Outsourcing
Outsourcing is entrusting another company with tasks for which it is responsible, and can also be accounted for the effect of work done. This type of cooperation is based on the provisions of the Civil Code and the personnel used to perform specific tasks is subject to supervision and control only by the Contractor
Some companies in the HR industry specialize in performing certain types of services that they provide at the premises of their clients as well as at the place of their work. In the case of our company, we have a company in the group - Polish Welders Sp. z o. o. - specializing in welding services, locksmith and fitter services, and road construction.
We also have a specialized company in the group (Kooperacja Sp. Z oo), whose main scope of activity is taking over many production processes, both manual and automated.
The contractor is a service recipient - subcontractor for his client
In this case, a contract is signed between the Contractor and her client. The client commissions the agency to a specific product or other processes for which it is responsible and to which it delegates its staff. In this case, there is no subordination between employees of the employment agency and the client. Also, in this case, the work and remuneration rules of the service provider do not apply. There is a lack of supervision and management over the agency's employees by the client. The remuneration offered by the Contractor to his staff. In this case, it is her internal agency decision that her client has no influence on. In the case described, the Contractor becomes a de facto subcontractor or customer of his client.
Legal basis for Outsourcing (provision of services)
- The customer orders the process support, i.e. the specific effect of the services
- The Outsourcing company manages staff, assigns tasks, controls and supervises their work - it has its own coordinators/foremen at the client's plant
- The Outsourcing company has tools to perform the services (it can be its property or rents them from the client)
- The Outsourcing company is responsible for OHS training (in relation to control and supervision)
- The Outsourcing company keeps records of its staff's working time
- The Outsourcing company is responsible for the effects of its staff's work
- Settlement based on technological hours or the result of services, process maintenance
- The Outsourcing company has a payroll policy for its staff
- The legal basis for the service is the Civil Code
In addition, other distinguishing features of the Outsourcing service (service delivery) are:
The basic feature distinguishing employee outsourcing from the employment of own employees or the provision of work by temporary employees is the lack of direct and permanent subordination (both legal and actual) of the contractors to the entity (source) at which such services or work are performed. The service is provided by a company specialized in providing these services. The service can be provided at the headquarters of the outsourcing company or other place designated by this company. The service is carried out under the leadership of an outsourcing company. Tools, work clothes, personal protective equipment for staff are provided by an outsourcing company
A threat in the case of cooperation under the Outsourcing of services is the control of labor inspection, which may retrain the service provided for temporary work. Proving subordination to agency staff, client management, and fictitious responsibility for production processes or other activities.
Only clients from selected industries can cooperate in outsourcing services
Outsourcing requires a detailed agreement with the client about the possibility of its application. Our company specializes only in specific industries for which it has the appropriate management staff ready to take full responsibility for the tasks entrusted. In this case, the Contractor shall equip his staff with tools and work clothing needed to perform the work.
The basic obligations of the Contractor under the implementation of the outsourcing contract:
- The contractor searches for employees by criteria provided by the client through the employer's questionnaire.
- The contractor is an employer for hired personnel - responsible for HR/payroll services.
- The Contractor also pays the salary to the hired personnel.
- Most importantly, the Contractor pays social and health insurance contributions as well as an advance on the income tax of the hired staff.
- The contractor searches accommodate and pay for the employee's apartment - optional.
- The contractor issues a VAT invoice for services to his client. This is the product of the number of hours worked by the employee and the hourly or piecework rate.
Service outsourcing is not always possible
Outsourcing is not always possible for the client. Therefore, it is important to analyze the possibilities of cooperation between the Contractor and its client. It is also very important to cooperate with a Contractor who knows the current legal status in the field of hiring staff and will advise the client on such a form of cooperation that will not expose him to sanctions.