The Power of Contract Hiring - Unlocking Business Agility

As we find ourselves just 45 days away from the dawn of 2024, it's a fitting moment to reflect on the challenges and triumphs that have defined 2023.

This year, our team has engaged in insightful conversations with hiring managers, unraveling the potential of contract hiring to address diverse business challenges. Here are some key takeaways from those discussions:

Breaking the permafrost: The flexibility of contract opportunities emerged as a solution to project being put on hold, hiring freezes, and delays in getting approvals for permanent hires; allowing businesses to navigate challenges and meet objectives more dynamically.

Risk & compliance made simple: Conversations around risk, compliance, and HR processes highlighted how the recruitment of contingent workers through agencies like Robert Walters could simplify candidates onboarding journey, ensuring a seamless experience.

Strategic skill acquisition: Exploring specialized skills and the financial agility of moving from CAPEX to OPEX has been a recurrent theme, showcasing the strategic advantage of contract hiring.

Freedom from fixed costs: Dialogues on the advantages of contract workers revolved around the elimination of fixed costs such as paid time off, sick leaves, kiwi saver, company specific benefits, etc., providing scalability without the typical constraints of permanent roles.

Example here, if you engage a permanent Desktop Support Engineer at $85,000 base + 3% kiwisaver, business.govt.nz employee cost calculator estimates your hiring at about $94,693 for their first year (comprising hidden costs such as cost of recruitment, trainings, very basic benefits). So you would be paying the equivalent of $365 per day for this employee.

If you engage a contractor with similar skills set, you would be charged approximately $450 per day + GST but ONLY for the days they work.

Cost-effective talent sourcing: Comparing the cost-effectiveness of talent solutions from agencies like Robert Walters versus MSPs was very surprising, for similar resources with just as good experiences, skills set and capabilities; showcasing a balance between quality and budget considerations.

Sharing these reflections on LinkedIn is more than just an expression of thoughts. It's a way of addressing common challenges, answering questions, and potentially prompting new perspectives in our fast-evolving professional landscape. In these times, where challenges abound, perhaps these insights could offer directions or spark innovative ways of tackling them.

If you resonate with these reflections or if you have questions, I'd love to continue the conversation. Let's connect over a coffee chat or virtually at [email protected].