The Staffing Edge Blog

Focus on your core business. We’ll take care of the rest.

Ray Gonder

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How to Hire Staffing Leaders in a Competitive Market

Posted by Ray Gonder

|

Nov 24, 2017 9:00:00 AM

HowtoHireStaffingLeadersinaCompetitiveMarket.jpg

Your up-and-coming staffing firm needs to hire recruiters who capable of handling today’s competitive market. Those we can call staffing leaders are those who, in addition to being experts in recruitment, are innovators and big-picture thinkers.

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It can be a challenge to find and hire staffing leaders, especially as the owner of a small agency. Other, more established firms are on the lookout for such recruiters too. To hire the staffing leaders you need to succeed before your competitors do, use these tips.

Optimize Your Online Marketing

When it comes to hiring for leadership positions, you must be vigilant about your employer branding. How you present your firm’s knowledge and experience, as well as how your peers and clients perceive you online, goes a long way to attracting top candidates.

Make sure you have a good handle on your online marketing; it’s the best way to let top candidates know you’re a competitive firm. You should have profiles on social media platforms like LinkedIn, Twitter, Facebook, and Google+. Don’t discount what a website with proficient search engine optimization (SEO), mobile-responsive design, and a blog will do for your online marketing as well.

Candidates should be able to research your firm’s employer brand and learn about how passionate you are about your job market niche before they interview with you.

Focus on a Behavioural Interview Strategy

When you’re hiring for leadership positions in your firm, it’s important that you don’t get tunnel vision regarding candidates’ skills. Your firm needs leaders who are culturally fit for its work environment and recruitment team, which means you need to pay attention to both hard skills and soft skills.

Soft skills are trickier to gauge than hard skills because they are skills that must be proven in context. Candidates can say they’re “responsible” or “good at delegating tasks,” but you can’t always connect skills like these back to a degree. Behavioural interview tactics are a must in these instances. With these tactics, you can ask questions that help you determine a candidate’s values, adaptability, communication skills, and more.

There are popular behavioural questions you can ask to reveal a candidate’s soft skills. Be sure to ask situational questions, such as this one for example: “Tell me about a plan that went awry at work. What was your role and how did you influence the outcome?” Questions like these will prompt leadership-worthy candidates to demonstrate their prowess in communication, critical thinking, and problem solving.

Invest in Competitive Back Office Solutions

Staffing leaders want to work for the best firms. They want to spend their time building relationships with clients and candidates. They don’t want to spend all their time on data entry and menial tasks.  While it’s also a matter of maximizing your firm’s budget, investing in back office solutions also improves your ability to save time and improve efficiency in the front-end of your business. As a result, staffing leaders will be attracted to your company because you’ll offer them the opportunity to focus on client and candidate relationships rather than paperwork.

Staffing leaders want to work with firms that run a tight ship and are tackling daily operations in the same innovative way they would. Seeing that you’ve invested in back office solutions will leave a lasting impression.


Things You Need to Know When Starting a Temp Staffing Agency

Topics: Staffing Agency

5 Trends That Could Revolutionize Staffing Agencies

Posted by Ray Gonder

|

Oct 27, 2017 9:00:00 AM

5 Trends That Could Revolutionize Staffing Agencies--.jpgAs a staffing agency owner, you probably think about how cutting-edge trends will impact your adaptability and competition. After all, to compete with the big staffing firms, new staffing agencies need to know the best ways to maximize their budgets and efficiency.

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Certain innovative trends could redefine the recruitment process in the coming year. We’ve gathered five of these trends for you to consider.

1. AI Chatbots

In this era of online marketing, candidates want to have immediate and ongoing communication with employers.

Understandably, your firm might not have as much time or resources to keep in contact with all its candidates in such a fashion. But a lack of candidate engagement will negatively impact your employment brand. It’s been noted that 58 percent of candidates view an agency negatively if there’s no feedback after an application submission.

AI chatbots can revolutionize the initial candidate experience by providing a means of immediate communication. These chatbots are smart enough to measure the level of candidates’ interest in answering objective questions about their professional and educational experiences. Since AI chatbots are unbiased interviewers, they also open the door for more candidates of various diversities, which gives staffing agencies an edge.

