How Do Staffing and Recruitment Agencies Work – The Ultimate Guide


Job hunting can be a daunting task, especially in today’s competitive job market. With hundreds of resumes to sift through, it’s easy to feel like your application is getting lost in the shuffle. Additionally, employers are often looking for highly specialized skills, making it even more challenging to find the perfect job match.

Fortunately, staffing agencies and recruitment agencies can help alleviate some of these struggles. These agencies act as intermediaries between job seekers and employers, helping to match qualified candidates with suitable job openings.

In this article, we will take a closer look at how staffing agencies and recruitment agencies work, their differences, and the benefits of using their services.

Whether you’re a job seeker or an employer, this guide will provide valuable insights into the world of staffing and recruitment.

What is a Staffing Agency?

A staffing agency is a type of business that provides temporary or permanent staff to other companies or organizations. These agencies function with employers to cater to their staffing needs and assist them in finding the right candidate for the job.

Staffing agencies are also known as employment agencies, recruitment agencies, or temp agencies.

A staffing agency from its pool of pre-screened and qualified candidates provides flexible and reliable staffing solutions to businesses of all sizes to fill temporary or permanent positions. They help businesses save time and money by handling the recruitment, screening, and hiring process on their behalf.

Because of staffing agencies businesses can avoid the administrative burden and focus on their core business operations and also get rid of legal risks.

What is a Recruitment Agency?

A recruitment agency is a company that specializes in matching job seekers with employers. These agencies typically have a pool of candidates who have been pre-screened and are ready to be matched with available job openings. They may also provide additional services such as resume writing and interview preparation.

Recruitment agencies can be useful for both job seekers and employers, as they can save time and resources in the job search process.

What do Recruitment & Staffing Agencies do?

Staffing and recruitment agencies are companies that help businesses find suitable candidates for open positions.

Recruitment agencies primarily focus on filling permanent positions, while staffing agencies specialize in providing temporary or contract workers. However, there can be an overlap between the two types of agencies depending on the specific needs of a business.

Recruitment agencies begin by meeting with the hiring company to understand their needs and the qualifications required for the open position. They may also conduct a site visit to get a better sense of the company culture and work environment.

Once they have a clear understanding of the job requirements, they begin searching their candidates for individuals who meet the criteria. They may also advertise the position and actively recruit new candidates.

Staffing agencies typically work with a variety of clients to provide temporary or contract workers to fill short-term staffing needs. They may have relationships with a wide range of businesses across multiple industries.

Staffing agencies work with candidates to determine their availability, skills, and preferences to match them with appropriate job opportunities.

Both types of agencies follow a similar process in matching candidates with open positions. This process typically includes resume screening, phone and in-person interviews, and reference checks.

The agency will then present the top candidates to the hiring company for further consideration. If a candidate is selected for the job, the agency will typically handle the hiring paperwork and facilitate any necessary background checks or drug tests.

The Process

  • The employer contacts the staffing agency. 
  • The staffing agency creates the job description.
  • Vets candidates. 
  • The employer makes the final decision. 
  • The staffing agency takes care of the paperwork. 

What does Staffing Agency do for a Candidate?

  • It helps the candidates to match for skills and cultural fit.
  • Improves the candidate’s chance of landing a job. 
  • Give access to more jobs. 
  • Candidates to negotiate. 

What does Staffing Agency do for an Employer?

  • Source candidates faster.
  • Create job descriptions.
  • Connect employers with passive candidates. 
  • Ask the right questions. 

Difference between the Staffing Agency and Recruitment agency

Staffing Agency vs recruitment agency

Staffing agencies and recruitment agencies are both involved in helping businesses find suitable candidates for job openings.

Some differences between staffing and recruitment agencies:

  • Staffing agencies specialize in providing temporary or contract workers, while recruitment agencies primarily focus on filling permanent positions.
  • Staffing agencies typically work with a variety of clients across multiple industries, while recruitment agencies may specialize in a particular industry or job function.
  • Staffing agencies often have a large pool of pre-screened candidates who are ready to start work immediately, while recruitment agencies may need to actively search for candidates who meet the job requirements.
  • Staffing agencies may provide additional services such as payroll management, while recruitment agencies may offer services such as resume writing and interview coaching.
  • Staffing agencies may have a faster hiring process due to their focus on temporary or contract work, while recruitment agencies may take longer to fill permanent positions.

Here is a comparison table summarizing the differences:


Staffing Agency

Recruitment agency

Type of work



Client base

Multiple industries

May specialize in a particular industry

Candidate pool

Pre-screened and available

May need to actively search for candidates

Additional Services

Payroll management

Resume writing, interview coaching

Hiring Speed

Faster due to temporary work

May take longer to fill permanent positions

Who are Recruiters?

Recruiters are professionals who work for staffing or recruitment agencies, or within a company’s human resources department, to find and hire candidates for job openings.

Recruiter Meaning

The word ‘recruiter’ refers to a person who enlists or enrolls people as employees in an organization. A recruiter hires individuals with specific qualifications in open positions at an organization. He or she reviews a candidate’s job experiences, negotiates salaries and works with the HR team to make sure the fit works well for both parties.

What does a Recruiter do?

It is a recruiter’s job to stay on top of industry outlooks, job trends, and what qualities and skills companies are looking for when hiring new employees.

Top 4 Reasons - Why do Companies Hire through Staffing Agencies?

Companies often use staffing agencies to fill their hiring needs for a variety of reasons. Here are advantages of hiring through recruitment and staffing agencies:

1. Quick Accessibility of Candidates

quick accessibility of candiadates

Firstly, recruitment agencies have numerous qualified candidates that companies may not have access to. This allows companies to find suitable candidates quickly and efficiently, without going through the time-consuming process of filtering through resumes and conducting interviews themselves.

