Unlike direct hire, which employs a person from day one, contract-to-hire starts them on a temporary contract that can later become permanent. It trades early flexibility and a working trial against candidate appeal and commitment.
Direct hire is a recruiting arrangement where a staffing partner finds a candidate who joins the client as a permanent employee from day one. Often called permanent placement, it leaves the client as employer and payer, while the partner earns a one-off fee.
A trial period is an agreed opening phase of a job or engagement in which both sides test fit and either can end it on shorter notice. In employment it is usually called probation, and its terms depend on the contract and local law.
Contract-to-hire is a hiring model where a person starts as a contractor for a trial period, after which the client can offer them a permanent role. Both sides test the fit in real work before committing to employment.
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