How a Temporary Workforce Can Help You Grow in 2021

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With 2020 finally over and done with, it is time to start thinking about how you can lead your business to greater levels of income and prosperity in 2021. The key is to understand that, despite the rollout of vaccines, Covid-19 is not going to go away in a hurry. Under the circumstances, businesses must approach the new year with cautious optimism even as they power ahead in their quest to make up for lost time and revenue.

Consolidation, cost-cutting, pushing up productivity, dedicating greater resources to profit centres, rationalising cost centres, and a single-minded focus on growth are, by and large, the main strategies for achieving a turnaround in your business. The inclusion of temporary employees in your labour mix can be a potent tool for cost-rationalisation in this scheme of things by helping you build an agile workforce.

Let us look at some of the key ways in which the inclusion of temporary employees can make running your business easier in 2021.

1. Dealing with a VUCA Environment

Covid-19 has accentuated the VUCA environment which business gurus were warning of prior to the pandemic. Although the arrival of vaccines has generated hope, it would be foolhardy to expect things to magically return to normal in 2021. Indeed, yet another spate of lockdowns cannot be ruled out given the threat of new mutations of the virus. Under the circumstances, it is prudent to opt for a flexible labour force which can be hired and let go of as per the demands of your business.

2. Cost Control

Flexibility in your workforce can directly lead to cost savings by eliminating the need to retain your employees even after the job is done. In addition, you also get to save on hiring costs and job benefits which you would incur by hiring permanent employees. Companies working with a temporary staffing agency can gain access to pre-screened workers, making recruitment faster and cheaper. There is also the scope of saving on employment benefits, which are administered by the agency and not the client.

As a rule, engaging a temporary workforce is cheaper in the short-run compared to hiring permanent employees. A temporary workforce is an excellent option for companies looking for manpower to meet seasonal demand, complete specific projects, or fill in for a permanent employee who happens to be on leave.

3. Available Whenever Required

Just because you don’t have employees with the right skills does not mean your business has to suffer. You can easily hire workers with the necessary skills within days by collaborating with the right temping agency. Temping agencies have a large number of employees on their rolls at all times and are adept at supplying workers with the necessary skills at extremely short notice. Whether it is skilled, semi-skilled, or unskilled labour, the right temporary staffing agency can help you find employees who can fulfil your business needs.

4. Opportunities for Permanent Hiring

By working with temps, you get the opportunity to work with many different employees and try them out at the job. If you like the work of a certain temp, temping agencies also offer the option of hiring them on a permanent basis through the temp-to-hire model. Through this method, companies can convert a temporary employment contract into a permanent contract by paying a pre-agreed charge to the staffing agency. The temp-to-hire mechanism is ideal for businesses that experience a consistent rise in demand through the year and beyond, necessitating the hiring of a permanent workforce.

5. Raising Employee Morale

Trying to push productivity to achieve a turnaround may lead to discontent among your perms who must work harder to help the business get back on its rails. Employee burnout, drop in employee morale and an increase in attrition could be the natural fallout of this phenomenon.

By hiring temporary workers, you can relieve your perms of some of their burden without incurring any long-term salary cost. By hiring contingent employees during peak season, or for the duration of a specific project, you can have more hands on the deck and avoid drastic drop in employee morale, while keeping employee costs under check.

More Control Over Your Business

While indications are that 2021 will be a better year than 2020 in terms of the pandemic, it will be a long haul for businesses, which must revive supply chains, resume production, and re-establish links with customers. Economic instability, geopolitical volatility and global trade wars are some other threats that could affect the business environment in an unpredictable manner. In this situation, temporary hiring could help your business tide over difficult situations by providing more control over your business.

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