The Staffing Edge Blog

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Chelsea Henry

Chelsea Henry is the team leader of risk management at The Staffing Edge. Chelsea’s passion for working closely with others in a challenging but rewarding environment is what makes her an important asset to our members. Chelsea has over 10 years of customer service experience—five years specifically dealing with risk management in the staffing industry—and is JHSC certified. Through research, Chelsea helps keep members up to date on current legislation involving employer’s rights, and deals with their day-to-day challenges with labour laws. Outside of work, she enjoys spending time with her family, DIY projects, and photography.

Recent Posts by Chelsea Henry

What Staffing Firms Need to Know about the Pay Transparency Act

Posted by Chelsea Henry

|

Sep 12, 2018 9:00:00 AM

What_Staffing_Firms_Need_to_Know_about_the_Pay_Transparency_ActThe former Ontario government made many changes to labour laws before being voted out of office in June. One of the most talked-about pieces of legislation was 2017’s Bill 148. This legislation introduced many changes, including revisions to holiday pay. It also raised the minimum wage.

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In March 2018, the provincial government enacted another controversial piece of legislation designed to change labour laws. This bill passed in the House and became known as the Pay Transparency Act.

What is the Pay Transparency Act?

This Act is designed to create more transparency about how employers compensate their staff. The goal of the legislation is to give people more clear information about wages, which will then allow them to challenge unfair practices and cases of discrimination.

Like the changes in Bill 148, the Pay Transparency Act will also affect staffing agencies and how they operate. Here’s what you need to know.


What Does the Pay Transparency Act Do?

This Act, which will come into effect in January 2019, requires a few changes to the way employers and staffing firms advertise jobs. The first change is a new requirement to post a salary range on any job advertisement. The reason for this is to create a public record, which job candidates can then refer to. Employers must offer candidates salaries within the stated range.

Under the Act, employers will also be prohibited from asking candidates about their past salary history. The reasoning is that what someone has been paid in the past should not affect what a current employer is willing to pay for the position.

Workers have new rights under the Act as well. Employers will no longer be able to take action against staff who discuss or disclose their salary. In the past, many employers had non-disclosure agreements built into their employment terms, and they could take disciplinary action against employees who discussed wages.


How Does It Affect Staffing Agencies?

There are a few very obvious effects the Pay Transparency Act will have on the way you operate your staffing agency. The first is that you’ll need to revise any and all job postings to include a salary range. You’ll need to get this information from your clients.

The next change may be to questions you ask during screening interviews. You’ll no longer be able to ask about previous compensation. If you ask about salary history as part of your screening or interviews conducted on behalf of your clients, you’ll want to remove these questions now.

Finally, staffing firms will need to review employment contracts and remove any language about reprimanding staff who disclose or discuss salaries. Non-disclosure agreements will need to be removed or made non-applicable to salary information. If your clients supply the contract, you’ll need to review it.


More Changes on the Way

There is another requirement employers will want to pay attention to, and that’s the reporting requirement of the Pay Transparency Act. Beginning in May 2020, organizations with more than 100 employees will need to monitor pay gaps and report on them.

The reporting requirement is probably the most daunting task, since it requires employers to keep track of yet another payroll factor. Staffing firms, which often employ more than 100 people, will almost certainly be affected by this requirement.


Is the Pay Transparency Act Necessary?

Many people are unhappy about the Act, feeling it adds undue burden to employers’ already heavy workloads. People also point to equal pay laws and non-discrimination legislation on the books in Ontario.

Others feel the Pay Transparency Act, which is the first law of its kind in Canada, is necessary if pay gaps are to be eliminated.

For now, employers and staffing firms alike should be prepared to implement the changes required by the Act. The provincial government may decide to review and amend the law, but for now, you may want to get a helping hand with reporting and other tasks.

