Choosing Between Full-Time and Temporary Staff: What’s Right for Your Business?

April 28, 2025 –

By Ethan Sympson

Building an effective workforce starts with choosing the right mix of employment types. Whether you rely on full-time staff, part-time help, or temporary workers, the right balance can directly impact your productivity and profitability. But figuring out that balance isn’t always easy. Every business has unique staffing needs, and what works well today might need to shift tomorrow. In this blog, we’ll break down the differences between full-time and temporary positions—and offer guidance on when each option makes the most sense for your business.

Full-Time Positions: Building Long-Term Stability

Full-time employees are the foundation of most businesses, providing consistency, accountability, and long-term growth potential. These roles typically require a commitment of 30 to 40 hours per week, often come with a full suite of benefits—such as healthcare, paid time off, and retirement contributions—and offer a stable, structured schedule. Because of this, full-time staff are often more invested in the company’s success and more likely to take ownership of their roles.

Why Full-Time Employees Are Valuable:

Stability: Consistent staffing ensures stronger team dynamics

Loyalty: Full-time staff are more likely to invest in your company’s success

Accountability: These employees often have deeper training and more responsibility

Culture Building: They shape and uphold your company’s values over time

Temporary Positions: Flexible Support for Changing Needs

Temporary employees offer a highly flexible solution for businesses that face seasonal spikes, short-term projects, or unexpected gaps in staffing. These roles can range from just a few days to several months in duration, and they’re often filled through staffing agencies—allowing companies to hire quickly and avoid the administrative burden of full onboarding. Temporary employees are usually brought on without benefits, helping employers manage costs while still getting the labor support they need.

Why Temporary Employees Are Useful:

Flexibility: Easily adjust your workforce size based on demand

Cost Control: Save on benefits and long-term payroll expenses

Speed: Fill positions quickly without lengthy onboarding

Trial Period: Evaluate workers on the job before offering full-time roles

Other Common Employment Types: Filling the Gaps in Your Workforce Strategy

Beyond full-time and temporary roles, other employment types can also support your workforce in meaningful ways. Part-time employees offer flexibility and cost-efficiency for roles that don’t require a full schedule. Contract and freelance workers are ideal for project-based needs or specialized skills, helping you fill gaps without a long-term commitment. Temp-to-hire roles provide a trial period that allows both employers and employees to evaluate fit before making things permanent. These employment types, when used strategically, can help your business stay agile, reduce overhead, and meet changing demands with ease.

When To Use Full-Time Vs Temporary Placements

Deciding between full-time and temporary hires often comes down to your business’s current needs, future goals, and available resources. Full-time employees are ideal when stability, training investment, and long-term alignment are top priorities. On the other hand, temporary employees are the better choice when your operations require flexibility, quick scaling, or short-term support.

When To Use Full-Time Employees

Full-time employees are best suited for roles that require consistency, long-term investment, and deeper integration into your company culture. These team members help build a strong foundation and are essential for stability and growth. Use full-time employees if:

You need long-term team members invested in your company’s mission: Full-time employees develop institutional knowledge over time and contribute meaningfully to team collaboration, customer relationships, and business growth.

The role requires consistent hours, deep training, and a defined career path: Positions that demand a structured schedule, comprehensive onboarding, or advancement opportunities are best filled by individuals who are looking for long-term employment and are willing to grow with the company.

You want to build internal leadership or promote from within: Full-time staffing creates a reliable pipeline for developing future leaders. These team members have the time and opportunity to build skills, take on responsibilities, and move into management roles over time.

You aim to reduce turnover and build a strong workplace culture: Investing in full-time employees helps reduce attrition and strengthens your company culture. These employees are more likely to stay loyal, contribute to morale, and foster better communication within departments.

There’s ongoing, stable workload with minimal fluctuation: When the demand for a role remains consistent over time, it makes financial and operational sense to hire a full-time employee who can deliver reliable results day in and day out.

When to Use Temporary Staffing

Temporary staffing is an excellent option when your business faces short-term surges, unpredictable workloads, or specialized projects that don’t require a long-term hire. Temps provide flexibility and help you stay agile without the cost of permanent benefits or extensive onboarding. Use temporary employees if:

You need short-term help during seasonal peaks or unexpected demand: Temporary workers are a great solution when your business sees predictable spikes—such as holidays or summer months—or when unexpected demand requires a quick increase in staffing without the need for permanent headcount.

The role is project-based, fill-in coverage, or task-specific: Some roles don’t require a long-term hire. For example, covering a vacation, supporting a product launch, or helping with end-of-quarter reporting are great scenarios for temporary staffing.

You want to fill roles quickly without long-term commitments: Temp workers can be onboarded rapidly, often within 24–48 hours, allowing you to respond to staffing needs without going through a lengthy hiring process or committing to long-term payroll expenses.

You want to control labor costs or limit benefits obligations: Since temporary employees typically don’t receive benefits, this staffing model allows you to manage budgets more effectively—especially for short-term projects or roles with uncertain ROI.

There’s uncertainty about the long-term need for the position: When you’re not sure how long a role will be needed—or if you’re still assessing workload levels—temporary employees offer the flexibility to evaluate fit, demand, and performance before making a permanent hire.

Use Full-Time When:	Use Temporary Staffing When:
You need long-term team members invested in your company’s mission.	You need short-term help during seasonal peaks or unexpected demand.
The role requires consistent hours, deep training, and a defined career path.	The role is project-based, fill-in coverage, or task-specific.
You want to build internal leadership or promote from within.	You want to fill roles quickly without long-term commitments.
You aim to reduce turnover and build a strong workplace culture.	You want to control labor costs or limit benefits obligations.
There's ongoing, stable workload with minimal fluctuation.	There’s uncertainty about the long-term need for the position.

