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WHY USE TEMPORARY HELP?

Temporary/contract staffing can be tremendously advantageous in terms of payroll cost savings, increased flexibility and improved productivity during seasonal peaks, increased work load, vacations, special projects, maternity, sick leaves and emergencies. A constantly increasing number of companies have discovered the concept of "SMART STAFFING" - the routine, long-term planned use of temporaries to optimize the level of permanent staffing and reduce overall administrative, benefit, overtime and other employment costs. Increased costs of health care and other insurance, when combined with benefit costs, have created an environment in which a reduced number of permanent employees offers substantial savings. This can be achieved by using temporaries selectively and effectively as an alternative. Having a specific "SMART STAFFING" Plan will have a positive effect on your bottom line.

  • Nine out of ten companies use temporary/contract staffing.
  • On any given day, over one million people work as temporaries in the United States.

Savings/Profits

Proper use of temporary help as a supplement to permanent staff reduces recruiting, hiring, training, employee turnover, overtime, absenteeism and benefits expenses. A permanent employee costs approximately an additional 42% in benefit and other expenses over base salary.

The temporary help service charges only for the actual time worked, pays the temporary and assumes full responsibility for all payroll taxes, social security, workers' compensation and unemployment insurance.

 

For every $100 paid in salary, consider the following additional costs:

 

Employee
Cost

% Added
to Salary

Included in UNITEMP Rates

Employee Salary

$100.00

Yes

Added Costs:

Payroll Taxes and Insurance*

10.00

10.0%

Yes

Company Paid Benefits

14.40

14.4%

Yes

Paid Time Not Worked

12.90

12.9%

None

Recruiting and Hiring Costs

5.00

5.0%

Yes


Actual Total

$142.30

42.3%


*Mandated FICA, Unemployment, Worker's Compensation
Source: American Staffing Association & U.S. Chamber of Commerce

THE SAVINGS ARE REAL

Flexibility
Temporaries are only paid for hours worked, allowing the customer the flexibility to adjust work schedules according to needs. The use of temporaries provides for the expansion or reduction of the work force with no accompanying administrative costs, layoffs or unemployment costs.

Productivity
The 90% of U.S. businesses that use temporary help find temporaries efficient and productive. * Businesses have found that when appropriately used, temporary help productivity is among the highest in the work force.

In Summary:
USING TEMPORARY HELP = "SMART STAFFING"

WHAT IS A TEMPORARY HELP SERVICE?
A temporary help service, like UNITEMP, assists businesses in meeting temporary, excess and special workloads. We assign our employees according to customer needs.

An employer-employee relationship exists between the temporary help service and the temporary employee, while a supplier-purchaser relationship exists between the temporary help service and its customers. The temporary help service assumes all obligations related to employers and meets these responsibilities throughout the employment period, and thereafter, as required.

*American Staffing Association
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