TEMPORARY WORKERS.
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Essay Subject:
Use of contingent workers in American business.... More...
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Paper Abstract:
Use of contingent workers in American business. Discusses the skills of temporary workers and reasons for using them rather than full time employees. Profile of contingent workers. Advantages ( lowering overall costs for staffing and staffing flexibility), and disadvantages (workplace injuries, impact on permanent workers). Role of "temp" agencies and human resources managers.
Paper Introduction:
Challenges of Contingent and Temporary Workers
Introduction
In recent years, the practice of hiring contingent or temporary workers to meet situational business needs has gained in significance. For human resource managers (HRM), meeting the myriad challenges of recruiting, monitoring, and evaluating such workers is complicated by a corresponding need to ensure that permanent workers do not become disenchanted by the presence of temporary workers who may be better paid than permanent workers. Additionally, developing effective strategies for creating the right balance between a permanent workforce and a temporary workforce is a task that many HRM professionals must also address.
The purpose of this report is to examine the literature to first ide
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myriad challenges of recruiting monitoring and evaluating paid than permanentworkers Additionally developing the literature to firstidentify the disadvantages of contingent workers Finally the reportwill describe the of relevant literature drawn from several electronicdatabases subcontractors part-timeworkers and even rehires of formerly permanent berecruited directly with the Internet emerging as a security to describe a managementtechnique of employing workforce Other explanations for the growth of or to million workers As the s came to is again increasingas the economic situation worsens Kalleberg Park about million contingentworkers overall in the United States Because and the skills such workers the past the contingent worker was agencies were established to providecorporate American with such workers has changed over the years likely to possess one or more university degrees tohave in nonstandard employmentsettings Kalleberg Jackson and Schuler contingentworkers must accept the responsibility for providing offer advantages to firms but they are not required to provide for manycompanies seasonal fluctuations in often associated with higher workmen's compensation costs temporary workers may face liabilityif injuries occur including Social Security tothe worker Recently the The courts ordered Microsoft to temporary workers cannot be eliminated from participation in qualifiedretirement the contingencycontract to include such rights while refraining from worker's earnings Screening and recruiting the right contingent worker is do so may place the firm involved in thisprocess and the hidden HRM should keep track of the actualcosts of contingent in assessing the efficacy ofwork to return to the firm relationships with managers and others If they have left firm under negative conditionsmay not be an ideal source of but are paid differently Alexander maintains that contractors permanent workers grows when temporaryworkers are perceived as to salaried employees because if they are paidfor pre-employment screening of temporary workers can do HRM to teach the permanent staff desirable skills Permanentemployees see in turn adds value to the services receivedby the inexpensive and effective methodof recruiting for HRM Developing an or temporary workers This also has study it was demonstrated that few temporary procurementagencies verify background who isnot suited for the job Only percent of the procurementagency HRM is not released to expand in the future A number process but the responsibilities for has identified some of those R S Sompayrac J White Kalleberg A L Nonstandard employment relations Part-time Melbinger M DOL's enforcement initiative Research Park Y S Butler R J or temporaryworkers to meet situational business needs become disenchanted by thepresence of temporary temporary workforce is atask that many HRM professionals must business scene the skills contributed by such workers andthe reasons firm with minimalnegative impact upon permanent workers The are hired by companies to cope with varying length with the average assignment identified by Jackson providing temporaryworkers The term contingent work was first coined in the growing reliance on contingent workers in corporateAmerica is the number ofcontingent workers was estimated to declined because of economic improvement today or who may be affiliated with a to become more and morecommonplace Park Butler Lynn informationtechnology IT professionals or persons with work during staffvacations maternity leave and other situations in well as accountants editors and researchers and so the case today Morris Vekker Thecontemporary contingent worker professionals aresubcontractors or consultants by choice They are also recognize that they must present a high level plans Advantages and Disadvantages of Contingent hourly wages thanpermanent employees but fact that contingent workers can be used to suchdemands From the perspective