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Workforce planning - employing temps

Author: Jim Riley  Last updated: Sunday 23 September, 2012

Employing temporary workers

What is a temporary worker?

A temporary worker is someone employed for a limited period whose job is usually expected by both sides to last for only a short time. Temporary workers may be employed directly by the employer or by private agencies. Agencies will recruit, select and sometimes train temporary workers and hire them out to employers.

Temporary workers are sometimes employed on fixed term contracts. A fixed term contract is a contract of employment for a definite period, set in advance. Employment ends when the contract expires and no notice need be given by the employer. Employment contracts may also be agreed which end on the completion of a particular task rather than on a specific date.

What are the legal aspects of temporary working?

UK employment law makes no distinction between ‘permanent’ and ‘temporary’ employees. To qualify for various employment rights, however, employees must have served a minimum period of continuous employment with their employer.

Most temporary workers will have insufficient service. However, some employment rights – such as the right not to be discriminated against on the grounds of race, sex or disability – have no minimum service qualifications.

Employees on fixed term contracts have the right to be paid the same rate as similar permanent employees working for the same employer and in general terms should not be treated less favourably than permanent employees. This means that employees on fixed term contracts will have broadly the same rights to statutory redundancy payments, written reasons for dismissal and the right not to be unfairly dismissed as permanent employees.

Advantages of Temporary Working

- Temporary workers can provide greater flexibility because the number employed can vary to take account of changes in demand for the product or service

- Temporary workers can also provide cover for permanent staff on holiday, maternity leave or sick leave

- Temporary employees can provide specialist skills to carry out specific projects

- Some businesses use temporary fixed term contracts as a screening device for potential recruits to the permanent workforce

Disadvantages of Temporary Working

- Some employers find that temporary workers lack motivation and commitment

- Businesses which use agency ‘temps’ depend on the screening and testing methods used by the agency

- Agency workers can sometimes receive higher pay than their permanent counterparts, which can cause resentment amongst employees and trade unions.

Making a Success of Using Temporary Workers

There are several things a business should do if it is to make temporary working a successful part of its workforce planning:

- Avoid using temporary contracts when the job is in reality permanent

- Consider the likely cost of using temporary workers compared to permanent workers

- Consult with managers to determine their views on the possible effects of employing temporary workers

- Agree proposals to use temporary workers with recognised trade unions

- Where temporary workers are recruited through an employment agency, contact several agencies to compare the services they provide, including their screening and testing methods

- Provide temporary workers or the employment agency with job descriptions and information on company benefits, rules and regulation

- Give temporary workers a written statement of their main terms and conditions of employment.

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