According to the most recent data from the American Staffing Association (ASA), there are about 20,000 staffing and recruiting companies in the U.S. They operate about 39,000 offices nationwide and hire nearly 15 million temp and contract employees annually.
Closer to home, in the state of CT, there’s an estimated 234 staffing companies that employ over 132,000 people each year. That last number makes it clear that a lot of employers and job seekers are benefitting from the services that staffing companies offer.
The old saying “bigger is better” does ring true for some things in life, but not when it comes to staffing agencies. So when you think about the best CT staffing agencies – whether you’re an employer or job seeker – think smaller, not larger. The reality is smaller agencies can outperform the larger competitors on lots of levels. Here’s how.
Larger Talent Pool
Big staffing agencies, many of which are part of national chains, typically rely on just their candidate database when finding or placing talent. And because of their long client list, there can often be conflicts of interest which prevent the agency from reaching out to those candidates who are the most qualified. Fortune.com contributor Jerome Young says that smaller staffing agencies with a more modest client list have a bigger talent pool from which to select the top candidates for each position. They’re also much more likely to do a targeted search to find the right candidate vs. just looking in their database. And they’re more able to extend their search to passive candidates at competitor agencies.
Recruiters at large staffing agencies are faced with heavy client loads, making it tough for them to spend time researching and speaking to each client so they precisely understand their employment needs. The less a recruiter knows about their client, the less likely they are to make a successful employer/candidate match. Juggling a big client list also means less expertise in certain fields. High recruiter turnover, which is common in larger staffing agencies, also means less experienced staff. Smaller agencies tend to have seasoned, skillful recruiters who have been with the agency a long time and know all the ins and outs of the industry. This leads to faster and more successful placements.
Ask practically any employer or job candidate what makes their staffing agency so successful, and you’ll likely hear it’s the level of personal service they deliver. The key to successful placements comes down to how well the agency knows the employer they’re recruiting for or the candidate they’re helping to place. Big staffing agencies simply don’t have the time to deliver a level of personal service that a smaller agency can. Personal attention is the key to success – and that’s more likely to come from the smaller agencies.