“Labour-relations are not as straight forward as they once were. In a volatile economy, businesses need to be flexible and proactive to ensure sustainability and growth,” says Kay Vittee, CEO of Kelly. “A contingent workforce can play a large role in this, allowing businesses to adapt quickly to both internal and market conditions.”
In addition to assisting at periods when specific skills or resources are required, contingent workers also lessen the impact of internal absenteeism resulting in consistent levels of client satisfaction and loyalty. However, the idea of a contingent workforce raises many questions for business owners, such as; what are the legalities of this arrangement?
The contingent worker is employed by the temporary employment services organisation, which means it is ultimately responsible for any benefits and general labour relations matters. Dual responsibility, however, lies with both the employment organisation and the client organisation to abide by the Labour Relations Act (LRA). In so doing, the employees’ rights will always be protected. “It is important for the employment organisation and the client to agree on who takes the responsibility for LRA-related matters for example, disciplinary and grievance procedures.”
For contingent workers, the first day nerves may occur more often than for most. Recognising this and delivering an appropriate induction will help to ease the pressure on the worker and bolster productivity as they will get to know your business quicker.
In addition to this, it is important for the contingent workforce to feel as if they are part of the team. To encourage this behaviour in the workplace, treat contingent workers in the same way as you would your permanent employees, for example include them in team activities. It is also best practice to keep your staff informed of contingent worker appointments to ensure a mutual trust and respect within your company.
Company culture is often the defining reason that employees stay at the organisation, creating both an enjoyable and productive workplace. “When briefing your staffing provider, it is important to outline your workplace culture to ensure that your contingent workers are the right fit for your business. This is an essential consideration for all employees, no matter the length of their service.”
Contingent workers not only provide relief in potentially stressful employer situations – such as trying for find a replacement for an employee who is due to go on maternity leave – but also come with a number of productivity, cost-saving and administrative benefits.
Employment service providers offer a fast turn-around for employee replacement, both in the short- and long-term, whether it be filling in for a day or two or full maternity cover. “Contingent workers are effectively proven talent – fully qualified and experienced, such personnel are used to jumping in at a moment’s notice and picking up where others left off.”
The client organisation does not have to worry about pay roll and benefits, alleviating the administration process that normally goes into sourcing dependable staff. Employment organisations pre-identify and fully vet staff, which reduces the costs associated with recruiting and selection.
The macroeconomic impact of utilising a contingent workforce is positive with the industry contributing over R40 billion to the economy and employing more than 20,000 people within the sector. Moreover, approximately 1-million contingent workers are out in the market at any given time.
“The contingent workforce is a crucial tool for any business and the South African economy as a whole. Not only does it provide jobs for South Africans who may be unable to find permanent employment, it also offers organisations a supple staffing solution when they need it most,” concludes Vittee.
