Permanent vs Contract: Why Separating Hiring Processes Is Essential

As a Recruitment Consultancy for both permanent and contract roles in Tech and IT, we often see the same hiring processes utilised for both permanent employees and contract professionals – a strategy that can both slow down recruitment and hurt project delivery. 

Permanent and contract tech hires are fundamentally different and require distinct hiring approaches. Let’s discuss…

Permanent Hiring: A Thorough, Long-Term Investment

Permanent roles are about long-term fit. Hiring managers focus on cultural alignment, career growth potential, and commitment. This process usually involves multiple interview rounds, skills assessments, and stakeholder input to ensure the candidate will thrive in the company environment over years, not months.

Because these hires become part of the core team, it’s important to invest time upfront to find the right match.

Contract Hiring: Speed and Specific Expertise

Contractors fill immediate gaps or deliver on short-term projects. Their value lies in their ability to step in quickly with specialised skills and produce results without a long onboarding process. Applying the permanent hiring process to contract roles often leads to unnecessary delays, frustrating both candidates and hiring teams.

Contract hiring requires a streamlined, agile process focused on quickly verifying relevant experience and availability.

Identifying Distinct Strategies for Permanent and Contract Hiring

One common stumbling block is mixing permanent and contract applicants in the same system. This leads to confusion for recruiters and hiring managers, who end up sorting through unsuitable CVs and using evaluation criteria that don’t match the role. Separate hiring portals and candidate pools help maintain clarity and speed, allowing each process to be tailored to the role type.

For contractors operating outside IR35, their independent status further underscores the need for a flexible, efficient recruitment approach.

References Are Everything

When hiring contractors, a brief but focused conversation is usually enough to assess suitability. Their recent projects, relevant skills, and client references speak louder than multiple interview rounds.

For contractors themselves, gathering strong references after every job is crucial. Be sure to request references after each project and build an easily accessible portfolio (ideally on a personal website). This helps potential clients quickly verify their expertise and reliability, much like checking references before hiring a specialist.

For more contractor tips, read our expert insights by Megan Prout, Contractor in Change & Transformation: The Ultimate Guide for Success.

The Bottom Line

In tech recruitment, recognising and respecting these differences is essential for staying competitive and agile.

Understanding that permanent and contract tech hiring require different processes isn’t just about efficiency – it’s a strategic advantage. By separating these processes, businesses can hire faster, attract top contract talent quickly, and build a workforce equipped for both long-term growth and immediate project demands.

Contact us, or speak directly with our expert Consultant Megan Prout, for assistance with developing effective recruitment strategies for permanent and contract roles to completely transform your hiring processes.