Here’s What You Need to Know Before Hiring a Temporary Employee

Temporary hiring may be just what you need to deal with short-term staffing issues while planning a long-term solution. The use of contractors or temporary employees can lead to more confident permanent hiring, as both you and the candidate go through a “try before you buy” period to ensure the right fit.

Temporary employees are generally defined as those who work for a company for less than one year. Some only spend a few days on a job, while others have more extended employment periods. They are being used by a growing number of U.S. businesses, spanning myriad industries from healthcare and HR to customer service, administration, IT and finance.

As you ponder the idea of temporary hiring, keep these considerations in mind:


When recruiting a permanent employee, you have to pay for job postings and advertising, job fairs, brochures and other marketing materials, and travel for out-of-town candidates. Not to mention the time spent reviewing resumes and completing a multistep hiring and onboarding process. And the cost of a bad hire can be devastating. All these expenses can be avoided by making a temporary hire.

  • By hiring a temporary employee, you can gauge for potential over time. If you’re impressed by a temporary worker upon meeting them, you have plenty of time to see if their passion and knowledge translates into long-term value for your company.

Legal Compliance

Just like permanent employees, temporary workers are covered by labor laws including harassment, discrimination, and health and safety guidelines.

  • Determine whether it’s best to hire a temporary employee or a contractor. Contractors usually are skilled free agents helping your company on a case-by-case basis. You are not responsible for providing them with benefits or paying unemployment taxes. However, you do have to report applicable compensation to the IRS for tax purposes. You may have to provide temporary employees with certain benefits.

It can be challenging to decide which route to take when it comes to filling your temporary – and permanent – staffing needs. Consider partnering with PrideStaff Modesto as you determine when temporary workers or contractors might best fit your strategic talent management plan. Contact us today to learn more.

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