Team Leasing – what is it like?

Posted: January 28, 2018 at 8:57 am   /   by   /   comments (0)

Polish employers are gradually discovering outsourcing solutions and are more and more willing to implement them in their companies. One of the popular models of this type is employee leasing. What opportunities and threats does this form of financing bring?

Until recently, in Poland, employee team leasing was mainly associated with temporary employees – generally unskilled workers who performed simple tasks, such as unloading goods in a warehouse or simple work in a factory. For several years, employers have decided to employ qualified personnel within this model – in Polish companies, for example, employee leasing works, for example, accountants, financial experts and specialists.

Employee leasing consists in hiring an employee on a contract of employment for a definite period of time by a temporary employment agency and “borrowing” it from the employer. The employment agency signs a contract with the employer and employee. This means that all obligations resulting from the labor code and the payroll and personnel management of the leased employees are on the agency’s side.

In connection with the mechanism described above, the company employing an employee has almost no obligations towards him. An employer using employee leasing is also not charged with administrative costs, as the leasing company maintains the personnel’s payroll documentation. The company pays only for the work actually done, and if the employee does not work, he can easily exchange it for another. This solution guarantees the employer’s comfort and the ability to rotate in appropriate positions in a way that will not paralyze the functioning of affected departments.

Team leasing is a good solution especially for companies that need employees to implement new projects with limited duration. Leased employees may also complement the staff in the case of maternity, parental or health leave. The model also translates into tangible financial benefits, as cooperation with a temporary work agency allows the qualification of employment costs as external services rather than personnel.

Team leasing also brings certain risks, which, however, can be neutralized by a foreseeable employer. The biggest one is the team’s instability. High turnover and frequent changes in the company’s crew can lead to a situation in which the group will not be able to find a common language and cooperate long enough to effectively carry out the tasks entrusted to it. Due to the instability of employment and the lack of identification with the company, some employees may neglect their duties. Employee leasing also makes it impossible to build human capital and benefit from employee development.

Team Leasing – what is it like?
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