Finding the best employees for your company can be difficult in today’s highly competitive business market. You want to attract the top talent for your open positions, and advertising jobs online or in print will often produce disappointing results. Many companies take their recruitment efforts to the next step by using a staffing firm. Whether they are looking for temporary or full-time employees, companies can rely on staffing firms to weed out the undesirable candidates, save time, and produce more favorable hires.

The good news is that the costs associated with working with a staffing firm are a lot less than one might expect. Here’s an overview.

Staffing Firms Charge Fees

All staffing firms charge fees for the work they perform. Those fees are typically charged to the company looking to hire employees, job seekers are never charged! In a direct hire, staffing firms charge anywhere from 20 to 50 percent of the employee’s annual salary as their fee for securing the right candidate for the job. For the most part, staffing firms work with employers to find the best fee schedule to meet their needs.

Hourly Fees and One-Time Fees

There are two common fee schedules that staffing firms get when placing employees with companies across the country. The first is an hourly fee. If you are working for a company through the staffing firm, the company typically pays the staffing firm an hourly fee. The staffing firm then pays the employee a percentage of that hourly fee. For example, the company pays $25 per hour and the employee gets $15 of that per hour from the staffing firm.

The second scenario, the one-time fee, usually occurs when the position is a direct-hire job. This is when the staffing firm places you with a company in a full-time position. This means that you worked with the staffing firm just once. The company who hired you will pay the staffing firm a one-time fee for helping to find you. The one-time fee usually amounts to a percentage of the employee starting salary, which ranges between 10 and 33 percent of that salary.

Staffing Firms Save Companies Time and Money

Aside from paying a staffing firm a fee for their help in finding an employee, the company will be able to save a good deal of time and money on their end. The company saves time by not having to sort through thousands of job applications when a position opens up and avoids making a bad hire, which takes more time to fill the position a second time. In terms of saved money, the company will be able to keep some money in their pocket because they might be outsourcing their hiring department to a staffing firm instead of paying an employee in-house to perform the work. Savings for pre-employment assessments, criminal background and drug screens add up in the favor of employers.

There are also long term savings in the form of payroll and benefit management that the staffing agency takes care of while the employee is under contract. Temp staffers are more monitored because the agency wants them to be successful, taking the pressure off in-house HR teams. A wide variety of vendor on premise services can also be arranged so curtail the costs of ongoing recruitment needs for high turnover assignments.

Want to learn more? Explore important recruitment and employment topics by reading a few popular posts from TempStaff a leading staffing agency in Jackson MS!

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2 Responses to “How Much Does it Cost to Work with a Staffing Firm in Jackson?”


    I would like to talk to someone regarding helping me set up a staffing agency please call me at(503) 899-7688 Blessing Kevin

    • Jamie Higdon

      Hi Kevin! The American Staffing Association ( is an excellent resource for staffing professionals. Each state has different regulations for staffing companies, so you may want to see if your state has a local or regional organization.


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