How to Avoid the Pitfalls of Staff Leasing

Many of today’s companies are taking advantage of staff leasing services and the perks they bring. However, staff leasing comes with the possibility of several pitfalls. After all, no business strategy can claim to be completely fail-safe, right? The good thing here though is the possible pitfalls of this staffing arrangement can be easily avoided by the clients.

Here now are some of the pitfalls that skeptics have often cited to counter the perks touted by long-time

clients of employee leasing companies. They are followed by tips on how they can be avoided.

1.       The quality of the service matches the cheap rates of the service providers.

This is a very condescending statement which suggests that staff leasing companies cannot be expected to give high-quality services because their prices are very little to begin with. What detractors fail to consider is that many of these companies are from developing countries in Asia and Latin America. Once currencies and conversions are applied, that “little” amount becomes a significant sum for the service provider. Hence, it cannot be said that they are operating on very cheap costs.

TIP: It’s actually right to question if a leasing company charges too little. “Too good to be true” rates aren’t really good sometimes. So when you are screening companies to hire, don’t immediately choose the one that offers the lowest rates.

2.       Since employee management is in the hands of the staff leasing company, clients will have less control over the leased personnel and the work they are doing.

This is an erroneous assumption. In fact, clients will always have the highest authority when it comes to SOPs and delegating tasks to specific employees. The leasing company is always free to give their recommendations; but if the client is adamant about a specific preference, the service provider will comply to keep him satisfied.

TIP: As the client, you need to give clear instructions and make your preferences be known to your service provider because the latter will do what it can to please you.

3.       It will be difficult to train leased personnel, especially if the service provider is overseas. Hence, the arrangement will not benefit the client because the staff won’t know what to do.

On the contrary, staff leasing companies boast highly trained and skilled employees. Clients who pay for their services will in fact benefit more because they won’t have to spend for training the employees. The staff they lease can immediately go to work with minimal instructions and monitoring.

Remember that service providers will offer only the services they specialize in. That’s why we have different kinds of staff leasing companies. Some offer HR services, bookkeeping, computer programming, website optimization, virtual assistance, and so many more. What clients simply need to do is find a company whose staff can fill in the vacant positions in their business.  

TIP: Ask your service providers for ideas and recommendations. If they have been in business for years now, they will have plenty of excellent suggestions that you might be able to use to improve your business operations.