Business

Points to Consider When Hiring Temporary Employees

Companies hire temporary workers for a limited time when regular employees are absent for prolonged periods. Your business must comply with federal laws when hiring temporary employees.

When Should You Hire Temporary Workers?

Businesses hire temporary workers for a specific project or purpose while avoiding the cost of hiring regular, permanent employees. There are many reasons an owner might hire someone temporarily, including:

  • When a permanent employee is on maternity leave, family leave, or vacation
  • When there is a short-term need for a specific skill set, such as creative or computer expertise
  • When you desire to keep staffing levels optimal without overworking your regular employees

How Long Can You Employ a Temporary Employee?

A temporary worker’s time with your company cannot exceed 1,040 hours per year. The same employee cannot work at your company for more than two consecutive years.

Employers should specify both the scope of duties and length of time for temporary help. These employees should not perform the same responsibilities as regular, full-time staff indefinitely.

Why is There a Time Limit for Temporary Personnel?

Temporary workers do not qualify for health insurance or retirement benefits, and they typically earn a lower wage than permanent employees in similar jobs. Therefore, it costs companies less to employ temporary staff members. Laws are in place to prevent employment abuse.

Sometimes hiring permanent workers is the better solution, but for the right business at the right time, hiring temporary employees can solve short-term needs.

Your Workers Compensation Rights

Workers compensation is an insurance policy taken out by an employer to protect employees in case they get injured while working. You should first check to see if your employer has workers comp, as not all states legally require businesses to cover their employees. If they do, it’s important to understand how workers comp can protect you and what your rights are in the event that a claim is denied.

What Are the Benefits of Workers Comp?

Workers compensation covers many things depending on the extent of your injuries and how the accident occurred. It can pay for all your injury-related medical bills, as well as any wages you might lose while unable to work during your recovery. If you become permanently disabled, workers comp will continue to cover you.

What If Your Claim Is Denied?

Your claim could be justifiably denied because your injury resulted from a fight with another employee or you were acting negligently on the job. However, sometimes your employer will unfairly deny your claim because of costs. While some companies are trying to make insurance more affordable, such as warehouse workers comp, it can still be something your employer doesn’t want to deal with. If this happens, you can contact an attorney to see if you have the option to sue.