Everything You Need to Know about Starting a Successful Staffing Firm

Topics: Compliance and Legislation

How Successful Staffing Agencies Improve the Candidate Experience

Posted by Chelsea Henry

|

Sep 3, 2018 9:00:00 AM

How-Successful-Staffing-Agencies-Improve-the-Candidate-Experience-compressorRunning a staffing agency takes expertise, innovation, dedication, and hard work. One of the most common challenges of running an employment agency is attracting and retaining the right candidates. As the most successful staffing agencies know, the secret lies in the candidate experience you create.

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What is the candidate experience?

The candidate experience encompasses the entire application and hiring process. From the time a job seeker applies to your staffing firm to the time you place them with one of your clients, they are undergoing the candidate experience.

Most successful staffing agencies recognize the importance of providing a good candidate experience. The question is how you can improve on what you’re doing to create an even better experience for your candidates.

Staffing Agencies Face Challenges

It’s no secret the staffing industry is hyper-competitive, and competition is only increasing. Low unemployment and talent shortages have created more demand for talented workers, which means job seekers have more choices in today’s market.

This makes providing a positive candidate experience even more important for staffing agencies. While you may understand the importance of the experience, you also know it’s not as easy as it seems to ensure everyone has a good experience. 

What can you do to overcome this challenge? The most successful agencies use some of these tips to provide better candidate experiences and win over more job seekers.

Communicate More

Both the quality and quantity of communication are important to today’s job seekers. If you send an automated email thanking them for their application and never follow up further, you’re probably not providing the best candidate experience you could.

Think about how often you communicate with job seekers. When do you begin corresponding with them, and how often do you talk to them? You should consider how often you contact people when you have few open positions to fill as well. Keeping people well-informed about their applications and open positions will help them feel more at ease. In turn, they’ll think more positively about your brand.

Think about the Application Process

How easy is it for candidates to apply to your staffing agency? The most successful staffing firms provide a great candidate experience by making it easy to apply.

A streamlined, user-friendly website is a foundational aspect of this. The online application process should be easy. If there’s an app for applying, it should be designed with ease of use in mind.

Think about how many questions you ask, and how many tasks there are to perform. Redundancies should be eliminated to make applying even quicker and easier.

Offer Something More

Staffing agencies are in competition with each other, and you’re competing for candidates. What can your firm offer that sets you apart from all your competitors?

Think about what you offer to job seekers. Why would they want to work with you? Maybe you specialize in placing people with particular companies or in certain kinds of jobs. Maybe you offer more placements or a more personalized service. Whatever the case, think about what advantage you can offer to job seekers.

Ask for Feedback

Perhaps the easiest way to begin improving your candidate experience is to ask your candidates what they liked and what they didn’t like. Did they find it difficult to apply, or was it the easiest process they went through? Is there anything you could do to make it even simpler?

By asking for feedback, you can gain insight into what job seekers want and how people view your process. From there, you can look at ways to improve on your shortcomings and provide an even better candidate experience.

A CEO’s Guide: Online Marketing for Staffing Firms

Topics: Recruiting

5 Ways to Support Staffing Firm Operational Sustainability

Posted by Chelsea Henry

|

Aug 1, 2018 9:00:00 AM

5-Ways-to-Support-Staffing-Firm-Operational-Sustainability-compressorA focus on operational sustainability is important to maintain existing practices and grow the business. You need to commit your staffing firm’s resources to manage operational risk and improve profitability.

Download "How TSE’s Back Office Support Helped a Staffing Agency Expand  Nationally" Case Study

Here are five tips that can help support staffing firm operational sustainability, which will translate into a successful future.

1. A Proper Training Program

You need to create a proper training program for your staff. This will ensure that the entire team works efficiently to achieve company goals. An effective training program limits the chances of mistakes. This will result in improved productivity. You should provide continuous opportunities to the staff to improve their skills. Also, you should have a proper system in place to monitor the effectiveness of the training program.

2. Embrace Technology

Technological developments in the 21st century have provided increased opportunities for businesses to achieve operational efficiency. You must embrace technology if you want to improve your staffing operations.

Choose the best software for staffing agencies to improve both your front and back office.

