subject: Role Of It Staffing Agencies [print this page] The employment sector at present is going through a period of recession with global economies trying to revive their markets. In these challenging times, the Information Technology Industry is facing stiff competition in recruiting as well as retaining the employees on their rolls. The IT staffing agencies are helping the companies engaged in the IT businesses in providing IT staffing solutions in dealing with recruitment and attrition issues being faced by these IT firms. The staffing strategy mostly followed by the IT firms to motivate their employees by providing them with salary increments and lucrative reward schemes has become quite outdated.
The demands of IT employees have grown rapidly and they are not satisfied by the age old motivation techniques being used by the IT companies. Therefore, to tackle the situation of employee attrition is to avail the services of IT staffing agencies that can provide alternative staffing solutions in taming the problem related with this type of human resources. The IT staffing agencies offer contract employees as an alternative to their client organizations.
In this case, the client is not required to pay severance packages while retrenching the contract employees. The contract staffing arrangements are for fixed periods only. This provision of contract employees comes under the umbrella of temporary staffing which is a multimillion dollar industry. There are several benefits of going in for contract IT staffing and these include:
1. Savings on administrative, transport, management costs,
2. The HR and Finance personnel of the client organization is not required to attend to the needs of the contract staff on a daily basis,
3. During volatile economic conditions, there is some respite to the companys budget due to cost reduction by hiring contract employees.
4. This type of arrangement works best for short term projects.
There are also some demerits in hiring contract employees with the help of IT staffing agencies and these include-
1. The contract employee may quit the organization at short notice that may at times cause losses to the organization due to work related glitches.
2. In the absence of any orientation programs being conducted by the staffing agency, the contract employee may not be able to complete or deliver the project properly.
3. The temporary or contract employee may not be accountable or loyal to the organization and can prove disastrous to the client organization if the employee does not have basic morals or employee ethics. However, IT staffing firms do guide the organizations in case of problems related with the contract employees.
