Introduction The use of contingent workers is on the rise. The U.S. Bureau of Labor Statistics defines contingent workers as anyone who "does not have an explicit or implicit contract for long-term employment" (Phillips & Gully, 2011 pg 51). This definition includes independent contractors, freelancers, consultants, and temporary workers who may or not work for an agency. In the past 50 years, temporary workers have been crucial to many businesses, and their role in business is growing. Companies must recognize potential problems and concerns brought about by employing temporary workers, and adjust their approach to staffing. Background Contingent workers have long been employed to fill seasonal jobs, to complete specialized projects, and to fill in for employees on leave. When business is cyclical, companies hire temporary employees during their busy season, such as summer vacation, the winter holidays, harvest time, and tax season. Temporary staffing firms emerged in the 1960s, primarily to supply clerical and secretarial jobs (Rassuli, 2005). Some companies hire temporary help to protect regular employees from overextending themselves. Some projects require workers with a specific skill set which may not be needed the rest of the time. In this case, an organization relies a on contractor or freelancer to complete the project. Contingent workers often provide immediate temporary replacement for employees on vacation or leave (Paul & Townsend, 1998). Agencies such as Robert Half may supply companies with contingent workers with as little as a few hours notice (M. Kelley, personal communication, December 12, 2013). Some companies employ contingent workers to screen potential candidates. Doing so allows both the ca... ... middle of paper ... ...temps. Using contingent staff for the purpose of cutting costs impedes employee morale by reducing employees' feelings of security, but using temps to enhance labor for short periods of time can actually enhance employees' sense of security (Way, Lepak, Fay & Thacker, 2010). If an employer hires contingent workers simply to save money, permanent employees may fear they are in danger of being replaced, and may treat the temps with contempt. Employees who feel contingent workers are there to assist in a time of need or to tackle an auxiliary project are more likely to embrace temporary or contract workers. ORBA's accountants appreciate the added help during the stressful tax season. Companies should be open and honest with their employees, and should be able to reassure employees that temporary workers are there to enhance, not replace, their efforts. Conclusion
Over the past decades, the number of casual employees increase sharply .as it is shown in Figure 1 , the size of casual employees only account for no more than ten per cent of the total workfor...
With the economy beginning to rebound, many companies are looking for every way possible to save money and/or maximize profits. One of the biggest costs incurred by any business is labor. Consequently, employers sometimes attempt to minimize this expense by utilizing independent contractors instead of employees. There are potential risks for employers who mischaracterize an employee as an independent contractor, because, while it may save payroll taxes and other benefit costs in the short term, it may lead to penalties on such taxes as well as other inadvertent violations of worker’s compensation laws, FMLA, etc, which each hold separate penalties for violation.
With seasonal production there are many problems. Overtime premiums reduced profits, seasonal expansion and contraction of the work force resulted in recruiting difficulties and high training and quality control cost, etc.
Where I work, my human resources management team faces the responsibility of hiring and training any prospective employee who is to become part of the company's workforce. Most of the hiring at UPS involves acquiring a part time workforce. Most of the jobs offered in the facility start as part time jobs.
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Commission for Labor Cooperation (2002) “ United States Labor Law.” Viewed online on 11/18/2004 at http://www.naalc.org/english/publications/labormain.htm
Also, some might need to be available 24 hours in case of emergency if they work for a facility that is open 24 hours a day.
Many different types of workers are constantly connected to work. They work even when they are away from their jobs, often at nights, on weekends and on vacations,
Davidson, M. C., Timo, N., & Wang, Y. (2010). How much does labour turnover cost? International Journal of Contemporary Hostpitality Management, 22(4), 451-466.
In this new economic landscape, there is no immunity from being replaced by temps. As an example, even top-level managers and executive teams are being replaced by super-temps in the C-suite
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If staff are absent from work they are not able to carry out the functions for which they have been employed. In many businesses, these functions have to be taken on by someone else - if not, the customer could suffer. Reducing absenteeism is an important feature of human resource management. The extent to which absenteeism affects businesses has been a topical feature. Not only does absenteeism cause problems, but employers are beginning to recognise the effects of 'presenteeism' - staying at work when you are ill or because you believe that in some way your 'presence' will help boost your promotion prospects.
Companies should also consider how they could protect the company’s knowledge advantage. If the organisation is hiring a lot of outside workforce, the same workers might also work for direct competitors. The loyalty of temporary workforce is not necessarily the same as permanent employees, who have formed lasting relations inside the