How to use this glossary
Use these terms while reviewing a proposal or preparing a call with a staffing agency. Start with the work you need done. Then check which party finds the person, employs them, and directs their daily work.
A request for a permanent engineer differs from a request to finish a migration. In the first case, your team may want to select and manage a person. In the second, you may want a provider to own a defined deliverable. Write that distinction into the scope before comparing prices.
The words staffing company and staffing firm do not settle those questions. Neither does a label such as full service. Ask the provider to describe the tasks it will perform before hiring and after the start date.
For each proposal, record:
- The legal entity that will employ or contract with the worker.
- The person who will approve work and give feedback.
- The costs included in the quoted rate.
- The steps and charges involved in ending the arrangement.
Keep that record beside the contract. If the sales call and the written terms differ, resolve the difference before signing.
Use the same role requirements when requesting quotes. Changing the expected seniority or work schedule between calls makes the prices harder to compare. Share the expected work with each provider, and ask them to state any assumptions behind their proposal.
Bring the hiring manager into that review. A recruiter can explain the search, but your engineering lead should decide what evidence shows the candidate can do the job. Finance should review the billing terms before an offer depends on budget approval.
Opus charges one flat monthly rate per hire. This site is an Opus-owned reference; recommendations are editorial. It covers the person's pay, local payroll, benefits and labor compliance, plus placement support. There is no separate recruiting fee. The rate depends on role, seniority and location.
Published Opus dollar rates: Not published. Ask for a quote for your role, seniority, and location, then check what the agreement includes.
What terms should you check for tech and nearshore hiring?
Use the definitions to turn broad promises into questions with written answers. Give the most attention to terms that affect who manages the hire, what you pay, and when work can begin.
Match the hiring model to the work
Direct hire, staff augmentation, and project outsourcing describe different arrangements. A proposal should make clear whether you are buying help finding a person, adding someone to your team, or commissioning a result.
For a backend engineer joining your team, ask who sets priorities and reviews code. For a fixed migration project, ask who accepts the finished work and handles changes to the scope. Avoid relying on the job title to explain the engagement.
Treat recruiting and employment as separate questions. You may need help with both, or you may already have a candidate. Ask the provider to name the employer and explain each party's role in the proposed arrangement.
For temporary staffing, state what ends the assignment. That might be a date or the return of an employee on leave. Ask how extensions work and whether the same person must be available for an extension.
For contract-to-hire, discuss conversion before the assignment begins. Confirm whether direct employment is an option, who must agree, and how any conversion fee is calculated. Do not promise a future permanent role until your team has approved it.
Define what a screened candidate means
A shortlist is useful when it lets your team decide whom to interview. Ask for the candidate's relevant experience and the findings from any assessment. Confirm that the person knows the expected pay and working hours.
Vetting can cover different checks. Ask which skills the provider assessed and which your own interviewers still need to test. For a technical role, request evidence tied to the actual work.
If the job involves maintaining an existing service, include that context in the role requirements. A candidate's ability to build a small new application may leave other questions unanswered. Your interview plan should address the work they will inherit.
For example, ask a candidate to explain how they would investigate a failed deployment. Give enough context for them to reason through the problem. Listen for the questions they ask before judging the proposed fix.
Agree on the evaluation criteria before interviews begin. Separate skills the person needs on arrival from tools they can learn after joining. If interviewers disagree about the role's level, settle that disagreement before rejecting a shortlist.
Ask what feedback the agency needs after an interview. Specific notes about a missing skill can guide the next search. A broad rejection such as "not senior enough" leaves the provider guessing about what to change.
Separate hiring speed from the start date
A promise about candidate delivery is a promise about a shortlist. It does not by itself set the date when a person joins your team.
Ask the provider to define the event that starts its timeline. Does the search begin when you send a role description, approve the scope, or sign an agreement? Then confirm what ends the clock.
Keep the start date as a separate item in your plan. Ask the finalist about availability and assign an owner for equipment and access. A signed offer will not resolve those tasks on its own.
Map your own interview steps before asking for a hiring deadline. Reserve time with the people who must approve the hire. Tell the provider whether an additional interview or budget review could delay an offer.
If someone presents an average hiring time, ask which roles and period it covers. Confirm whether the calculation includes searches that remained open. Use that figure as context, then build your schedule around the actual role and candidate.
Compare the complete price
Put each quote on the same basis before judging it. A salary figure and a client bill rate describe different amounts. An hourly quote also needs an agreed approach to billable hours.
Ask whether the price includes paid leave, equipment, and any charges for ending the arrangement. Confirm the invoice currency and how price changes are handled. Request a written explanation of any item described as a pass-through cost.
