3 Dangerous Employment
Trends
“How to Avoid Them”
State of the Economy
• Controlling costs in our
current business climate is
more important than ever.
• Costs of doing business are
rising while companies are
being asked to reduce
selling prices in order to
remain competitive.
• This makes it very difficult
to maintain good profit
margins.
Shrinking Profits
3 Dangerous Employment Trends
1. Healthcare costs
2. Payroll costs
3. Cost associated with an
ineffective employee or
a bad hire.
Healthcare is Our Biggest
Challenge in the 21st Century
• How will your
company respond?
Out of Control Healthcare Costs
• Inefficiencies in our
healthcare industry
along with an
increase in the
amount of people
that can not pay
their bills have
created a skyrocket
effect for healthcare
costs.
20 Year Look
Unemployment Claims Effect on
Payroll Tax Rates
With the number of
unemployed increasing
dramatically these past
two years. Many
company’s unemployment
tax rates have risen
substantially.
How can employers mitigate
unemployment claims?
Payroll Costs on the Rise
• Unemployment claims drive up
your unemployment tax rate.
• The new unemployment tax rate
affects the payroll cost for your
entire company.
Unemployment Claims Affect on
Payroll Tax Rates
* Even a 1% rate
increase can be big
bucks once you
spread this out over
the entire payroll of
the company.
Example: 1% increase in
your rate x $5,000,000
= $50,000!
Hidden Cost
• Unemployment tax
rates - tend to be a
hidden cost within a
company’s cost
structure, but can be
a significant
contributor to
increases in payroll
costs.
Costs Associated with a Bad Hire
• How can companies
avoid throwing there
money away by
making bad hires?
Cost of a Bad Hire
• Costs associated with a
bad hire or an ineffective
employee vary from
company to company but
the national average is
$60,000!
• This bad hire doesn’t just
have a monetary effect but
also a huge effect on the
morale of the department
that this person was
working in.
Additional Costs of a Bad Hire
• Recruiting costs.
• Retraining costs.
• Unemployment claim’s
affect on your company’s
rate.
• Opportunity cost of not
having an effective
employee in that position
to begin with.
Where We Are So Far
Three dangerous employment
trends:
1. Healthcare.
2. Payroll costs associated with
unemployment claims.
3. The costs associated with a bad
hire.
All 3 chip away at the
profitability of a company.
So how can a company minimize
the risks associated with these
dangerous trends?
Action Staffing, an Extension of
Your Human Resource Department
As an extension of your
human resource
department, we
eliminate the risks
associated with:
1. Rising healthcare costs
2. Rising payroll taxes
3. The costs associated
with a bad hire
Healthcare
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We provide a benefit
package that is very
comprehensive and
includes:
Medical
Dental
Vision
Short term disability
Term Life Insurance
No Need to Take Employees
Permanent Anymore
The two main reasons that
companies transitioned
employees from temporary to
permanent was for:
1. Benefits
2. Retain good employees
This is no longer necessary
since Action Staffing can
provide the benefit package
that so many employees
desire.
Payroll Taxes Covered
• We pay the payroll taxes.
• We pay the unemployment
claims.
• This allows you to have
seasonal increases or decreases
in your staff without feeling
the pain of your unemployment
tax rate increasing.
• These unemployment costs can
be significant.
• We are experts at managing
them effectively.
Bad Hires are Eliminated
Ineffective workers
can be replaced
overnight without
missing a beat.
Action Staffing Bundle of Service
Offerings
• Short term temporary
• Long term temporary
(remember our benefits
package)
• Temporary to Permanent
• Permanent Placement
• Customize a plan for your
business
About Action Staffing
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Founded in 1959
Still a family owned business
Experienced staff
Personalized service
Quality guarantee
Rate Structure
Our markup is a function
of five key elements:
1. Number of temporaries
utilized.
2. Workers compensation
rates in your business
category.
3. Type of workers needed.
4. Your payment terms.
5. Your budget for the
temporary workforce.
Comprehensive Insurance
Package
-Workers compensation
-General liability
-Umbrella policy
We are Not an Employee Leasing
Company
• We are so much more
• Full service recruiting
• Advertising for your specific
positions
• Employee selection from
our data base of over 3,000
candidates
• Outstanding personalized
client services
Back to Basics by Action Staffing
Understanding your needs
Advertising for your positions
Continuous recruiting
In-depth interviews
Customized testing
Extensive Reference checks
Criminal background checks
Drug testing
Prepare each candidate before
they arrive at your facility
• Replacements within 24 hours
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Our Team of Experts
• Passion for staffing
• Repeat the “Back to Basics”
of staffing each day
• As a result we are experts in
our field
• Go the extra mile to provide
staffing excellence to our
clients
Reduction in Risk with Efficient
Productivity
• Tremendous flexibility as you
manage your overall staffing
strategy
• Eliminate your risk of
exposure for workers
compensation claims
• Maximize your efficiency by
adjusting the number of
employees needed for each
project
Summary
1. Healthcare costs can be
stabilized
2. Payroll costs will go
down since we cover all
taxes and unemployment
claims
3. Costs of bad hires are
eliminated
Increase Potential for Profit
• Please contact us today:
• 770-645-6300
• leslie@actionstaffingatl.com or
kylerobinson@actionstaffingatl.com
• Action Staffing
• 918 Holcomb Bridge Rd. Suite 100
• Roswell, GA 30076