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Outsourcing of employees and the Polish Labor Code - legal aspects Outsourcing agreement: legal basis Potential disadvantages of outstaffing and its features Advantages of staff outstaffing Advantages for employees: Disadvantages of this type of cooperation Differences of outstaffing from outsourcing Outsourcing of employees and the Polish Labor Code - legal aspects How does outsourcing differ from outstaffing of employees
Outsourcing of employees and the Polish Labor Code - legal aspects
The Polish Labor Code defines quite precisely both the concept of employee outsourcing and the rules for hiring foreign workers through national and international employment agencies.
Issues related to the outsourcing of employees
Outsourcing of employees in Poland
Employers from Poland have two options to choose from:
• recruit personnel necessary for the reliable functioning of their organization, i.e. employees from HR, IT, Occupational Health and Safety departments, etc.;
• or hire people who will directly participate in the fulfillment of customer orders.
Currently, the first solution is most often chosen, but every year the popularity of outsourcing employees, especially foreign ones, is growing in Poland.
Outsourcing agreement: legal basis
Employees hired under an outsourcing agreement are not subordinated either legally or in fact to the company in which they work: orders regarding the time, manner and other issues related to the performance of work by the employee are issued by the external company. This issue should be clearly defined in the outsourcing agreement.
In addition, the contract for the outsourcing of employees should include issues of confidential information. Among other things, employees may not disclose confidential information to an employment agency acting as their legal employer.
An important issue that should also be included in the contract is the social security of employees. Lawyers note that all details about which party is responsible for paying social assistance to employees should be specified in the contract as precisely as possible.
The terms of the employee outsourcing agreement
The contract for the provision of services for the outsourcing of employees is an important condition for effective interaction between the client company, the outsourcer and employees who are assigned to perform specific tasks. Therefore, it should be drafted in such a way as to protect the interests of both employees and employers and additionally promote effective work.
Regulatory acts on the outsourcing of employees allow you to entrust this type of employee with any work, and this is due to the fact that this form of cooperation is much more profitable for many companies than, for example, the use of temporary employment services. agency, because temporary employees cannot be entrusted with a sufficiently wide range of laundry
Normative acts on the outsourcing of employees
Potential disadvantages of outstaffing and its features
It is not always profitable for companies operating in various industries to have a full staff of workers responsible for certain functions. Sometimes it is logical and convenient to attract employees based on the principles of outstaffing. This saves the company from inconvenience and complications. In some cases, this way of interacting with employees helps to work efficiently and without social or personnel troubles. What is outstaffing, to put it simply?
Why did this form of interaction arise? If we recall the long history of people working in the same place for decades, this leads to a number of difficulties:
1. A person perceives the workplace as a "native home", the team as a kind of family. He comes to work not only to perform his work duties, but also to communicate, to realize some side goals and interests. This reduces its efficiency as a working unit.
2. There may be a lot of "dead souls" in the state - people who are registered there, but, in fact, do not work. This diverts human and financial resources.
3. The team may contain individuals who sabotage the company's activities. For example, they demand to make additional payments, suspend the work process, file a lawsuit against the company, initiate inspections, etc. And it is not possible to release them under the terms of the contract.
4. The company becomes socially responsible if it has personnel. It should provide conditions for career growth, conduct a socially approved personnel policy. This leads to an increase in expenses, a decrease in the efficiency of the main activity. To prevent this from happening, you can not have full-time workers at all, but attract them from the outside.
Advantages of staff outstaffing
The advantages of such work for the client company are obvious:
1. Minimization of liability, financial losses associated with additional payments, for example, "parachutes" upon dismissal.
2. Absence of the need to conduct a socially oriented personnel policy.
3. Optimization of staffing, lack of staff turnover.
4. Hiring specialists on a temporary and seasonal basis is much more convenient.
5. All personnel issues are reviewed by the executor. This includes training and recruitment, filling unpopular vacancies, communicating with workers about their dismissal, etc.
6. The possibility of making personnel decisions that are unpopular among employees, necessary for successful operations.
7. Reduction of costs, since interaction with employees is built under the terms of a lease, rather than an employment relationship.
