Temporary Staffing Agencies and the Legal Risks Attached

Be in compliance with the utilization of temporary staffing agencies.

Many employers who contract with temporary staffing agencies assume that, because they are not the on paper employer of the workers provided by the agency, they need not worry about legal compliance issues that they face with their own W-2 employees. This is often not the case. A staffing agency client that lacks understanding of how and under what circumstances the law may deem it a joint or co-employer of the staffing agency's employees cannot take the necessary steps to ensure compliance with the law and minimize its risks. Staffing agencies, in addition to facing similar issues as its clients, also face the challenge of ensuring that their employment practices comply with the frequently inconsistent and hyper-technical employment laws and regulations of each state and jurisdiction in which they conduct business. This challenge is particularly acute for swiftly growing agencies that are expanding their presence nationwide faster than they can keep up with the employment laws of each new jurisdiction where they set up shop. This topic will teach both staffing agencies and staffing agency clients to issue spot, i.e., to recognize risky policies and practices that could expose them and their clients and business partners to employment claims and liability. The ability to take prophylactic measures to prevent risky situations is critical to satisfying and productive relationships between staffing agencies and their clients. This information will discuss best practices for mitigating the legal risks inherent in and unique to staffing relationships.