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  • Temporary Worker Satisfaction Drivers

    Key Findings: Over 5,000 North American temporary workers from 38 staffing firms responded to the question “How likely is it that you would recommend your primary staffing supplier/agency to a friend or colleague?” The net promoter score (NPS) based on these responses was 44%, comparable to scores measured in five previous surveys. Separately, eight individual satisfaction factors regarding agency performance were also measured. These were correlated with NPS to determine its biggest drivers. The factors that had the largest impact on NPS were: trustworthiness of the agency, responsiveness,  relationship with recruiter, and quality of assignments. It’s noteworthy that these factors were also the ones temps most credited their staffing firms with achieving. It seems staffing firms are rationally prioritizing temporary worker interests. Temporary workers were also asked to suggest improvements in their staffing firm. Suggestions typically concerned communication, pay and benefits, and website issues. As noted in the 2016 survey, differences in comments by those who scored their firm a “10” and those who scored their firm a “0” were also suggestive of what matters to temporary workers. Among temporary workers giving their agency a “10,” common reasons cited included: outstanding customer service, fast problem resolution, high satisfaction with their placement, and the agency’s ability to find new jobs for them as previous ones ended. Among temporary workers giving their agency a “0,” common reasons cited included: poor problem resolution, poor communication including in some cases the inability of agency staff to speak clearly in English, and/or general disorganization and incompetence. Note: Some self-selection bias may be present, as participating firms were incented to participate in the survey in part with the goal of being selected as a “best staffing firm to work for.” Mitigating the possibility of such bias is that most firms also participated with the intention of simply learning more about how their firm was perceived. To access the complete report, please select the link below: Temporary Worker Survey 2017 Satisfaction with staffing agencies (or lack thereof), and what drives it 20170428 - You do not have permission to view this object. […]

  • Sources of US Temp Healthcare Coverage

    Key Findings: Note: This report provides updated data on temporary worker use of healthcare exchange insurance. The additional data provided on other forms of insurance is from the previous year’s survey. Healthcare exchange coverage is popular among US temporary workers. Thirty-six percent said they currently have healthcare insurance from a state or federal exchange, and another 17% expected to have such insurance within two years. In terms of broad patterns: younger, less well paid, and less skilled workers are somewhat more likely to choose exchange insurance than are older, more highly paid, and more highly skilled workers. As reported in the 2016 Temporary Worker Survey…  Eighty-one percent of temporary workers were offered healthcare benefits by their respective staffing agencies. However, roughly two-thirds of temporary workers already had coverage from another source (e.g., spouse, healthcare exchange, veterans benefits, etc.), and a majority accordingly did not sign up for coverage offered by their staffing firm. Independent healthcare coverage is the main source of healthcare benefits for both commercial and professional temporary workers. Only 19% of commercial temps signed up for healthcare coverage from their staffing firm, vs. 38% for professional temps. Twenty-one percent of commercial temporary workers and 9% of professional temporary workers remain uninsured. This is, however, roughly half the level of two years ago, when 40% of commercial temporary workers and 20% of professional temporary workers were without coverage. To access the complete report, please select the link below: Temporary Worker Survey 2017 Sources of healthcare coverage 20170427 - You do not have permission to view this object. […]

  • Why Temps Quit Assignments Early

    Key Findings: This report is based on responses to the following survey question: If you have ever quit an assignment early, what was the reason you did so? Felt ostracized, no one paid much attention to me Not the job I was told it would be Lack of training, just thrown into it Pay/benefits not delivered as promised Commute longer/more difficult than expected Another employer offered me a better job Unpleasant work environment/didn’t like manager or coworkers I have never quit an assignment early Other (please specify) Thirty-one percent of temporary worker respondents said they had quit an assignment early. Quit rates do not seem to vary much from this overall result as a function of temporary worker demographics -- in terms of occupations, age groups, and pay groups. The most common reasons for quitting an assignment early were: being offered a better job by another employer, finding that the nature of the job and/or pay or benefits was not as described, and dissatisfaction with the circumstances of the job in terms of how they were treated. To access the complete report, please select the link below: Temporary Worker Survey 2017 Why temporary workers quit assignments early 20170424 - You do not have permission to view this object. […]

