When adding staff to your company, there are two ways to go about it: hiring employees or hiring contractors. Each of these talent acquisition methods has benefits. Which option is best for your company depends on the position you look to fill.
Reasons to Choose a Direct Hire
The main reason why any company pursues a direct hire is to expand their team or company for the long-term. You have the budget available, the position has been approved, and there is ongoing need for the skill or role the hire would fill. There are additional reasons why a direct hire might be preferable for a company. These include:
- Only having to train a team once—With a rotating group of contractors coming on the job, you have to train each new batch so they understand the way things are done at your company. This can be a waste of time and resources if the position is an ongoing need.
- Keeping expertise in-house—”Brain drain” is a very real problem, especially if you operate in a niche industry. When you find talented innovators who can help improve your business, it is best to put them on your team permanently to make the most of their talents.
- Emphasis on cultural fit—Your corporate culture is important to your company goals, and you want to ensure your employees are all on the same page with that overall corporate culture.
- You want them invested—Direct hires feel invested in the success of the company and are willing to do more to ensure that their role contributes to that. While contractors can care about the success of your company, they will typically care more about their project than the overall organization.
Reasons to Choose a Contractor
The main reason companies choose to hire contractors is a temporary need for talent or skills. They may have a specific project they need completed, or they may be testing the need for a new role before committing to a permanent hire. Contractors also come with a host of benefits that direct hires do not offer, including:
- Offering a quick response to sudden spikes in business or seasonal need—Because you are not permanently hiring a contractor, you can obtain them more quickly based on skills and talent alone, without worrying as much about whether their personality fits in with your corporate culture. This creates a faster turnaround on the hiring process, which means you can meet the demands of your business more quickly.
- Easy to scale up or down—Adding and removing contractors can be done easily without much, if any, effect on employee morale or your company’s image. If you are forced to lay off permanent employees, it can create a sense of concern among remaining team members which may ultimately lose you talent.
- Save on added costs—Hiring a permanent employee comes with added costs: benefits, unemployment insurance, taxes, severance packages, and more. When hiring an independent contractor, many or even all of these costs are handled by the staffing agency instead of you.
- You need the best—Individuals who make their living full-time as contractors often have highly specialized skill sets. If your project needs a niche combination of skills or you just want someone exceptionally talented for a set goal, a contractor may be the easiest way to find the ideal fit.
Whether you are looking for a contractor or want to make a direct hire, JDC Group’s recruitment and staffing specialists in Atlanta, GA can help you find the perfect person for the job. Contact us today to get started finding your ideal candidate.