The term describes an employment arrangement where an individual is initially hired through a temporary staffing agency with the understanding that, after a specified period, the hiring company may offer the individual a permanent position. This probationary period allows both the employee and the employer to assess compatibility and suitability before committing to long-term employment. For example, a software developer might be engaged through this type of agreement for six months. During this time, their skills and work ethic are evaluated. If satisfactory, the company then extends an offer of full-time employment.
This arrangement offers several advantages. For employers, it reduces the risk associated with direct hiring, providing an opportunity to evaluate a candidate’s performance and cultural fit within the organization before making a long-term commitment. It can also streamline the hiring process, reducing the time and resources spent on recruiting and screening candidates. For employees, it presents a pathway to permanent employment, allowing them to demonstrate their capabilities and gain valuable experience within the company. Historically, this method emerged as a flexible staffing solution, allowing businesses to adjust their workforce needs efficiently and effectively.