For a monthly rate, ask how a partial first month is billed. Check what happens during leave and whether overtime needs approval. If a deposit is required, confirm when it is applied or returned.
A placement fee needs its own payment trigger. Ask whether the charge becomes due when the candidate accepts, signs, or starts work. Read what happens if the person withdraws before starting. Keep those terms beside the replacement policy.
For Latin American employment, ask how statutory payments appear in the budget. Mexico has aguinaldo, and Colombia has prima de servicios. Argentina has sueldo anual complementario, or SAC, while Brazil has the 13th salary. The names and rules differ by country. See Mexico's labor law, Colombia's Article 306, Argentina's labor law, and Brazil's Lei 4.090.
Ask the provider to show how the proposed rate accounts for the applicable payments. Keep that answer with the quote so finance can review the full arrangement. Avoid adding a separate budget item for a cost already included in the rate.
Agree on a shared work schedule
Nearshore describes location. Put the actual working hours in writing.
Mexico City is UTC-6 without daylight saving time. Bogotá is UTC-5 without daylight saving time. Buenos Aires and São Paulo are UTC-3 without daylight saving time. US clock changes can therefore change the gap between your team and a hire in those cities. See the North American and South American time zone data.
List the meetings the person must attend and the hours when colleagues need live responses. Check the schedule against both US standard time and daylight time. Discuss on-call work separately from normal overlap.
Use city names in the schedule rather than relying on a country label. Ask the candidate to confirm the proposed hours in their local time. If your team spans US time zones, name the team whose schedule takes priority.
Distinguish shared working hours from response expectations. A person may be working while focused on a task or away from chat. Agree on how to report an urgent issue and which messages can wait until the next planned check-in.
Assign onboarding tasks before the start date
Onboarding includes work on both sides of the engagement. Ask the provider which tasks it handles, then give each remaining task a named owner on your team.
For an engineer, prepare the equipment and access needed for the first assignment. Decide who approves repository permissions and who can resolve a blocked login. Share the team's setup instructions before expecting the person to make a code change.
Choose a first task with a clear finish. Explain who will review it and where the hire should ask questions. Give the manager time to provide feedback instead of treating the first week as full delivery capacity.
Confirm the path for payroll or employment questions separately from technical support. The person handling a benefits question may be different from the manager reviewing a pull request. Give the hire both contacts.
Read the exit terms before the first day
A replacement guarantee needs a defined remedy. Ask what triggers it, how to request it, and what happens while a new search runs. Check whether it provides another search, a credit, or a refund.
Ask how billing works during the replacement process. Confirm whether the replacement must match the original role and budget. If your needs change, get written agreement on the new search before treating it as a replacement.
Read any conversion fee alongside the exit terms. If you later want to employ the person directly, understand the process and cost before making that promise.
Plan the handover as well as the notice. Name who will receive unfinished work, remove access, and confirm the final invoice. Ask who handles equipment returns and how the parties will confirm completion.
Finally, put the agreed scope, rate, schedule, and start conditions in the document your team approves. Resolve any open question with the person who can commit the provider to an answer. Keep that version available to the hiring manager after the search ends.
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Look up a term
- Staffing agency
- A business that helps employers find and place workers. Ask whether the agreement covers recruiting alone or also includes payroll and employment support after placement.
- Tech staffing
- Staffing focused on technical roles, such as software engineering. Define the work the person must perform and the evidence needed to judge their skills before approving the search.
- Direct hire
- An arrangement in which the client hires the selected person into its own workforce. Confirm which party handles the offer, employment paperwork, and payroll.
- Temporary staffing
- An arrangement for an assignment with a defined duration or temporary need. Confirm the end date, extension process, and responsibilities if the assignment ends early.
- Contract-to-hire
- An assignment that allows for a later direct hire under agreed terms. Ask whether conversion carries a fee and whether any minimum assignment period applies.
- Staff augmentation
- Adding people to work with an existing team under its day-to-day direction. The buyer should name the manager, expected workload, and access the person needs.
- Project outsourcing
- Engaging a provider to deliver a defined piece of work. Specify the deliverables, acceptance criteria, and who manages the people doing the work.
- Employer of record
- An EOR is the legal employer under an employment arrangement. Confirm whether candidate search is included or whether you must bring an already selected candidate.
- Nearshore hiring
- Hiring in nearby countries, often to support shared working hours. For a US buyer considering Latin America, confirm the candidate's city and agreed schedule.
- Offshore hiring
- Hiring in another country, often used to describe more distant locations. The label alone does not define working hours, employment terms, or who manages delivery.
