This generation had not seen a pandemic before late 2019, but it seems now the effects of COVID-19, caused by the novel coronavirus that emerged in Wuhan, China, may be here for some time. The pandemic has changed just about every aspect of public and commercial life. One of the societal processes changing during these unusual times is hiring; the staffing industry is evolving. With new waves of COVID-19 breaking out periodically nationwide, these changes are about more than numbers.
The staffing industry’s entire operational process has been altered and is adapting as new situations unfold. Employment agencies are especially seeking security through staffing industry insurance.
These are the three most notable effects the pandemic has had on the staffing industry.
An Altered Job Market
Staffing firms are facing a fundamental change in the overall job market in the wake of the pandemic. The spread of COVID-19 has dramatically reduced the number of applications in most industries. Furthermore, as businesses have closed, they have released or laid off large numbers of people, substantially raising the unemployment rate.
Another significant change for staffing firms involves remote work and access to global talent. As remote work is now the norm, the talent pool from which employers can choose extends throughout the entire world. With this dynamic change, your staffing clients require employment agency insurance now more than ever.
Different Hiring Needs
The pandemic has changed hiring needs for many companies. While some businesses have had to lay people off, others, such as delivery services, have needed to hire more workers. In the face of uncertainty during these changing times, specialized staffing industry insurance offers peace of mind to companies matching job seekers with employers.
What type of insurance does a staffing agency need? Employment agency insurance needs are complex and unique. Worker’s compensation packages and comprehensive liability coverage are essential. However, your staffing agency clients also need commercial property insurance and errors and omissions coverage, among others. Now is a great time to reach out to your staffing clients to ensure their portfolios are up to date.
New Recruitment Practices
In the wake of the pandemic, recruiters had to change the way they assess new candidates. Virtual recruiting has become standard practice, and comprehensive staffing industry insurance helps protect your clients from mistakes in paperwork and general operations that may occur as companies grow accustomed to this new way of doing business.
Staffing Industry Insurance
Employment agency insurance offers staffing businesses a safety net as the entire hiring industry shifts in response to the pandemic. This sector has specialized needs, and staffing companies need to be prepared for many contingencies by having proper coverage. For example, agencies focusing on medical staffing needs have different concerns than those specializing in landscaping and manufacturing jobs. However, all employment agencies have some requirements in common, and the right insurance package is vital for long-term success.
About U.S. Risk
U.S. Risk, LLC. is a wholesale broker and specialty lines underwriting manager providing a wide range of specialty insurance products and services. Headquartered in Dallas, Texas and operating 16 domestic and international branches, U.S. Risk and its affiliates would like to help you access a world of new markets and products. For more information, contact us today at 800-232-5830.