Temporary Employment Could be Key

As the economic downturn continues to take its toll across all business sectors, many of the region’s strongest firms are left struggling to survive, leading to record unemployment. But in a time when companies are striving to keep their costs down, permanent employees can be an expense that many currently can’t afford until the economy picks up.

Leading financial recruitment specialist, Sharp Consultancy, has over the last six months seen a significant increase in interest in temporary staff as a short term solution to riding out the recession and lifting employment figures.

Julian Woodman, Regional Director in South Yorkshire comments:

“The outlook for the UK’s economy remains weak and employment at an all time low, with record statistics of over 2 million people out of work. The recession has forced many companies to fold under financial pressure and as a result a high number of permanent employees have been made unemployed. However, this lack of employee support often contributes to business failure. To reduce costs employers cut the size of their permanent workforce and as a consequence struggle to cope, which ultimately effects productivity, a business’ bottom line and contributes to the region’s unemployment statistics.

“However, where some businesses have failed many have adapted, looking at temporary employees to provide support, with the view of making the roles permanent when business improves.

“Interest in temporary staff has risen dramatically as more employers begin to realise the benefits. The flexibility they can offer a business is an attractive prospect, as they can be requested during surges of business activity, periodically, or to simply act as cover for maternity leave or temporary support until the market recovers and permanent roles are available. This cuts a firm’s outgoings significantly and ensures that all aspects of a company are working towards a common goal – to make a profit.

“Until now the vast majority of companies haven’t needed to assess their finances quite as meticulously, meaning that often permanent appointments where made, when a short-term one would have been more appropriate. This is a reality many companies are now coming to terms with and will ensure businesses have the support currently required, which could ultimately be the key to many firms surviving the credit crisis.”