Just how much Does a Temp Agency Charge?

Posted by Thomas Shaw on November 1st, 2018

If you've never employed a temporary staffing agency and would like to know what it costs, or if you would like to understand if you're becoming overcharged by yours, read on. I will cover how a temporary staffing agency makes dollars and what value ranges are on the market. Get far more information about Temping agency London

How am I Charged?
With temporary staffing agencies, the client needing the temp pays the charge, not the candidates (employees). As the client, you will be invoiced regularly for the hours worked by the temporary employee placed at your company. You will be charge an hourly bill price which consists with the hourly price paid towards the short-term employee by the temp agency plus a markup to cover the agencies recruiting time, payroll taxes, workers comp insurance, unemployment insurance and profit margin.

What Can I Count on to get a Bill Price?
The amount of mark up on the temp employees hourly pay rate will vary drastically by the type of position, job location and how much business you give the temp agency (volume). Generally speaking, it is possible to count on an hourly markup percentage of amongst 35% - 100% on most positions.

Position Variety
The ability level and available talent will influence the difficulty for the temp agency to locate a certified person. One example is, markup on an administrative position must most definitely be lower than that of a laptop or computer programming position as a result of truth it there are significantly less personal computer programmers in the world than administrative workers, so it can be easier to find the very first as an alternative to the latter.

Job Location
The price of living can vary tremendously in one aspect of your nation versus a different. Consequently, candidates in one place for a certain job will demand different salary needs in another. For example, a Health-related Biller in Kansas City will require less of an hourly rate than a Health-related Biller in New York City.

Your Partnership with all the Temp Agency (Volume)
Like most corporations, a temp agency really should give a discounted mark up when a client gives exclusivity for their services or possibly a considerable volume of business. You must look at whether or not giving all of your temp business to 1 agency is ideal for your organization, however, ahead of carrying out so. When you have precisely the same type of positions that you just have to have temps for, then it makes sense, so long as you might be happy with their quality. When you have varying sorts of positions or those requiring specialty expertise, you should remain non-exclusive, so you could engage the services of specialty staffing firms that specialize in 1 industry or position type (i.e.: Marketing staffing firm or Health-related Coder staffing agency).

How We Mark Up
At Certified Staffing Solutions, we use a transparent way of formulating and conveying the bill rate to clients. We allow you to know what the mark up % might be for your certain position based around the components explained above. Many agencies won't tell you what they're paying a candidate in hopes of finding the maximum difference among what they are billing you and what they're paying a temp. We just don't really feel that is conducive to growing long term relationships with our clientele and candidates. Why not be open and sincere? That just appears ideal to us.