Recruiting and Retaining Temporary Office Employees

Introduction

Temporary employees provide valuable assets to companies by delivering consistent, short-term capable help across all departments as needed. Temporary office workers make up the bulk of the temporary staff at this firm; therefore, this proposal will concentrate on the recruiting and retention of office workers and other entry-level financial positions.

Temporary employees are hired for a short term to fill a need within a company. They are contracted and placed by temporary agencies, which are responsible for recruiting, conducting background checks, testing skill sets, and paying the worker. The worker then reports to and performs job duties at the agency's client companies.

According to Adecco, the largest temporary employment agency in the world, leveraging temporary jobs into permanent assignments does work. In a study conducted in the 1990s — during an economic period comparable to 2002 — 85 percent of temporary workers who desired full-time permanent work found those positions within six months. While most of these were conversions at the employing companies, others found jobs outside their temporary placements. The overall statistic is meaningful, and industry analysts anticipated a similar pattern of transition in the early 2000s.

Temporary employees are usually well skilled, as they are tested before being placed. They work hard to impress the client company in anticipation of finding full-time employment, so they are generally responsible, hardworking, and punctual. This dynamic often leads employers to hire them on permanently, which depletes the temporary agency's pool of available workers for upcoming assignments. Because of this cycle, the recruiting and retention of temporary employees is a central challenge of the industry.

A notable study examined statistical information regarding temporary employees and found that four out of ten contract workers are satisfied with their non-permanent employment status. George Milkovich, the Martin P. Catherwood Professor of Human Resource Studies at Cornell's School of Industrial and Labor Relations, commented: "We were somewhat surprised to find that such a large group of temporary or contract workers actually preferred their nonpermanent employment status over permanent employment. There is this group of temporary workers who like the flexibility that goes with this sort of assignment."

That still means that six out of ten — more than half of all temporary workers — are leaving to pursue permanent employment, creating a persistent depletion of the available worker pool in the temporary industry.

Statement of the Problem

The Bureau of Labor Statistics survey on wages and benefits for temporary help services workers and other research have identified several factors contributing to this exodus. Nearly eight in ten temporary workers reported receiving no benefits, and nearly seven in ten said they were dissatisfied or very dissatisfied with their benefits situation. As Milkovich noted, "This great dissatisfaction over benefits is what makes people generally uncomfortable about temporary work. By making benefits portable — that is, benefits we could carry with us from job to job — we could increase the flexibility of the workforce and make temporary work a more promising arrangement for people who desire it." Only 3 percent of those who reported receiving benefits indicated they received partially paid health care, while 27 percent received either paid vacation or paid holidays.

Aside from benefits, job security was a major concern for the temporary workers surveyed. Almost one-third (32 percent) of those polled said they did not know how long their current job would last, while over 50 percent said it was likely or very likely they would leave their current assignment within one year. This uncertainty means that temporary workers are often reading job listings, sending out resumes, and exploring other employment possibilities.

At this particular company, several factors contribute to the constant need for recruiting and retention efforts with regard to temporary employees. Because the company is located in New York City, the cost of living is higher than in other areas of the state. This means workers must be concerned not only with their weekly wage but also with maintaining continuous work with a minimum of gaps between assignments.

In addition, this company is considered one of the top firms in its industry, which makes it a favorable resume credential. Temporary employees who convert to full-time status gain employment at a well-respected company, which can significantly advance their career goals. These factors create company-specific challenges related to the recruiting and retention of temporary employees.

The skill sets required for these positions are very specific. Candidates must be proficient in Microsoft Office applications, including word processing and spreadsheets, and must demonstrate competencies suited for administrative roles. For entry-level finance positions, the firm seeks graduates from reputable universities who possess a solid understanding of finance concepts, accounting, financial modeling, regression analysis, and other analytical skills. All candidates placed at this company must pass a clear criminal background check, and most positions require at minimum a bachelor's degree.

Conclusion

It is the hope of this office that the above solutions will assist in the recruiting and retention of the temporary staff and meaningfully reduce the high turnover rate that the agency currently experiences. By addressing the core concerns identified in industry research — lack of benefits, job insecurity, and absence of financial incentives — this comprehensive package is designed to build a larger, more stable pool of qualified temporary employees available for both immediate and long-term placement needs.