitute service, custodial, clerical and warehouse departments
Challenge: All substitute employees must meet the same employment requirements as current district employees. A strong union must agree to the staffing arrangement as part of its collective bargaining agreement. Finally, employees must be integrated into the system quickly and efficiently.
Objectives: Reduce payroll expenses, maintain high standard of employment and centralize scheduling and dispatching of staff while meeting the union’s approval.
Partnership: A staffing service accepted the challenge and developed an innovative program. The staffing service agreed to accept current substitute employees onto their payroll. They also recruited new employees that met the district’s standards (reading, background checks, etc.), and they centralized notification and dispatching of substitute employees to the appropriate work location.
Results: Working closely with the school district, the staffing service implemented a program that is proving to be a winning program for the district, its supervisors and the substitute employees. Due to the efficiencies gained from centralized staffing, the average hours worked per substitute increased over 200% from 15 hours to near 40 hours per week. This made the substitute employees happier and reduced turnover. Subsequently, the district spent less time on non-productive activity. The supervisors spent less time on paperwork and more time managing the staff. Also, the payroll and accounting departments had less paperwork due to less turnover and more work from fewer substitute employees. The district accomplished its overall goals of reduced payroll expense (less overtime due to more efficient scheduling) and greater productivity from its employees. The staffing service secured a long term contract for the partnering program allowing better planning and recruiting.
“Overlooked Values of Partnering with a Staffing Service.” Murray Resources. Web. 15 May 2012.