Assistants Outstaffing

Outstaffing is the process of personnel management delegated by the company to a professional contractor. This is achieved through the dismissal of employees from the company and their subsequent registration with an outstaffing agency. This alters radically the official form of relations between the enterprise and the staff, but preserves the regular mode of cooperation.

Outstaffing of assistants involves the dismissal of general workers from the company staff and the transfer of obligations for their administrative and financial support to the contractor. Officially, they are registered with the agency, where they receive the salary. But in fact, the assistants do some work at their former workplace and perform some of the same tasks as previously.

Benefits of outstaffing

The outstaffing services provide significant benefits:

• Employees are bound to a subcontractual agreement. Employees are not maintained among the company’s staff, but perform the functions necessary to conduct core business;
• Reduced number of permanent employees.As the format of the employment relationship changes, the official number of staff within the enterprise is reduced;
• Simpified management of HR records. The HR manager, accountant, and other specialists are relieved from excess concerns because the assistants are recruited by the new employer;
• Reduction of ongoing costs. Instead of multiple calculations for each employee, the company periodically pays the outstaffer according to the contract; A decreased number of employees leads to a reduction in the Labour Compensation Fund (LCF), and hence, to a reduction in tax as well as social deductions;
• Usual legal status is preserved. Due to a reduction in the number of employees, the enterprise can use a profitable taxation scheme, while maintaining the ‘small business’ status in terms of restriction on the maximum number of employees
• No problems with employees. In the event of any disagreements, the assistants’ file claims to their direct employer. If the violations of labour legislation are identified in the course of an inspection by the public services, the fines are charged to the contractor.

Professional outstaffing is a proven way to optimize the company’s costs, increase its core business performance and profitability. Eliminating the need to solve minor tasks, the contractor pays more attention to improving the construction processes, which leads to an increase in profit of the company!