- Role brief
- The written requirements used to run a candidate search. Include the work to be done, required skills, budget, and working hours so interviewers judge the same role.
- Candidate shortlist
- The candidates presented for the buyer's review. Ask whether each person has been screened for the stated role and has confirmed interest in its pay and schedule.
- Vetting
- The checks used to assess a candidate before placement. Ask what was tested, who reviewed the results, and what evidence your team can inspect.
- Technical assessment
- A work sample, exercise, or discussion used to assess technical skills. Choose tasks that reflect the job and agree on how interviewers will judge the result.
- Time to shortlist
- The elapsed time between an agreed starting event and delivery of candidates for review. Define both events before comparing a provider's timeline with another quote.
- Time to hire
- A hiring timeline whose meaning depends on its start and end points. Ask whether the endpoint is offer acceptance, a signed agreement, or the first day worked.
- Start date
- The agreed date when the person begins work. Confirm availability, equipment, and account access before using that date in a delivery plan.
- Placement fee
- A charge tied to recruiting or placing a person. Check when payment becomes due and whether withdrawal, early departure, or a replacement changes the amount owed.
- Bill rate
- The amount charged to the client for the agreed service. Confirm its billing period and whether it includes worker pay, employment costs, and provider fees.
- Total employment cost
- The full cost of employing a person beyond base pay alone. Request an itemized estimate for the proposed arrangement, including benefits and any applicable employer charges.
- Replacement guarantee
- A contractual promise describing help replacing a hire under stated conditions. Read the eligibility rules, deadlines, and remedy, including whether it covers a new search or a refund.
- Timezone overlap
- The hours when the hire and the client team are both scheduled to work. Agree on the shared window and check whether seasonal clock changes affect it.
- Onboarding
- The work needed to make a new hire ready to contribute. Assign owners for equipment, system access, team introductions, and the first work assignment.
- Conversion fee
- A charge that may apply when a client hires an assigned worker directly. Ask whether it applies to your arrangement and how the contract calculates it.
Questions & answers
For tech employers, what are staffing agencies?
Staffing agencies help employers find and place workers. A tech staffing engagement may cover a permanent hire, a temporary assignment, or ongoing placement support. Check the contract to see who employs the person and which services continue after hiring.
What are staffing companies?
Staffing companies are businesses that help clients fill roles. The phrase often means the same thing as staffing agencies. Compare the actual service, fee terms, and employer responsibilities rather than treating the name as a separate hiring model.
What are staffing firms?
Staffing firms is another common name for staffing agencies. A firm may focus on a job family, location, or engagement type. Ask whether its work ends at placement or continues through payroll and employment support.
What do staffing agencies do before an interview?
Depending on the scope, they clarify the role, find candidates, screen applicants, and arrange interviews. Ask what screening includes and which evidence your hiring manager will receive before deciding whom to meet.
What do staffing companies do after someone is hired?
Their work depends on the agreement. Some engagements end after placement, subject to any guarantee. Others include payroll or ongoing support. Name the owner of each task before the hire starts.
What does a staffing agency do for nearshore hiring?
A nearshore staffing agency helps a buyer hire in nearby countries, including Latin American markets for US teams. Confirm whether the scope includes candidate search, employment support, or both, and agree on working hours for the specific person.
What is a staffing agency responsible for?
Ask who signs the employment agreement, pays the worker, handles benefits, and manages employment questions. Compare those answers with the service contract. Separately name the manager who assigns daily work.
What is a staffing company fee?
It is the charge for the services in the agreement. Ask whether it is a placement fee, an ongoing service charge, or part of a rate that includes worker pay. Request the payment trigger and all exclusions in writing.
What does a staffing agency do differently from an EOR?
Staffing describes help filling roles. An employer of record is the legal employer under an employment arrangement. Ask separately who finds the candidate and who employs them, since those tasks may sit with different parties.
What should I ask a staffing agency before signing?
Ask for a written scope, a complete price, the employer's identity, and the exit terms. Confirm the hiring milestone behind any timeline and what happens if the selected person leaves or does not meet the role's needs.
Sources for this entry
- IANA time zone data: North America
- IANA time zone data: South America
- Mexico: Ley Federal del Trabajo
- Colombia: Código Sustantivo del Trabajo, Article 306
- Argentina: Ley de Contrato de Trabajo
- Brazil: Lei 4.090
Figures about Opus are company-reported and attributed to Opus. Other figures link to their source.
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Cite this entry
Best Tech Staffing Agencies. “Tech hiring glossary: what are staffing agencies?.” Opus Research. Last updated . https://besttechstaffingagencies.com/glossary/
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- Opus (disclosed owner of this site)
- Official page
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- Opus Research (Opus)
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