Top 4 Cost Savings When Partnering with Pharmacy Recruiters

clock and piggy bank on a scale

While it may seem like a no-brainer to take care of hiring internally, many companies find that this can cost them more money, take longer, and may result in lower-quality candidates.

When it comes to money and time, loss of cash flow can have an immense impact on your pharmacy. One way to reduce costs while keeping your business productive is by outsourcing hiring to recruiting experts.

Why? Because an effective staffing partner will decrease time and financial expenditures while bringing in qualified pharmacy professionals.

The 3 Risks of Managing Hiring In-House

First, consider the risks of hiring in-house:

1. Increased Turnover

While it may seem easier and more cost-effective to handle hiring internally, studies show this may result in lower-quality candidates and hires who are not the right fit. A single bad hire can impact team morale and ultimately increase employee turnover.

One study found that the average cost to replace just one employee can have a huge financial impact on your business: 

  • Up to two times an employee’s annual salary
  • 100% to 150% of an employee’s annual salary for technical positions
  • More than 200% of a C-Suite employee’s annual salary

2. Productivity Loss

Patient care doesn’t stop when you need to shift to hiring mode. When you handle hiring internally, the associated tasks are in addition to your normal duties.

It’s like taking on a part-time job.

It starts with spending money to post the position, sifting through hundreds of applicants, scheduling and conducting interviews, and performing reference checks and pre-screenings — all while continuing to manage pharmacy operations and provide patient care.

3. Draining Company Resources

The cost of a new hire extends beyond interviewing, onboarding, and compensation. You’re also adding another person to your payroll and benefits — as well as the exposure for worker’s compensation and any unemployment costs should they not be a good fit. 

And then you’re back at square one.

Top Cost Savings When Partnering With A Staffing Agency

It’s a common misconception that staffing agencies cost more than hiring on your own. And sometimes, you might be right.

Yet more often than not, when you factor in the costs normally provided to your employees, it can actually boost your bottom line when that financial responsibility shifts to a staffing partner.

Here are additional cost savings to consider:

1. Reduced Recruitment Costs (Yes, Really!)

Staffing services that specialize in pharmacy recruitment have access to extensive candidate databases, allowing them to efficiently source and screen experienced pharmacy professionals.

This saves your organization the time and costs associated with advertising, interviewing, and conducting background checks — which is especially advantageous for companies with limited HR resources and an already overworked team.

Most companies can expect to pay between $4,000 and $20,000 to hire a new employee.
Source: Indeed

2. Minimized Training Expenses

Staffing agencies often provide candidates who have the necessary qualifications and experience for the job, reducing the need for extensive training programs.

This leads to significant cost savings as you can deploy staff who can contribute immediately, without the time and resources required for lengthy onboarding and training processes.

Organizations spend an average of $1,252 per employee on training.
Source: Association for Talent Development

3. Flexible Workforce Management

Staffing services offer flexibility in workforce management, allowing you to scale your team up or down based on project demands or business cycles. This flexibility can help you avoid the costs associated with maintaining a permanent workforce during periods of low demand.

By utilizing temporary or contract staff when needed, you can optimize labor costs and only pay for the resources required at any given time.

4. Reduced Overtime Costs

During peak work periods, companies often resort to overtime for their permanent employees to meet increased demand. This can lead to higher labor costs, including overtime pay and potential burnout
among employees.

By using a staffing service to bring in temporary workers during busy periods, you can avoid excessive overtime costs and ensure that your permanent staff maintains a healthy work-life balance.

Saving Time and Money: The Perfect Staffing Remedy

When it comes to hiring pharmacy professionals, the costs extend far beyond employee salaries. You have to also think about the considerable investment of time and employee productivity and morale.

Additionally, if you are thinking of hiring on a temporary basis, you must also consider:

  • Health benefits
  • 401k
  • Sick days and PTO
  • Workers compensation
  • Unemployment
  • Employer taxes

You have far more important things to worry about during your already busy schedule, like the continuity of care and enhancing the well being of your community.

When you shift the time, costs, responsibility, and hiring headaches to staffing experts, you’ll receive experienced, reliable pharmacy professionals who are ready to jump in and support your pharmacy needs. 

Side effects of a staffing agency also include:

  • Quick time-to-fill rates
  • Fully staffed teams
  • A healthier work environment
  • Happier pharmacy customers

Want To Learn More?

Check out these Employer Insights for expert advice and resources on pharmacy staffing and recruitment.