Benefits of Outsourcing
Thinking about outsourcing? A lot of recruiters decide to forgo doing the paperwork themselves so they can focus solely on recruiting. Especially with the headaches involved with overtime, misclassification and paid sick leave more recruiters turn to recruitment back-office solutions.
There are many reasons why recruiters decide to outsource. For example, when a company outsources contract placements there are:
- No workers’ compensation claims
- No unemployment claims
- No employee benefits costs or administration, such as medical insurance, life insurance, retirement and pension plan contributions
- No added expenses for paid time off, such as holidays, vacations, sick time and personal time
- No administrative costs for hiring such as: advertising, recruiting, interviewing, and processing hiring paperwork
- No expenses or administration associated with payroll withholdings and deductions to collect,pay, administer, and report
- Minimal risks of misclassifying an independent contractor (1099), subjecting client company to IRS and state audits
- Less training and supervising costs
If you are considering a recruitment back-office solution we recommend requesting our Back-Office Checklist. There are many factors to consider when looking for a contract staffing back-office. Ultimately you need to find a solution that will boost your recruiting team and help you make more placements.