Perth Recruitment Agencies: Labour Hire vs. Independent Contracting

When workloads in businesses are fluctuating, many companies start to turn to other alternatives to fill the gaps. Perhaps the most popular option is to look for independent contractors and to use labour hire employees from recruitment agencies in Perth. Both of these options have a number of benefits to companies such as flexibility, an as-needed basis of labour, no need for leave entitlements or WorkCover insurance and no risk of unfair dismissals. While these are all valid reasons to use either option, labour hire employment does have a lot more to offer than independent contracting.


Employment Arrangement

An independent contractor is somebody who works independently of any business or agency. While he is working for your company, you as the employer will have obligations and responsibilities to a certain extent. You will also have limited control over his work process since he is not an employee of your company. Meanwhile, Perth labour hire workers work in contract with a recruitment agency who will then supply the said workers to your company. Since you are not in a direct employment relationship with the labour hire employees, most of the obligations will fall on the recruitment agency.

Skills Required

Companies who look for workers outside their companies face the challenge of finding the right fit. This means that they have a very specific role to fill in their workforce. No company would hire an employee that does not possess the skill required for the job for risk of endangering their operations. With independent contractors, the host company will have to scour through records of candidates for a single job in order to find the best candidate.

On the other hand, hiring labour hire workers from recruitment agencies will save you the time and trouble as they would have already screened their employees beforehand to make sure that they are a match for an empty position. Another advantage labour hire has over independent contracting is that if you’re looking to hire a large number of workers with the same skills, you won’t have to go through a list of names all over again.

In business, every second counts. Each moment delayed by not having enough employees could mean loss of profit for a company. You can save yourself the trouble by hiring out of reliable recruitment agencies in Perth like All Force Labour Solutions.


Independent Contracting and Labour Hire Arrangements, Australian Industry Group

Casuals, contractors or labour hire workers: which is better?

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