Are you hiring new employees to expand your workforce? Or need to fill in a few vacancies? In either case, you are looking at hiring personnel to join your company and play their part in the successful running of your business. Hiring is an important step because you are going to be taking some crucial decisions for the future of your company. Hiring the right kind of employees is very important because this decision affects the costs, output and business goals of your organisation, in the short as well as long run.
But before you start hunting for the next talent to join your firm, know that you have hiring options – you can either hire permanent full-time employees or have personnel join you on a temporary basis for a fixed period of time.
Are you wondering which of the two types of employees – Temporary or Permanent should you be choosing for your next recruitment drive? Both types of employees can very well perform duties and solve your purpose, but they bring different benefits and drawbacks to the table.
If you are wondering which could be a better choice, looking at the pros and cons of these two types of employees could help you understand their relevance and arrive at a decision. So let’s start right away.
Pros of hiring temporary employees
Since temporary workers are sort of contractual workers who have a fixed employment period of a certain duration, they don't usually qualify for the benefits of a full-time employee such as insurance, perks and bonuses. As such they cost less to the company.
Temporary employees are good for short-term projects. They can bring specialised talent to fulfill job roles and can be hired for specific skill requirements you may have in the present.
Hiring somebody as a temporary worker also allows you to test their potential during the period, you can offer a permanent position later but there are no obligations to hire them.
They can be hired quickly, saving time in the hiring process.
Drawbacks
Temporary workers may require training and onboarding time which may not prove to be quite cost-effective if you hire them for a limited time frame and short durations.
Since it's not a permanent position, temporary workers generally work for many employers, which can affect their commitment towards a project or job role with you.
Temporary workers can also have a negative impact on teams and reduce their effectiveness.
Pros of hiring permanent employees
Permanent employees because of their employment status and place in the organisation that is long term, can contribute towards the short term as well as long term goals of the organisation.
They bring stability to the organisational structure. Since they enjoy job security and stability, they can be expected to have the motivation and perform well.
Because they have career advancement and growth potential in the company, they generally stay for a long duration often building loyalty towards the company. They can prove to be great assets for a firm.
Drawbacks
Recruiting permanent employees usually takes up more time and money in hiring process. There is also greater risk and cost with permanent staff if you end up hiring somebody who is not a good fit.
Since they are permanent salaried employees on a company’s payroll they are required to be paid several benefits which means they have a considerable cost to the company.
Now that you know the benefits they bring to the table, you can make a better-informed decision about which could be the right fit for the specific role or position in your firm.
Opting for permanent or temporary employees should ultimately depend on the requirement and ongoing needs of the company, their cost to the company or the size of the budget, and your long-term business goals. Before you make your mind about your latest recruitment, do consider the following things as well:
If you have a specific requirement of your company at the present moment that may not last in the foreseeable future, hiring permanent employees might not be the best idea. For shifting requirements and fluctuating volume of work, it's better to invest in a short term temporary staff.
If you have an urgent position to fill, looking for an employee might take up time. Hiring a temporary worker with the help of reputable staffing services India based, to fill in the shoes for the present, might be a good idea as you take your time and search for the best fit.
Looking for employees and hiring them requires resources as well as paying them salary/stipend. Hiring permanent employees generally requires rounds of interviews, paying recruitment agencies and onboarding costs. If you are on a budget crunch, hiring temporary workers initially might mean less cost as well as risk.
You must keep an eye on your long term business goals as well. Temporary workers mean they will come and go, but hiring permanent employees that stay longer, means you have lasting talent that reaps benefits over years. Hiring a disproportionately higher number of temporary workers may not be very ideal for the long run.
Conclusion
Hiring decisions can be tough to make. It is important to consider the pros and cons of the type of employees you can hire against your requirement, budget and timeline and of course your greater organisational goals. Ideally, a mix of permanent full-time employees and temporary staff can serve your organisational goals while building a diverse workforce.
The key to good and successful recruitment for the short or long term is a thought out strategy and a streamlined process of selecting and inducting employees into the company. Outsourcing your recruitment process to an RPO service can help you make smart hiring decisions and strategic recruitment with their expertise in the field of recruitment and hiring. Partnering with an RPO can also greatly improve your hiring process and save you cost as well as the time required in finding the right employees for your company. Consider investing in the service of reputed RPO or staffing services India based for innovative staffing solutions and improved hiring.