2. Candidate Rediscovery Algorithms

Applicant tracking and client relationship management (CRM) software programs are vital to all staffing agencies. As AI chatbots as a trend have shown us, keeping communication active is a key way to elevate your staffing agency’s brand. When your new staffing agency hones its niche, you will find that your candidate database will grow exponentially, which is why candidate rediscovery algorithms are a trend that’s here to stay and evolve.

What candidate rediscovery algorithms allow staffing agencies to do is mine for veteran candidates in their databases who might have been lost in the wave of current candidates. Using algorithms improves your profit margins and saves you time placing skilled candidates with clients who need the talent ASAP.

3. Partnerships with Back Office Experts

Keeping the quality of your recruitment process high also has to do with how streamlined your back office admin is. Especially when you’re a small agency just starting out, you’re going to find out quickly how much the paperwork can weigh down your back end, making your front end drag in its day-to-day responsibilities.

Partnering with a back office provider could revolutionize your staffing agency by lifting the burden of admin off your front end. Moving forward, the staffing industry is focusing on how fast it can source and place candidates. Back office providers can offer decades of expertise in compliance, applicant tracking, and CRM.

4. Automated Data Entry

One of the most cumbersome aspects of admin is data entry, particularly data entry for financial reporting. Many staffing agency systems don’t possess an integrated financial reporting function, which is why an agency’s recruiters often end up having little time to properly engage with clients and candidates.

Automated data entry can collect timesheets, pull relevant pay structure information from orders, and use previous input for rules and standards for correct payroll calculations. The more an agency can automate menial tasks, the better it can focus on its core business.

5. Multipurpose Software

Applicant tracking, CRM, and compliant financial reporting form the backbone of every staffing agency, which is why all-in-one software is a significant trend. With such software, you can accomplish all admin tasks with relative ease and keep actively engaged with candidates and clients.

Being able to expertly balance the front and back ends of an agency is no small feat, but it’s easier with the right software.

Keep these five revolutionary trends in mind as we move into 2018, and your agency will see major growth.

Things You Need to Know When Starting a Temp Staffing Agency

Topics: Staffing Agency

7 Ways Staffing Agencies Build a Bad Reputation

Posted by Ray Gonder

|

Oct 16, 2017 9:00:00 AM

7 Ways Staffing Agencies Build a Bad Reputation---1.jpgWith competition being fierce in the 2017 recruiting industry, staffing agencies need to be diligent about maintaining an optimal reputation. Nowadays, anyone interested in your brand will be Googling your site and social media to see how your reputation precedes you.

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LinkedIn has named employer branding a critical recruiting trend. LinkedIn’s 2017 Global staffing trends report discovered that 82 percent of staffing leaders believe investing in branding is important. Curiously, however, only 10 percent of staffing agency budgets is devoted to proper online marketing.

Building your staffing agency’s reputation is an ongoing process. Here are seven ways staffing agencies build a bad reputation to illustrate that fact.

1. They Don’t Have an Effective Online Presence

Staffing agencies are sorely underrepresented when they don’t establish a website that’s search engine optimized. Having no website or social media starts your agency off on the wrong foot reputation-wise because it signals to those who might stumble upon your agency through your traditional marketing tactics (fliers, newspaper ads, etc.) that you’re: 

  1. Behind the times, which means you miss out on most skilled talent found online
  2. Lacking in resources, which gives clients the impression that you have next to no resources for recruiting processes or, worse, no candidates to make placements with

2. They Have an Online Presence but It Isn’t Mobile-Friendly

Having an online presence (website, blog, e-mail marketing) that’s unresponsive in design for mobile platforms makes your staffing agency appear backward. Not only does it hurt your site’s ranking on Google, it shows disregard for those potential clients and candidates who would access your site via their smartphones or tablets. 

Considering that millennials, who are avid mobile device users, are now the biggest generation in the Canadian workforce, you don’t want to lose out on such a large portion of the talent market.