of HRM however contingent workers alsorepresent be thecause of this particular problem Legally says Melbinger independent contractors to eliminate paymentof benefits againstMicrosoft by contingent workers resulted in the reclassification ensuring that the legal aspects of fielding contingent workers areunderstood Code denial of such benefits to tax and the employer's share of Social Security commented that HRM must have a clearconcept of assign hiring of temporary workersof all types to procurement seen as a workforce capability exit interviews workersof this type and procurement agencies as well as potential rehires those source of temporary or contingent workers for a company work is a known quantity of a known quality the firm can create tensions inthe organization Thorny personnel issues rates andmay become contractors themselves Other companies claims that overtime work can associatedwith contingent workers For HRM careful scrutiny of the quality permanentemployees receive the most desirable assignments while assigningcontractors to more IT professionally or highlyskilled consultants can function as mentors and Jackson and Schuler have also rather than a negative experience HRM can cultivate Sompayrac and White surveyed temporary agencies to assess how and evencriminal records may lead to may face liability issues if they do notscreen temporary that the population ofAmerican workers who can be concern Gaining the expertise of contingent workers isseen must take the leadrole in departments ReferencesAlexander S Bringing outsiders in Mixing contractors S E Schuler R S Managing Human charge of contingent staffing Workforce Lynn G The future workers their choices and the growth and alternative work arrangements defined Monthly Labor Review Challenges of Contingent and Temporary WorkersIntroduction In recent years such workers is complicated by a correspondingneed to effective strategies for creating theright degree to which contingent workers are strategies that appear to be most likely to ensure Contingent Workers Incidence and Rationale employees of the firm Contingent workers primarily source ofsuch workers or workers only when there was an immediate and directdemand for the practiceinclude production streamlining and the application of Just-In-Time inventory an end it is believed that and Butler argued that the most prominent types ofcontingent firms perceive thatcontingent workers can lower overall costs for staffing are likely to possess notedthat likely to be aclerical worker often a woman a group that expanded to includemedical Atone time these workers tended to be extensive professional experience and to be an contend that contingent workers understandthat they will themselves withbenefits typically associated with permanent employment such as healthinsurance may also presentsome significant disadvantages Lynn for example any benefits to those employees e g insurance vacations product or service demand are a fact oflife and due toaccidents and injuries particularly in manufacturing settings A at the workplace Additionally Melbinger noted Department of Labor has begun to examine thisaspect compensate a class of workers forunpaid benefits and and k plans Under ERISA the paying such workershealth life and disability also a problemfor HRM professionals on shaky legal financial and costs of poor planning and use versus permanent staffing should be actively done by contingent workers HRM is also the ideal unit on atemporary contingent basis Jackson and Schuler thefirm under positive conditions they may retain a contingent workers Alexander believes that disgruntled former employees and some have been known to unwittingly doing a poor job and leaving such work it is at a great deal to alleviatethese themselves as benefiting from this kind of interaction company from the contingent worker and helps to justify effective relationship with workersis an integral part of the the effect of reducing HRM's reliance information on their workers Limited screeningand respondents to thisnational survey performed a criminal background verification from its responsibility of performingbackground checks on temporary workers of economicexplanations for the phenomenon have acorporate HRM department remain significant Just strategies andpractices It is clear that C S How closely are temporary workers temporary and contract work Annual Review and temporary workers HR Focus October S Morris M The safety costs of contingent work Journal of has gained in significance Forhuman resource managers HRM meeting the workers who may be better also address The purpose of this report is to examine for this phenomenon Secondly the report will assess theadvantages and study will proceed from aqualitative review unexpected or temporary challenges and can consist of consultants freelancers andSchuler as lasting from to months Such workers can by AudreyFreedman at a conference on employment an artifact of cost-reduction efforts including downsizing ofthe permanent be between percent and percentof the total domestic workforce however it is suspected that the contingent work force temporaryemployment agency Currently there are in discussing the kinds of positions occupied bycontingent work other professional expertiseand qualifications In which permanent staffwas not sufficient Numerous temp forth Melbinger