What is a contract-to-hire?

In a contract-to-hire arrangement, also known as temp-to-hire, an employer initially hires an employee as a temporary or contract worker. During this phase, the employee works for a specified duration and receives payment on an hourly or project basis.

At any point of the assignment, the employer may convert the temporary or contract worker into a permanent employee. This transition includes benefits offered by the hiring company such as health insurance, retirement plans, and paid time off.

The CTH arrangement serves as a trial period for the employer and employee to assess the fit for a permanent position. It allows the employer to evaluate the employee’s skills and work ethic within the organization before making a long-term commitment. Similarly, the employee has the opportunity to evaluate the company’s culture, job responsibilities, and overall suitability for their career goals.

Contract-to-hire arrangements offer flexibility for both employers and employees. Employers can assess candidates’ performance in real work settings before making a permanent hiring decision, while employees can demonstrate their capabilities and potentially secure a stable, long-term position with the company. For employers, it minimizes the risk associated with hiring and allows them to manage workforce needs, especially during periods of uncertainty or rapid growth. For employees, contract-to-hire arrangements offer the opportunity to gain valuable experience in a specific industry or role.

GloballyHired is a on-demand recruiting platform that facilitates contract-to-hire opportunities for both employers and job seekers. With our extensive network of professionals and streamlined processes, we connect qualified candidates with companies seeking temporary-to-permanent staffing solutions.