How Much Do Staffing Agencies Make Per Employee?

There are a lot of factors to take into account when answering the question, “How much do staffing agencies make per employee?” First and foremost, let’s establish what exactly a staffing agency does. These are professional organizations that have hired thousands of people over the years to perform a myriad of different tasks, many of which include helping businesses find qualified employees who want a job.

Staffing Agencies

In order for staffing agencies to make any money at all, they need to be able to get jobs for as many potential employees as possible staffing agency. To do this, they have to pay competitive prices for each job, regardless of whether or not it is a job that they actually end up hiring.

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The question on how much do staffing agencies make per employee can be answered in several different ways. On one hand, they may make a little bit of money, because they will have to pay for advertising that helps them sell their services to businesses. They also will make money off of the initial fees that they charge their clients for signing on with them. On the other hand, if they don’t get a single new job hired, they won’t get paid anything at all.

So how much do staffing agencies make per employee? In order to answer that question, you really just need to know how much it costs to train each new employee, on average. Every business has some level of employee turnover, so this figure will obviously vary according to the size of your business. The cost to train someone new to an hourly wage job, on the average, is about $35.

Once you know how much it costs to hire someone for a full time position, you can figure out how many new employees you’ll need to hire to break even. Some small staffing agencies only make about two or three jobs at a time, while larger agencies have dozens of employees that are trained to do multiple jobs.

Then you have the new hires that come in and out of school during the course of any given school year. Many of these positions last only a few months before being replaced, but others may be held down until the next academic year begins. You could end up with several new positions every year, or several people who are fresh out of school taking care of some of the same positions year after year.

One way of figuring out how much do staffing agencies make per employee is by taking into account how long it takes for each person to be hired and trained. For example, if it takes four years for a new employee to be trained to fill a specific job, then you would expect that staffing agency would make about four thousand dollars per position.

However, if they hire four people per position, then they only make about six hundred dollars per year. This means that they are more profitable to the company, because the turnover rate is lower, therefore the employees stay longer, which results in more time working on the job.

How much do staffing agencies make per employee is not an easy question to answer, however it does need to be answered. You have to factor in how much the economy is changing and how many positions need to be filled, and how long each employee stays in training.

It can take a while for your employees to learn the new job duties and to get used to doing them well. For this reason, you need to have qualified, well-trained candidates for every available position. The turnover rate is very high in most companies, and the turnover rate is one of the biggest factors determining how much do staffing agencies make per employee.