How To Save Money On Worker’s Comp With A Staffing Agency
If you’ve considered hiring a staffing agency to help you with your day-to-day business affairs, you probably know there are countless benefits in doing so. A staffing agency improves productivity by bringing in additional hands to help when things get busy and provides last minute help when employees call in sick. Staffing agencies can also save your business money by saving you hiring costs and even reducing workers comp costs.
Employers who choose to manage their own worker's comp claims must pay for and administer the program on their own, which can be costly and time-consuming. It requires adhering to strict deadlines and completing a copious amount of paperwork. Although workers comp may not be an employer’s favorite thing to deal with, staffing agencies can make it a little bit more affordable.
Using a staffing company reduces the deposit required for workers comp. When companies use temporary labor, there is a decrease in their payroll. Fewer people on the payroll results in lower workers comp premiums, which in turn means you pay a smaller deposit. This lowered deposit can make a big difference for many companies.
Handling workers comp requires paying the administrative costs necessary to file claims successfully. By taking this responsibility off of your HR department or other employees, you’re saving money and increasing productivity.
Because a staffing agency has a large pool of employees to choose from, businesses get matched with employees who are at a lower risk of needing workers comp based on their background and experience. This saves employers money vs. hiring someone off of the street without any real knowledge of their abilities, risk levels, etc.
More and more companies are turning to professional staffing agencies to decrease their workload and maximize profit and productivity. Not having to spend time dealing with workers comp claims can be an attractive option for businesses owners, and saving money at the same time is the icing on the cake. If saving money is part of your business plan, a staffing agency should be too.