Contract vs. Permanent: What Hiring Style is Better?

The way the world works is changing. We use increasingly streamlined communication and collaboration processes. Even the practice of employment no longer looks the same because the same streamlining allows for increases in freelance and contractor work.

Business leaders now have more hiring choices than before: it’s increasingly rare for every worker to be a permanent employee. Your role is to choose the most effective hiring style for your company while keeping a watchful eye on the talent market. So does that mean it’s time to start thinking about hiring more contractors? It’s possible.

Let’s talk about contractors, permanent jobs, and what hiring can look like for the telecoms industry.

Why More Employers Increasingly Choose Contractors

Contractor agreements are an increasingly popular mode of hiring and maintaining a workforce. Contractors work on fixed-term, well-defined contracts to provide defined services. They come with an hourly or daily rate, and depending on your state, may need some mode of independence in their working days, hours, and duties.

Hiring a contractor is a great way to expand your workforce rapidly when you have a busy period or a unique project. For example, if you are trying to fill a contract in a remote part of a state you do only occasional work in, then a contractor may be best suited for the role. The same is true if you have a project in a very specialist area.

Some of the advantages of hiring a contractor include:

  • Flexibility in contract duration
  • Specialist skills offering offered by contractors
  • Cost-effectiveness due to lack of employment benefits

However, contractors can’t fill all positions. Your contractor must come in to provide a specific service. In states like California, the service must be outside your core mode of business. In other words, you can’t reap those benefits by making every worker at your company a contractor.

When It’s Smart to Make a Hire Permanent

Permanent hiring is the traditional style of bringing on workers. Permanent employees have more job security, usually enjoy employment benefits, and expect to grow and contribute to the company in ways outside their defined area of expertise.

Hiring a permanent employee makes sense when you enter a phase of permanent expansion. If you see your business growing year-on-year and your current team can’t realistically handle the workload, then a permanent member may fit the bill and save you money. In telecoms, you may find it easier to hire a new permanent employee when you enter a state and plan to grow your book of business there over time.

Permanent staff enjoy more job security, demonstrate more engagement, and usually cost less-per-hour than a contract employee. So, it’s smart to hire in this style from the beginning if you’re looking for someone to grow with your company.

Contract vs. Permanent: You Make the Call

Every new hire arrives with a unique underlying strategy. So while some new hires should become permanent employees right away, there will be other circumstances where it makes more sense to offer a contract.

We Can Help With Your Hiring Needs

If you’re unsure about the best strategy to grow your team, why not get in touch? TekCom Resources is a full-service national recruiting firm specializing in telecommunications and network infrastructure. TekCom will help you create a hiring strategy and attract the best candidates to fill those roles.

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