In addition, consider using social media to recruit staff for your clients. Sites such as Facebook and LinkedIn serve as a gold mine for recruiters. You should leverage digital platforms to stay ahead of the recruitment curve.

Also, you can use technology like electronic signatures for employment contracts. Digital signatures are much more convenient and save on paper-related costs. This will help cut down operational costs and improve the recruitment process.

3. Create an Employee-Friendly Culture

You need to create a strong, employee-friendly culture to maintain talented staff. A clear and transparent policy is important to preserve a positive company culture. Also, fair compensation plans that reward positive behaviours can boost employee morale. Creating an employee-friendly policy will help increase employee commitment and enhance job satisfaction.

4. Outsource Back Office Tasks

Consider outsourcing back-office tasks. Once your company starts growing, you won’t be able to do everything on your own. Outsourcing is more sustainable. Small and medium-sized staffing firms can especially benefit from outsourcing non-core tasks. This will help in improving internal efficiency. It will also result in increased cost savings.

By outsourcing tasks, you can let a professional take care of tedious and time-consuming processes relating to different internal activities, such as payroll and HR.

5. Invest in an Efficient Document Management System

A staffing firm has to deal with many documents. You should consider investing in a strong document management system to keep everything organized. Create a system whereby the documents are easily accessible. Consider using software as a service (SaaS) to store all your documents. SaaS platforms provide cloud document storage that helps save on costs and provides convenience in accessing the documents.

The operational needs of every staffing firm are different. You should evaluate your current needs and identify areas for improvement. With the right technology, proper training, and outsourcing of back-office tasks, your staffing firm will develop operational sustainability that will help your agency survive and thrive in the competitive landscape.

how-tse_s-back-office-support-helped-a-staffing-agency-expand-nationally

Topics: Staffing Agency

How the Changes to Ontario Public Holiday Pay Will Affect Your Agency

Posted by Chelsea Henry

|

Jul 4, 2018 9:00:00 AM

How-the-Changes-to-Ontario-Public-Holiday-Pay-Will-Affect-Your-Agency--compressorOntario has recently introduced many changes to employment legislation, which have had wide-ranging impacts on staffing agencies and businesses alike. One of the most talked-about has been the changes to minimum wage legislation, but the government bill included provisions on many subjects. Leave, holiday pay, equal pay, unionization, and scheduling were all addressed.

Download our free guide on everything you need to know about starting a  successful staffing firm.

The government initially drafted the bill containing most of these changes last spring to follow up on recommendations of a special committee. Following the release of the draft, there was much debate, and continuing conversation with stakeholders led to a number of revisions before the bill was passed in November.

Even after the legislation was passed, however, discussions continued. The government considered feedback from many different stakeholders. The legislation continues to be amended and tweaked.

One recent update has been to public holiday pay and how it will be calculated. The government’s latest revisions happened on May 7, 2018, and took effect on June 1, 2018.

Reverting to the Tried and True

Ontario Regulation 375/18 was filed on May 7, 2018, and went into  effect on June 1, 2018. It essentially restores the previous formulation for calculating public holiday pay. Many stakeholders expressed concerns about the proposed new formula, even before the government passed Bill 148 in November.

The new proposed formula appeared to have been made without a proper review of the impacts, which prompted concerns from stakeholders. Through continuing dialogue, the Minister of Labour determined there were legitimate concerns and proposed to revert to the old formula between June 1, 2018, and December 31st, 2019.

Missing the May Holiday

Unfortunately, the change didn’t come into play soon enough. Staffing agency owners needed to calculate public holiday pay for the Victoria Day holiday using the new formula. Under this method, agencies must divide regular wages earned during the pay period prior to the holiday over the number of days worked in that period.

For example, if an employee worked five days and earned $420, they would need to be paid $84 for the public holiday.

Looking Forward to Summer Long Weekends

The old formula was restored on June 1, 2018, which means the remaining holidays of the summer and the rest of the year will be calculated using the older method. The Canada Day public holiday will see Ontario staffing agencies return to the previous formula. Every public holiday for the year of 2019 will also follow this formula.

