With regulations such as ObamaCare creating great uncertainty, business owners say they are faced with a dilemma as to how to grow their businesses, without adding the expensive fixed cost of additional employees.
In this edition of Conference Room, FBN’s Jeff Flock speaks with Apex Plastic Finishing Company and Express Employment Professionals.
Apex, which manufactures plastics for automotive interiors, is seeing business pick up as the automotive industry revs into gear. But because of business uncertainties, co-owner Pete Elzer says the company is hesitant to hire full-time, permanent staffers.
That’s where a staffing firm like Express Employment Professionals comes in handy. Express Employment’s Pat Dolan says his firm employs workers who are then sent over to companies like Apex.
“Their businesses are growing, so they need more people in order to get the product done, get it out the door – but the future, particularly regulatory issues are so opaque right now – it’s really hard to pull the trigger on bringing on full-time, permanent employees,” says Dolan. “We offer them flexibility to get the work done now, as the future becomes clearer … they are employees of Express, and then we assign them to our clients like Apex.”
Dolans says machinists, logistics experts and IT professionals are the highest in demand right now at his staffing firm.
John Elzer, another owner of Apex, says using a staffing firm helps the company avoid the responsibility of hiring permanent workers who become heavy weight to carry if and when the industry slows down.
“It leaves us out of the loop, so if we do get slow, we’re not responsible,” says John.
He says using a staffing firm like Express Employment allows the company to try out workers and then permanently hire only the best.
“It gives us a chance to bring them in and try them out. Most of the people we bring in work out well, but then you have some that aren’t quite the right fit for our business. It’s a lot easier to let them go when they’re already working, because they’re still employed through a temporary service,” says Elzer.