Temp Agency: Everything You Know

Temp Agency: Everything You Know


A temp agency provides workers to businesses for short-term projects. Temp agencies are not the same as traditional human resource pools or staffing agencies but offer skilled and unskilled laborers on a more temporary basis, often without benefits or the knowledge that they will eventually find a more permanent job with the employer.

More precisely, most temp jobs are part-time positions, with lower hourly wages and fewer benefits than the traditional full-time position. Furthermore, let's learn what a temp agency is and how to work as an independent contractor or employee successfully.

Table of Contents:

What Do Temp Agencies Do?

Temp agencies select, train, and place their workers with clients for a finite period. Temp agencies may be staffed by an in-house workforce or by staffing companies. The staffing solution companies may accept assignments from clients, who engage them to find temporary workers. 

If a client engages a staffing service provider to provide temp agency personnel, the client is said to "outsource" the assignment. Most temp agency operations involve filling customer needs on time without regard to whether or not permanent positions are available at the end of the assignment. 

In the United States, the federal government, state governments, and cities have created several regulatory schemes that restrict or forbid the use of temporary agencies to fill permanent jobs. So, most temp agencies only place workers in temporary employment, with no guarantee that they will be placed in a permanent position at the end of the assignment.

How Is A Temp Agency Different From A Staffing Agency?

Temp agencies function very differently from traditional staffing agencies. Staffing agencies target companies and individuals searching for a specific type of employee whereas temp agencies primarily focus on businesses that have immediate needs for workers. 

Staffing agencies may take short-term assignments, but their ultimate goal is to find long-term employment for the referred worker. A temp agency will provide workers to a company and does not remain in contact with the worker after their assignment. 

Another difference between staffing agencies and temp agencies is that staffing agencies cover the cost of worker benefits, and a temp agency will only cover their salaries. In addition to the different fees associated with each agency, temp agencies are not responsible for worker insurance or taxes.

Staffing solution agencies also provide workers when needed, whereas a temp agency will only offer workers when a company needs them. Therefore, staffing agencies will always have workers available, while temp agencies will direct-hire workers when they need them.

However, unlike temp agencies, traditional staffing agencies have an ongoing relationship with the referred worker and the client, working to match the needs of both parties.

Why Are Temp Agencies Needed?

Temp agencies and staffing agencies have existed since the 1920s. They provided employees to businesses that could not find workers or had unexpected personnel needs early. The main reason temp agencies are still needed in today's economy is the increased need for employers to complete short-term assignments.

It may be hard to believe, but temporary workers now represent ten percent of the American workforce. According to recent studies, this number is expected to grow exponentially as more employers outsource their operations or deal with fluctuating seasonal demand. Additionally, temp agencies help employers find workers they need when they need them.

Companies have been using this helpful service to fill positions in various markets, including technology, manufacturing, and health services. Many companies are also using temporary workers to fill intermediate-level jobs that may or may not lead to full-time employment.

By using temp agencies, companies do not have to pay long-term benefits or make the financial commitment necessary when hiring permanent workers. Temp agencies have gained popularity because they offer a cost-effective way to fill temporary positions that companies need to fill.

What Is The Employer's Responsibility To Protect Temp Workers?

Because they are temporary employees, employers must make sure temp workers are protected from retaliation and discrimination. It can be done through laws regarding anti-retaliation, especially in the areas of employment and labor law, as well as other federal and state laws. 

In the US, the Occupational Safety and Health Administration has an anti-retaliation standard in its regulations that protect temp workers from pre-employment retaliation. OSHA states that the temp worker cannot be fired before working due to filing a complaint or participating in an investigation regarding worker safety, health, or discrimination.

In addition, employers are encouraged to have a temp agency agreement that specifies the responsibilities of each party. It is essential to help employers receive a more reliable and consistent supply of temporary workers and ensure that the temp agency has no control over their employment, whether at the end of the assignment or in the future. 

Therefore, to prevent any exploitation of employees, the employers are recommended to follow these three steps:

  1. Identification of the tasks that need to be done;
  2. Selection of the most appropriate employees for each assignment;
  3. Payment for work assigned or work performed.

Finally, employers are required to arrange payment with the temp agency before sending a worker on an assignment. It is important to remember that temp workers are not employees of their employers and do not have any rights under employment law.

What Are The Best Temp Agencies In The United States?