Ensure your payroll provider and HR staff are well aware of the change and have reverted back to the older method.

The Previous Formula

A reminder about the older formula is in order since it’s about to be reinstated. Under this formula, public holiday pay should account for the total amount of regular wages earned and vacation pay payable for the four work weeks before the week of the holiday. This amount is then divided by 20.

For example, if the hypothetical employee had earned $420 each week for the four weeks prior to Canada Day, their total amount would be $1,680. Their payable vacation pay would also be factored in, and the total divided over 20. This employee would earn approximately $87 as public holiday pay.

A New System in 2020

The reinstatement of the previous formula is currently scheduled to end on December 31, 2019. Until then, the Minister of Labour plans to study the impacts of changing vacation pay formulas and how to make these changes better for everyone involved.

Everything You Need to Know about Starting a Successful Staffing Firm

Topics: Staffing Industry

The Importance of a Great Candidate Experience

Posted by Chelsea Henry

|

Jun 4, 2018 9:00:00 AM

The-Importance-of-a-Great-Candidate-Experience-compressorYour staffing agency’s overall success can be impacted by the effectiveness of your candidate experience. When you take a look at some of the latest statistics about how a poor candidate experience affects your business progress, everything is put in perspective. A particularly significant statistic, for instance, is that 58 percent of candidates would not apply to a hiring organization again in the future if they’ve had a prior negative experience with them. 

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Since a staffing agency’s candidates are its lifeblood, you cannot afford to make a bad first impression with them. Despite the fact that sourcing candidates is the primary responsibility of your recruiters, it takes your whole team’s efforts to ensure every part of the candidate experience is a great one. 

If you want to know more about why building a great candidate experience is important, keep reading.

The Candidate Experience Is Integral to Your Brand

How you treat your candidates throughout the hiring process determines how well those candidates perceive your staffing agency. 

One recent survey stated that out of the 826 candidates asked, 72 percent of them who found their candidate experience lacking shared their experience online or with someone directly. These days, there are many sites like LinkedIn, Glassdoor, and PayScale where candidates can go to rate your staffing agency. 

Your agency’s brand is key to your hiring strategy because most candidates (and clients) are attracted to organizations that have values that align with their own. So, in addition to implementing an effective online marketing strategy, you should seek to optimize your candidate experience as well.

Areas for Improvement

Chief among candidates’ concerns during the recruitment process are the length of the hiring process and communication. That 72 percent of dissatisfied candidates cited above? One of the main reasons for their dissatisfaction stemmed from spending hours on the application process, only to get lost in the shuffle of hundreds of applications submitted. The other driving factor for their negative responses to the candidate experience was never receiving any notice regarding whether their applications were reviewed. 

Your staffing agency must review how well it’s managing its applicant data. Agencies these days are often dealing with an exponential amount of data on candidates, current and long-time clients, compliance, payroll, etc. If you find that your recruiters are spending less time on their core responsibilities because of double-duty to wrangle paperwork, something needs to change and fast. 

In other words, when you can save more time per week on admin tasks, your agency’s front-end staff will have a much better chance to engage with promising candidates in an efficient and authentic way.

Achieving a Rewarding Experience

When you take the time to streamline and improve the overall quality of your candidate experience, you’ll notice a significant increase in candidate engagement with your brand. According to some curated statistics by Monster, 62 percent of candidates would apply to the organization again and increase their relationship with the organization’s products and networks if they had a great candidate experience. As well, 78 percent of those happy candidates would refer others to the organization.

Clearly, there’s much to be gained by ensuring your candidate experience is exceptional. Having niche market expertise that’s second to none and a trustworthy client base isn’t worth a whole lot to your staffing agency if you cannot source enough candidates with your current candidate experience. Your business only continues to grow if you can improve your brand and generate an engaged and satisfied talent pipeline.

So, take the time to ensure you have a great candidate experience.