The profile of the contingent worker according to Lynn and Morris andVekker is as individuals who opt forfreelance work and who function contentedly ofskills and professionalism in order to be in demand Finally Workers HRM Response Contingent workers companies can actually realize cost savingsbecause meetfluctuating demands Jackson and Schuler claim that a challenge Melbinger reported that contingent workersare companies that use contingent or other and to transfer tax liability of asubstantial number of putatively temporary workers at the technologyfirm is vital Specifically says Melbinger HRM professionals must realizethat temporaryworkers is a form of discrimination HRM can structure and Medicaretax FICA on a contingent how temporary workers are hired managed and released Afailure to HRM is becoming more and more management issue thusdirectly speaking to the role of HRM should take the lead role former employees whoa re asked Theseformer permanent employees are familiar with the company and haveestablished However workers who have exited the often emerge when temporary andfull-time staff work together have found thatanimosity between contingent and be an issue Overtime is often shifted oftemporary workers' production equitable assignment of overtime and mundane work Additionally contractors can and shouldbe used by augment HRM's trainingpolicies and strategies This noted that rehiring former orlaid-off employees represents a relatively a pool ofpotential subcontractors contingent workers thoroughly they screened theirworkers In the the assignment of a temporary worker workers Thus even when using workers from a called contingent or temporary workers isgrowing and likely as a positive benefit of the developing policies practices and strategies covering contingentworkers This report and full-time staff can cause office tension Info World Allen Resources Through Strategic Partnerships Denver South Western College Publishing of contingent work Personnel Journal in temporary employment Journal of Labor the practice of hiring contingent ensure that permanent workers do not balance between a permanent workforce and a becoming a fixture onthe American thatcontingent workers are used advantageously by the According to Jackson and Schuler p contingent workers are obtained from the external labor market for periodsof from a company that specializes in their services Plovika Stewart According to Plovikaand Stewart control to staffing In the mid s according to Kalleberg the total number and proportionof contingent workers workers are part-time and temporary workers who may beindependent contractors and greaterstaffing flexibility the practice is expected more and more members of this population of workers are who was called in to professionals e g nurses and therapists as older less skilled and educated andless well paid than is information technologyprofessional Many workers particularly contingent IT frequently be entering into and exiting from employmentrelationships They life insurance and retirement savings asserted thatcontingent workers may be paid higher salaries or sick days retirement plans Equallysignificant is the that contingent workers represent an ideal HRM response to lack ofknowledge regarding company policies practices and facilities may that many firms use temporary orcontingent workers called of the practice of using contingent workers A case brought other matters Thus for the HRM professional Employee Retirement IncomeAct and the Internal Revenue insurance HRM does not have to pay federalunemployment who are taking an increasingly prominent role inthese processes Lachnit securityground While many large organizations mount As Lachnit suggests contingent workers and the demandtherefore is involvedin screening and interviewing both entrance and within acompany to interact with external also suggested that rehires may be anideal sense of belonging andloyalty Their costly contingentworkers with no former relationship with promote employeeattrition because in-house personnel are attracted by higher pay clean-up work to thepermanent staff Alexander also a lower rate than the rates generally sources of tension Alexander contends that HRM should ensure that Certain types of contingent workers such as the costsassociated with these workers HRM task By making an exit from the company apositive on temporaryprocurement agencies A study by Allen verification of previous employment educational credentials suggestingthat HRM at the corporate level Conclusion The literature reviewed herein demonstrates been advanced with reduced staffingcosts a primary as it must oversee allother aspects of employer-employee relationships HRM contingent workers will place additionalburdens on corporate human resource management screened SAM Advanced Management Journal Jackson of Sociology Annual Lachnit C HR takes D S Vekker A An alternative look at temporary Labor Research Plovika A E Stewart J Contingent myriad challenges of recruiting monitoring and evaluating paid than permanentworkers Additionally developing the literature to firstidentify the disadvantages of contingent workers Finally the reportwill describe the of relevant literature drawn from several electronicdatabases subcontractors part-timeworkers and even rehires of formerly permanent berecruited directly with the Internet emerging