The Ultimate Guide For Understanding Staffing Agencies
January 4, 2023
The Ultimate Guide to Understanding Staffing Agencies
If you have never used a staffing agency, then there is a good chance that you have no idea how they can be beneficial to your job search. In reality, even some job seekers who have worked with them still struggle to understand how they operate. But, the truth is that a staffing agency can be a handy resource for job seekers at any level in their careers. Once you understand all the nuts and bolts of staffing agencies, they may become tremendously more attractive to use! So, let’s take an in-depth look at everything you’ll need to know to understand staffing agencies from start to finish.
Feel free to jump around between sections:
What is a staffing agency?
How do staffing agencies work?
Why should I use a staffing agency?
Who uses staffing Agencies?
Do staffing agencies actually work?
What is a Staffing Agency?
Essentially, a staffing agency, sometimes referred to as a temp or recruiting agency, acts as an intermediary between eager job seekers and potential employers. They help match qualified candidates with companies who have current job openings. Depending on the agency, they help staff a variety of employment opportunities, including clerical, industrial, technical, and even government-related work. These positions typically fall into one of three distinct categories: direct-hire, temp-to-hire, or temporary and include all shifts as well as part-time and full-time employment. Whether you’re a first-time job seeker or a seasoned veteran of the job market, staffing agencies offer jobs ranging from entry-level to senior positions, as well as everything in between.
How Do Staffing Agencies work?
The exact characteristics of how a staffing agency operates can differ from place to place, but the format is pretty similar for all.
How Staffing agencies work for businesses
First, to understand how staffing agencies work for the job seeker, you must know how they work for employers. Typically staffing agencies handle the hiring, managing and termination of employees as well as cover employment-related taxes such as payroll, Medicare, and Social Security. Usually, employers will contact a staffing agency and only have to specify the number of workers needed, the time span they are required for, and a pay rate, which are all negotiable. The staffing agency then bears the task of finding and managing promising candidates. The employer, not the employee, covers the fees and expenses for the staffing agency, including the tax expenses outlined above.
How Staffing agencies work for job seekers
Now, how do they work for job seekers? Well, staffing agencies offer a pretty seamless, straightforward process. Like any other employment opportunity, you first have to apply. Applying is customarily done online via their website. Occasionally staffing agencies accept “walk-ins” where you can apply in person, but this varies between agencies. After submitting your application, you will be assigned a personal recruiter. From there you will go through an interview process where you will go over all the basic interview questions and discuss all the available employment opportunities that best match your unique skills. The goal is to find you a position that fits both you and the employer. Once again, this is a free service for job seekers as the employers cover the staffing agency’s fees and expenses.
Why should I use a Staffing Agency?
Job searching can be rough. You can spend countless hours updating your resume, applying to numerous jobs, and going to interviews only to be let down by a myriad of employers. Would it not be nice if there was an easier way to get hired? Fortunately, staffing agencies provide four great benefits that make finding a job much less of a hassle.
Personal Recruiter
Instead of going on your own, staffing agencies provide applicants with a personal recruiter that will act as your ally throughout your job searching experience. Your recruiter will work with you one-on-one to help find you a position that best matches your desired wants and needs. They will also make sure your resume or work history is flawless before sending it to potential employers to ensure you stand out against the competition!
Access to More Employers
Working with a staffing agency is a great way to get your resume in front of more employers, some of whom you may not have even known were hiring. Recruiters and employers work very closely together; therefore, recruiters always have the latest knowledge on available positions or upcoming opportunities. Recruiters can also send your resume to multiple employers at once, saving you time because you will not apply and interview for each job individually.
Have Greater Opportunities for Job Flexibility
It is common knowledge, starting a new job can be a little scary. You may be uncertain if the position you accepted is right for you. One of the best perks when working with a staffing agency is that the recruiters understand that your new job may not be the best fit. After giving the position a chance, they will assist you in transitioning into a different role if you believe your current job is not going to work out. It is essential that if you are unhappy in your first placement that you let your recruiter know! Instead of leaving the job without any notice, which can have detrimental consequences, share your concerns with your recruiter. This way, they can properly help find you a better option.