  • Latin America Legal Update Q1 2017

    Argentina Publication of a draft data protection billBrazil Uber driver held to be an employee Reform of labor law permits unrestricted outsourcing and extends temporary work Guatemala Approval of ILO Convention on part-time workMexico Constitutional reform of labor law Fixed-term employment must be temporary in nature Puerto Rico Puerto Rico passes equal pay actArgentinaPublication of a draft data protection bill In February 2017, the Argentina Data Protection Agency (Dirección Nacional de Protección de Datos Personales or “DNPDP”) posted online a draft bill for a new data protection act. The bill was prepared taking into consideration several changes proposed by the public during 2016, and is heavily based on the European Union’s General Data Protection Regulation (GDPR) due to come into force in May 2018. Argentina’s current data protection law was enacted in December 2000 and as such Argentina was the first Latin American country to be recognized by the European Union as a country with adequate laws to protect European citizens’ data.Among the changes introduced by the draft bill is the elimination of the duty to register databases. Also, the draft bill only recognizes individuals as data subjects; the current data protection act covers both individuals and legal entities (e.g., companies). The proposed bill adds several new definitions, including biometric data and genetic data. The bill aims to introduce new grounds for data processing, overhauls rules on international data transfers, adds requirements around data breach reporting, and includes the appointment of Data Protection Officers. It also paves the way for the creation of an independent regulator.The DNPDP is expected to send the bill to the president later this year for discussion during 2018 in Congress.Brazil 1. Uber driver held to be an employee A Brazilian Regional Labor Court has ruled that a driver using the Uber ride-hailing app is an employee of Uber and is entitled to workers' benefits. The judge ordered Uber to pay the driver USD 10,000 as compensation for overtime, night shifts and other expenses. The ruling follows a similar case in the UK last year in which a London employment tribunal ruled that Uber drivers in the UK should be classified as workers and not self-employed.Uber said in a statement that it was appealing the decision, citing a contradictory ruling by a different labor court which ruled that drivers are contractors, not employees. If the decision by the labor court is upheld, it could lead to greater problems for Uber’s entire business model in Brazil.2.      Reform of labor law permits unrestricted outsourcing and extends temporary work On March 31, 2017, Brazilian President Michel Temer signed into law a controversial bill on reforming labor regulations, despite thousands of protestors on the streets. The new labor law permits unrestricted outsourcing in Brazil, with opponents saying it would lead to deteriorating work conditions for the majority of workers.The law, effective immediately on its publication in the Official Gazette, allows companies to outsource any job and also extends to nine months, from three, the maximum duration of temporary work contracts.The bill allows companies and government agencies to contract outside labor for virtually any activity, including so-called “core” manufacturing and service operations. The outsource provider is permitted to subcontract other companies to perform hiring, remuneration and work management services. In cases of labor actions, it will be for the outsource provider (who hired the worker) to pay the worker’s rights claimed in court, if there is a conviction. If the outsource provider does not have money or goods to pay, the contracting company (which contracted the outsourced services) will be liable and may have assets seized by the courts to pay the labor claim. The contracting company is obliged to guarantee safety, hygiene and sanitation to all outsourced workers. It is optional for the contracting company to offer the outsourced employees the same medical and outpatient care given to its employees, including access to the cafeteria. The law provides for an extension of the maximum duration of a temporary employment contract for up to 180 days, consecutive or not, which may be further extended up to 90 additional days, consecutive or not. In the event of termination of the period, the temporary worker may only provide services to the same contractor after 90 days from the end of the previous contract.A minimum share capital requirement of BRL 100,000 (USD 32,230) is required for registration of a temporary employment agency. The requirements for the validity of a contract between the temporary employment agency and the contractor include: (i) qualification of the parties; (ii) justification for temporary work; (iii) term of service; (iv) value; and, (v) provisions regarding health, hygiene and safety of the workers.For temporary employees hired for up to 30 days, it is possible to establish a system of direct payments to the Severance Indemnity Fund (FGTS), proportional vacations and proportional Christmas Bonus (13th salary).Mayer Brown provides further details of the law.GuatemalaApproval of ILO Convention on part-time work On February 10, 2017, Decree 2-2017, approving Convention No. 175 of the International Labor Organization (ILO), was published in the Diario de Centro América. This Convention sets the standards for part-time work and is based on the principles of the law of proportionality and non-discrimination.    For the purposes of the Convention, "part-time workers" refers to all workers whose normal working hours are less than those of full-time workers in comparable circumstances.With this Decree, it is established that Guatemala must take legislative measures to regulate part-time work in accordance with the Convention. The State must ensure that part-time workers do not receive a salary (proportionally calculated) that is lower than the salary of full-time workers in a similar situation. The Convention also benefits part-time workers, by giving them rights such as: maternity protection, termination of employment, annual leave paid, sick pay and sick leave.The Convention provides that part-time employment relationships must include measures to ensure that workers enjoy the same protections as full-time workers with regard to the right to organize, collective bargaining and the right to act as workers' representatives, and in addition, of course, the right to safety and health at work and non-discrimination in employment and occupation. The provisions of the Convention stipulate that its application will not override more favorable provisions applicable to part-time workers under any other international labor agreement.Following Guatemala's ratification of this Convention, the regulations must enter into force within a period of twelve months. It is estimated that they will be applicable in Guatemala in March 2018.Mexico 1.      