Contract Staff & Payroll Management

Sometimes ‘contractual staffing’ and ‘contract staffing’ are used interchangeably. However, ‘contractual staffing’ can also mean specifically hiring employees on temporary contracts rather than permanently. In this case, a third party agency is not needed. A contractor staffing firm usually provides services such as recruitment, aligning compliant employment or service contracts to the client company’s project or work requirements, and payroll and benefits administration. The firm takes care of the payroll too.

Why use contract staffing among all the other human resources options? There are numerous benefits which include the ability to quickly hire personnel, cost savings, and access to specialized talent. A contract staffing agency typically keeps a roster of available workers, making recruitment, vetting, and internal approvals more efficient for businesses. This can be particularly useful for companies that are growing rapidly such as startups. Contract staffing can also provide access to specialized talent that may be difficult to source and hire internally. When businesses need a non-permanent employee, they often hire independent contractors. However, they might not be aware of contractor prices in the labor market and might not have the necessary administrative procedures in place for invoicing and compliance. Contract staffing agencies, on the other hand, offer an understanding of contractors’ labor market prices and already have compliant invoicing and payment arrangements implemented. Additionally, contract staffing firms typically have broad coverage, whether it is national or international, allowing companies to easily hire in multiple locations.

A contract staffing firm typically offers services such as recruiting the appropriate personnel for a client company from its existing staff, creating compliant employment or service contracts aligned with the client company’s project or work requirements, and managing payroll, benefits and social contributions for staff. The firm also takes care of income and payroll tax withholding and declarations, and provides ongoing HR services such as addressing employment disputes, contract renewals or terminations.