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Are Contract Staffing Services Smart & Cost-Efficient?

Contract staffing services

Table of content

  • Introduction
  • What are Contract Staffing Services?
  • Advantages of Contract Staffing Services
  • So, Are Contract Staffing Services Really Smart and Cost-efficient?
  • FAQs


With staff being the most crucial component of companies, business owners are looking to strike a balance between skill and cost. Wrong resources or inadequately allotted resources can have a negative impact on a company and possibly even compromise the business. Contract staffing agencies are capable of streamlining the hiring process so that businesses get the best staff from a diverse skill pool.

What are Contract Staffing Services?

Unlike permanent staffing solutions, contract staffing solutions cater to requirements wherein a particular job, or task, for a time period must be satisfied. Contract staffing solutions offer unique benefits to both employer and employee and certain hiring situations are best fulfilled with contract staffing than permanent staffing.

Contract staffing is also known as temporary staffing or temp staffing and is a popular recruitment method all over the world.

Advantages of Contract Staffing

Many companies are turning to this method of filling vacancies within their companies and creating teams based on project requirements. Wondering why? Take a look at why Contract staffing services are the way forward and how your company could improve by using them.


Permanent employees are added to a payroll system which creates fixed company costs every month. Plus overhead costs of having to have permanent infrastructure and facilities available to employees are high. Fluctuating staff demand or a particular job role, in particular, could create problems for organizations that are already struggling to fill vacancies.

Contract staffing does offer the ability to reduce fixed overhead costs as employees are paid on a project or time-period basis. Plus, they are not permanent employees and will not incur full costs to the company that permanent staff do.

Improved Efficiency & Higher Productivity

With generalized hiring, hiring would be done based on candidate qualifications and experience. Unfortunately, this doesn't always perfectly fit the requirements as there could be a gap between theoretical and practical knowledge.

With contract staffing, candidates are processed based on their practical ability. As a result, time wastage is eliminated and teams can immediately collaborate and complete projects within deadlines. The presence of the appropriate skillsets ensures each individual works efficiently and output is increased.

Work Flexibility

With the current market situation, unexpected and unpredictable circumstances can leave companies stranded and lacking the right resources to complete projects within the deadlines and according to client requisites. That said, contract staffing offers the ability to make up for valuable lost resources as if the company didn't skip a beat.

Mass resignations, changing market trends, and economic recession are instances that impact human resource management within a company. Scaling up or scaling down becomes much easier with contract staffing and so companies are better able to adjust to any situation.

Furthermore, this flexibility offered by contract staffing doesn't just benefit the employer, it also benefits employees by providing better work-life balance and reducing chances of burn-out and the consequences it has on both the company and the candidate.

Specialized Skillsets

Companies often find that certain projects require a particular set of skills. For example, an IT company required to develop an Android app will require an Android developer skilled in the appropriate languages such as Java or Kotlin. Additionally, the company would have certain criteria which the developer should qualify such as a certain number of years of experience.

Contract staffing agencies will source candidates based on their practical skills and experience in the particular requirement. Meaning companies will not have to go out of their way to train candidates or put them through a rigorous testing process to extract their full skills. The employee will be completely able to deliver according to the immediate needs of the company.

Low Employee Turnover

When the majority of employees are hired through contract staffing, there are lower chances of having a high employee turnover rate. Why is this? The leading reasons for resignations are:

  • Burn-out, lack of work-life balance
  • Change of role/designation not relevant to skills
  • Increased workload
  • Unqualified teammates

Another way to look at it is the immense loss suffered by organizations when key members resign. Workflow is disrupted when the important members suddenly leave. In this instance, the company would need someone to take charge immediately after stepping into the role. Only contract staffing would be able to select such a candidate!

Increased Profits

We've covered how contract staffing works to 'save money' but it also needs to be emphasized that this mode of hiring also works to increase profits. Since skill-specific hiring occurs, productivity increases, and a high return on investment is experienced. This pushes company profits up while spending is kept to a minimum.

When getting access to quality candidates who fit requirements perfectly, there are often no non-performing employees, a problem usually associated with permanent staffing solutions. Also, based on agreements made during hiring, contract staffers will not be expected to be carried on once the requirements that they fulfill have been met.

So, Are Contract Staffing Services Really Smart & Cost-Efficient?

Contract staffing solutions deliver when the brief is "fast, precise, and cost-effective!" Companies that are looking to maximize output should opt for this type of staffing service.

Smaller organizations in which each team member has a particularly important role also stand a chance of getting a high return on investment when choosing contract staffing solutions that ensure skilled individuals are sought out.

What are the Benefits of Hiring Contract Staffing Services From Weavings?

If you select Weavings out of all the other contract staffing agencies, automatically you have access to multiple benefits. Here are some of the advantages of partnering with Weavings Manpower Solutions:

  • Complete compliance with corporate ethics and seamless management of all legalities
  • Affordable and reliable staffing solutions
  • Access to a diverse talent pool and skilled professionals
  • End-to-End Human Resource Information System for complete HR management
  • Payroll management is handled by Weavings for hassle-free partnerships
  • Technologies to ensure compliance-related reports are generated and stored


Q.) Can contract staffing alone fulfill my staffing requirements?

Ans. Usually, it is a mixture of contract and permanent staffing that brings out the best in teams. It depends on company requirements from time to time. Constant and regular requirements will be best filled with permanent staff but temporary requirements can be closed with contract staffing.

Q.) How are contract staffing and permanent staffing different?

Ans. Contract staffing also known as temporary staffing employs highly skilled individuals on a time or project basis, and as the name suggests, it is a temporary staffing solution existing as long as the requirement exists. Permanent staffing involves hiring based on qualifications and experience on a permanent basis regardless of whether the requirements persist or not.

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