Many top temp agencies in the United States cater to various industries. Some of the leading temp agencies in the US include:

  • Randstad:
  • The Randstad Group is an international temporary work agency that serves more than 20 million people. Randstad offers temp jobs in various fields, from engineering and finance to sales and marketing. Randstad is considered to be the largest staffing firm in the world. 

  • Kelly Services:
  • Kelly Services has been operating since 1946, providing temp work for workers in various fields, including accounting, IT, administration, and healthcare. Kelly Services has over one hundred offices nationwide and has been named one of Fortune magazine's Top 100 Companies to Work for. 

  • Manpower:
  • Manpower is a global talent solutions organization that partners with companies of all sizes to find and hire the best talent solutions. Manpower provides temporary staffing services for various industries, including their most extensive client base for retail, hospitality, and healthcare. 

  • Adecco:
  • Adecco Group is a global leader in recruitment and HR services that serves more than 64,000 clients and 2.6 million associates through its 4500 offices worldwide. Adecco's staffing services include temporary staffing, permanent placement solutions, project work, contingent workforce development, outsourced HR solutions, and consulting services. 

  • Robert Half :
  • Robert Half is one of the leading staffing agencies in the US. The Robert Half Group has been providing temporary workers to companies since 1948 and has more than 46,000 clients worldwide. Robert Half developed from a small business into a multinational staffing agency that services companies located in nearly twenty countries.

    There are many temp agencies that hire felons. But they do drug test their employees and have certain policies. Research about them before proceeding forward.

    Related Searches regarding Temp Agencies in the USA

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    How to Open Up a Temp Agency?

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    Pros and Cons of Working for a Temp Agency

    Tips To Find The Perfect Temp Agency As Per Your Requirements

    There are many temp agencies scattered across the country. To narrow down on the best one for your company, here are some of the tips that can help you reach your goal:

    • Do your research and find the right temp agency for your company through an online search and proper due diligence.
    • If possible, talk to the temp agency to understand their hiring process, policies, and additional benefits that they offer.
    • Tailor your request per your company's needs and find the best match with the right temp agency. 
    • Once you have found the right temp agency, create a contract that clearly defines both parties' responsibilities, rights, and obligations.
    • Before signing the contract, you should ensure a no-retaliation clause.
    • Ensure that the contract details how temporary workers are protected under employment laws.

    The tips mentioned above will help you find the right temp agency for your company and understand the responsibilities of each party.

    What Jobs Are There In Temporary Employment Agencies?

    Temporary worker work is available in all industries, from health to construction and retail, and any other industry. 

    Here are some of the fields that temp agencies provide temporary workers for:

    • Accountants and Auditors - Accountants and auditors can be hired at a temp agency to get your company through the year-end crunch. These workers will review financial statements and analyze their finances to ensure they are in order.
    • Data Entry Workers - Companies hire temp workers to transcribe data that is already recorded into a database. Companies can employ many workers to prepare and file documents, maintain a database, or monitor records. These workers are paid per hour and are considered full-time employees.
    • Computer Systems Analysts - The temp agency offers temporary workers to companies to help them upgrade and maintain their computer systems. These workers are also called IT support specialists and help companies with the complexity of technology.
    • Customer Service Representatives - A customer service representative can be hired at a temp agency to handle calls, answer e-mails, or provide customer service. These workers are trained to respond professionally while providing excellent customer service.
    • Management Consultants - A management consultant is hired for short-term assignments and helps businesses with strategic planning, leadership development, marketing strategies, or finances.
    • Medical And Health Care Workers - Temporary workers are needed in all the medical fields, including nursing, pharmacy, and home healthcare jobs. The temp agency sometimes hires these workers to become permanent employees.
    • Truck And Delivery Drivers - Companies in the food service industries, auto repair, or retail can hire temp workers using the services of a trucking company. These workers can be employed by either the temp agency or the company.
    • Secretaries And Administrative Assistants - These workers perform clerical duties, such as data entry, answering phones, and taking minutes during meetings. They can also work with the office manager to keep essential documents in order and schedule appointments. 
    • Technicians are hired for short-term projects and help with various technical work, including repairing computer glitches, networking, installing networks, and troubleshooting systems.
    • Sales Representatives - A sales representative can be hired at a temp agency to help the company create strategies for new business or handle client complaints. A sales representative is the front line of a company's customer service department and is crucial to a company's growth.