3. They Don’t Keep Regular Communication

Staffing agencies often experience the pitfall of rarely checking in with their clients for feedback or neglecting to regularly contact skilled candidates who they’ve scouted online.

Irregular communication reflects poorly on your agency because it gives the impression you’re valuing quantity of placements over quality.

4. They Don’t Pay Their Temp or Contract Workers on Time

Sometimes you will work with clients who either are untrustworthy or simply don’t have a pay schedule that aligns with your agency. You must ensure your workers are paid regardless of the situation.

One of the major reasons payroll financing is crucial for temp staffing agencies is that it gives them the cash flow to pay their workers regardless of when their clients pay them. A bad rep is assured for those who leave payroll admin up to fate and leave their workers in the lurch.

5. They Aren’t Up-to-Date with Canadian Compliance

It’s risky to not keep up with Canadian compliance. For instance, as of January 2018, Ontario has proposed that if your employees are misclassified as independent contractors, you could be convicted of a crime. The government could also publicly disclose your conviction, which would be fairly damning to your reputation.

6. They Are Slow to Place Candidates

Clients who engage staffing professionals expect to be matched with skilled candidate relatively quickly. We live in a fast-paced business world, with digital transformation ensuring that some companies need talent right away. Avoid having the reputation of having a tortoise’s pacing. Slow and steady won’t win the race in the staffing industry.

7. They Don’t Have a Niche

Some agencies think there’s more success to be had when they keep their focus as broad as possible, when the opposite is true. Knowledgeable clients will avoid agencies that lack a niche because they won’t receive the expertise and experience they require in their fields.

Mind these seven pitfalls and you’ll be on your way to a solid employer brand as a staffing agency!

A CEO’s Guide: Online Marketing for Staffing Firms

Topics: Staffing Agency

Top 3 Priorities Of Every Staffing Agency

Posted by Ray Gonder

|

Sep 25, 2017 3:00:00 PM

Top 3 Priorities Of Every Staffing Agency.jpgWhile every staffing agency might differ in their chosen niche of expertise, there are some priorities that all agencies share. With just one look at how 2017 has shaped up so far, it’s easy to conclude that competition is only going to become fiercer next year. No matter how big or small the staffing agency in question.

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As an up-and-coming staffing agency, however, you need to be vigilant about ensuring your priorities are in check. After all, if you want your agency to rise quickly to become a contender at the industry’s forefront, you’ll have to make sure you’re maximizing your strategies for success. So, with that in mind, here’s the top three priorities that every staffing agency should share.

1. Employer Branding

Employer branding comes first on this list of priorities because it’s no longer just a strategy to grow your agency’s client database, it’s a strategy to ensure your customer service is top notch. Successful staffing agencies know there’s more advantages to choosing a niche for their business and sticking to it, because it allows them to hone their employer branding messaging to an art.

The job market paradigm has switched to one that is candidate-focused, with a lack of skilled workers still an ongoing problem in Canada. Those in the recruitment industry, due to the skills shortage and the gig economy must be able to telegraph that their agency is the best one to meet candidates’ needs. LinkedIn’s Global Recruiting Trends report for 2017 made a key finding that although most agencies are focusing their budgeting towards traditional tactics (like job board ads and keeping overhead costs down), 53 percent of them would invest in branding if money weren’t an obstacle.

2. Efficiency

LinkedIn’s 2017 report on the recruiting industry also identified the three defining trends of future recruitment processes. These trends are: candidate diversity (which entails more than just gender and ethnicity), being able to effectively assess for soft skills, and access to innovative tools for interviewing. What do all these trends have in common? Your staffing agency’s level of efficiency.

You should be making efficiency a top priority because it’s the lifeblood powering your employer branding. Whether you can land candidates with high potential, or match candidates with the right set of skills for a client fast, depends on your recruitment process’s efficiency.

