Firm is hitting back - by running at a loss
A TEESSIDE recruitment company has taken an unusual approach to riding out the economic downturn - by deliberately running at a loss in the hope that customers will stick with it in the long term.
Shaun Connelly, manager and director of Beaumont Recruiting , which originally specialised in placing workers in the construction industry until it was hit hard by a downturn in the sector, said: “We don’t like running at a loss, but it guarantees business and creates a relationship with the customer.”
What could yet prove to be a short-term strategy for Beaumont, which moves from Darlington to Thornaby in the New Year, sees it charging out staff at £5.50 - 24p below the minimum wage, and making up the shortfall in wage packets itself.
“In a time where price is of the utmost importance, that’s where we are getting the business,” he said.
“Hopefully, the recession will be a short, sharp shock and in 12 months time we will see the light at the end of the tunnel.”
Meanwhile, he said the firm was seeing an increasing number of calls from construction trades workers looking for factory shifts.
