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February 2004
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Ensure temp-to-perm really does go perm

Get started in the contracting business with these tips

Finding a single-source tool

Ensure temp-to-perm really does go perm
By Karen Field Carroll

The temp-to-perm job offer is a hybrid between a contract and a salaried position. Typically, you work as a contractor for three to six months. If all goes well, you then become a salaried employee.

Although many companies like the temp-to-perm arrangement because it gives them (and the candidate) a chance to see if the relationship works before they make a commitment, others give it lip service simply to lure attractive candidates who would otherwise not accept a contract assignment.

If you're considering a temp-to-hire contract, make sure the company is sincere. Do your homework before you take the job and follow these tips.

  • Ask the company to put the offer in writing, specifying the time frame in which your contract will be converted to salaried and what your salary will be once you are hired.


  • Even if the company says no—some may consider it a liability risk—the request lets them know that you expect them to follow through.

  • Ask specific questions about the company's temp-to-hire conversion rate, such as, how many contractors have they converted to salaried in the last year? (The Human Resource contact person should be able to give you this figure.)

    If it's low (less than 50 percent), ask why. If the answer lays all the blame on the contractors, run.


  • Ask whether there is a hiring freeze on right now. Companies often use contractors in a hiring freeze as a way to get the work done without putting salaries on the books.

    If the answer is yes, consider it a huge red flag.


  • Try to find a contractor who works there or has worked there. See what she says about the conversion rate. If she became salaried, ask her whether it was a smooth transition or something she had to fight for.


  • If you're satisfied with your research, make sure the contract phase benefits you, too. Will you learn new skills? Is the hourly pay enough to cover your out-of-pocket healthcare costs, unpaid holidays, and sick time while you're contract?

Temp-to-perm arrangements can benefit both you and your employer. But a temp-to-perm offer that leaves you toiling in the temp phase will sour the working relationship. Make sure everyone knows what you expect before you take the assignment.

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