Everything You Need to Know about Starting a Successful Staffing Firm

Topics: Staffing Agency

5 Marketing Best Practices for the Staffing Industry

Posted by Chelsea Henry

|

May 28, 2018 9:00:00 AM

5_Marketing_Best_Practices_for_the_Staffing_IndustryThe staffing industry has never been more competitive. Consequentially, your firm needs to ensure it has a robust marketing strategy to keep its talent pipeline strong and its client base growing. You may know the general steps to marketing your firm, such as focusing on a targeted niche and sharing your expertise, but do you know what the most effective best practices are in the staffing industry?

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To help you get on the right track, we’ve gathered five of the staffing industry’s most significant best practices below for you to consider.


1. Differentiate Your Brand

This should go without saying in today’s competitive staffing industry, but your firm needs to stand out. Whether you’ve chosen a niche for your business or not, you should take time to figure out all the unique selling points of your brand. Granted, knowing your niche helps you pinpoint these strengths more easily, but you should have a concrete idea of how your firm’s geographic location, its hiring process, its candidates, and their skills set your firm apart.

After all, you’re probably not going to be the only firm working in your niche. You must determine your key brand differentiators to effectively attract clients who know they can’t receive the same service from another firm. Differentiating your brand essentially means knowing your niche from the inside out and showcasing your firm’s confidence in its expertise by doing so.


2. Use Online Marketing Techniques

The digital age has transformed the job search process. Most of your candidates and clients measure the strength of your staffing firm’s brand by how up to date your online marketing strategies are. If your firm doesn’t already have a website, build one a.s.a.p. Your niche market is full of savvy online researchers who know how to discern a forward-thinking business from an old-fashioned one, and they won’t engage with brands they can’t relate to. 

Your staffing firm should also publish a blog with relevant content and have several social media profiles on sites like LinkedIn, Facebook, and Twitter to help share this content widely. These digital marketing tools help you communicate your firm’s expertise and available services and connect directly with potential candidates and clients.


3. Make Client Retention a Priority

Marketing to get new business is important, but let’s not forget about client retention. Some staffing firms make the mistake of fixating on growing their client base. While you should certainly always be looking to improve your business’ bottom line, you’d be remiss to neglect your current clients in favour of constantly seeking out new ones. Your long-standing clients are vital to your staffing firm, so make sure you show them your appreciation and improve your relationship management.

Reach out to them on a regular basis with news, trends, and changes in the industry. Connect with clients on a personal level and let them know they’re not just a number to you. Marketing automation can help with these tasks. Happy clients mean genuine and productive partnerships, not to mention repeat business.


4. Improve Your Talent Pipeline

Make sure that your firm continuously improves its talent pipeline. Having great talent to offer clients is good, but ensuring you always have great talent on deck to consistently fill work orders on time is even better. Having a talent pipeline is also sometimes considered a part of relationship management, as it’s a marketing best practice that emphasizes building long-term relationships with talent who will be available for future placements.

To improve your talent pipeline, improve your candidate experience and build and share your employer brand online. Over time, you’ll start to be known for your excellent candidate experience, and more talent will flock to your agency.


5. Track Your Firm’s Progress

Lastly, having quantifiable statistics regarding your marketing plan’s effectiveness is always a good idea. Keep track of your website, blog, advertising, and social media analytics to ensure you’re basing your marketing decisions on real data, not emotions. This will help you improve your marketing over time to see even greater results.

These five best practices will help you build your ideal marketing strategy.


A CEO’s Guide: Online Marketing for Staffing Firms

Topics: Staffing Industry

How Back Office Solutions Help Staffing Agency Startups

Posted by Chelsea Henry

|

May 18, 2018 9:00:00 AM

How-Back-Office-Solutions-Help-Staffing-Agency-Startups-compressorSurviving the first couple years in business is challenging. There are many reasons why 50 percent of startups fail during the first two years, including starting a business that wasn’t relevant to the customer base, lack of competitor research, and mismanaged cash flow. Perhaps the most critical reason that startups fail, however, is the lack of infrastructure to sustain a fast-growing business. 

