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5 Reasons Temp Employees Will Replace One of Your Workers

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It is true that people seek temporary employment mainly to earn some income, but some temp employees may also hope that their temporary jobs may lead to permanent employment.

A permanent job is desirable to temps, because it gives them a steady flow of income, a sense of security and an opportunity to develop a certain set of skills.

So, when your small business is hiring temp employees, you should also be open to the possibility that they may one day work for you on a permanent basis.

Here are 5 reasons why temp employees may replace your current employees:

Eligibility
Many people were laid off during the recent economic crisis, and some of them have extensive work experience and strong academic backgrounds. As such, you should not be surprised that some of the temp employees you hire may be more qualified and skilled in handling certain duties than some of your current employees. These temps can be a valuable asset to your company.

Performance
The abilities, industriousness and work ethics of temp employees can vary greatly. If you are fortunate, you may get temps who are committed to delivering competent performance. It is a good idea to offer high-performing temps permanent positions if some of your current employees are under-performing.

Motivation
The opportunity to get a permanent job can be a big motivational factor for temp employees. As such, they may be more willing to go the extra mile than your current employees. This can truly make them stand out in the workplace.

Employee Relations
Temp employees are less likely to develop a negative attitude towards their colleagues because they are less exposed to workplace politics. So, they are able to establish amiable relationships with their colleagues, which can contribute to a more harmonious work environment if they become permanent employees.

Safe Hiring Option
Another reason why you may consider replacing your current employees with temp employees is because you already know the work performance of your temps. If you have permanent employees who are underperforming, offering their jobs to your temp employees may be the safest solution.

Should Current Employees Fear that They Will Be Replaced?

Your current employees have a good reason to worry that they will be replaced by temp employees if they are lacking motivation and not performing according to expectations.

As long as they maintain a high level of competence, they will most likely be able to keep their jobs, unless you are planning to reduce your workforce. Temp employees who are really capable and hardworking can be a big threat to your current employees, but in the end, it comes down to who is more valuable to your company.

Whether they are hired on a temporary or permanent basis, all employees are essential to the success of your company.

If you are unsure whether or not to replace a permanent employee with a temp employee, just make a decision based on the best interest of why is small business management important, most notably for your company.

Photo credit: blog.intuit.com

About the author: John McMalcolm is a freelance writer who provides useful information and tips on small business management.

5 Tips for Trimming the Office Budget

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Running a small business is expensive – very expensive.

Saving little bits of money here and there can make all the difference to your overall profit come year-end. There are hundreds of small ways to save money, but when it comes to saving big, there may be a few things you’re missing.

With that in mind, here are five ways to trim your office budget and start saving loads of money each year.

1. Save on utilities

Utilities are one of the largest expenses for an office. By turning up the AC just a few degrees, you can save hundreds per month. Always turn off computers and electronic equipment when not in use, switch to energy-efficient light bulbs, install light sensors in break rooms and restrooms, and consider switching to solar panels if you can afford it. Keep in mind, solar panels are very expensive upfront but will save you thousands over the years. They also can be used as a deduction on your taxes.

2. Save on marketing

Another large office expense is money spent on advertising and marketing. Keep track of where every dollar goes and take note of what methods are the most and least effective for you. For example, are you still sending customers fliers in the mail? If so, you may want to switch to sending e-fliers, instead. E-fliers are quick to make and even quicker to mail out, not to mention the amount you’ll save on paper and stamps. A great way to market your business is via social media. Build a Facebook page, Twitter account, company website and blog to attract and retain customers.

3. Save on office supplies

If you’re in need of new office supplies, which account for 20% of expenses on average, don’t just buy the first thing you see. Look for deals, ask for discounts or buy used. If you’re really looking to save money, consider leasing the larger equipment that you need. This saves you money upfront plus allows you to “test” the product before committing to it. Also, only buy equipment and supplies that you absolutely need. Too many businesses wind up wasting money on technology that never gets used.

4. Save on taxes

Small businesses can write off almost everything nowadays. When it comes time to do your taxes, be as thorough as possible to ensure you’re not missing any deductions. Some less common deductions include utilities in your home (if you have a home office), insurance premiums, retirement accounts, office equipment, bad debt (money people owe you), travel expenses and even clothing (if used for business purposes). Consider hiring an accountant if this isn’t something you wish to take on yourself.

5. Save on staffing

Each year, re-evaluate your staffing needs. Who are the top and bottom performers in your company? Are there any positions you could possibly combine into one role? Is each staff member doing their job efficiently and improving your company, or are they simply taking up space? By evaluating your staffing needs each year, and possibly firing or replacing a few employees, you’ll not only save your company tens of thousands of dollars but you’ll also have a company that’s better-run and managed.

Photo credit: scu.edu

About the Author: Sarah Brooks is a freelance writer living in Glendale, AZ. She covers topics on budget help, personal finance and small businesses.