    What Are The Requirements To Become A Temporary Worker?

    Requirements can vary depending on the position that you are applying for, but here are some of the necessities that you need to fulfill to apply now for temporary work:

    1. You must have a valid Social Security Number - The Social Security Number (SSN) is a unique nine-digit number issued to temporary and permanent residents eligible for work. The SSN is issued by the United States Social Security Administration and can be used for practically every type of job in the country.
    2. Must be legally eligible to work - A temporary worker must be legally allowed to work in the country, have a valid work visa, or have already applied for citizenship. It complies with federal and state laws.
    3. Should be at least 16 years of age - Companies generally do not hire minors to work at a temporary job, so you must be 16 years old or older with proper identification. Few states allow a minor to work with a work permit.
    4. Must be physically and mentally capable of performing the job - A potential temporary worker's physical and mental health is significant to prevent injuries on the job. Temporary workers should be healthy and able to handle the physical demands of their careers.
    5. Should be willing to submit a background check - An applicant applying for a job with a temp agency must be ready to submit a background check. It ensures that the temporary worker has not had prior convictions and is willing to comply with their employer's policies. If anything in the applicant's background is questionable, the worker may not be eligible for hire and will have to be disqualified.


    The temp agency is convenient and employs various workers, including professional and skilled workers, to meet a client's needs. 

    Many types of temporary workers are available, from the management consultant to the truck driver and everything in between. A job seeker can obtain a steady position on a temporary basis that pays well, quickly, and easily by using a temp agency. The temporary worker has many advantages over a permanent worker, and the company can benefit from the services that a temp agency offers.


    What is the essential quality for a temp agency?

    The most important quality for a temp agency is reliability. Temp agencies should respond quickly to requests and provide reliable services. Additionally, they should have a good reputation and fair pricing.  

    It is important to remember that the qualification of a good temp agency will depend on the industries and clients they serve. A temp agency needs to have an in-house workforce to support the business and help vet potential employees.

    What is the benefit of going to a temp agency?

    Yes, it is worth going to a temp agency to help you find a job. The temp agency can assist you in finding a job that will last from a week to a year, depending on the position you are applying for. Temp agencies also have significant benefits for both workers and companies alike.

    How much do temp workers make?

    The pay scale of temp workers is based on the type of job they are working. The most common jobs that temp workers perform are sales, administration, data entry, education and training, and many other services. The wages vary greatly depending on the position and range from $8 to more than $50 an hour if an employee specializes in a particular industry or topic.

    How do temp workers get paid?

    When working as a temp worker, you will be paid by the hour, and all that you need to do is show up to work and let your company know when they can expect you at work. If your employer prefers a weekly or bi-weekly paycheck, that can also be arranged upon your initial contract signing with the temporary agency. 

    Are temp agencies safe to use?

    Temp workers are as safe as any other employer; once a temporary agency hires a worker, they will be given every opportunity to prove their skill sets and the ability for both parties to complete the job successfully. Also, in case, an issue arises, such as any injury or accident, there is always recourse available with the company or agency.

    What is the difference between a freelance, contract, and temp worker?

    Freelance, contract, and temp workers have different legal requirements and tax implications. A freelance or contractor is an individual who performs work under the general direction of a principal and is self-employed. A company or firm hires a temp worker to fill specific positions treating them like regular employees.

    How much have temp agencies grown in popularity?

    According to the US Department of Labor Statistics, in 2007, slightly more than two million people were employed as temporary workers. This number has grown to a little over 2.7 million workers by 2012. It has a growth rate of about 14%.

    What hours do temp agency jobs have?

    The hours for temp workers can vary greatly and depend on the company you are working for. Generally, most companies want the temp worker to work standard business hours, from 9-5 or 10-6, but this can also depend on your need. The hours can also be more flexible if need be.

    Can you earn a permanent position from a temp agency job?

    Working for a temp agency can help you gain the skills and experience to get a permanent position. Most workers who work in a temp agency prepare for finding permanent employment. 

    Some temp agency positions offer training opportunities and worker's compensation coverage. Otherwise, they provide a full-time job posting to those who do not quit during their temporary assignment and are good performers. 

    It is also essential to understand that you may need to be employed by an agency for a significant amount of time before hiring you as a permanent employee.

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