The most noteworthy detail of efficiency in your agency should be how it has a trickle-down effect from your back office to your front office, and vice versa. If your agency is too bogged down by its back end operations, you’ll notice straightaway how your front end operations begin to slow down. Your administrative tasks, like government taxes and remittances, employment standards compliance, and payroll financing should never take precedence over the core of your business, which is recruitment. Which is why the last priority on our list is about—

3. Technology

To achieve maximum efficiency, your agency needs to implement technology that streamlines the most time-consuming processes of your daily operations. Things like keeping up to date with changes to Canadian compliance, bookkeeping, and data entry for candidate and client management shouldn’t be distractions from sourcing and placing candidates with your client base.

That’s why staffing agencies are optimizing their efficiency by utilizing proprietary software, like Stafftrak which is an all-in-one suite that takes care of applicant tracking, client management, and financial reporting. As a back office provider that has decades of experience implementing tech solutions and offering Canadian expertise in compliance matters, The Staffing Edge knows that increased efficiency means increased competitiveness.

These top three priorities are part of what you need to know about starting a successful staffing agency. Don’t underestimate the guidance these priorities can offer your agency’s game plan, whether for the present or for the fast approaching new year!

A CEO’s Guide: Online Marketing for Staffing Firms

Topics: Staffing Agency

How to Choose a Back Office Solutions Provider

Posted by Ray Gonder

|

Sep 11, 2017 9:00:00 AM

How to Choose a Back Office Solutions Provider.jpgEven for the bravest business people, deciding to start a staffing firm in this digital age is daunting. 2017 has proven that although the resources of staffing firms are expanding, competition continues to soar for the most skilled workers on the job market.

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To run a successful staffing firm, you need to be able to perform your core business tasks in a fast, efficient, and thorough manner. But with all the distractions administrative duties represent, focusing on just your front office can seem like a tall order. That’s why you need a back office solutions provider that can take care of the complexity of admin.

How do you know which back office solutions provider is the right choice for your business? Read on for key signs of an accomplished provider that can help your staffing firm excel!

Can You Outsource Your Admin to Your Potential Provider’s Experts?

The back office of a staffing firm takes a lot of time and running through paperwork with a fine-tooth comb to run according to Canadian business standards. If you find that your business’ front end is lagging in productivity and customer service, chances are it’s due to administrative work dragging your daily operations down. 

A proficient back office solutions provider should be able to offer the option of outsourcing your administrative work to experts. These experts should be well versed in matters of human resources, corporate accounting, legal challenges, and Canadian government legislation. 

Keeping up with Canadian compliance is important. Shifts in minimum wages, vacation and sick leave, and penalties for misclassifying workers are just a few of the compliance matters your back office solutions provider should be capable of handling.

Is Your Potential Provider Focused on the Staffing Industry?

This detail is crucial to how well a provider can implement solutions that take your industry’s unique challenges into account. When you engage with a provider that does not focus on a niche, you’ll notice one-size-fits-all solutions. 

For the same reason that staffing firms tend to do better if they specialize in a certain niche, back office experts need to specialize in the staffing industry to offer custom solutions. Ask yourself which would serve your staffing firm better: a provider that throws the same blanket solution they do to businesses with divergent challenges, or a provider that knows staffing industry intimately and can offer a set of solutions that covers your individual staffing firm’s challenges?

Can Your Provider Offer Multipurpose Proprietary Software?

Perhaps your staffing firm has access to accomplished HR and admin staff, but there simply aren’t enough hours in a day to deal with all the paperwork. Depending on how your staff is while you’re starting out with your firm, sometimes solving a problem comes down to having better tools.

The right back office provider will have software solutions that can handle a number of time-sucking tasks that need automation. There are award-winning software systems out there like StaffTrak, for instance, which can handle applicant tracking, client relationship management, and financial reporting.

Such software can optimize the way that your admin staff approach daily operations for the back office, not to mention give extra assurance that clerical errors regarding payroll and taxes won’t occur. StaffTrak can also be used on the front end of your business to automate data entry and keeping client and candidate info consistent and updated.

Keep this blog’s three strategies in mind when you choose a back office solutions provider. After all, landing the right provider can help you compete with the big staffing firms.

