When the pandemic hit, many companies were unprepared which led to the layoff of many employees in order to sustain the business. The sudden layoff would have had an adverse effect on the morale of existing employees and workflow. Many of the employees who remain are forced to take on multiple responsibilities to make up for the loss in headcount.

Unfortunately, these could’ve been avoided if companies were more prepared. This is why the demand for contract staffing in Singapore has increased exceptionally as companies realise the benefits that come with it. Contract staffing is basically a recruitment method where companies hire employees for a specified amount of time or till the completion of a particular project. This flexibility has not only helping companies save cost but it has also contributed to the increase in overall business efficiency.

Let’s take a deeper look at the types of contract staffing in Singapore available and how has it been beneficial for companies, especially in a post-pandemic economy.

Types of Contract Staffing

1. Part-time contract

Part-time contracts are the most common types of contract staffing. Employees are contracted and paid by the hour. They are entitled to certain benefits that full-time employees have like medical leave, annual leave, and occasionally bonuses as well. Part-time contracts are ideal for companies looking for a temporary solution to their manpower needs.

2. Fixed term contract

Fixed term contract is the hiring of employees for a single project. The contract usually ends upon the completion of the project or until the contract period is up. Employees hired under a fixed contract are usually paid with a fixed compensation for the project. Extensions may be offered at the discretion of the hiring company.

3. Agency Staff

Agency staff are employees that are working for the outsourcing company. The employees are then sent to other companies to assist them with their manpower needs. These employees are paid by the outsourcing company but they’re working directly for the organisations paying the outsourcing company.

4. Zero Hour contract

Employees under this category are not bound to the company. They are called upon when needed but are not obligated to accept if they do not want to. These employees are usually kept in a database for the company to tap on in times of need. People under this category are also allowed to work for other companies.

Identifying the right type of contract staffing is crucial when it comes to aligning your business and manpower needs.

Benefits of contract staffing

With all the different types of contract staffing available, what are the generic benefits of contract staffing for business to use this recruitment method?

1. Cost-efficiency

Most contract-based employees are paid for the time they put in and for the work they accomplish. Companies do not have to worry about the development and progress of these employees as they’re usually temporary. This also eliminates long term costs as these employees do not require an annual salary.

2. Reduce business liability and risks

Depending on the company, some full-time employees are entitled to unemployment benefits and compensation when they’re being let go. However, these benefits are not applicable to employees under contract. This allows businesses to shift and adapt more efficiently without having to worry about these liabilities.

3. Access to specialised talents

When hiring for a particular project, employers usually require a team with a specific set of skills. Hiring through contract staffing gives employers access to niche skills and talents. It also gives employers the flexibility to put together a better team for the project instead of relying on existing employees that may or may not be ideal for the project.

4. Instant impact

As contract employees are hired for a specific set of time, it is expected of them to impact the business in a short span of time.

5. Flexibility

Having contract employees give business the flexibility to control their headcount based on their market demands and needs. Businesses and easily hire and terminate contract employees without impacting the business adversely.

So how can a company start leveraging on the benefits of contract staffing in Singapore? Many actually do so through the help of contract staffing recruiters.

As the leading HR solutions provider in Singapore, Talent Spot is the ideal partner for your business when it comes to your hiring needs. With years in the industry, we have an extensive database of talents to meet your business needs. Our trained industry specialists are also able to advice and better assist your niche requirements.

Achieve your goals faster by hiring the right people for your company! Let Talent Spot help you today, your most trust staffing solutions provider in Singapore.