Staffing Agencies are Free
Again, a widespread misconception is that staffing agencies charge job seekers for their service. Working with staffing agencies is entirely free for all applicants! There is no need to job search alone when you can get yourself a personal ally that will work with you throughout every step of the process!
Who Uses Staffing Agencies?
From first-time job seekers to seasoned veterans of the job market, staffing agencies provide employment opportunities and benefits to all types of job hunters. Whether you are looking for a full-time career in a quiet office setting or a bustling manufacturing plant, a well-established staffing agency will be able to help! Many staffing agencies offer part-time and seasonal jobs too.
Do Staffing Agencies Work?
Hopefully, you have a much better understanding of the ins and outs of staffing agencies. However, there is still one question that has yet to be answered, “do they actually work?” According to the American Staffing Association, the staffing, recruiting, and workforce solutions industry provides about 16 million employees with jobs and career opportunities every year. Also, during an average week, around 3 million temporary and contract employees work for American staffing companies. When working with employment opportunities, there is no guarantee of a job offer, even when working with staffing agencies. However, with such a vast range of job opportunities alongside a host of benefits, staffing agencies offer a uniquely complimentary service when you are struggling with your job search!
In today’s competitive job market, competitive pay and benefits are critical factors for attracting and retaining talent. However, employee engagement plays an equally vital role in keeping your team motivated, productive, and loyal to your business. Whether you’re managing a light industrial workforce or a clerical/professional team, it’s not just about offering the best salary—it's about creating a work environment where employees feel valued, supported, and part of something bigger. Here are some simple yet impactful ways you can increase engagement and improve retention across your workforce: 1. Celebrate with Fun Perks Food Trucks & Ice Cream Treats: Nothing boosts morale like a surprise treat. Consider arranging food trucks during lunch hours or bringing in something special, like Whitey’s ice cream on hot days. This simple gesture helps employees feel appreciated and brings a fun break to their day. Employee Luncheons: Regular appreciation luncheons or potlucks are a great way to foster team spirit. A chance to relax, socialize, and be recognized for hard work can go a long way in building loyalty. 2. Recognition for Great Attendance Gift Cards & Awards: Rewarding employees with gift cards or small awards for things like perfect attendance or going above and beyond can work wonders in motivating your team. Simple recognition shows your employees that you see and appreciate their dedication. TV Giveaways: For exceptional efforts, consider something larger, like giving away prizes. For example, Sedona Staffing gave away 3 TVs to the top three employees with perfect attendance. These kinds of incentives create excitement and encourage employees to stay engaged. 3. Create a Culture of Appreciation Daily Recognition: Small, consistent efforts can have a huge impact. Let employees know they’re needed and valued every day. This can be a simple greeting, a quick thank-you for a job well done, or acknowledging milestones in their work. These free, everyday actions can go a long way in boosting morale. Leadership that Inspires: Creating a culture of appreciation goes hand in hand with hiring great supervisors and leaders who truly invest in their team’s success. Leaders who foster a supportive environment, provide guidance, and take time to mentor employees—not just boss them around—can drastically improve employee satisfaction. When leadership is focused on developing their team and helping them succeed, employees feel valued, heard, and supported, which enhances overall engagement. 4. Incorporate Team-Building Activities Team Outings & Events: Organizing team-building activities outside of work, such as bowling, happy hours, or company picnics, can strengthen relationships and create a more cohesive workforce. These events help employees bond outside of their roles and feel more connected to their colleagues. 5. Offer Growth Opportunities Training & Career Development: Employees want to know they have room to grow. Offering training programs, workshops, or clear career progression paths shows employees you’re invested in their development. This is especially important in industries like light industrial and clerical roles, where employees often seek stability and opportunities for advancement. 6. Create a Comfortable Work Environment Break Areas and Comfort: For industries like manufacturing and warehousing, ensuring employees have access to comfortable and well-maintained break areas can make a significant difference. In professional environments, ensuring access to quiet, comfortable spaces for breaks or informal meetings can have the same impact. 7. Empower Employees to Share Feedback Surveys & Open Communication: Encourage employees to voice their thoughts on workplace improvements through anonymous surveys or one-on-one meetings. Show your team that their opinions matter by acting on feedback to enhance the workplace experience. Why Engagement Matters Employee engagement isn’t just a “nice-to-have”; it’s a core component of retention. Engaged employees are more likely to stay with your company longer, reducing turnover and the high costs associated with recruitment and training. Whether in light industrial sectors or clerical/professional roles, building a culture of appreciation and engagement creates a more motivated, productive workforce. At Sedona Staffing, we understand the importance of employee engagement in driving retention. We work with businesses to help them connect with top talent, retain their best performers, and create work environments where employees thrive. Ready to Improve Your Employee Engagement? If you’re looking to boost engagement and retention in your workforce, Sedona Staffing can help. Reach out today to discuss how we can help you build an engaged and loyal team that will drive your business forward.
