Why Using a Hiring Service Can Be More Cost-Effective for Construction Work

When you own or manage a construction company, labor costs can be one of the largest costs you face for your company. Using a hiring service may seem like you're paying more money for your labor overall since you may pay them a higher hourly rate than if you hired the workers directly. However, there are many good reasons why it can be more cost-effective for construction work to use a hiring service. Note a few of those reasons here so you can determine if it's the right choice for your crew.

1. Workforce productivity

The construction industry relies on the productivity of a workforce; your crew needs to work quickly to get projects completed on time, and any downtime due to unskilled laborers or because of not having enough crew on hand can be costly. Not only do you need to put off taking on new projects until each project is completed, but you may face penalties from clients for work that isn't completed by a certain deadline and may also face the cost of permit extensions and the like. By using a hiring service, you know that your workforce will always have the proper skills needed for any project and you won't face downtime due to a shortage of workers.

2. Reduction of legal liabilities

Your construction company may face legal liabilities because of noncompliance with a number of laws, and many of them relate to worker safety. If your workers are not properly trained in a number of areas, including fall protection, hot work (welding, brazing, cutting and burning), and even sexual harassment and workplace violence, you may face liabilities. When you use a hiring agency, you can ensure that your workers are properly trained in all areas that apply to them and you then lessen your chances of facing penalties and fines because of noncompliance.

3. Costs associated with hiring

You may not think much of the costs associated with hiring workers yourself, but consider the cost of advertising certain jobs, the downtime involved in interviewing and then checking a candidate's background, the cost of ordering background checks, the cost of added space needed to have workers sit through training videos, and the like. You may also need to keep a payroll person on staff as well as someone to manage your human resources, including benefits administration, vacation schedules, and so on. All of these costs can be reduced if not altogether eliminated when you use a hiring company for your staffing needs.

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About Me

Commercial Construction Blog: Tips, Ideas, Strategies and More

If you are hiring a commercial contractor or construction crew, you need to look at the issue differently than you would if you were hiring a construction crew or contractor to work on your private residence. Hi, my name is Howard, and I have worked with construction crews on restaurants, apartment blocks and a range of other commercial projects. Now, I want to share what I have learned, and I hope that the info in this blog can help you with your project. Please, look at my posts, and if they inspire or help you, please share them with your friends. Thanks for reading!