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The rise of the Canadian gig economy has accelerated growth for staffing agency startups. If you’ve chosen a high-potential niche to cater to, your agency will find its networks of candidates and clients rapidly expanding. And the more your roster grows, the more back office administration you’ll have to contend with. 

Staffing agencies can easily drown in paperwork if they’re not careful, which is why you need a dedicated back office solutions provider. Industry-specific providers help staffing agency startups integrate a robust infrastructure that enables them to succeed.

Relieve Your Front Office of Admin Double-Duty

When you don’t have an effective solution for balancing back office paperwork and front office recruitment and business development, your staffing agency startup will experience a sharp decline in productivity. The less time you have for your core duties like online marketing for your agency’s brand and sourcing talent for your clients, the more likely it is your agency won’t last beyond the two-year mark. 

Back office solutions providers can offer relief to your front-office staff. This relief comes in the form of specialized technology. 

Providers like The Staffing Edge (TSE) have developed award-winning software that can handle applicant tracking, client relationship management, and financial reporting all in one system. Automating your back office is key to your success because the startups that can offer consistent high-quality service are the ones that have the most staying power.

Keep Your Cash Flowing in the Right Direction

More so than other startups, a staffing agency struggles with payroll liabilities early on. Despite the high potential for profit, with many clients lined up to engage your agency for their hiring solutions, your cash flow is often upside-down. 

Since you’re the one paying your workers, but dependent on clients’ payments to give you the resources to do so, you need to ensure you have insurance for unexpectedly long gaps between paid invoices, not to mention instances when your client defaults on payments.   

Back office providers offer payroll financing and outsourcing options, including: 

  • Comprehensive insurance that can account for pay schedule inconsistencies, damages, and payment defaults
  • Credit checks for prospective clients
  • Account status inquiries
  • Custom payroll processing 

Your startup must become proficient at cash management if you want to harness your full potential. 

Stay Compliant

If you want to start a successful agency, you must make compliance a priority. Your agency’s reputation and legitimacy depend on remaining compliant.

Back office solutions providers like TSE are Canadian compliance experts and they can act as your advisors in matters of proper wages, health and safety regulations, remittances, worker classification and more. Your startup will thrive if it can prove to all parties involved that you value running a compliant agency that has the infrastructure to handle Canada’s booming gig economy and ever-changing legislation.

All the above solutions discussed together make a formidable strategy for launching a successful startup in the staffing industry.

how-a-complete-back-end-solution-helped-a-staffing-agency-get-started

Topics: Back Office Service Provider

Did You Know You Can Outsource Your Staffing Firm’s Back Office?

Posted by Chelsea Henry

|

Apr 16, 2018 9:00:00 AM

Did_You_Know_You_Can_Outsource_Your_Staffing_Firms_Back_Office.jpgWhen you’re starting a staffing firm, it’s easy to fall behind on your back office responsibilities. If there’s one thing staffing firms are good at doing right out the gate, it’s amassing paperwork and getting tangled up in compliance standards. You might be feeling overwhelmed at the prospect of having to juggle your back office with your front office.

Download "How a Complete Back-End Solution Helped a Staffing Agency Get  Started" Case Study

You might be thinking you’re on your own when it comes to harmonizing your back office services. You can outsource your staffing firm’s administrative tasks to a back office solutions provider. Curious about how a partnership with a back office solutions provider works and what they can offer?

 

Comprehensive Packages

Back office solutions providers make their business all about helping your firm excel at its core business duties. Staffing firms, especially small to medium-sized ones, tend to focus on the front office because they need to hit the ground running. The gig economy is shaping up to be a model of work that’s globally adopted, which means that while staffing firms are in demand, they’re also in competition.

When you outsource your back office to a provider, they can offer you packages that cover everything from Canadian business law expertise and payroll financing to compliance and HR. Providers want to help you streamline your back office so you and your recruiters aren’t burning out from multitasking front office tasks with admin duties.

