Renting employees and providing staff is a form of ensuring the company's activities with the involvement of hired employees. HR outsourcing is becoming incredibly popular. Frequent updates to the Labor Code lead to this. Not all employers can afford to regularly monitor updates in legislation.
How it works
Leasing employees works according to a specific algorithm.
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The employer applies to an organization that is ready to provide employees for leasing. Personnel selection is carried out based on the qualifications of the company, whether it is construction, finance or educational activities.
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The outsourcing company selects employees using available databases, and then registers them for its service.
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Cooperation between the outstaffing company and the customer will be an excellent help in organizing the work. The recruitment process can be accelerated if the customer provides the details of the employees he is interested in.
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An agreement is being formed under which the company can rent an employee.
This form of activity allows the company to avoid strict compliance with the functions and duties of the employer.
Why is it beneficial
Leasing employees of another company is a form of company activity that is comfortable for the employer.
Benefits of using outstaffing services:
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Reducing the degree of tax burden. The fewer employees in the state, the less deductions to the supervisory authority will be. This allows the owner of the company to use the profit for the benefit of the company, for its development.
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Legal form of work with foreign citizens, and the use of their labor. As a rule, the work of employees without Russian citizenship is estimated a little lower, which allows the head of the company to save money.
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Hiring employees will save the employer from lawsuits and fines.
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Exclusion from the staff of the position of personnel officer.
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Increasing the number of employees without increasing the staff of the company.
All that is required from the customer is to provide working conditions for the employee: tools, teaching materials, if required, premises.
Fields where employee hiring is in demand
Personnel outsourcing is the most demanded form of interaction between an employee and an “employer” in an unstable economic environment.
Where employee leasing is used:
- employment of a seasonal nature: picking vegetables and fruits, working on plantations, tourism and restaurant business, cruises;
- catering services;
- food stores;
- building objects;
- transport and freight companies;
- organizations providing storage, distribution and logistics of goods turnover.
When leasing personnel, the customer has the right to dispose of the labor force as he needs, while he is relieved of all obligations that the employer must perform by law: registration of a social package, payment of sick leave and vacation funds.
Cooperation scheme
A temporary employee enters into an employment contract with a contractor company.
The nuances of cooperation:
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Registration of labor relations with hired workers.
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Conducting an audit that will show exactly which employees are needed for the business.
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The contractor company pays for all registration documents, and also monitors the status of a foreign citizen who is in the country.
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Keeps a strict record of the personnel that is put into work.
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Calculates wages.
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A full-time lawyer of an outsourcing company helps in the preparation of all documents, and also accompanies meetings with regulatory authorities.
Leasing employees is an ideal system for interacting with employees if the company has ceased to cope with the tax burden, plans to relieve the personnel department or get rid of it altogether.