Staffing companies often help clients by covering last-minute openings or filling difficult-to-staff positions. In some cases, though, an agency may assist with direct staffing hire and conduct a more traditional recruiting process. No matter what kind of staffing agency hiring process unfolds, staffing agency insurance is imperative.
Staffing Companies and the Staffing Agency Insurance Solutions
Learn more about the liabilities this type of policy covers and see why it’s an essential investment for any professional in the staffing industry.
Staffing Agency Insurance Covers All Hiring Processes
Whether an applicant is seeking temporary work, a seasonal job, or a salaried position, staffing companies “?
should provide job seekers with a positive environment throughout the hiring process. In some cases, the hiring process lasts only a few days; in other cases, it may extend through several weeks. Regardless of the duration, though, liabilities may emerge if agencies are negligent or harmful toward job seekers. If such an allegation emerges, staffing agency insurance can cover the liability.
Direct Hire Start With a Stringent Recruiting Process
In addition to temporary positions, some staffing agencies offer staffing services for permanent, salaried positions. These jobs usually come through a direct hire process that involves the agency acting as a recruiter for the employer. This process typically starts by soliciting applications and recruiting candidates online. Staffing agents may browse online job sites and resume postings to generate potential leads for the position. Many recruiters also branch out to social media and contact people who appear to be a good fit through their personal profiles.
Staffing Companies Invite Screened Candidates to an Interview
Once a staffing agent has recruited applicants for the position, they will typically screen the candidates to ensure they meet the minimum criteria. For example, if the job requires a specific certification, the agent may confirm that the applicant has completed it. Staffing agency insurance is handy because it shields recruiters from any potential charge of discrimination or unfair hiring practices.
Successful Candidates Receive a Direct Hire Job Offer
After screening and interviewing all qualified candidates, a recruiter will extend an offer of employment to the top applicant. Temporary and contract positions require a new hire to report to the agency. Conversely, a direct hire would signal the end of the working relationship between the agency and the candidate. After accepting the employment offer, they will report directly to their new employer, typically as a full-time, salaried employee. Recruiters should also be aware of liabilities that emerge in this part of the process and invest in insurance.
Staffing Agency Insurance Protects Recruiters
Even though a direct hire arrangement eliminates many of the complications in the staffing process, recruiters still need to account for plenty of risks before they dive into a direct hire assignment. The right staffing agency insurance can mitigate the most common risks, such as wrongful acts and discriminatory hiring practices. Connect your staffing agency clients with retained search professional liability insurance before they accept direct hire contracts.
About World Wide Specialty Programs
For the last 50 years, World Wide Specialty Programs has dedicated itself to providing the optimal products and solutions for the staffing industry. As the only insurance firm to be an ASA commercial liability partner, we are committed to that partnership and committed to using our knowledge of the industry to provide staffing firms with the best possible coverage. For more information about Staffing Professional Liability Insurance or any other coverage, we have available to protect your staffing business, give us a call at (877) 256-0468 to speak with one of our representatives.