Unlock a Lucrative Revenue  Stream With Contract Staffing

Topics: Back Office Service Provider

7 Advantages of Temp Staffing

Posted by Ray Gonder

|

Aug 28, 2017 10:30:00 AM

7 Advantages of Temp Staffing.jpgNew staffing firms want to present an employer brand that has them hit the ground running. You have to have a handle on high overheads and set yourself up to compete with the big staffing firms eventually.

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Making temp staffing a cornerstone of your firm’s brand is very beneficial to building a successful business. Temp workers are helping Canada’s gig economy grow, and they're a key way for organizations to keep a full roster .

Want to know 7 big advantages your staffing firm gains by making temp staffing its focus? Check them out below!

1. Become a Go-To Source for Employee Flexibility

A lot of potential clients are looking specifically for temp employees. There are several reasons for this, including (but not limited to): short-term projects that require specific talent, more manpower needed during busy seasons, cost effectiveness during slow hiring periods, and covering for permanent employee sick or maternal leave.

The main point here is that there are many businesses looking for a firm that offers temp staffing solutions to help them gain more flexibility with their talent. When your firm offers temp candidates, you’ll find that your client base grows much faster!

2. Better Opportunities for Candidates

You might assume that people are only interested in permanent positions, but there’s a lot of candidates out there that want a temp position. Whether it’s their side hustle, a stop-gap before they land a permanent position, or they simply prefer to take on temp over full-time work, you’d be giving better opportunities to your candidate base. And better opportunities mean more placements with your growing client base in need of temp workers!

3. Broaden Your Range of Services

Customer service is an imperative of the staffing industry, because the needs of your clients are bound to change over time. The staffing firms that remain at the head of the pack are the ones that continuously evolve to meet client needs.

While there are many good reasons to focus on a niche for your firm, being too stringent about your niche can lose you clients to another staffing firm. Being able to offer temp services will guarantee that your current client base doesn’t dwindle.

4. Grow Your Skilled Candidate Base

There will always be temp work opportunities, especially since Canada is facing not just a gig economy, but an ongoing skills shortage too. There’s a lot of top talent out there that would love to sign on with a staffing firm that offers temp opportunities.

As mentioned above, there are many reasons for candidates to seek temp positions. But it’s important to note that there are both active and passive candidates (those who are already gainfully employed) looking for temp work. Passive candidates are sought after top talent and their presence makes your staffing firm brand even more attractive.

5. Temp Staffing is a Sustainable Niche

If you want a simple way to launch your staffing firm, consider making temp work your primary niche. You know now from the above points that offering temp placement services is more than sustainable. Capitalize on this opportunity and start off strong, with agreeable marketing and overhead costs.

6. Your Target Market is Clear

Making temp workers your priority also gives your recruitment team a streamlined set of goals for landing candidates and clients. You won’t have to worry about time management and different admin duties being negatively affected, either.

7. Hone a Specialization

The bottom line of offering temp services is that your firm will become experts in a specific field that’s going to be growing for years to come. Whether you’re adding to your existing services or choosing temp as your starter niche, you’ll grow your business fast because you’re able to offer a specialized service that’s in demand.

Everything You Need to Know about Starting a Successful Staffing Firm

Topics: Staffing Agency

What Is Required to Do Business in Canada? An EOR Service

Posted by Ray Gonder

|

Aug 2, 2017 9:00:00 AM

What Is Required to Do Business in Canada An EOR Service.jpgAs a foreign staffing agency looking to open a few branches in Canada, you may face several complex challenges. While there might be some similarities between Canada’s legal system and yours, several details unique to Canada’s system and laws can keep you from launching your business. For instance, foreign employers must establish a Canadian administrative entity like a subsidiary or a branch office.

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To be a successful foreign business in Canada, you need to ensure you’re consistently compliant with the country’s federal and provincial rules and regulations. A daunting task for sure, especially if you have no payroll service provider. For more on how to properly start your staffing agency in Canada, and how an Employer of Record or EOR service can save you a lot of time and effort, read on.

Structuring Your Business in Canada

As mentioned above, you must establish an administrative entity before you can open shop in Canada. Whether it’s a subsidiary or a branch office, this entity must register or obtain a license for each province and territory it proposes to do business in, regardless of the jurisdiction of incorporation.

