Outstaffing of pickers

Outstaffing is thepassing on of HR administrative management to the professional contractor. It is achieved through the dismissal of employees from the company and their subsequent registration with an outstaffing agency. Personnel enter into formal labour relations with the new employer, but performsome official functions in their former workplace.

The outstaffing of pickers is the process of their re-registration with a contracting organization. They conclude labour agreements with the agency, which from that moment is engaged in their financial maintenance and administrative support. However, the pickers are assigned to the warehouse or trade enterprises of their former employers to perform the jobs.

Benefits of outstaffing

The use of reliable contractor services ensures a number of important advantages to the business owner:

• Pickers are bound to a subcontractual agreement. The staff perform jobs necessary for the enterprise to conduct its main activity, but are registered with the outstaffing agency;
• Reduced number of permanent employees. The official number of staff is reduced since they are recruited by the new employer;
• Simplified personnel management. HR and the accounting departments of the company are exempted from minor tasks since the contractor is responsible for the management of the pickers;
• Desired tax category is preserved.Since the official number of staff has decreased, the organization’s specialists do not need to deal with the financial and administrative provision of the personnel;
• Reduction of ongoing costs. First of all, the multiple calculations for each employee are replaced with lump sum payments to the contractor. Secondly, the decreased number of employees leads to a reduction in the Labour Compensation Fund (LCF), and hence, to a reduction in tax and social deductions;
• Improved performance of core activities.The financial, labour and monetary resources are made available and the company allocates these for the development of the main corporate business, which in turn increases its efficiency and profitability.

Due to outstaffing the company benefits fromsome notable advantages. In addition to the above benefits, the company also eliminates all possible problems with the staff thanks to the outstaffing services. Optimized costs, increased corporate profits andnot having to do minor tasks are the main ways to increase the gross profit!