I work in contract technical staffing, and I’ve seen its drawbacks firsthand. Despite promoting its benefits daily, it’s rare for anyone to ask about its downsides in my 20+ years in this field. Surprisingly, most corporate HR and Recruiting Pros dislike contract staffing, yet few can say why, with only about 1% explaining their reasons (I made that number up, but it’s super low).

Many think contract staffing threatens their job security. They worry that if they use our services, they’ll become expendable. But that’s not entirely true. Contract staffing fills temporary talent gaps and handles project work, while corporate staffing focuses on permanent hires.

However, it’s important to admit that contract staffing isn’t perfect. Here are three common reasons why contract staffing may not be the best fit:

1. Falling in Love with Contractors: Sometimes clients fall in love with contractors who deliver exceptional work. However, assuming they’ll just seamlessly transition into permanent roles can lead to disappointment. Many contractors thrive on variety and project-based work, lacking the desire for long-term commitments. Contract staffing succeeds when both parties align on project objectives, deliverables, and timelines.
2. Competing for Top Talent without Competitive Compensation: It’s tempting to believe that contract staffing can lure top talent away from direct roles, even when compensation isn’t competitive. However, attracting top-tier professionals requires more than just a tempting offer. If your compensation package trails behind the market, expecting top talent to make the leap is unrealistic. Contract staffing excels when it fills temporary talent gaps or project needs, not when it attempts to poach talent with subpar offerings.
3. The Myth of Magic: Despite common misconceptions, contract staffing doesn’t come with a ready-made pool of candidates. While we excel at sourcing technical talent, I don’t have a magical roster of candidates awaiting their deployment. Instead, I identify and engage with suitable candidates, tailored to your specific needs, and we both go from there.

I get it—you want to see results fast once you’ve hired us. But for a successful partnership, it’s crucial to match your expectations with what we can deliver. Just like you manage your hiring manager’s expectations, I make sure our capabilities meet your needs, so we can work together effectively.

When both sides have realistic expectations and are on the same page, contract staffing can be a great solution for temporary talent gaps and project needs. By recognizing its challenges and how it works, we can build a strong partnership based on honesty and understanding.