Permanent employees or on-hired workers: which is right for your business?

The choice about whether to hire permanent employees or those on a temporary basis can be tricky for any business, as each will have a different set of needs and goals. A lot of organisations use a combination of permanent and on-hired staff, and while this type of approach enables businesses to facilitate seasonal peaks and troughs, it can sometimes be difficult to identify whether temporary or permanent recruitment is the best option in your long-term recruitment plan.

Before you rush into hiring new employees, read below for more information about whether a permanent or on-hired worker might be best for you.

The difference between permanent and on-hired workers

Firstly, it is important to understand the fundamental differences between permanent employees and on-hired workers.

Permanent employees have no specified end date for employment, meaning that their work is ongoing and expected to continue indefinitely until they choose to resign or are let go. As an employer, you are obligated to provide leave and other specific benefits to permanent employees.

Alternatively, on-hired employees work for a specific length of time or until a project is completed. They are often hired to assist with an influx of work during a particular time of year, work on a project or cover the role of employees who may be on leave.

A permanent employee might be right for you if…
  • You are looking for longevity

Working in a company for an extended period of time brings with it a level of company knowledge that will outstrip that of someone working in a short-term capacity. Depending on your needs, the importance of in-depth business knowledge will vary from role to role.

For example, in an administrative role, a detailed understanding of the business’s goals, vision and branding might not be needed to fulfil the job requirements. However, if you are hiring for a position in marketing or advertising, this is far more likely to require deeper understanding and insight into the company, something that can often only be gained through the hire of permanent staff.

  • You have enough on-going work

An important question to ask yourself before you hire is whether you have enough on-going work that would warrant the employ of a permanent full-time worker. This is important namely for two reasons. Firstly, if there is not enough work for an employee to complete, you could be wasting money on a permanent salary. Secondly, a staff member is likely to be more productive and dedicated if they feel their work keeps them busy, has purpose and adds value to the business.

  • You can invest in growth and development

There are many benefits to be had by training and developing your employees, the most significant of these being their ability to add value and depth to your organisation by utilising their new skills. These are members of the team who can advance through their department, take on future leadership positions and form a key part of business growth.  

There is however, little point investing such training into on-hired staff who will simply take their new skills with them once their time at your company is over.

  • You want to build or strengthen your company culture

Employees who come and go are less likely to immerse themselves fully within the culture of a business or aid in its growth. Conversely, permanent employees will have a much greater cultural contribution and will typically experience heightened loyalty to the business and their colleagues, which can aid in retaining valued staff.

An on-hired employee might be right for you if…

  • You require a specific skill set

Should you require specific skills for an upcoming project or job, an on-hired worker could be the best choice for your company. An on-hired employee can provide you with the skill set you need at a specific point in time, without you having to invest in an on-going staff member whose skills you may not require later down the track.

  • You experience fluctuations in workload

When there is a fluctuating volume of work, a flexible workforce can often be the best solution. Whether it’s to support extended employee absences, seasonal fluctuations, special projects or employee shortages, on-hired workers can provide your business with the qualified staff it needs in periods of high demand.

  • You do not have the time or money to invest in a rigorous hiring process

If you want to find the best permanent employees for an organisation the hiring process should be thorough and comprehensive. Sourcing, hiring and on-boarding the right permanent talent is time-consuming, costly and only worth the resources if you really require a long-term employee. For instances such as this, Bridge Consulting are able to save you time and money when it comes to finding and hiring the best permanent employees for your business.

It takes less resources and there is less pressure involved when it comes to employing on-hired staff, as the ramifications will be significantly less if their skills or experience don’t end up being the level you require. To find out whether a permanent or on-hired employee is best for you, and for any other professional recruitment services, contact one of our team at Bridge Consulting.