Are Temporary Agencies Destroying America?

Question

It seems like every day I look for the career of my choice, I find that I'm upstaged by a temp agency. I've been doing temp for for a few years now, just to get by and pay off the bills until something permanent shows up. However, I've noticed an upcoming trend with America's job market

It seems as if temporary agencies are agressively pursuing career positions and are reducing them into near minimum wage rates. And companies are easily swooned towards the ability to treat temps like garbage

I recently applied to a position in Mesa Arizona about a $30,000 adminstrative position that was posted on the company website. I later got a phone call from them explaining to me that the position is NOW a 3 month temp position

More than likely, this position used to be a regular administrative position with salary. Now its been reduced to a $12 (or less) an hour job with no benefits, no mention that it was temp-to-hire

Are agencies agressively TAKING jobs instead of OFFERING jobs now?

Answer 1

It was not so many years ago that temp agencies filled positions for companies who had:

people on vacation
forming a new department
people out ill
maternity leave
people who quit or were fired

Those jobs lasted for a specified amount of time, and sometimes a company would ask a temp to stay--but not in the majority of cases.

Then there were regular Employment Agencies. These agencies were for people looking for a full-time or part-time career. Applicants were not looking for temp to hire--they wanted a career.

It's always been with Temp Agencies that they charge much more (perhaps double) for an employee per hour.

Employment Agencies got a fee up front from the employer (or in some instances from the person hired), and that was the end of it.

I have noticed in the classifieds, for some time now, that nearly everything is temp-to-hire. This really sux for people--those three months as a temp could have been their probation period on the company's payroll, and they could soon be receiving their benefits.

Answer 2

My company staffs its admin offices through a temp agency. This is done for the company's convenience since about 2/3 of the temps wash out or can not handle the job. Once the company hires someone permanently, it is much harder to fire them. A temp can be let go in an instant.
My office has about 70 temps. It is well known that they hire between 20-30 permanently each year. The cream rises to the top and those are the ones hired. Within the office, temps and permanent employees are treated exactly the same. The only difference is the job security and the benefits. I was hired after 2 months as a temp...others have been working there for 3 years as temps. I believe they are bringing in the temps at $15/hour now.

Answer 3

Here is how temporary companies are destroying America. First as we all know the American worker can only expect to work 2 to 3 months before being laid off, and will probably never receive benefits. Now with Obama care laws these same workers will be penalized for not having insurance. Not only do they get lower wages because the agencies are taking a profit, and the recruiter is on commission, So Low Wages, No Insurance, and No chance of building good credit.
The Companies that use them have been fooled too!!! They went from paying Jane Doe 14 to 18 an hour, to paying the Agency, the agency is charging them 18 to 24 per hour for the John Doe. Because the agency still has to pay taxes, liability, and workman's compensation insurance for John Doe plus make a profit. John is lucky to get 11 per hour. The Company is still paying the same amount if not more, Plus all of the turn over is affecting cost based on the amount of scrap and wasted product that is produced from the new workers. Which will never have the time to get adjusted and skilled in three months.
This needs to be an election issue.

Answer 4

My experience with temp agencies was bitter-sweet in an opposite sense. I had employers tell me they wanted to hire me on, but they would have to buy the contract, so it was easier to just wait it out the 3 months, then the job would suddenly end or someone else would apply from the website or walk in and apply and they would hire that person permanently and I was basically told to kick rocks. The jobs are probably paying less per hour because the agency is taking more percentage off the top, or they charge too much. I saw the records once on a job, I was making $10, the agency $17.

Answer 5

I temped a little when I was a teenager, and was hired permanently almost immediately. Others aren't so lucky. I know one woman who has temped for the past decade, and her husband has too. Neither one of them ever gets hired and their life is always in turmoil because of a job that is about to end or because they are in limbo and their agency has not placed them fast enough to cover bills.

The company I worked for now is letting a temp file clerk go even though she has worked there over a year and is very experienced and helpful; yet they are keeping the girl she works with, a permanent employee, who is not as good and always walks in a couple hours late. But what can you do besides stand by and watch them shoot themself in the foot.

I do job searches from time to time, just to see what is out there, and you can't do a search on Monster or Hot Jobs or whatever without getting page after page of staffing services. I think they can be beneficial but maybe it's enabling employers to treat workers like crap and not put any investment into their work force. Of course they save money by not taking the hit on turnover but what temp is going to want to commit themself to the work if they know they aren't going to stay that long? Oh well.

Answer 6

No temp agencies have nothing to do with that. The thing is nowadays businesses are adopting a cost-effective means of reducing fixed business expenses like wages, employee benefits etc. An example is outsourcing which includes using temp agencies.

Companies are now aggressively adopting outsourcing, rather than having a permanent employee that costs a lot of money in terms of benfits e.g insurance, vacation time etc. Many businesses are thus adopting temping for some of their non-executive and non-management positions. Outsourcing is just a new way of doing business efficiently in the Information Age, gone is the Industrial age....

Answer 7

I think that many companies are looking at temporary staffing groups to cut costs. They pay the staffing company a good wage but don't have to be worried if they decide they don't want the worker.
The worker now is responsible for all of their benefits and disability insurance.
In many cases, the average temp worker who makes $18.00 per hour and works 50 hours will only bring home half of what they gross. They will take our insurance and taxes and other fees.
Very sad that the employers have to go this route.
No pensions, no 401K's, minimal vacation and no personal time. They also can impose impossible rules which hurt those who have children. They penalize parents who have to take time off with sick children and can fire them by using a point system. Tardy by 5 minutes, 1 point. One day off unexcused (you must be sick with a doc's note) and that is 2 points. 5 points in three months and you lose your job.
I too have seen many good jobs out there only to find that it is thru a staffing company. You are an at will employee and they get let you go at the drop of a hat.
Tough world out there anymore. Competative too!

Answer 8

Companies do not want to pay benefits to people anymore. Using a temp service is a way around this. The last job I had was a temp job and the regular employees and management treated us like crap. All that for only $9 and hour. The rich get richer and the poor get poorer. America is digging its own grave.

Answer 9

I was a temp at one time...the physical labor type.
The companies,I've heard, prefer the temps,b/c all they have to do is pay the temp agency. They don't have to provide medical insurance or anything like that. The temp agency does. I am a truck driver and there are also temp jobs for those too.
God luck in finding a permanent job.

Answer 10

Temporary agencies are destroying America!!!
Someone posted this message on Craigslist. I agree with this. There are no highly professional recruiters any more. Perhaps 10 up to 15% deserve to keep contact with. The guy who does not even carry degree decides about future of someone with 20 or 30 years experience. Very often young completely inexperienced women. The hiring companies are at fault too. You can not speak to person which would be directly involved in your work. Only with idiotic human resource manager who decides if you can maintain further contact with the company.