Constitutional reform of labor law On Feb. 25, 2017, the Decree Relating to Employment Justice through which Articles 107 and 122 of the Political Constitution of the United Mexican States are amended and modified (the Decree) amending several provisions of the Constitution with regard to labor justice, freedom of association and collective bargaining became effective.The key amendments include:Conciliation and arbitration boards: The conciliation and arbitration boards formed by worker representatives, employers and the government will be abolished. Instead, conflicts between workers and employers will be resolved by the federal and state labor courts. Court members must be proficient and experienced in labor matters. They will be appointed by the Federal Judiciary Council at the federal level and in accordance with the Constitution and other legislation at the local level.Conciliation centres will be created at the state level to accommodate conciliatory hearings, which will be mandatory before a trial commences before the labor courts.At the federal level, the conciliatory function will be performed by a decentralised government agency whose integration and operation has yet to be determined by law. This federal agency will also be responsible for the registration of collective bargaining agreements and trade union organizations, as well as all associated administrative processes.Collective bargaining: Changes have been introduced which aim to strengthen the right to undertake collective bargaining and the principles of representation by trade union organizations and certainty in the execution, registration and filing of collective bargaining agreements.When the objective of a strike is to execute a collective bargaining agreement, the union must demonstrate that it represents the workers. This measure aims to eradicate strike notices made by “phantom” unions and prevent extortion practices against employers.The Constitution now expressly provides that workers' votes in relation to the resolution of conflicts between unions, requests to execute collective bargaining agreements, and the election of trade union leaders will be personal, free and secret. This measure aims to eliminate the use of "collective bargaining agreements for protection purposes" and encourage workers to participate actively and openly in the bargaining process.The Decree sets forth a one-year time frame in which the federal and state congresses must enact and amend the relevant federal and local laws needed to comply with the Decree. Until such amendments are completed, the Decree will not have significant impact on labor matters. 2.      Fixed term employment must be temporary in nature Under Federal Labor Law, there is no legal basis for an employer to execute a fixed-term employment agreement when it needs to hire a permanent, rather than a temporary, employee. Fixed-term employment agreements will only be valid when: the temporary and extraordinary nature of a job requires it; or an employer must temporarily replace an employee. Employment agreements, as a general rule, must be for an indefinite term, based on the job stability principle that governs Mexican employment relationships. Fixed-term agreements are an exception to this rule and their use is authorized only in the cases explicitly provided for in the Federal Labor Law. Failure to apply fixed-term agreements in accordance with the Federal Labor Law may result in a temporary employment relationship being classified as an employment relationship for an indefinite term.Despite widespread use of such contracts for the initial hiring of personnel as a means to evaluate whether they will be offered a permanent position, fixed-term employment agreements should not be used for probationary purposes. This was recently confirmed in the Supreme Court of Justice Second Chamber's October 5, 2016 binding resolution (170/2016) regarding a discrepancy among criteria implemented by two collegiate circuit courts in labor matters.According to the resolution, conciliation and arbitration boards must analyze the validity of fixed-term employment agreements when employers allege that an employment relationship has ended due to the expiration of a fixed-term agreement. The fact that parties agree on a fixed term for an employment relationship does not render the agreement valid. Rather, employers must justify the temporary nature  of the relationship with regard to the Federal Labor Law, and establish in the agreement the reason for hiring the employee on a temporary basis.In light of this resolution, if an employee demands severance pay or reinstatement in his or her job as the result of an alleged wrongful dismissal on the basis of the expiration of a fixed-term employment agreement, the employer must prove, reasonably and objectively, that the fixed-term employment relationship was justified. The fixed-term agreement must have been entered into in accordance with the exceptions established in the Federal Labor Law. Failure to fulfill this requirement will lead to a finding that the employment relationship was for an indefinite term and its termination was unjustified (i.e., wrongful dismissal).Puerto RicoPuerto Rico passes equal pay act Puerto Rico Act No. 16 of March 8, 2017, known as the "Puerto Rico Equal Pay Act" and effective immediately, establishes a general prohibition of pay discrimination based on sex among employees in jobs that require equal skill, effort and responsibility, and that are performed under similar working conditions. Exceptions are permitted where such payment is made pursuant to: A seniority system. A merit system. A system which measures earnings by quantity or quality of production. A differential based on any other factor other than sex. Act 16 prohibits employers from inquiring into an applicant's past salary history, unless the applicant volunteered such information or a salary was already negotiated with the applicant and set forth in an offer letter, in which case an employer can inquire or confirm salary history.The Act also forbids employers from prohibiting discussions about salaries among employees or applicants, with certain exceptions for managers or human resources personnel. It also contains an anti-retaliation provision protecting employees who disclose their own salary or discuss salaries with other employees, object to any conduct prohibited by the law, present a claim or complaint, or participate in an investigation under Act 16.Available remedies for victims of pay discrimination include back pay and an equal amount as a penalty. Double compensatory damages also are available as remedies.The additional back pay penalty can be waived if the employer demonstrates that, in the year prior to the presentation of a salary claim, the employer voluntarily undertook a "self-evaluation" of its compensation practices and made reasonable efforts to eliminate pay disparities based on sex.The self-evaluation or mitigating measures cannot be used as evidence of violation of the law for events that take place within six months after the self-evaluation's completion or within one year of the self-evaluation if the employer has commenced reasonable and good faith mitigating measures.The penalty provisions of Act 16 did not become effective until March 8, 2018, to permit employers to take any mitigating measures.Legal Disclaimer: This update is provided solely for the purposes of information, and should not be considered legal advice. It is always recommended to seek the advice of qualified legal counsel before taking action.To download a pdf copy of this update click below: LatAm_Legal Update_Q1_2017_20170420 - You do not have permission to view this object. […]

