Contingent Labor (MSP)
Governs the workforce that isn't on your payroll.
Why contingent programs sprawl
Contractors get added department by department, staffing vendor by staffing vendor, until nobody can say what your true contingent spend is, who's still active, or which rate cards are even in play. Maybe you've already tried spreadsheets, and they fell over the moment a second business unit started hiring temps too. So let's address the elephant in the room: an ungoverned contingent workforce is a cost and compliance risk hiding in plain sight. A managed service provider program, done right, isn't another vendor added to the pile. It's one process and one set of vendor-neutral metrics across every supplier you already use. Here's how that actually plays out against running it yourself or leaving it to your suppliers.
How we run the program
We sit above your existing staffing suppliers, not in place of them, so you get one process, one set of rate cards, and one dashboard, no matter how many vendors are actually filling seats.
01
We set the rules of the road: rate cards, tiering, and who can request what, before a single vendor is touched.
02
Your existing staffing suppliers stay in the mix, routed and scored according to one vendor-neutral standard.
03
Every request for contingent labor flows through one intake using pre-negotiated rate cards.
04
Background checks, credentialing, and classification are handled consistently, no matter which vendor sourced the worker.
05
One system reconciles hours, invoices, and spend across every supplier, so finance stops chasing vendors for numbers.
06
Regular business reviews show what's working, what's costing too much, and where to consolidate further.
Three ways to solve this
Manage it internally, leave it to your staffing vendors, or bring in NXTThing. Here's how the three actually compare once you're a few months in.
| Comparison criteria | Internal team | Staffing vendors | |
|---|---|---|---|
| Who's accountable when it slips | You, on top of everything else on your plate | Each vendor, only for their own workers | We are, across every vendor in the program |
| Visibility into spend | Scattered across invoices from a dozen vendors | Only what that one vendor chooses to report | One dashboard, all vendors, real time |
| Rate consistency | Whatever each manager negotiated on their own | Set by the vendor, in their own favor | Standardized rate cards across all suppliers |
| Compliance risk | Inconsistent classification and credentialing | Only as strong as that one vendor's process | One compliance standard, audited across the board |
| Vendor relationships | You manage each one separately | That vendor, protecting their own margin | We manage all of them, working for you |
The NXTThing difference
25+ years running vendor-neutral programs, proprietary VMS technology, and a team that sits above the suppliers, not inside one of them.
We route work on performance and rate, not on who owns the relationship
A single VMS gives you one view of every contractor, across every business unit
Consistent classification, credentialing, and audit trail across all suppliers
Standardized rate cards typically cut contingent spend by double digits
Worldwide coverage, delivered across multiple locations
A truly configurable solution
Start with one service—or a few—depending on what today’s problem calls for. As you go, add, drop, or shift the mix as your needs change. Same team, same reporting, no new contract.
Governs the workforce that isn't on your payroll.
A dedicated team runs your requisitions day to day.
For senior seats: confidential research and direct approach.
Runs upstream, building the pipeline the other four draw from.
Keep running hiring yourself, process rebuilt first.
The questions buyers actually ask, answered straight
One program that governs how you source, manage, and pay contingent workers across every staffing vendor you use—instead of a dozen separate vendor relationships that are difficult to track.
No. An MSP sits above your existing suppliers. Same vendors; one set of rates, rules, and reporting.
Most of the savings comes from three places: standardized rate cards, eliminating duplicate vendor markups, and catching spend that had fallen through the cracks. We’ll model the number against your actual contingent spend before you commit to anything so you can see the savings.
A vendor management system (VMS) is technology. It tracks requisitions, time, and invoicing. A managed service provider (MSP) is the program and people that run on top of it.
MSP stands for managed service provider. In recruitment it means one partner governs how you source, manage and pay contingent workers across every staffing vendor you use, instead of running a separate relationship with each agency.
It is a single program sitting above your staffing suppliers. The provider sets the rate cards, manages vendor performance, consolidates the billing and reports on the whole contingent population. Your suppliers keep working, but under one set of rules rather than a dozen different arrangements.
Contingent staffing covers workers who are not on your payroll. That includes temporary staff, contractors and statement-of-work labor. They are hired, paid and governed differently from employees, which is why most organizations end up managing them as a separate program.
Your contingent workforce is everyone doing work for you who is not your employee. In many organizations, it is a significant share of total headcount and the least visible part, because each staffing vendor holds its own slice of the data and nobody sees the whole picture.
Contingent workers let an organization match capacity to demand. They cover seasonal peaks, specialist skills needed for one project, and roles where the work has a defined end. The trade-off is administrative, because managing them well needs governance that permanent hiring does not.
The main risks are worker misclassification, uncontrolled rate creep across vendors, and spend that never appears in a single report. Each is manageable, and each becomes harder the more staffing suppliers you use without a common set of rules.
They are the programs and systems used to govern non-employee labor. In practice, that means standardized rates, one process for requesting and approving workers, consolidated reporting, and a compliance framework that holds across every vendor you use.