Dec 16, 2022

Today’s Top Staffing Industry Challenges and How Your Firm Can Conquer Them 

The staffing industry is operating in unprecedented times. Changes to the economy and today’s candidate market all create challenges for staffing companies—but they also create opportunities. 

Understanding today’s staffing challenges is key to identifying solutions to overcome them. More than that, when you partner with TempWorks, you have the tools and resources to leverage today’s challenges into growth opportunities. 

Challenge #1: Finding the right talent

The biggest question for staffing firms is usually how to find and source more talent. From small businesses to enterprise agencies, staffing companies of all sizes have experienced a massive labor shortage for several years. 

Despite post-pandemic growth in the staffing industry, we are still in a candidate’s market—and that won’t be changing anytime soon. There are still more open jobs than there are workers to fill them: nearly two unfilled jobs for every worker. 

These numbers tell us that the labor pool is only so large. Staffing firms need the right support to be competitive. This means: 

  • Sourcing more talent in less time 
  • Building personal relationships with your candidates 
  • Staying connected to job candidates and existing workers to prevent ghosting and increase retention

TempWorks clients gain the upper hand using industry-leading tools and services: 

  • Our advanced ATS streamlines the recruitment process, allowing you to post jobs, communicate with applicants, and fill positions more quickly. 
  • We partner with Data Frenzy to bring you job board optimization within your TempWorks system. This enables you to optimize your job descriptions and reach more candidates, expanding your hiring pool. 
  • Resume Matching/Sourcing functionality within TempWorks ensures your recruiters target qualified candidates, matching job orders with applicants who meet skill requirements. 

When in doubt, at TempWorks, you have a team of experts behind you. We work with you to maximize your team’s efficiency, troubleshoot your pain points, and build a tech stack that boosts your recruitment efforts.  

Challenge #2: Keeping candidates engaged

Once you’ve captured a candidate’s attention,   

“Now more than ever, it’s important that staffing firms leverage technology to keep candidates and employees engaged,” says Staffing Consultant Darin Pasch. 

With the right tech—Such as TempWorks Buzz or one of our messaging integrations—staffing companies are able to stay continuously connected with candidates and employees. 

As part of our commitment to developing quality staffing solutions, TempWorks partners with the best in the industry for messaging capabilities, which are integrated directly within your TempWorks software. 

Messaging integrations arm your team with the ability to automate their outreach, freeing recruiters up to build more intentional, one-on-one relationships with candidates. It also speeds up your time-to-hire; message a job candidate, interview them, onboard them, and get them to work—quicker than ever. 

Challenge #3: Retaining existing talent

Technology is just as important to retention as it is to recruitment. For example, when employees run into roadblocks receiving their wages, they are more likely to look to your competitors. 

With payroll tools and paycard providers, you can ensure your employees are paid swiftly—keeping your talent pool secure and your customers happy. 

It’s also important to keep in touch with your existing employees to boost retention. You can stay connected with your workers using TempWorks Buzz, the first native mobile app in the staffing industry. With Buzz, your team can message with workers directly: 

  • Send a job offer push notification when workers are nearing the end of their existing assignment. 
  • Remind workers about directions, dress requirements, and more, making it easy for employees to come into work. 
  • Keep a finger on the pulse of your employee satisfaction by asking how an assignment is going. 

It can be difficult to maintain a personal relationship with workers you don’t see every day. When employees are darting between different job sites, you can support them with reminders about shift time, location, dress code, and any additional information they need. This makes it easier for employees to go to work, reducing no-shows and ghosting—and increasing retention for your firm.  

Buzz has additional benefits for workers, too: they can quickly access work assignments, timesheets, and W2s, and they can also search for open positions if they’re ready to look for their next assignment.  

When it’s easy to stay in touch with you and find work within your job listings, your employees are more likely to stay with your company. 

Challenge #4: Adjusting to today’s gig economy

For many in light industrial and clerical work, a flexible schedule used to be unimaginable. When the factory was open, employees worked the shift assigned to them. Staffing agencies usually only needed one hire for an entire week’s shift. Today, work-life balance has taken more precedence for employees. Many temporary workers have leveraged today’s staffing shortages to advocate for a schedule that works for their needs.

This means businesses—and the staffing companies that serve them—are having to pivot. Now, many staffing companies will assign a worker to multiple customer sites in order to accommodate their schedule. One job order for the week might actually be worked by multiple contracted employees. As a result, staffing firms are seeing more administrative work and increasing communication challenges.

Having the right ATS and CRM helps reduce your administrative load, freeing up your staff to do what they do best: put people to work.

  • Create default job descriptions to speed up your recruitment efforts.
  • Quickly find candidates using granular searches that save user preferences. This allows you to identify candidates with specific skillsets and availability.
  • Keep track of employee availability using the Employee Record.
  • Set up a standard rate sheet for each role, allowing you to apply rates to multiple employees.
  • Message employees about job assignments via Buzz, the mobile engagement app.
  • … and more.

If you need additional support maximizing business efficiencies, consider working with staffing experts in our Consulting Division.

Challenge 5: Financial uncertainty

We know that inflation is high and talks of recession abound. As we steer into uncertain economic times, some staffing firms may be concerned about their financial security. 

With reporting capabilities in TempWorks, you have the data you need at your fingertips to help you make smart decisions. 

Advancement, too, can come with financial concerns. If you’re finding your growth is limited by your ability to make payroll, consider payroll funding services through Lone Oak Payroll. With increased cash flow, you can expand your growth potential. 


 

The staffing industry faces significant challenges, but we face them together. And TempWorks has your back—every step of the way. To learn how we can help you conquer these obstacles, reach out to our team today. 

 

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