  • Worker Profile Tracking

    Sponsored by: Current dynamics in the market, such as aging population, economic changes, skills shortages, the need for a flexible workforce and increased regulatory scrutiny, are forcing companies to transform and re-think their external workforce structures. This is a strategic and logistical task, with up to 50% of an organisation’s workforce now consisting of external resources.Companies are faced with the challenge of keeping track of their non-employee workers in terms of ‘Who and where are they?’ and ‘what do they actually do?’ Are they contingent, Statement of Work or some other engagement type that is hard to classify?In this interactive webinar, Peter Reagan, Staffing Industry Analysts Director, Contingent Workforce Strategies and Research (Europe & Asia) was joined by Fieldglass, Abbott and SAP, to discuss how these companies have achieved visibility into their entire workforce. They shared how they went about tracking their non-employees, together with an overview of their future strategies for Total Talent Management. Speakers: Peter Reagan - Director, Contingent Workforce Strategies & Research, Europe and Asia Pacific, Staffing Industry Analysts Mikael Lindmark - SVP EMEA, Fieldglass Amy Gordon - Global Head of SAP External Workforce Center, SAPShyrl Hoover - Senior Manager, Talent Acquisition, Flexible Recruiting Solutions, AbbottTo view the video below, select the play button to begin viewing. Double click the 2 arrows to view full screen. To download a full copy of the slides, click below. 151028_EUBuyer-WorkerProfileTracking_Fieldglass.pdf 3.99 MB […]