As of January 1, 2025, Illinois’ minimum wage has increased to $15 per hour, one of the highest in the Midwest. This change has significant implications for businesses in Illinois and those in nearby states like Iowa, where the wage gap could prompt employees to seek higher-paying jobs across state lines. How Illinois’ $15 Minimum Wage Affects Local Businesses For Illinois businesses, the wage increase means higher labor costs, especially for entry-level roles. Companies that haven’t adjusted their compensation will face difficulties attracting and retaining workers. Those with high turnover or roles traditionally paid near minimum wage—like retail, food service, and manufacturing—will feel this impact most. Increased Labor Costs: Businesses will see higher payroll expenses, which could lead to price hikes, cuts in other areas, or absorbed costs. Competition for Talent: To attract top workers, businesses will need to offer competitive wages. Failing to do so could result in losing skilled employees to companies that offer better compensation. The Ripple Effect: How Iowa Businesses Are Affected Iowa businesses, especially those near the Illinois border, will also feel the wage increase. Iowa employers may find themselves competing for talent with Illinois-based businesses offering better pay. How the Minimum Wage Increase Impacts Employee Culture Positive Morale Boost: Employees earning more than $15/hr. (which is now minimum wage) may feel more valued, leading to higher morale and productivity. Elevated Expectations: With the increase in pay, employees may expect more in terms of career development and job responsibilities. Businesses must balance wage increases with additional opportunities for growth and recognition. Pressure on Employers: Employers will need to manage the rising wage expectations while maintaining a sustainable business model. What This Means for Your Business As Illinois’ wage floor rises, businesses must adjust to stay competitive. To meet this challenge: Reevaluate Your Pay Scale: Ensure your wages are competitive to attract and retain top talent. Focus on Retention: Foster a supportive, growth-oriented work environment to keep employees engaged. Stay Informed: Understand how wage changes in Illinois and neighboring areas impact your competition and staffing strategy. How This Affects Your Business? For Businesses Already in Higher Wage Markets While Illinois has increased its minimum wage to $15 per hour, some markets already operate with higher wage floors due to regional cost-of-living adjustments, such as California. For example, areas with higher living costs, like certain urban centers, may have already implemented a minimum wage above $15 per hour, and these wages may continue to rise in the future. If you operate in such a market, it’s important to: Stay informed about local wage laws and any future increases, as some cities or regions may have higher wage requirements than the state minimum. Reevaluate your pay scale to ensure competitiveness, especially as the cost of living continues to influence employee expectations for compensation. Consider additional benefits, professional development opportunities, and retention strategies to keep your workforce engaged and motivated in these higher-wage environments. How Sedona Staffing Can Help As you adapt to these changes, Sedona Staffing is here to help. We can connect you with top talent, provide insights into competitive compensation, and help you fill roles quickly and effectively. With over 36 years of experience, we understand the local market and can guide you through these transitions to ensure your business stays ahead.