What Roles Are Typically Full-Time?

Full-time positions are generally reserved for roles that require consistency, long-term accountability, and a deeper understanding of company operations. These employees often become the backbone of your team, responsible for driving performance, maintaining workflow, and contributing to strategic goals. These roles tend to require more training, offer room for advancement, and are often closely tied to departmental or company-wide success.

Examples of Common Full-Time Roles:

Warehouse Supervisor: Oversees daily warehouse operations and team performance

Office Manager: Manages administrative staff, processes, and facility needs

Maintenance Technician: Handles ongoing facility upkeep and equipment repairs

Customer Service Representative: Provides consistent, high-quality client support

Operations Manager: Leads cross-functional teams and drives overall efficiency

What Roles Are Typically Temporary?

Temporary roles are ideal for positions that support short-term needs, seasonal demand, or project-based work. These positions allow businesses to stay agile and control labor costs while still meeting productivity goals. Temporary employees often fill gaps in staffing, help during surges, or handle repetitive tasks that don’t require long-term investment. These roles are essential to keeping operations moving without the commitment of a full-time hire.

Examples of Common Temporary Roles:

Warehouse Picker/Packer: Assists with order fulfillment during peak seasons

General Laborer: Provides flexible support across warehouse or production tasks

Production Associate: Supports short-term manufacturing or packaging work

Event Staff: Helps with setup, registration, and customer service for one-time events

What Are The Costs of Full-Time Staff Vs Temporary Staff?

When comparing full-time employees (FTEs) vs temporary staff (temps or contractors), it’s important to look beyond salary or hourly rates. Here’s a full breakdown of direct and indirect costs for each:

Full-Time Employee (FTE) Costs

Direct Compensation

Base salary or hourly wage
Bonuses or incentives
Overtime (if non-exempt)

Benefits

Health, dental, vision insurance (employer contribution)
Retirement plan contributions (e.g., 401(k) match)
Paid time off (vacation, holidays, sick leave)
Life & disability insurance
Wellness programs or stipends

Employment-Related Taxes & Costs

Employer payroll taxes (Social Security, Medicare)
Federal & state unemployment insurance (FUTA/SUTA)
Workers’ compensation insurance
State-specific taxes/benefits (varies by location)

Overhead & Operational Costs

Equipment (laptop, monitor, software licenses)
Office space / remote work stipends
Onboarding & training
HR admin time & systems
Employee engagement programs

Long-Term Obligations

Severance (in some cases)
Raises & promotions
Legal risks (wrongful termination, compliance issues)

Temporary / Contract Staff Costs

Direct Compensation

Base salary or hourly wage
Bonuses or incentives
Overtime (if non-exempt)

Benefits

Health, dental, vision insurance (employer contribution)
Retirement plan contributions (e.g., 401(k) match)
Paid time off (vacation, holidays, sick leave)
Life & disability insurance
Wellness programs or stipends

Employment-Related Taxes & Costs

Employer payroll taxes (Social Security, Medicare)
Federal & state unemployment insurance (FUTA/SUTA)
Workers’ compensation insurance
State-specific taxes/benefits (varies by location)

Overhead & Operational Costs

Equipment (laptop, monitor, software licenses)
Office space / remote work stipends
Onboarding & training
HR admin time & systems
Employee engagement programs

Long-Term Obligations

Severance (in some cases)
Raises & promotions
Legal risks (wrongful termination, compliance issues)

Get Help Finding The Right Staff

At Starboard, we know that building the right team is key to long-term success. That’s why we partner closely with businesses to understand their specific hiring needs—matching them with qualified, pre-vetted candidates who are ready to contribute from day one. Whether you’re filling temporary roles or building a full-time workforce, our team is here to make staffing simple and effective for your business. Connect with us today to see how we can help!

Frequently Asked Questions

What Is The Difference Between Temporary and Full-Time Employees?

The main difference lies in the duration and nature of the employment. Full-time employees typically work 30–40 hours per week on a permanent basis and often receive benefits such as health insurance, paid time off, and retirement contributions. They are considered part of the core team and are usually eligible for internal growth opportunities.

Temporary employees, on the other hand, are hired for a defined period—ranging from a few days to several months—to meet short-term business needs. They usually don’t receive benefits and are often brought in through a staffing agency. Temporary roles are ideal for covering seasonal demand, project-based work, or employee absences.

Why Would Businesses Hire More Temporary Employees?

Businesses often hire more temporary employees to maintain flexibility and control costs. Temporary staffing allows employers to scale their workforce up or down based on real-time demand—without committing to long-term expenses like benefits or salaries. It’s especially useful during seasonal peaks, one-off projects, or periods of uncertainty where permanent hiring might not make financial sense. Temporary employees also help reduce burnout for full-time staff by handling overflow work or short-term tasks.

What Are The Benefits Of Hiring Temporary Employees?

Hiring temporary employees offers several advantages:

Flexibility: Quickly adjust your workforce to match workload demands

Cost savings: Avoid long-term payroll and benefits commitments

Speed: Fill roles faster through staffing agencies with ready-to-work candidates

Reduced risk: Evaluate job fit before committing to a permanent hire

Specialized support: Bring in skills or support for specific projects without overstaffing

Is It Better to Hire Full-Time or Temporary Employees?

It depends on your business needs. If you’re looking for long-term commitment, team development, and consistent performance, full-time is likely the best fit. If your priority is flexibility, cost-efficiency, or handling short-term surges, temporary employees are more appropriate. Many businesses benefit from a strategic mix of both.

Can Temporary Employees Become Full-Time?

Yes—many companies use a temp-to-hire model. This allows you to evaluate a candidate’s performance and fit with your team before offering a permanent position. It also gives the employee a chance to see if the role aligns with their career goals.