Labour hire. Recently, this phrase has been increasingly bandied around in the arena of employment. But, what exactly does the term mean? Labour hire is the concept of outsourcing a business' recruitment process to a third party (aka the labour hire agency/company). They take care of the entire hiring process, including payroll, superannuation, tax, etc., and ensure that the workers provided meet the needs and expectations of the client company. This is done in exchange for a fee.
It is important to note that the workers that are provided are employed by the labour hire agency and are 'leased' temporarily to the client/company. This employment arrangement strays from more traditional forms of employment, which often involve long-term contracts and the recruitment process occurring in-house. The rise in labour hire may be attributable to the significant benefits it provides to both employers and employees.
What Labour Hire Means for Employers Labour hire has been increasingly used by companies and businesses as it provides a way for them to stay flexible and scale their workforce up or down when required. This is particularly important for the mining and construction industries, as the work available is dependent on demand. Labour hire also provides businesses with a time and cost-effective way to recruit people. Another key benefit of using labour hire services is that you will receive high-quality workers. This is because labour hire agencies usually implement rigorous vetting processes to ensure that the workers that company's receive match their expectations and are qualified to fulfil the role.
In essence, labour hire allows employers to access a talent pool that has already been carefully vetted, thus improving the quality of the workforce. This is a significant benefit, as having competent and qualified workers can have a direct impact on a company's overall productivity and success.
What Labour Hire Means for Employees Employees also benefit from the use of labour hire services, as they are directly matched with job opportunities that are best suited to their attributes, skill sets and qualifications. Furthermore, labour hire gives employees flexibility in their work life, since the jobs are usually temporary. This makes it easy to fit these job opportunities into busy schedules and/or allow workers to earn a supplementary income.
Job seekers have a broader range of opportunities to explore. Whether you are a student, a parent, or someone looking to diversify your work experience, labour hire offers an array of opportunities tailored to your lifestyle, preferences, and target industry . Labour hire has become a significant force in modern employment, offering a range of benefits for employees.
Final Thoughts The growing prevalence of labour hire has led to a shift in how both employers and employees approach the job market. This dynamic, win-win scenario is indicative of a workforce that is continually evolving to meet the needs of the modern world.
Its role in the gig economy and the broader labor market is likely to continue evolving as the workforce's nature changes. However, it's important for all parties involved to understand and navigate the legal and ethical considerations of labour hire to ensure that this arrangement remains a valuable and ethical solution in the world of work. Whether you're an employer seeking a flexible workforce or an employee looking for temporary opportunities, labour hire can provide a viable path towards your goals.
If this has piqued your interest and you're an employer or an employee looking to use the services of a labour hire agency, contact us at Workfast today!