Contract to Hire: What it Means for Job Seekers and Employers

It is likely for you to be skeptical about the entire contract to hire (C2H) situation.

A lot of people are  unaware of what it exactly means. So, when it comes to recruitment many candidates are confused about their contract to hire recruitment. However, it’s a great solution that can largely benefit both candidates and organizations.

What is Contract to Hire?

A contract to hire, also known as temp to hire, is a recruitment model in which a candidate is hired temporarily by contract to hire companies with the intention of turning permanent if they execute well during their contract or temp session.

Contract hire services should not be confused with direct hire whereby a candidate is screened directly for permanent position skipping the temp phase altogether.

Contract to hire offers great opportunities for both candidates and managers. But, how can an employee be benefited by a contract to hire?

Let’s know more about it,

Benefits of Contract to Hire for Job Seekers

• • Contract hire services give you an opportunity to prove yourself to your company. It establishes your value in front of your managers. The only thing you need to ensure is to put your best skills and traits on display every day of your work to let your employer know that you are a long term fit.
  • You may not believe it but the contract to hire adds up to your resume. Shying away from C2H can prevent you from learning. Temporary positions are attractive because these keep you on the go. You stay working and learning new things every day.
  • You get a chance to work in a new team and find a different work culture that can help you expand your professional network.
  • Similar to the employer, a contract to hire is a trial run for candidates. It can give you an opportunity to know whether the company is good for you. It provides you with a clear perspective of the job, commitments and  feasibility for the same.
  • Contrary to popular belief, C2H positions can actually pay you more. Since this position comes with a calculated risk, you can ask for a higher hourly rate than usual.

Now, let’s discuss how recruiters can reap benefits by choosing a contract to hire model.

Benefits of Contract to Hire for Employees

• • With contact to hire, you can test your candidate for the necessary skills that you are looking for. Before turning your candidate permanent, you can get a clear picture of the candidate and know if he is culturally fit for your company.
  • Contract to hire is also budget-friendly. The additional positions usually fit into a short-term budget and do not create a burden on the fiscal changes.
  • It also satisfies the needs of changing workload. That being said, sometimes a company might be unsure regarding its resources. It might not be sure to hire new ones. However, a contract to hire can get short-term goals even when the business is not doing fine.
  • Hiring new employees can get fresh ideas to the table. A new employee can provide you with a fresh outlook on difficult situations that you might be needed to getting your work done. A contract employee can give you a new insight into your projects and let you understand the underlying issues that can do wonders for your company.

We hope this was a useful read. To know more insights and updates about the recruitment industry, stay tuned to The Staffing Hub.