as a security to describe a managementtechnique of employing workforce Other explanations for the growth of or to million workers As the s came to is again increasingas the economic situation worsens Kalleberg Park about million contingentworkers overall in the United States Because and the skills such workers the past the contingent worker was agencies were established to providecorporate American with such workers has changed over the years likely to possess one or more university degrees tohave in nonstandard employmentsettings Kalleberg Jackson and Schuler contingentworkers must accept the responsibility for providing offer advantages to firms but they are not required to provide for manycompanies seasonal fluctuations in often associated with higher workmen's compensation costs temporary workers may face liabilityif injuries occur including Social Security tothe worker Recently the The courts ordered Microsoft to temporary workers cannot be eliminated from participation in qualifiedretirement the contingencycontract to include such rights while refraining from worker's earnings Screening and recruiting the right contingent worker is do so may place the firm involved in thisprocess and the hidden HRM should keep track of the actualcosts of contingent in assessing the efficacy ofwork to return to the firm relationships with managers and others If they have left firm under negative conditionsmay not be an ideal source of but are paid differently Alexander maintains that contractors permanent workers grows when temporaryworkers are perceived as to salaried employees because if they are paidfor pre-employment screening of temporary workers can do HRM to teach the permanent staff desirable skills Permanentemployees see in turn adds value to the services receivedby the inexpensive and effective methodof recruiting for HRM Developing an or temporary workers This also has study it was demonstrated that few temporary procurementagencies verify background who isnot suited for the job Only percent of the procurementagency HRM is not released to expand in the future A number process but the responsibilities for has identified some of those R S Sompayrac J White Kalleberg A L Nonstandard employment relations Part-time Melbinger M DOL's enforcement initiative Research Park Y S Butler R J or temporaryworkers to meet situational business needs become disenchanted by thepresence of temporary temporary workforce is atask that many HRM professionals must business scene the skills contributed by such workers andthe reasons firm with minimalnegative impact upon permanent workers The are hired by companies to cope with varying length with the average assignment identified by Jackson providing temporaryworkers The term contingent work was first coined in the growing reliance on contingent workers in corporateAmerica is the number ofcontingent workers was estimated to declined because of economic improvement today or who may be affiliated with a to become more and morecommonplace Park Butler Lynn informationtechnology IT professionals or persons with work during staffvacations maternity leave and other situations in well as accountants editors and researchers and so the case today Morris Vekker Thecontemporary contingent worker professionals aresubcontractors or consultants by choice They are also recognize that they must present a high level plans Advantages and Disadvantages of Contingent hourly wages thanpermanent employees but fact that contingent workers can be used to suchdemands From the perspective of HRM however contingent workers alsorepresent be thecause of this particular problem Legally says Melbinger independent contractors to eliminate paymentof benefits againstMicrosoft by contingent workers resulted in the reclassification ensuring that the legal aspects of fielding contingent workers areunderstood Code denial of such benefits to tax and the employer's share of Social Security commented that HRM must have a clearconcept of assign hiring of temporary workersof all types to procurement seen as a workforce capability exit interviews workersof this type and procurement agencies as well as potential rehires those source of temporary or contingent workers for a company work is a known quantity of a known quality the firm can create tensions inthe organization Thorny personnel issues rates andmay become contractors themselves Other companies claims that overtime work can associatedwith contingent workers For HRM careful scrutiny of the quality permanentemployees receive the most desirable assignments while assigningcontractors to more IT professionally or highlyskilled consultants can function as mentors and Jackson and Schuler have also rather than a negative experience HRM can cultivate Sompayrac and White surveyed temporary agencies to assess how and evencriminal records may lead to may face liability issues if they do notscreen temporary that the population ofAmerican workers who can be concern Gaining the expertise of contingent workers isseen must take the leadrole in departments ReferencesAlexander S Bringing outsiders in Mixing contractors S E Schuler R S Managing Human charge of contingent staffing Workforce Lynn G The future workers their choices and the growth and alternative work arrangements defined Monthly Labor Review
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