HEALTHY PROFITS AGENCY FINDS SUCCESS CONNECTING LABS, TECHNICIANS.

Byline: Chris Sieroty Staff Writer

For Marshall P. Griswold, president of Van Nuys-based Consolidated Laboratory Services, a robust economy translates into tough times when it comes to finding qualified employees.

As the research laboratory that supports clinical trials has grown over the past decade, he has shied away from using a headhunter and has counted on On Assignment Inc. to find him qualified temporary lab technicians.

``It's not easy to find qualified temporary employees, especially when there is a big push for the results of a trial and there are thousands of samples to test,'' Griswold said. ``They've got a good little company.''

Based in Calabasas, On Assignment, which provides thousands of temporary workers to the scientific, health care and environmental industries worldwide, has met or exceeded analysts' expectations for 33 quarters in a row.

``It's a successful business because we have been disciplined,'' said H. Tom Buelter, On Assignment's chairman and chief executive officer. ``What we emphasize is not high tech, it's high touch.''

Buelter explained that his company works to find talented people good jobs while advancing their careers.

``We are a talent agency for technicians,'' he said. ``These are people who have not had anyone to look out for them in the past.''

Griswold agreed, saying the company has consistently offered him qualified employees with only about a 20 percent washout rate. ``I can't do any better on my own hiring from UCLA,'' he said.

Through its Lab Support, Healthcare Financial Staffing, EnviroStaff, and Clinical Lab Staff divisions, On Assignment operates 172 offices in 81 cities across the United States, Canada, United Kingdom, the Netherlands and Belgium.

In Los Angeles, Clinical Lab Staff works with about 25 companies helping them find both temporary and long-term employees. Those employees include medical assistants, patient care technicians, phlebotomists, medical lab technicians and clinical lab assistants.

``We get people who were recently laid off, college graduates and those looking for temporary work,'' said Shirley Weaver, an account manager with Clinical Lab Staff in Encino. ``An assignment can last between four to 10 months. We also have a 91 percent convergence rate.''

The company has 5,300 employees known as ``knowledge workers'' on assignment with 2,500 clients worldwide.

``It's hard to find good employees,' said Jessie Moro, a senior account manager with On Assignment's Healthcare Financial Staffing division. ``We find employees through recruiting, referrals, client references, schools and job fairs.''

Several of On Assignment's knowledge workers are currently employed by Consolidated Laboratory Services.

Weaver said it took about a week for the laboratory to hire Kristina and Katharine Tansavatdi, twin sisters who graduated in May with degrees in biology from the University of California at Berkeley.

``I wanted to get some experience before moving into medicine,'' said Katharine, 22, who is responsible for testing blood samples to measure the effectiveness of drugs used to fight the AIDS virus.

Kristina Matt said in the tight labor market it took less than a week to be hired as a lab assistant after she graduated from Bryman College in Reseda. The 20-year-old clinical lab assistant is responsible for handling blood samples and gathering data from various trials.

Weaver said the company makes its money by charging its clients an hourly rate per employee. What makes its service attractive is that On Assignment also takes care of payroll taxes, liability insurance and other employee-related expenses, she said.

The average bill rate is $22.50 an hour, Weaver said. A four-month assignment could cost a company like Consolidated Laboratory Services around $14,400. Companies also are charged a 30 percent conversion fee if a temporary employees gains regular status.

Last month, On Assignment reported earnings for the third-quarter 2000 that were 21 percent higher than the same period a year ago. Revenues for the third-quarter rose to $51.1 million compared to $42.2 million a year ago.

``Our record third-quarter results were achieved during a period in which we experienced another new high in the number of knowledge worker conversions from temporary to regular employment status,'' Buelter said.

What On Assignment has going for it over a Thomas Staffing, Exact Staff, Apple One or Professional Staff PLC is focus, analysts say.

``It's because they are a category killer,'' said James Janesky, an analyst with Banc of America Securities in San Francisco. ``They are experts in their primary field of placing people in the scientific industries.

Janesky added: ``They are not trying to do six different things, which often can be distracting, they are very focused in providing the best services in a segment of the staffing industry. As a result they are able to grow even through a tight labor market and produce solid profits.''

About a year ago, On Assignment began operations in the United Kingdom.

``The same high touch service offered in the United States has really taken off in the United Kingdom,'' said Buelter. ``We now have six branches. Two other branches in Holland are growing better than anyone expected.''

On Assignment is scheduled to open an office in Zurich, Switzerland, on Dec. 1.

``We are always going to be a niche business,'' Buelter explained. ``I see our company into 10 or 12 employment niches related to the health and science industry and becoming a billion-dollar business.''

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3 photos

Photo:

(1 -- color) Twin sisters Kristina, left, and Katharine Tansavatdi, 22, got jobs as lab technicians through Calabasas-based temp agency On Assignment.

(2 -- color) Lab assistant Krishna Matthews, 20, puts samples back in storage at Consolidated Lab Services in Van Nuys.

(3) Kristina Tansavatdi stores HIV patients' blood cells for further study at Consolidated Lab Services.

Tina Burch/Staff Photographer