Outsourcing your hiring process and your labor can be a good choice for any employer, as it can mean saving time on going through résumés and applications and interviewing potential candidates for positions. This might be an obvious advantage, but there are many others that you may be overlooking and especially when it comes to your warehouse personnel. Note a few of those advantages here so you can ensure you choose the right way of taking warehousing labor hire for your company.
Hidden savings
You may realize that it's more cost-effective to outsource your labor as you are only paying a flat fee to a hiring company to have personnel on staff, and avoid the costs of vacation days, compensation insurance, and the like. However, you might be overlooking other cost savings, such as departure costs. When someone leaves your business, you may need to give them an exit interview and severance pay, and this means taking up both time and money. Your unemployment insurance rates may also increase, the more turnover you have of your staff. Consider these hidden savings of outsourcing your warehouse labor hire in addition to saving on benefits and time off for employees.
Quality work
Labor hire companies will typically have highly-trained staff that they send to your business, so that you get quality work from the very first day. There is less time you need to spend training your workers on computer programs used in most warehouses, as well as equipment and machinery. Outsourcing your labor hire can also mean that you don't deal with the reduced work ethic that is common with those who are getting ready to quit their job; if someone from an outsource company has a reduced work ethic, you can simply ask for a replacement employee the next day and not worry about lower-quality work.
Safety and regulations
Workers from an outsourcing agency will be updated on all safety protocols and the agency will ensure that they understand regulations that affect their work in a warehouse; this can save you money on training. You can also use this expertise of your labor hire company to stay updated yourself. They may be happy to notify you of any changes to regulations that may affect your workplace, whether this involves necessary safety equipment, working with hazardous materials, and the like. In turn, you can ensure your workers are protected even if they are properly trained and avoid any fines or possible shutdown due to violations in safety.
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