2. Understanding of Current Job and Compensation Trends

Understanding of Current Job and Compensation Trends

Secondly, recruitment agencies often have a deep understanding of the job market and can provide valuable insights to companies about trends in hiring and compensation. This can help companies make more informed decisions about their hiring strategies and ensure they remain competitive in attracting top talent.

3. Cost Efficient - Save Time & Money

Cost Efficient - Save Time & Money​

Thirdly, hiring through a recruitment agency can be cost-effective for companies. Staffing agencies often take care of the administrative and logistical aspects of hiring, such as advertising job openings and conducting background checks, which can save companies time and money.

4. Highly Benefited who is looking for temp staffing or on a contract

Highly Benefited

Finally, recruitment agencies can also provide temporary staffing solutions for companies that need to fill short-term positions or have fluctuating staffing needs. This can be particularly useful for companies in industries such as retail or hospitality.

Overall, hiring through a recruitment agency can provide companies with a range of benefits, including access to a larger pool of candidates, industry insights, cost savings, and flexibility in staffing solutions.

Quick Facts of Staffing Agencies

  • Reduced overhead costs
  •  Reduced overtime pay and hiring risks 
  • Fulfilling the need for short-term staff
  • Save on training and time and increases ROI
  • Handles onboarding and payroll
  • Access to talent networks
  • The ability to hire quickly
  • Industry market knowledge
  • They can try out an employee before offering a full-time job

Who is Responsible for Hiring and Staffing?

The responsibility for hiring and staffing within an organization typically lies with the human resources (HR) department. HR professionals are responsible for developing job descriptions, posting job openings, reviewing resumes and applications, conducting interviews, checking references, and making job offers.

In addition, HR may work with hiring managers and department heads to determine staffing needs and develop strategies to attract top talent.

Recruitment agencies may conduct initial interviews and assessments, check references, and provide recommendations to employers. However, ultimately it is the employer who makes the final decision about which candidates to hire.

Organizations need to have a structured and effective hiring and staffing process to ensure they are getting the best talent for their business needs. This includes working with recruitment agencies when appropriate and ensuring that HR is equipped with the necessary resources and tools to effectively manage the hiring process.

9 Tips to follow - How to Hire a Recruitment Agency?

9 Tips To Follow

Hiring a recruitment agency can be a great way to streamline your hiring process and find top talent.

Here are some tips for hiring a recruitment agency:

  1. Do your research – Look for recruitment agencies that specialize in your industry or job function.
  2. Check their track record – Look at the agency’s success rate and testimonials from other clients. This can give you an idea of their ability to find quality candidates.
  3. Understand their process –  Ask about their recruitment process, including how they source candidates, how they screen resumes, and how they conduct interviews.
  4. Consider their fees – Recruitment agencies typically charge a fee for their services. Make sure you understand their fee structure and how it compares to other agencies.
  5. Register with multiple agencies – Registering with multiple recruitment agencies can increase your chances of finding the right candidate. However, it’s important to manage your relationships with these agencies to avoid duplication and confusion.
  6. Have clarity – Ensure you have a clear idea of the kind of workers you want and communicate it to the staffing agency for a fine-tuned selection process.‍‍
  7. Look over the legal aspects of the role you’re filling – Check the contracts and determine the legal requirements of your company to protect both parties in case of any conflict.
  8. Retain enough control over your hiring process – Sometimes staffing agencies take some amount of control of the staffing process away from your company. Make sure the contract reflects your company’s needs instead of the agency’s criteria in terms of working hours and the functions expected from the employees.
  9. Be patient – The length of time it takes for a staffing agency to find candidates varies depending on the role and the agency’s process. Be patient and communicate regularly with your agency to ensure they are meeting your needs.

Overall, hiring a recruitment agency can be a great way to find top talent quickly and efficiently. By following these tips, you can find the right agency for your needs and increase your chances of finding the best candidates.

How many Staffing Companies are in the US?

According to the American Staffing Association (ASA), there are approximately 20,000 staffing and recruiting companies in the United States. These companies operate across a range of industries, from healthcare and finance to manufacturing and technology.

Statistics of Staffing Agency

The staffing industry is a significant contributor to the US economy, providing jobs and workforce solutions to businesses across the country.

The ASA reports that the staffing industry generates $147 billion in annual revenue and employs 16 million temporary and contract employees each year.

Rankings of Staffing Firm

To rank staffing companies, various industry publications and organizations provide annual rankings based on factors such as revenue, growth, and customer satisfaction.

Some of the most well-known staffing company rankings include Staffing Industry Analysts’ “Largest Staffing Firms in the US” and “Fastest Growing Staffing Firms” lists, as well as Forbes’ “America’s Best Recruiting Firms” list.

Overall, the staffing industry plays a crucial role in helping businesses find and retain top talent, while also providing job opportunities for millions of Americans. With a large number of staffing companies operating in the US, businesses have access to a wide range of workforce solutions to meet their unique needs.

Hire a Tech Recruiting and Staffing Firm to Save Time and Money

how do staffing & recruitment agencies work

Overall, hiring a tech recruiting and staffing firm like Time Agency Group can be a great way to save time and money while finding top talent for your business.

With our specialized expertise and access to a vast network of candidates, we can quickly identify and attract the right people for your open positions.

At Time Agency Group, we pride ourselves on our extensive knowledge of the tech industry and our ability to provide customized workforce solutions to our clients.

Our team of experienced recruiters and staffing experts is dedicated to helping businesses of all sizes find the best candidates for their needs.

Contact us today to learn more about how we can help you find the right talent for your tech team.


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