As a business advisor, I regularly see companies that have to hire temporary workers. I have always found it interesting that there are usually major conversations among the elite in the companies as to how much to pay temp workers. There are a few very simple steps that a company can follow when trying to decide what to pay temporary workers.
If your company is planning on using a temp agency to find temporary workers, you do not have to worry at all about how much to pay. The temp agency will usually ask what type of work is being done, and then offer you a scale based on their past assignments. This scale will usually be a range of a few dollars more or less an hour.
If you are not going to use a temp agency, you can take a look at your local Craigslist to see what other companies are offering for a similar job for their temporary applicants. Again, your company might only have a matter of a few dollars to decide how much to pay.
What do you do if the type of work that you are looking for temporary help with is not something usually carried by Craigslist or local temp agencies? If you already employee people that have the same kind of task that the temp workers will have, pay the temporary workers your starting wage, or slightly under it.
If you do not have workers that do the task that you are searching for temporary workers for, do a search for the pay scale for that job online. There are many websites that will give you a range by state for that type of worker that you can use as a guide when determining how much to pay your temporary workers. While some of these sites charge a fee for their information, many do not. Save money where you can.
I have suggested this in the past that under no circumstances should a temporary worker make more than your regular workforce unless that temporary worker is a specialized worker like an advisor, electrician, or other type of skilled trade. Paying a temporary worker more than a regular worker will cause for major morale issues if the pay scale for the temp ever becomes public knowledge. Never trust a worker (temp or not) to keep his or her pay scale private.
If you are planning on hiring temporary workers for your company, keep these basic rules in mind. These rules could save your from a lot of frustration since you don’t have to spend hours going over the books to decide how much to pay temps. You can spend a lot less time coming to this kind of decision than you previously thought.