While it’s admirable to want to manage both your front and back offices yourself, for a small to medium business like a staffing firm, that’s a tall order to fill. Mistakes in this industry are costly, with compliances fines easily running into the thousands if you’re not careful.

 

Dedicated to Industry-Specific Service

You don’t have to rely on a general back office solutions provider. In fact, you shouldn’t. An industry-specific provider like The Staffing Edge (TSE) offers solutions that address issues that are unique to staffing firms.

For instance, staffing firms deal with a lot of data. Keeping track of all applicants and clients isn’t easy when you have limited staff and a constantly growing roster of candidates and clients. A provider like TSE will not only have experts you can rely on to complete your back office tasks but who can also give your firm access to proprietary software that rolls applicant tracking, client relationship management, and financial reporting all into one system.

Other custom solutions they offer to staffing firms include receivables insurance and invoicing. Providers can also run pre-emptive credit checks on prospective clients and send account inquiries on your behalf.

 

Act as an Extension of Your Team

Outsourcing your back office also means integrating a provider’s staff into your customer service team. A provider’s experts will bring all their years of staffing firm compliance, payroll, and HR admin to the table, providing up-to-date advice and training you to implement their solutions optimally.

TSE’s award-winning proprietary software mentioned above is always updating to include functions for proper scheduling, payroll administration, billing, and compliance. For example, in recent months, there were functions added to help properly track personal emergency leave.

Outsource your back office to reduce your firm’s growing pains. Partnering with a dedicated provider allows you to maximize your resources and focus on your firm’s strength in recruitment. You might even find that you’ll be able to compete with the big staffing firms.

 

how-a-complete-back-end-solution-helped-a-staffing-agency-get-started

Topics: Back Office Service Provider

Thinking about Outsourcing Your Staffing Agency’s Accounting and Payroll?

Posted by Chelsea Henry

|

Apr 11, 2018 9:00:00 AM

Thinking_about_Outsourcing_Your_Staffing_Agencys_Accounting_and_Payroll.jpgHas your staffing agency’s growth been stagnating? Often, the primary cause of impeded growth is mismanaged or neglected accounting and payroll. Administrative tasks can be time consuming and they directly affect how well your front office performs. So, naturally, you’re probably thinking about the best way to outsource your accounting and payroll.

Download "How a Complete Back-End Solution Helped a Staffing Agency Get  Started" Case Study

Shopping for the ideal payroll admin solution is tricky because it’s not just about automation. To ensure you have a comprehensive solution that accounts for all the ins and outs of paying Canadian workers, you need access to experts in compliance as well.

Read on if you want tips on how to determine the best solution for outsourcing your accounting and payroll.


Is Your Provider Capable of Handling High-Volume Payroll?

Especially if you’re dealing with temporary placements, your staffing agency is bound to deal with a high-volume payroll. The competitive gig economy and the ongoing skills shortage have ensured that the staffing industry will be booming for a while. That statistic is great news for your front office, but not-so-great news for your back office.

When you outsource your accounting and payroll, make sure you have a provider that’s experienced in handling a high volume. You need a provider that will be capable of following a consistent pay schedule for all your workers within a system that can account for all their individual invoices. Otherwise, you’ll risk miscalculating rates of pay or missing payments.


Can Your Provider Offer Payroll Financing?

Your agency has most likely had at least one or two experiences with untrustworthy clients or a strained cash flow. This is often due to lacking reliable payroll financing during instances of mismatched pay schedules or a client defaulting on payments. Consider securing financing for your agency; otherwise, you risk your upside-down cash flow sucking your resources dry.

The two most important options you should look for in a provider offering payroll financing are:

  1. Receivables insurance: This option allows for your staffing agency to pay your workers on time by drawing from a short-term funding bank account set up by your provider. Being able to ensure payments boosts the trust and productivity of your workers, while accounting for late payments made by your clients.
  1. Credit Checks: Before you enter into any contracts with clients, you should have the ability to run a credit check on them. You have a right to protect your investment. If your prospective clients show a history of bad credit, it’s usually a warning sign that they aren’t diligent about paying their partners on time or at all.

