Temporary agency work

What is temporary work?

Temporary agency work refers to a situation where an employer (usually a temporary employment agency) transfers an employee to another company (the user company) with the employee’s consent. In this case, the user company takes over the right to direct and supervise the work, which is otherwise vested in the employer, as well as other employer obligations directly related to the performance and organisation of the work. Temporary agency workers are typically used alongside the user’s own workforce, for example to cover peak periods or during absences of the user’s own employees.


The three legal relationships of temporary agency work

There are three different legal relationships in temporary agency work:

  1. the contractual relationship between the temporary employment agency and the user company,
  2. the employee’s employment relationship with his/her employer, i.e. the temporary employment agency, and
  3. the employee’s relationship with the user company for which the work is performed.

All of these have legal aspects to be taken into account. We have experience in providing legal advice on all three legal relationships.

Drafting the contract between the temporary employment agency and the user company

In a business-to-business relationship, the content of the contract between the parties is essential. A carefully drafted cooperation or assignment agreement prevents disputes and provides a good basis for a smooth cooperation. It is a good idea to agree, for example, on the division of employer obligations between the parties and on how the remuneration is to be determined and whether it can be increased, for example if employer costs rise. It is also important to define the parties’ obligation to provide information and the procedure to be followed in the event of poor performance by the temporary worker.

Temporary agency work is subject to an employment contract

The employment contract for temporary work must indicate that it is temporary work. It is also important, of course, to specify the employer and the main tasks to be performed. Temporary agency contracts are often of limited duration, so the legally required justification for the fixed-term contract must be specified in the employment contract. If the duration of the contract is not known at the time the contract is concluded, the contract must state its estimated duration.

It is important for the temporary worker to know how the employer’s obligations are divided between the employer, i.e. the temporary employment agency, and the user company, for example, to whom the worker will provide a sick leave certificate.

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