Recruitment Agency vs. Temporary Staffing in Germany — Which Model Fits Your Hiring Need?

When a hiring need becomes urgent, German SMEs face a strategic question: do you go for a recruitment agency with a long-term direct hire — or for temporary staffing (Zeitarbeit) for maximum flexibility? Both models have clearly different cost structures, legal duties and operational impacts. This guide explains the differences in 2026, presents a decision matrix and looks at a third model that is becoming more important: direct platform staffing.

Recruitment agency (Personalvermittlung): A service provider sources candidates for a direct hire. You pay a placement fee, typically 20–35 % of gross annual salary.

Temporary staffing (Arbeitnehmerüberlassung, AÜG): You lease a worker employed by the staffing firm, for a fixed-term assignment.

Key difference: with a recruitment agency the candidate becomes your employee. With temporary staffing they remain employed by the staffing firm.

Recruitment agency

• Success fee: 20–35 % of gross annual salary. €45,000 role: €9,000–15,750 one-off.
• Guarantee: 3–6 months.
• Total Cost of Hire (year 1): ~€60,000–65,000.

Temporary staffing

• Hourly rate 2.5–3× higher than internal gross hourly wage.
• Equal pay after 9 months mandatory.
• Max. 18 months at the same hirer.
• Total cost (1 year FT): ~€70,000–85,000.

Platform staffing (Vardio)

• Service fee 8–12 % of gross wage.
• Direct contract with the worker.
• Total cost (1 year): ~€50,000–58,000.

Even with temporary staffing, workplace safety sits primarily with you as the hirer.

• Permanent role (≥ 12 months).
• Specialised position.
• No internal recruiting capacity.
• Confidential placement (e.g. CEO succession).

Downside: high one-off costs, lead time 4–10 weeks.

• Short-term need.
• Uncertain duration.
• Want to avoid HR admin.
• Need flexible workforce expansion.

Downside: high running cost, equal pay after 9 months, takeover or end after 18 months.

• Operational or fixed-term roles.
• You appreciate digital processes.
• You want to cut costs without quality loss.
• You look for multilingual staff.

A — Restaurant chain, summer helpers: 8 helpers for 3 months. Temp staffing ~€145,600 vs. platform ~€79,000. Winner: Platform.

B — Engineering SME, new CTO: €110,000/year. Recruitment agency 25 % flat = €27,500. Winner: Headhunter.

C — Logistics, illness cover: 4–8 weeks. Winner: Temp staffing.

1. What happens after 18 months of temp staffing?

Permanent hire or end. Extension max. 24 months via collective agreement.

2. Can I hire a temp worker permanently?

Yes. Takeover fee typically €1,500–5,000.

3. Do I need an AÜG licence for platform staffing?

No, the platform places directly.

4. What about equal pay?

Applies only in temp staffing — after 9 months at the same hirer.

5. How fast can platform staffing be?

With existing pool: hours to a few days.

6. Tax effects?

All fees are immediately deductible operating costs.

Vardio combines the speed of temporary staffing with the cost and retention benefits of direct hiring. You access a verified, multilingual talent pool, sign directly with the worker, save the markup and keep full control.