C
Candidate

Staffing Agency

A firm that places candidates in temporary, contract, or permanent positions on behalf of client companies. Staffing agencies are particularly active in administrative, industrial, healthcare, IT, and finance sectors.

A staffing agency (also called a temp agency, employment agency, or recruitment agency) acts as an intermediary between job seekers and employers. Employers pay the agency a fee to find and vet candidates; candidates typically pay nothing. **Types of placements:** - **Temporary / temp**: Short-term assignments (days to months), often filling in for absences or seasonal peaks. Candidates are typically paid hourly, employed by the agency. - **Temp-to-perm**: Starts as a temporary assignment with the intent to convert to permanent employment if the match works. - **Direct placement**: The agency recruits for permanent roles, acting as an outsourced HR function for the employer. - **Contract**: Project-based work for a defined period. Common in IT, engineering, and finance. **How agencies earn money:** For temporary placements, they charge the employer a markup on the hourly rate (usually 30-60%). For direct placements, they charge a percentage of first-year salary (typically 15-30%). **When to use a staffing agency:** - You're early in your career and need to build experience quickly - You're re-entering the workforce and want to test roles before committing - You're in a high-demand temp field (accounting, IT support, healthcare) - You want to explore a new industry without a permanent commitment **Caution:** Agencies represent client companies, not candidates. Their incentive is to fill a role quickly — which may or may not mean finding the best long-term fit for you.

Why it matters

Staffing agencies have relationships with companies that don't always post publicly, and they can move candidates to interviews faster than direct applications. For temp-to-perm roles, they offer a try-before-you-commit experience for both parties.

Candidate tip

When registering with a staffing agency, be specific about what you're looking for — vague openness leads to mismatched placements. And treat every temp role as an extended audition for a permanent position.

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