The contract-to-hire option can be an attractive method for clients and candidates to find the right fit before making a long-term commitment. In a contract-to-hire arrangement, the candidate is brought in-house as a consultant, with the understanding that a permanent position may become available in the future.
Although the specific scenario may vary, the basic advantages of the contract-to-hire method are as follows:
- Before extending a permanent placement offer, you have the opportunity to assess your own needs while also evaluating the individual consultant’s work and personal performance
- The consultant can enjoy the opportunity to confirm his or her perception of your organization and the position before becoming an employee
Why Contract-to-Hire?
Contract-to-hire arrangements may arise for a variety of reasons, including the following:
- Your company may not have the immediate need or budget approval to bring on a full-time employee. However, your company expects to make such a move in the future, so you enter a contract-to-hire agreement. Then, if all goes well, the consultant may become a permanent employee in the future.
- If your company does not yet have the approvals needed to bring on an additional employee, the contract-to-hire option is a convenient way to start a candidate until the paperwork is completed.
- A short-tem requirement may grow to the point that your company wants to convert a consultant to full-time employee.
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