Considerations for Contract to Hire Positions

Four smiling employees standing around their manager

Contract To Hire is an alternative employment structure that falls between a standard contract structure and hiring a permanent employee. The idea behind Contract To Hire is simple: a candidate will be hired as a contractor for a specific amount of time and when the trial is over, the idea of taking on the candidate as a full time employee is visited. This is especially beneficial for smaller companies who don’t want to risk hiring an employee that doesn’t live up to their resume. When they’re hired under Contract To Hire, you can set a period of time to see if their resume reflects their actual ability. Should you hire the candidate, the on boarding process is smoother because they’ve already been at the company and know how the workplace functions, the transition isn’t as jarring as it would be for someone who’s never worked with you before.For employees Contract to Hire is a bigger risk. Most candidates prefer a long term employment structure and will most likely choose the more secure employment. However, there is a growing trend in employees preferring greater employment flexibility that may make a Contract to Hire position more appealing. If you are looking to offer a Contract to Hire position, consider your willingness to offer alternative work space options, flexible hours, and creative benefits (see our article on alternative benefits).The key to finding the right candidate for your Contract to Hire position is asking the right questions. Here are a few we recommend:

• What attracts you to a Contract to Hire position?

• What would it look like to succeed within the contract period?

• Give me two examples of how you made your goals within a set period of time.

• Give me an example of how you failed to meet your goals.