For businesses and professionals alike, the choice between permanent employment and interim contract work isn’t always clear cut. Each route offers very different advantages, and choosing the right one often depends on timing, business goals and capacity.
At ARV Solutions, we believe in offering both—with clarity. Whether you’re hiring or seeking work, here’s how to make informed decisions about the type of employment that’s right for the situation.
Permanent vs. Interim: It Starts With the Business Need
If you’re a company deciding whether to hire a permanent team member or bring in a contractor, start by asking:
- Is this role linked to long-term business growth or future strategy?
- Is there a recurring, stable workload for this position?
- Are you replacing an established member of the workforce
- Is cultural fit and internal progression important?
If the answer is yes, then a permanent hire is likely the better route. Permanent employees offer loyalty, internal ownership and continuity—helping you build your business from the inside out.
But if you’re dealing with:
- A sudden increase in project work
- A gap in your team’s capability or capacity (maternity/sickness/paternity)
- An urgent business need that can’t wait for a long recruitment process
- Budget constraints holding back productivity of teams
- Teams under extreme pressure due to increased workload
Then bringing in specialist interim talent or a contractor can be the ideal solution. Contractors can offer speed, flexibility and deep expertise. Often stepping in with just a few days’ notice, delivering real results, then moving on when the project is complete.
Interim Professionals: Fast, Expert and Focused
Contractors aren’t just stopgaps. They’re often highly skilled specialists who thrive in short-term, high-pressure environments. They bring targeted knowledge, hit the ground running and don’t require hand-holding.
Better yet, businesses don’t have to worry about onboarding them in the traditional sense. Many contractors work through umbrella companies, which manage payroll, ensure full tax and legal compliance and handle benefits like holiday pay. As a client, your only task is approving timesheets which is usually via a simple online system. No paperwork, no PAYE headaches.
This model is not only faster, but also gives employers peace of mind that their interim workforce is being managed compliantly and efficiently, with minimal admin required in-house.
Permanent Employees: Strategic Value for the Long Haul
That said, not every role suits a short-term approach. Permanent team members are vital to any successful operation. They become brand ambassadors, grow with your business, and bring consistency that you can build on year after year.
While hiring a permanent employee does involve greater upfront investment—both in time and cost—the long-term value they bring through loyalty, development and leadership can far outweigh the initial outlay.
Understanding the Real Costs
It’s important to understand the true financial picture when comparing interim and permanent options.
Permanent Employee Example – £50,000 Salary
When you add in tax obligations, benefits and overheads, the total cost of a permanent employee earning £50,000 is significantly higher than the headline salary.
| Cost Element |
Estimated Amount |
| Base Salary |
£50,000 |
| Employer National Insurance (13.8%) |
£6,900 |
| Pension Contributions (5%) |
£2,500 |
| Bonus (Estimated 10%) |
£5,000 |
| Recruitment Fee (approx) |
£7,500–£10,000 |
| Equipment & Onboarding |
£1,000 |
| Additional Benefits |
£1,000+ |
| Total Annual Cost |
£73,900 – £76,400+ |
This model works well for roles that demand commitment, internal growth and structured development.
Interim Professional Example – £300/Day Contractor
For a contractor working 220 days per year (to allow for holiday/downtime), on a daily rate of £300 with a 20% agency margin – covering all payroll/statutory costs
| Cost Element |
Estimated Amount |
| Daily Rate |
£300 |
| Working Days |
220 |
| Base Cost |
£66,000 |
| Agency Costs |
£16,500 |
| Total Annual Cost |
£82,500 |
There are no employer pension contributions, NI, bonuses or benefits to consider. You simply pay for the work delivered. And if a project ends early? Your costs stop there too. It can also give future employers and employees as chance to “try before you buy” without the commitment of permanent contract. This can work very well for both parties.
So while the daily rate may seem high at first glance, the total cost to your business is often on par with—or similar to a permanent hire. Especially when time and flexibility are critical.
For Candidates: Which Path Is Right for You?
Professionals considering the move between permanent employment and contract work should weigh both lifestyle and financial factors.
Interim work offers variety, higher day rates and more control over your schedule but also less predictability and fewer traditional benefits. Permanent roles offer stability, structured development and a long-term place in a business but may come with slower progression or limited flexibility.
At ARV Solutions, we work with candidates across both tracks. Some move fluidly between the two depending on life stage, market demand or career goals. Whichever path you’re considering, we’re here to help make it work for you.
The ARV Advantage: Helping You Manage Both
At ARV Solutions, we’ve built a reputation across construction, manufacturing and their supply chains for delivering both strategic permanent hires and high-impact interim professionals.
Need a senior contractor tomorrow? We’ve got you covered.
Looking for a permanent hire who’ll shape your future team? We’ll find the right fit.