You’ll need to account for the fact that some jurisdictions require the directors of your subsidiary or branch office to be resident Canadians. There are exceptions made, however, for British Columbia, Nova Scotia, New Brunswick, Prince Edward Island, Quebec, and the three territories (Northwest Territories, Nunavut, and Yukon).

While the foreign shareholder isn’t responsible for any liabilities of this Canadian entity, you’re required to maintain accounts with all necessary Canadian government authorities (at federal and provincial levels). These regulations apply to any province or territory you employ Canadian contractors in.

Keeping Up Compliance and Taxation

The next big step in setting up your business in Canada is regularly filing and making remittances to all accounts set up in every province and territory you’ve opened your business branches in. That means keeping all your filings and remittances straight according to the different timelines of these provinces and territories.

To streamline the process of taxation and other financial matters related to operating a business in Canada and hiring Canadian contractors, you’ll need to establish an infrastructure for banking and insurance. If you want to run a successful staffing agency, you need to know about paying employees in Canada and what processes it involves.

Your foreign business must always comply with federal and provincial regulations for taxation, as well as employment standards regarding health and safety. These rules often change alongside the economy. Failing to comply can be very costly for your business.

Why an EOR Service is Vital to Your Business

If any of the above made your head spin, you probably require an expert EOR service like The Payroll Edge (TPE). TPE is one of the largest Professional Employment Organizations (PEO) offering Canadian payroll services. It has years of experience in offering foreign businesses like yours to flourish in Canada by handling all the necessary administrative tasks discussed above.

There are many advantages to engaging TPE for their EOR service, not least of which is maintaining ongoing compliance. When you’re starting your staffing agency or expanding your agency by opening branches in Canada, you literally can’t afford to make too many legal errors. Working with an EOR service will save you plenty of time and money, and will keep you up to speed with Canadian legalities.

Your business venture can be quite lucrative if you’re willing to take a calculated risk and expand into Canadian markets. The gig economy is hopping right now and will be for years to come in Canada. Staffing agencies are in more demand than ever, and TPE can help you grow your staffing business by taking the pressure off with regards to administrative duties.

Everything You Need to Know about Starting a Successful Staffing Firm

Topics: EOR Expanding into Canada

How to Prevent Heat Stress in the Workplace

Posted by Ray Gonder

|

Jul 19, 2017 9:00:00 AM

How to Prevent Heat Stress in the Workplace--.jpgFor many, summer is a time for sun, shorts, and sandals, but as the temperature rises, so do the number of heat stress-related ailments and injuries. Within the workplace, heat stress may combine with other factors such as physical labour, dehydration, and fatigue to increase the risk of severe medical consequences for employees.

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It’s the shared responsibility of the business, the employee, and any staffing agencies involved to minimize the risk of heat stress-related incidents.

What Is Heat Stress?

When heat is combined with other stresses such as hard physical work, loss of fluids, tiredness, or some pre-existing medical conditions, it can lead to heat-related illness, disability, and, in some worst-case scenarios, even death.

Heat stress can happen to anyone, regardless of age or physical fitness, especially during the summer months. It is important to note that employers have a duty, under clause 25(2)(h) of the Occupational Health and Safety Act, to take every precaution reasonable in the circumstances for the protection of a worker.

What Are the Effects of Heat Stress in the Workplace?

An employee expending large amounts of physical energy in a hot and humid environment may eventually experience symptoms brought on by heat stress such as heat exhaustion, fainting, heat stroke, or heart attack.

Worker safety should be one of the top priorities for businesses. Not only do employers have a duty to protect employees, it’s also in their best interest to shield themselves from lost productivity, reduced morale, as well as possible fines and penalties.

For compliance purposes, the Ministry of Labour recommends the current Threshold Limit Values (TLVs) for Heat Stress and Heat Strain published by the American Conference of Governmental Industrial Hygienists (ACGIH). These values are based on preventing un-acclimatized workers' core temperatures from rising above 38°C.

