Maximising ROI: temporary vs. permanent staffing in hospitality
The appeal of temporary staffing has grown over the years. What business wouldn’t benefit from more flexibility in this day and age? In 2024, we saw 20% of Australian employees (2.6 million to be exact) working on a casual or temporary basis with the majority of these being within the hospitality sector. This shift highlights a growing trend in hospitality businesses looking for staffing solutions that allow them to scale up or down based on demand while keeping costs in check.
So, what’s the best staffing strategy for hospitality businesses? Let’s explore the pros and cons of temporary versus permanent staffing and how you can maximise your ROI and keep more money in your pocket.
What is Temporary Staffing?
Temporary staffing refers to hiring workers for a short-term period, whether for a few days, weeks, or months. Unlike permanent employees, they’re not locked into long-term contracts, offering businesses a great way to manage their workforce.
In hospitality, temp staffing is particularly useful for covering busy periods, filling in for last-minute call-outs, or bringing in extra hands for major events. It’s fast, flexible, and cost-effective—which is why so many businesses are making the switch.
The Benefits of Temporary Staffing
If you’re in hospitality, temporary staffing can have a real impact on your bottom line. Here’s why it’s worth considering:
1. Flexibility to Meet Demand
One of the biggest challenges in hospitality is predicting staffing needs. Some weeks are slow, while others are absolute chaos. Hiring temps means you can scale up when things get busy and cut back when they don’t, without the hassle of hiring (or laying off) permanent employees.
2. Cost Savings
Keeping a full team of permanent employees is expensive. Salaries, benefits, sick leave, and holiday pay all add up. With temporary staff, you’re only paying for the workers you actually need, when you need them. This means no wasted wages and no unnecessary overhead.
3. Faster Hiring Process
Hiring permanent employees takes time. Between job ads, interviews, and onboarding, it can take weeks or even months to find the right person. But temporary staffing gives you access to a pre-vetted talent pool, so you can fill shifts as fast as within a few hours.
4. Reduces Burnout for Permanent Staff
Overworked employees are unhappy employees. Relying solely on a permanent team can lead to burnout, high turnover rates, and lower service quality. Temporary workers provide support during peak periods, helping keep your core team happy and motivated.
5. Trial Before Hiring Permanently
Thinking about expanding your team? Temporary staffing lets you test the waters before committing. If a temp worker fits in well, you can offer them a permanent role. No guesswork involved.
6. Reduced Administrative Burden
With temporary staff, businesses don’t have to worry about things like payroll, tax compliance, or benefits management. Platforms like Sidekicker handle it all, freeing up your time to focus on running your business.
7. Access to a Larger Talent Pool
Temporary staffing allows businesses to tap into a diverse range of skills and experience. Whether you need experienced bar staff for a one-off event or extra kitchen hands during peak season, you can find the right talent without the long-term commitment.
The Differences Between Temporary and Permanent Staffing
While both have their place, temporary and permanent staffing serve different purposes. Here’s how they stack up:
When Should You Use Temporary vs. Permanent Staffing?
Still unsure which option is right for your business? Here’s when to use each:
Choose Temporary Staffing When:
- You need extra hands during peak seasons (e.g., summer, holidays, major events)
- You want to fill last-minute gaps (e.g., sick leave, unexpected call-outs).
- You’re looking to reduce hiring and training costs.
- You need specialist staff for short-term roles.
Choose Permanent Staffing When:
- You require long-term stability and consistency.
- Your team needs in-depth training and development.
- You want a strong understanding from employees who know your business inside out. This could be due to a complex menu, unique service style or anything else that sets you apart.
How to Get More Bang for Your Buck with the Right Staffing Strategy
Getting the best return on investment (ROI) in hospitality means finding the right balance between temporary and permanent staff. Here’s how you can make it work for you:
1. Plan Ahead for Peak Periods
Use past data to predict demand and plan your staffing needs in advance. Having temporary staff on standby ensures you’re never caught off guard.
2. Use Temp Staff to Support (Not Replace) Your Core Team
Temporary staffing shouldn’t be a complete replacement for permanent employees. Instead, use temp workers to complement your existing team, preventing burnout and keeping service standards high.
3. Partner with a Reliable Staffing Platform
Working with a trusted staffing platform like Sidekicker ensures you get reliable, high-quality temp workers—fast. No stress, no headaches.
4. Track and Keep an Eye on Labour Costs
Keep an eye on labour expenses vs. revenue to ensure you’re getting the best ROI. A mix of permanent and temporary staff can help you optimise costs while maintaining service quality.
5. Consider Temp-to-Perm Hiring
Use temporary staffing as a trial period to assess potential long-term hires. This way, you get to test a candidate’s performance before committing.
Myth-Busting Common Objections to Temporary Staffing
Still on the fence about temp staffing? Let’s tackle some common myths and set the record straight.
Myth 1: “Temporary staff aren’t as reliable as permanent employees.”
Fact: Temporary workers are just as skilled and reliable as permanent staff, often more so. With Sidekicker, workers are pre-vetted, rated, and reviewed, so you only get high-quality talent.
Myth 2: “Training temps takes too much time.”
Fact: Most temp workers in hospitality already have industry experience and can hit the ground running. Many have worked multiple shifts across different venues, making them quick learners who adapt easily.
Myth 3: “Temp workers won’t care about my business.”
Fact: Sidekicker temps are hospitality professionals who take pride in their work. Plus, if you find someone who’s a great fit, you can offer them a permanent position—many Sidekicks end up joining businesses long-term.
Myth 4: “It’s too expensive to hire temps.”
Fact: Hiring temporary staff can actually save you money. Instead of paying for full-time wages, benefits, and holiday pay, you’re only paying for the staff you need, when you need them without the wasted costs.
Myth 5: “Managing temp staff is a hassle.”
Fact: Platforms like Sidekicker handle everything for you. From finding staff to payroll and compliance. You get the benefits of a flexible workforce without the admin burden.
Why Sidekicker?
Finding reliable temporary staff can be a challenge, but not with Sidekicker. Sidekicker connects you with pre-vetted, high-quality hospitality talent when you need them most.
Here’s why thousands of hospitality businesses trust Sidekicker:
- Pre-Vetted Talent – No need to worry about unqualified candidates. Sidekicker ensures all workers have the right experience and certifications.
- On-Demand Staffing – Need a shift covered tomorrow? With Sidekicker 90% of roles are filled within an hour.
- No Admin Hassles – Payroll, tax? We handle it for you, so you can focus on running your business.
- Scalable Solutions – Whether you need one extra pair of hands or an entire team, Sidekicker has the workforce to match your needs.
- Trial Before You Hire – If you love a temp worker, you can offer them a permanent role.
Temporary staffing helps you keep things running smoothly, cut costs, and stay flexible without the headache of long-term commitments.
With Sidekicker, hiring temp staff is easy, reliable, and stress-free. Whether you need extra hands for a one-off event or ongoing support during your busy season, we’ve got you covered.
Need temp staff now? Try Sidekicker today!
