How do I hire a temporary employee?
When hiring an employee, a business can categorize them in many different ways. A business can hire an employee as a full-time, part-time, per diem, seasonal, or temporary employee. Each type of employee is used for different scenarios. In this article, we will look at temporary employees and what a business needs to know when hiring a temporary employee.
What is a temporary employee?
According to the U.S Chamber of Commerce, a temporary employee is an employee of your company or a third party staffing agency. These are either at-will employees or work under a contract. Temporary employees can be paid hourly wages or paid a salary, but their pay must meet the minimum wage thresholds of the state in which the employee works. Temporary employees can be part-time, full-time or seasonal. Typically, temporary staff work less than 1,000 hours or less than one year for a business. Just like other types of employees, employers must verify timesheets, pay temporary employees, withhold proper payroll taxes, and provide a W-2 form to the employee and the Internal Revenue Service.
Why would I need a temporary employee?
There are many scenarios in which a business would need to hire a temporary employee as opposed to a regular full-time or part-time employee. Let’s take a look at a few.
First, an employee may be out on paid family medical leave to care for a family member. The employer needs to fill the position for a set period of time to continue the same level of productivity during the full-time employee’s absence.
Another example would be if an employer operates in a seasonal business. Retailers may hire temporary workers for a short period of time during the busy holiday season. Restaurants may look to add temporary employees during the peak summer months.
Lastly, a business may hire a temporary employee if there is a certain job that they need to complete. The employer may not have an employee that can fill that role and need to hire outside help. For example, a legal firm might hire a web developer on a short-term basis to revamp the company’s website.
How do I hire a temporary employee?
Hiring a temporary employee is just like hiring any other type of employee. First, you will post a job ad for the open position. Then, interview and select potential candidates, collect the necessary new hire paperwork, and onboard the temporary employee into your organization. The key is to be clear in the job posting and during the interviews that the position is temporary. If you know the length of the assignment, you should mention it to applicants. As with hiring for any position, be careful not to discriminate against any protected classes.
Of course, there is also the option of using a third party hiring agency to assist you with the process. These businesses do charge a fee, but they can typically speed up the process of filling the open position. Hiring agencies also handle most of the employment-related paperwork, reducing your administrative burden.