What Can Employers Do?

It is paramount that businesses have heat stress control plans in place. These cover a wide range of provisions that operate on many levels. These may involve simple offerings such air conditioning or fans, access to cool drinking water, and a lightweight summer dress code or more complex strategies like a breakdown of work-rest cycles, increased supervision when working outdoors, and mechanical automation to reduce the need for manual labour.

It is important for employers to be aware of the environmental conditions on days they task employees with outdoor jobs. Furthermore, businesses should gradually acclimatize their workforce, so they can adapt to working in hot weather and learn the best ways to stay cool.

By educating employees on how to recognize the signs and symptoms of heat related conditions, employers minimize their risk of heat stress-related incidents in the workplace.

What Can Workers Do?

Fundamentally, workers must know their own bodies. Your body is always generating heat and passing it into the environment. The harder your body works, the more heat it has to lose. Combined with heat stress, your body must work harder to get rid of heat.

Workers on medication or with pre-existing medical conditions are even more at risk because of the unpredictability of their body’s response to heat. Such workers should speak to their personal physicians to see if they can effectively work in hot environments.

Additionally, workers can elect to wear cool clothing that works with the dress code (if applicable). Clothes made from lightweight and breathable fabrics such as cotton and silk allow air to pass through. Air passing over the skin helps cool the body by evaporating sweat from the skin.

Be Prepared!

The Government of Canada takes extreme heat-related incidents seriously and provides many reports regarding the effects of heat stress on the population.

Reach out to experts for more information and make sure your workplace is ready for any heat stress-related incidents that a sweltering summer may bring.

Everything You Need to Know about Starting a Successful Staffing Firm

Topics: Staffing Agency

There’s No Excuse for Misclassifying Workers: Here’s How to Prevent It

Posted by Ray Gonder

|

Jun 21, 2017 9:00:00 AM

There’s No Excuse for Misclassifying Workers Here’s How to Prevent It--.jpgIndependent contractors are great. They can help you fill necessary gaps in your company and bring a wealth of knowledge to your team. Another great aspect about independent contractors is that they don’t have to be paid benefits or insurance, as they are not official employees.

The only problem is, some companies misclassify their independent contractors to try and cheat the tax system. Whether an independent contractor is misclassified on purpose or by mistake, this has become a major concern in the Canadian staffing industry. The Canadian Revenue Agency (CRA) has recently cracked down on non-compliant companies both big and small. If found guilty, misclassifying workers could lead to serious penalties and a loss of reputation for your company.

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

So how do you prevent this from happening to your business? Make sure you know exactly how to prevent misclassifying workers so you and your company won’t be liable in the future.

Know the Law                   

There are many different pieces of Canadian legislation which relate to this topic, one of the most important being the Employment Standards Act. The Employment Standards Act dictates that employees are legally entitled to:

  1. limited working hours that include eating periods,
  2. overtime pay,
  3. minimum wage,
  4. vacation with pay,
  5. public holidays and public holiday pay,
  6. leaves of absence, and
  7. termination notice.

Employees who do not receive all of these benefits of the Employment Standards Act are eligible to file a claim for compensation. Misclassifying your employees and depriving them of these benefits can land you in a messy lawsuit.

Other important laws to abide by are Privacy Laws, insurance regulations, and your required payments to Canadian Pension Plan. Knowing these rules and regulations like the back of your hand will help you avoid any catastrophic worker misclassification problems you may run into in the future.

Implement a Worker Classification Program

The best way to make sure you’re classifying all your sub-contractors correctly is to implement a worker classification program.

What is a worker classification program? It’s a process that takes into account all independent contractors to determine what work is being completed, how the work is being completed, and how much they are being paid. A sub-contractor will have flexibility when it comes to using their own equipment and how they complete their hours. The tasks completed by an employee will have much more structure, and will help determine how an individual should be classified.   

A detailed analysis of all independent contractors should be done in order to ensure all classifications are truly and 100 percent accurate.

Because worker classification programs are so important and complex, to avoid misclassifying workers many companies outsource this task. All the information required to make informed classifications may be overwhelming to some employers, and it is just easier to trust their classification process to a back office service provider.

