The Differences Between tilr and a Staffing Agency

Before looking for a new source of workers, consider all of your options and determine which is best suited for your company.

Published on September 13, 2019

If you’re looking for alternatives to staffing agencies, or simply deciding on the best option for your company, you may consider tilr. tilr operates differently than staffing agencies, but you still get the workers you need, when you need them. To get a sense of how tilr differs from a staffing agency, view the chart and descriptions below.


Payment & Pricing

tilr has a markup of 25% on the hourly wage rate for a worker. This markup is only enacted when a worker goes to work – no payment needs to be made for work that has not been fulfilled through tilr. tilr also has a service fee, which runs at $1 per hour worked, and any taxes applicable are also added to the total payment for a worker. Payment can be performed entirely online, and invoices are available through email and on the tilr web portal. This online portal also makes automatic credit card payments for hours worked possible. 

Invoices on tilr are made from the check-ins and check-outs of workers. To ensure accuracy, check-ins and check-outs are also geographically mapped and matched to the work location. An assigned tilr Account Manager will also follow up to ensure workers are arriving and clocking out on time. tilr creates invoices from this data, meaning you don’t have to manually track hours worked. 

Staffing agencies all have different markup fees, but a competitive staffing agency typically charges a 35% markup. Staffing agencies also have placement fees, which are based on wage, but occur when making placements for direct-hires. Invoices for staffing agencies are sent either via direct mail or email, or in some cases, both.


Accessibility

tilr is a desktop application used to keep track of invoices, and check-ins and check-outs. It’s also where you can go directly to post new jobs for as many workers as you need. If you need help immediately, you can create your own account and start posting – tilr will handle the rest. Part of what makes tilr different is that the jobs you create are focused on skills to reach a wider audience of qualified workers. With tilr, you have a dedicated Account Manager that can answer any questions you have along the way through email or phone calls.

To find workers through staffing agencies, generally you need to negotiate terms with the agency and send over a list of needs to be reviewed. Communicating needs moving forward often happens through email or phone calls. Some staffing agencies will have an online portal to request more workers.


Conversions

tilr utilizes a flat rate conversion fee, meaning a worker can be converted full-time for the same rate after any amount of work. tilr’s conversion fee is $1,000 per converted worker. This converts a worker to become a direct employee of the company.

Staffing agencies require a buyout fee to convert workers to full-time employees. This buyout fee is often based on wage, and can therefore scale up and down based on the line of work. Staffing agencies do generally set a minimum required number of hours worked to waive the buyout fee. Any number of hours worked below the minimum will mean a portion of the buyout fee will still need to be paid. The buyout fee is proportional to the number of hours worked by someone placed by the staffing agency.


Time to Hire

The time it takes for a company to fill an open position, however they search for workers, depends on the industry. Across all industries, it takes an average of 29.5 working days to fill a position. This can include companies that hire entirely without an agency and those that rely on staffing agencies to make their hires.

With tilr, it takes an average of 3 days to fill an open position. tilr has a population of people who are ready for work across most industries, making time to fill low. For a staffing agency, time to hire will shift up and down depending on whether a position is direct hire or temporary work. 


Once you’ve become familiar with the differences between tilr and a staffing agency, you can determine which option might be better suited to helping you meet your hiring needs. tilr is an alternative for staffing agencies that provides you with independent contractors when you need work done. To learn how tilr matches independent contractors to your job and how you can easily get started, read here.