Does Your Provider Have an Integrated System for Payroll?

Lastly, an ideal outsourcing solution will give you access to software that helps streamline the payroll process from start to finish. Legislative changes are constant. A proficient software system is one that can account for new standards for situations like personal emergency leave.

Your payroll system should also be one that’s integrated. What that means is your payroll system should also have the ability to handle other important admin tasks like applicant tracking and client relationship management.

Outsourcing your payroll admin to the right provider gives you the ability to expand fast and compete with the big staffing firms.Take the time to make the right choice.

how-a-complete-back-end-solution-helped-a-staffing-agency-get-started

 

Topics: Back Office Service Provider

How to Set Your Firm apart from Other Staffing Agencies

Posted by Chelsea Henry

|

Apr 2, 2018 9:00:00 AM

How-to-Set-Your-Firm-apart-from-Other-Staffing-Agencies---compressor.jpgBesides refining your best practices for sales and recruitment, your staffing firm needs a unique selling proposition (USP) to differentiate itself from the hundreds of other businesses like it out there. While you might believe that sounds like a task for more established staffing agencies that are operating on a national level, the truth is it’s a wise strategy for any firm to use, no matter how small. 

Download our free guide on everything you need to know about starting a  successful staffing firm.

Put yourself in the shoes of your customers (in this case both clients and candidates) and determine what kind of experience would motivate you to engage with your firm the most. Soon, you’ll find several aspects of business you can improve upon to make your staffing brand stronger. 

Since today’s gig economy is very competitive, your firm needs to emphasize why it’s the best choice for clients and candidates. With the right USP, your business’ attraction rate will soar because you’ll be able to offer excellent services that many other staffing agencies can’t.

Make Your Niche Your Focal Point

Many staffing firms make the mistake of reaching wide regarding their target markets. They assume that the more clients they can cater to, the better their services will be. But this is a dangerous misconception to hold about the staffing industry. 

The broader your target market is, the fewer resources you’ll have to effectively address the skills shortages your clients have. You’ll also find that you’re inundated with the paperwork and compliance issues associated with all the different industries you try to capture. Your firm will likely become much less capable of assessing candidates’ cultural fit for any industry. 

The first step to making your firm stand apart from other staffing agencies is to choose a manageable niche. Do in-depth market research for your niche and dedicate your firm towards knowing what clients and candidates in that niche want. There are many advantages to choosing a niche, not least of which is cutting down drastically on the competition.

Place Quickly, Pay on Time

Many candidates and clients won’t work with a firm that doesn’t have a handle on its payroll and day-to-day HR administration. Outsourcing these aspects of your firm can elevate your brand above other agencies in the business because it’s a common customer pain point. 

There are many potential candidates out there who would consider your firm as an employment solution straightaway if they had a guarantee they’d be paid on time. Plenty of candidates are looking to gain a supplementary income when they apply to staffing agencies and are making ends meet with short-term employment. 

On a related note, clients will often move on to another staffing agency if they find that your firm’s placement process takes too much time. Your firm’s brand is greatly improved by having access to software and expertise that can help you cut and distribute cheques to candidates on time, as well as technology to help you place candidates in record time with their paperwork in order.

Engage with Back Office Experts

Some agencies don’t consider engaging with back office experts because they are under the impression they have less control over their businesses with such partners. This impression is mistaken; back office experts simply make it their business to help you streamline your daily operations.

Running a firm can often feel like a juggling act of front and back office responsibilities. To excel at your core tasks, you need to have proficient back office infrastructure so that you’ve done your due diligence regarding Canadian compliance and payroll and HR admin.

Back office experts like The Staffing Edge can take care of all the behind-the-scenes work, so your firm is free to focus on providing the best customer service. Partnering with back office experts helps you differentiate your business and compete on the national scale.

Competing with the BIG multi-national agencies?

Topics: Staffing Agency

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