Back office service providers can help properly implement this program to guarantee compliance. It’s the best way to ensure your company has the most accurate classification of its subcontractors, to avoid any possible penalties that may accompany misclassification. 

Let Your Independent Contractors Work Independently

As previously mentioned, structure is one of the main components that determines whether an individual is an employee or an independent contractor. By relinquishing control and allowing your independent contractors to work independently, you’re creating a more definitive line between employee and independent contractor.

The focus with independent contractors should be the final product, not the process along the way. Let your independent contractors do their thing, and have your say when it comes down to the final product.

If you believe that your independent contractors may be in a grey area between independent contractor and employee, there is always the opportunity to revisit their contract to avoid misclassifying workers.

Unlock a Lucrative Revenue  Stream With Contract Staffing

Topics: Worker Classification

How to Avoid Staffing Agencies’ Biggest Challenges

Posted by Ray Gonder

|

May 29, 2017 9:00:00 AM

How-to-Avoid-Staffing-Agencies-Biggest-Challenges.jpgIf you run a staffing agency, you’re very familiar with its unique obstacles.Insurance, compliance, recruiting, cash flow—these are just a few of staffing agencies’ biggest challenges. 

Whether you’re a veteran in the business or just starting out, there’s always something new to learn. Here’s how to avoid the biggest challenges facing staffing agencies.

Implement Useful Software

If you’re using separate spreadsheets, sticky notes, and multiple files to keep track of clients and candidates, you’re living in the past. From sifting through resumes to managing payroll and HR, it can be hard to stay on top of matters. Replace these outdated methods with staffing agency software to stay organized and on track. 

Staffing firm software presents an integrated and streamlined process to manage clients, candidates, job postings, scheduling, and other tasks. Forgetting to follow up is a common issue many firms face. Combat this by setting reminders within the software to ensure you follow up with everyone as needed. 

If you’re having trouble matching all your candidates with clients, software provides data metrics for improved decision making.Based on social networks and ranking filters, it improvesyour matching ability to find the best candidate for a position.

Have Secure Vetting Processes

Thorough vetting provides a better understanding of clients and candidates. One of staffing agencies’ biggest challenges is knowing who to take on. You want to accept new business and match candidates, but you need to verify their backgrounds first to reduce your risks. 

Poor verification procedures will add stress: whether it’s clients who are way behind on payment or candidates who cause workplace incidents on job sites. 

Ensure a secure vetting process is in place to protect the firm. For new clients, run credit checks to ensure they can pay on time. Check company reviews to confirm they present a respectful, safe workplace. For new applicants, call references, run background checks, and verify education. 

It can be a challenge to work with good people, but a thorough selection process helps make it easier.

Maintain Cash Flow

Cash flow is probably the biggest challenge staffing firms face, and with such a backward cash model, it’s easy to see why. Staff expect to be paid on time, but clients can take anywhere from 30 to 90 days to pay their invoices.

Combat cash problems with payroll financing. It provides capital and cash flow so staff gets paid, as well as flexibility to grow your agency. Having enough money on hand can be a big cause for concern. With payroll financing, you’ll relieve this burden and stay in the black.

Watch the Trends

It can be a challenge to stay in the loop in an ever-changing industry. Firms From recruiting methods used to standard pay scales you need to keep up.

Give your firm a competitive edge and be ready to face another one of staffing agencies’ biggest challenges by continuously staying on top of key trends in the staffing industry.

Get Outside Help

Another way to overcome these problems is to outsource administrative functions to a back office provider. With the latest technology, legislation knowledge, and payroll funding, they ensure staffing agencies are compliant and on track.

With your back office responsibilities handled by professionals, you can ensure efficient and accurate coverage for better performance. Their group buying power and affordable rates also allow you to get better deals on benefits, insurance, and more.

Combatting staffing agencies’ biggest challenges is as easy as enlisting the expertise of a back office provider.

Everything You Need to Know about Starting a Successful Staffing Firm

Topics: Staffing Agency

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