  • Crowdsourcing Platforms

    Introduction Within the SIA Human Cloud platform lexicon, Crowdsourcing represents a group of platforms that, although sometimes having some shared characteristics, are fairly distinct from Online Staffing and Online Services platforms. They also seem to represent some of the most innovative models for organizing certain kinds of work and workers on a contingent basis, with technology continuing to press on the frontier of what can be done. “Crowdsourcing” has become a widely used term with a wide range of meanings. For our purposes, it refers to an online platform-based process of inviting and engaging numerous paid online workers from a dispersed, often massive, labor population to each perform a quite narrowly defined/scoped unit of work, which, when collected and processed further by the platform, will lead to an expected value added outcome for the client.  Depending upon the specific criteria applied, we estimate there are no more than 25-40 Crowdsourcing platform businesses, engaging millions of workers, in the world today. Many of these platforms have attracted substantial investment, though the aggregate spend processed annually across all platforms likely falls short of $500 million. While there has been some M&A activity (for example, Appirio recently acquired Topcoder), many of the businesses appear to be growing and evolving with their customers and even finding a receptive market among extremely large enterprises (something to be noted by staffing firms). Being on the edge of innovation, Crowdsourcing platforms exhibit considerable variation, but for now seem to separate into two main models which we have defined as Distributed Microtask Processing Platforms and Challenge/Contest Platforms. However, even within these two basic models, variation is still present. Still experimental and evolving, Crowdsourcing platforms represent extreme forms of innovation in how contingent workers can be engaged and work can be done.  There is definitely a place for these kinds of platforms in the globally networked, 21st Century, information-based/service economy, although it is difficult to predict the extent and form it might take. For the near term, we expect the Crowdsourcing segment to continue on a steady, but not explosive, path of investment, innovation, and growth. To download the full report, click below: Crowdsourcing Platforms - You do not have permission to view this object. […]

  • Trends in Labor Arbitrage

    Key Findings Organizations can take advantage of effective labor arbitrage via three separate means: Labor mobility initiatives Offshoring The Human Cloud    However, organizational demarcation is preventing companies from taking best advantage of labor arbitrage with different departments taking responsibility for different solutions. Talent distribution and migration creates opportunities for those able to access this talent. There are a number of different hubs where labor emigrates from and immigrates to. There are also three important patterns of ‘intra-zone’ migration; the US, Europe and China. Taking advantage of the full potential of labor mobility requires corporate competence in recruitment intelligence gathering, visa/immigration services, relocation services and the ability to payroll in multiple markets. All three ways of taking advantage of labor arbitrage will grow in future driven by a number of key trends, however, Human Cloud solutions as a technology disrupter has the potential to grow at the expense of the other two.  Using the Human Cloud does not require any up-front investment, the creation of an overseas infrastructure, the bureaucracy of visa applications or the administrative hassle of relocation. To download the full insight, click below: Labour Arbitrage Trends - You do not have permission to view this object. […]

  • Information Technology Issues

    Key Findings The CIO has a difficult balancing act to achieve, providing innovation and support to the business while, at the same time, coming up with initiatives to cut costs. Compared with other industries, IT spend in the staffing industry is below average both as a percentage of revenue and per full time equivalent employee. The key technology trends that staffing firms should be addressing today are: Greater efficiency and effectiveness through IT consolidation and improved infrastructure and services. Use of fibre-optic infrastructure for better telecommunications bandwidth. Outsourcing of infrastructure, platform services, and application services to the cloud, and transition to web browser delivery and away from thin client solutions. Mobile access and the use of mobile applications for anytime, anywhere connectivity. Ensuring social media channels are natively incorporated into the front office application and that various databases can be simultaneously searched. Staffing firms should attend to innovation as a means of creating competitive advantage and value. A systematic approach to ideas generation and innovation is possible, and the CEO must lead, sponsor, and challenge the status quo. To read the full report, click below: Information Technology Issues and Trends - You do not have permission to view this object. […]

  • Rest of the World Legs and Regs Advisor November 2014

    Key Findings: Azerbaijan – Recent developments in labour law New Zealand – Proposed health & safety laws place personal duty on officers China – Harsher penalties for workplace health & safety Venezuela – Third minimum wage increase in 2014 To download the full report, click below:  ROW Legs Regs Advisor November 2014_final - You do not have permission to view this object. […]

  • Rest of the World Legs

    Key Findings:South Africa – Amendments to the Basic Conditions of Employment ActChina – Authorities enforcing competition laws against foreign firmsAustralia – No implied mutual trust and confidence in employment contractsAustralia – An employer can direct an injured employee to a medical assessmentSouth Africa – Labour Relations Amendment Act restricts the use of temporary workersSouth Korea – Court finds Hyundai’s use of subcontracted labour illegalTo download the full report, click below: ROW LegsRegsAdvisor_September2014 - You do not have permission to view this object. […]

  • Rest of the World Legs

    Key Findings:India –Government approves labour law changes but has a way to go to encourage more flexi staffSouth Africa –Amendments to the Employment Equity Act come into forceHong Kong –Proposals to allow third parties to enforce contracts has implications for employersAustralia –Important lesson for drafting post-employment restraint agreementsColombia –Employers must act reasonably to protect employees’ fundamental rightsTo download the full report, click below: ROW Legs Regs Advisor August 2014 - You do not have permission to view this object. […]