Direct hire means a direct job offer to a candidate from the intending client company, usually for permanent roles in the company. The employee that joins the organization through direct hiring is given all company benefits and remuneration. In direct hire, which is also known as direct placement, the staffing agency finds, qualifies and hires permanent staff members on behalf of their client. These are usually full-time positions with benefits, though sometimes they are used to fill part-time positions as well.
How direct hire works
The staffing agency handles the recruiting tasks, but the selected candidate is on the client’s payroll and becomes an employee of that company. Typically, a direct-hire search means the company maintains and is committed to a long-term relationship with their staffing partner who does a thorough job of shortlisting the best candidates for the role.
More focussed team players Direct hire employees are likely to be more stable, more engaged, committed and loyal to the company. They will be more invested in the company and will be focussed more on the company goal and vision. Direct hire employees are more likely to be better team players.
Management has more control With Direct hire, the company can impose more control over how, when and where an employee works. Companies are able to avoid employee-contractor classification compliance issues.
Large pool of candidates Direct hiring attracts a huge number of highly-qualified candidates. They are more comfortable with the benefits like sick leaves, vacations, health benefits, etc. and the sense of job security that direct hire brings.