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This question is about employer.
How do staffing agencies make money?
Staffing agencies make money via fees they earn from companies that use their staffing services. In many cases staffing agencies charge a percentage of what the prospect's annual salary will be if hired, this percentage usually falls somewhere in the range of 15% to 30%.
In addition to permanent staffing solutions, staffing agencies might also charge fees to companies for temporary or temp staffing services. These fees might be based on the hourly rate for the temporary worker or some other configurations for contract workers. There are also staffing agencies that have training and development programs as a charged service.
Companies that purchase these types of services would incur extra fees from the staffing agency. Staffing agencies only make money when they successfully place a new employee with the company that is enlisting their services. This gives them a strong incentive to find the company qualified and experienced job candidates that will be good fits for the job openings.
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