Key Performance Indicators that Temporary Staffing Agencies Should be Leveraging

kpis for staffing agencies

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Businesses look for ways to measure performance and accountability with their staffing agency partners. Key Performance Indicators help these businesses manage contingency labour costs and efficiencies. It’s essential for an agency to not only understand why businesses rely on KPIs but also know how to manage their own.

KPIs for Staffing Agencies

Time To Fill

One KPI business clients look for is an agency’s time to fill. This measures how long a particular temp position stays open before the agency is able to fill it. While relevant to the client, this is equally important to the agency. If your agency is taking a long time to fill a position, it’s an indication that you may need to revisit your recruiting strategy for that position. Maybe it’s an economic trend in your market. It could be a large employer has moved into your area and is offering a higher wage. Use this data to improve your strategy and think about the growing role of technology in reducing these times.

Fill Rates

Businesses rely on fill rates to gauge an agency’s ability to manage the load. This can be valuable information to the agency as well in adequately managing expectations. Don’t take on a job order for 100 temporary workers if you know your pipeline will only accommodate 50 workers. Be honest with your client and make sure your fill rates accurately represent your efforts and capabilities.


Conversion rates apply to temporary candidates that have been hired permanently by the client. Many agencies offer reduced rates for conversions. Conversion rates are great selling tools for the staffing agencies. A high conversion rate implies your ability as an agency to submit great candidates to the positions. These candidates are great enough in fact that the client hires them permanently. This speaks volumes about your agency’s process and can be leveraged to reinforce existing client relationships and build new ones.


Businesses want to know they are creating a positive work environment. When employees leave, they want to know why. The same strategy applies to temporary workers as well. Managing turnover is vital for any staffing agency, but diving deeper to understand and improve turnover is mandatory. Exit interviews and reviews can help an agency determine if there is an issue with shift work, a particular supervisor or the job itself. These details can help troubleshooting efforts internally, during orientations to set proper expectations and with recruiting strategy.


redeployment funnel

Many staffing leaders argue that redeployment has become the most important metric for your agency to track in order to maximize profitability. Because of the expense to onboard new candidates (which has increased in many verticals because of COVID) and the cost associated to get candidates through every stage of the funnel, a focus on increasing your redeployment could mean big gains for your agency. In order to do so, it’s important that you focus on creating the best possible experience for your workers so that they choose to return to you, job after job.

For advice on how to create a better worker experience, and other lessons from staffing industry experts, download our e-book.

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