Contract Hire

Contract hire means the employee is placed in a short-term position for a set period of time, with the possibility of being hired full-time when the contract ends. The short contractual roles allow both employer and employee the opportunity of a trial period before committing to full-time employment. A contract hire employee is technically employed by the staffing agency but is under contract to work for the client company.

In contract to hire, a staffing agency fills in the positions and handles most of the front-end recruiting tasks like sourcing candidates, reviewing resumes and shortlisting candidates. Then the shortlisted candidates are passed along to the client for any final interviews. The end-user company makes the final decision, with insights and guidance from the staffing agency if needed. A selected candidate begins the employment contract on the staffing agency’s payroll and not the company’s. The contract duration can vary from one month to being indefinite, and in almost all situations, the client has the option of hiring the employee full time or terminate the contract employment.