Eli5: how do temp agencies, suppliers, msps, and corporations all work?

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Eli5: how do temp agencies, suppliers, msps, and corporations all work? How don’t companies directly hire? Why are there so many dimensions? How do they all work in unison?

In: Economics

3 Answers

Anonymous 0 Comments

The reason a company would work with a supplier or a temp agency instead of hiring the staff itself is because that makes more economic sense for the specific job.

For example: Let’s say that your company office has a small garden with a grass field and some hedges. Now someone has to maintain this: mow the grass and trim the hedges.

But it’s just a small garden and it only needs mowing every two weeks at most. It doesn’t make any sense to hire a full time gardener on your payroll if you only have half a day worth of work every two weeks.

So instead you work with a specialized gardening company and they sent a guy every two weeks to do the work.

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