Advantages for employees:
1. Social security, as they are included in the staff of the performing company. They are officially hired and registered, they receive wages and social benefits, taxes are paid for them, and they are provided with all guarantees in accordance with labor legislation.
2. If the customer no longer needs his services, the employee is not fired, he does not look for a new job on his own. This is done by his employer.
3. If the employee is a highly qualified specialist or with more functionality than the customer needs, he will be offered a more adequate workplace.
Disadvantages of this type of cooperation
For some enterprises, the personal interest of the staff can be beneficial. You should not discount traditions, labor dynasties, succession of generations. Also, the shortcoming of outstaffing is that there is persistent rejection of this form of labor relations on the part of employees. People understand that the company they work for has no responsibility towards them.
But if you entrust the outstaffing of personnel
Differences of outstaffing from outsourcing
Modern business must develop quickly and withstand serious competition with other companies in the segment. Outstaffing of personnel
Outstaffing of employees
Advantages of outstaffing
• The employer gets the opportunity to reflect the increase in costs in the accounting documentation. Outstaffing in Poland is a legal way to reduce income taxes.
• There is a decrease in the financial and administrative burden on the main staff. Management of outstaffers remains with the employer.
• Costs for own personnel are reduced. This applies to consumables, stationery, depreciation and petrol for vehicles and other expenses. All this is paid to outstaffers by the contractor organization.
• Situations when own staff cannot cope with workloads are reduced to a minimum. Outstaffers can be hired only for the period during which they have to complete the assigned tasks.
• The employer receives only personnel with the required level of skills, without spending time and money on their search. This allows you to minimize costs for the personnel department (especially relevant for businesses with a branch).
• Outstaffing solves the issue of attracting top specialists (especially in IT), who cannot be found quickly on the job market. Outstaff relieves the employer of the need to improve the qualifications of employees and pay for this process.
• The outstaffing contract specifies the obligations of the parties and the terms of work performance. In case of violations, the contractor will be forced to pay the tenant's losses. It is in his interests to keep only responsible and experienced professionals on staff.
• Depending on the services, you can choose the appropriate form of payment (hourly payment, fixed price).
• Increasing investment attractiveness of the customer company, which is facilitated by the increase in actual income.
Outsourcing of employees and the Polish Labor Code - legal aspects
The Polish Labor Code defines quite precisely both the concept of employee outsourcing and the rules for hiring foreign workers through national and international employment agencies.
Issues related to the outsourcing of employees
Outsourcing of employees in Poland
Employers from Poland have two options to choose from:
• recruit personnel necessary for the reliable functioning of their organization, i.e. employees from HR, IT, Occupational Health and Safety departments, etc.;
• or hire people who will directly participate in the fulfillment of customer orders.
Currently, the first solution is most often chosen, but every year the popularity of outsourcing employees, especially foreign ones, is growing in Poland.
How does outsourcing differ from outstaffing of employees
1. Design and work schedule. The representative of the outsourcing company has a flexible work schedule. He does not have a fixed workplace. He is paid only for the work performed (although advances are not excluded). His colleague, hired as an outstaffer, receives a salary every month, but is forced to work, usually near the customer.
2. The hiring procedure for outstaffing differs from the hiring procedure for outsourcing. In the first case, hired specialists enter into legal relations with the performing company (outstaffer), but perform the functions of the customer company. In the second case, employees fulfill the terms of the contract concluded between the customer company and the outsourcing company.
3. Scope of application. Outsourcing is mainly used to solve "intellectual" tasks. This concept is often associated with accounting and legal services, information technologies. Outstaffing is more universal. Representatives of work specialties often work under an outstaffing contract.
4. Scheme of interaction. Outsourcing is almost always carried out according to the same scenario: the client company transfers some of its functions to representatives of the outsourcer company. Outstaffing involves two schemes of interaction between the parties:
5. The customer company officially dismisses several employees, and the executing company officially employs them. From now on, they are included in the staff of outstaffers, and continue to work for the customer (on the same terms and conditions). The relationship between the customer and the executor is regulated by the contract on the provision of personnel.
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