How a Manufacturing Staffing Agency Can Help You Maintain Productivity During a Recession

According to CNN, we are on the cliff edge of a recession. By all accounts, the economy is growing shaky again. The latest reports say there is a 98% chance that the global economy will suffer from a recession in 2023. The United States is a surprising bright spot in this gloomy forecast, with more than 10 million open jobs as of November.  

All these threats to the economy necessitate the need for new partnerships and new strategies to keep businesses safer. You may be surprised that temporary staffing services can help your business prepare for the market difficulties expected in 2022. Here’s how manufacturing temp agencies can be the best partner for a market downturn. 

Why Do Manufacturing Companies Use Temporary Staffing Agencies?

There is a huge skills gap causing one-half million manufacturing jobs to go unfilled. How are manufacturing companies coping with this deficit? The answer lies in their partnership with manufacturing temp agencies. 

Top manufacturers have a secret. Manufacturing staffing agencies help these companies every day in their efforts to find the best job candidates. Increasingly, these companies know that manufacturing temp agencies help them keep up with the workload by bringing in temporary and permanent employees that get the job done. That’s how temporary staffing services firms play such a significant role in the production numbers for manufacturing companies. There is a direct correlation between skilled labor, production, and your bottom line. 

Manufacturing companies rely on temporary staffing agencies to find the talent and ensure these candidates are fully vetted with the skills they need for the job. According to the latest Gartner report, only 16% of new hires have the skills they need to do the job. These are admittedly dismal numbers. However, they can improve if you allow a manufacturing temp agency to prescreen candidates to ensure their fit within your organization. This prescreen ensures you have a qualified pool of candidates to pick from, saving your HR teams time and money during the hiring process.  

How Do Manufacturing Staffing Agencies Work?

Temporary staffing services companies offer manufacturing companies the employees they need to fill long- and short-term positions. When you contract with a manufacturing staffing agency, we use our extensive network of job candidates to find you the best fit. This network is above and beyond the candidates that end up applying for the job. Then, our firm completes screening of these candidates to ensure their fit within the job requirements and company culture. But that’s not all.  

A good manufacturing temp agency fills the gap between an employer and the candidate. We are both advocates for the candidate and representatives for your company. If you decide to hire the candidate, a good manufacturing staffing agency should handle onboarding and payroll, taking these time-consuming and critical roles out of your HR bucket.  

Here is what you can typically expect:  

  • You start with job requirements when a manufacturing company hires temporary staffing services. The agency then uses its extensive candidate database to look for suitable matches.  
  • Simultaneously, recruiters are hard at work building and updating this database. That means you save time because the candidate data is up-to-date and current.  
  • Once a pool of qualified candidates is identified, the recruiting team begins interviewing the pipeline to ensure you only get the top-level matches for your job requirements. Then and only then do you get the chance to meet the candidates and screen them for the job. Imagine the time this process can save you.Once the candidate is hired, the manufacturing staffing agency handles the orientation of the new hire. The agency even handles payroll, benefits, and, if necessary, termination.   

Temporary staffing services in manufacturing are beneficial when the market is volatile. We can help you staff up and down without the risk of hiring FT employees. What are some other benefits of temporary staffing services during a recession or a volatile market? 

Benefits of Temporary Staffing Services in a Recession

Did you know that during the last recession, in 2008, one-quarter of the American workforce was employed by temporary staffing services companies? These impressive numbers show the value of partnering with an expert staffing agency. Some of the benefits of working with temp agencies in the manufacturing field include the following: 

  • Lowered hiring costs. 
  • Access to on-demand talent pools. 
  • Try it before you buy it—but hire faster when the economy recovers. 

Reduce Hiring Costs with Temporary Workers

When it comes to hiring costs, manufacturing temp agencies offer companies a lower bottom line. Temp workers receive benefits not through your company but through the staffing agency. That means that the staffing company handles the majority of HR-related overhead. You save money on: 

  • HR labor to complete critical tasks such as payroll or benefits administration. These tasks are handled by the manufacturing staffing agency, freeing up your HR team to focus on other key initiatives. 
  • Providing vacation and sick days. Temp employees can be offered these benefits through the agency, although some may opt not to offer these perks. Either way, you are not on the hook for time off with these employees. 
  • Overtime pay, which is a significant expense for many manufacturing companies. A solid staffing partner can provide you with additional temp employees to work extra hours instead of you using your existing staff to work past the 40-hour mark. Eliminating overtime could potentially be a big win for your bottom line. 
  • Health insurance is a huge cost center for American businesses. But benefits like medical, dental, and vision are offered by the manufacturing temp agency. To remain competitive, these firms offer these perks to their temp employees, which means you don’t have to. 

Partnering with a temp agency in the manufacturing field helps save you the costs associated with permanent employment. Temporary staffing offers you the breathing space in a tight economy that you need to survive and thrive.  

During a recession, when every penny counts, a manufacturing staffing company can free up your cash flow and lessen risk. But these aren’t the only benefits offered by these companies. 

Access Skilled Manufacturing Talent On-Demand

You already know how hard it is to find talent.  

Why do temporary staffing services companies always seem to have workers when you can’t find them? The reason is that we spend an excessive amount of time on network building. Over the years, we’ve developed relationships with great job candidates because we target passive talent. Passive candidates are the ones who may not have applied to your job but are open to at least talking about making a change. Manufacturing staffing agencies spend most days networking with this pipeline of talented individuals, creating an active, robust database of candidates ready to get to work.  

Most HR teams don’t have time to devote to finding and nurturing passive talent. But this skill and strategy is a huge focus for temporary staffing services companies.  

Hire Faster When Economy Improves

Manufacturing temp agencies use the latest technologies and techniques to hire skilled workers. You’re paying for this access when you partner with these firms. That’s where the benefits start—but not where they end. 

When you bring on temporary staffing services, you train these workers to use the equipment and machines that drive your business. They learn the culture and the ropes of the job. You also get to know them as they acclimate to your teams. Once these things occur, you have options. You can hire the temp worker permanently. Or, you can end the contract if you don’t have the work. If it’s seasonal employment, you may even bring the temp worker back repeatedly, and each time your profit margin is higher because they already understand the job. But perhaps the biggest benefit, in a job market with more than 10 million open roles, is that you can hire faster when the economy can finally support it.  

Manufacturing staffing agencies bring a pipeline of candidates to the job, but you get to try them out. Each time you make this investment, it broadens your options for a full-time workforce.  

Recession-Proof Your Business in OH or MI with a Manufacturing Temp Agency

The Advance Group offers our manufacturing partners all the benefits we’ve discussed, and more.  

We know hiring can be intimidating when all signs point to a recession. But business still needs to happen. That’s why our firm exists to find you the talent you need to hit your production numbers. Manufacturing companies trust our team to take the hard work out of hiring. Find out why The Advance Group is one of the top manufacturing temp agencies in Toledo, Southgate, and Monroe, MI. Click here to find the people you need—fast.




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