Temporary Staffing Insurance: Increased Legislation for Employment Industry
According to a new report, temporary workers held roughly 3.4 million staffing agency based positions last year. The sector grew 41% between 2008 and 2012 alone and shows no signs of slowing in the post-recession economic recovery. Temporary labor is being utilized in almost all industries, including many not typically associated with the idea of outsourced labor, such as manufacturing which represents 40 percent of the current demand for temp workers.
The increased prevalence of long-term temporary workers has labor groups and legislators urging for regulator action for state and federal authorities. In California, the staffing industry faces heavy scrutiny from Sacramento officials who are seeking government regulations protecting the rights of the mounting numbers of temporary and contract workers. Leading the way, is the California Labor Federation asserting that temporary staffing trends are hazardous for a labor force struggling to recover financially in the wake of the recession. While thousands of new workers are recruited each month to temporary staffing firms, labor economists suggest that temporary work is not a sufficient means of making a sustainable living.
The appeal of temporary staffing is often unanimous, with initial perks felt by employees and employers, however long term financial implications for workers can be devastating to their financial growth and asset acquisition. The National Employment Law Project advocates allege that temp workers across many industries often work full time hours with limited compensation, employee benefit opportunities or job stability. In their recent release they indicate a desire for harsher regulations for temporary staffing firms and their contracting clients. A proposed bill in California favored by a number of labor supporters would hold both the staffing firm and the contracting client liable for payment of wages, accurate reporting of hours worked, wages, benefits, tax deductions and workers comp insurance. Their goal is to ensure better business practices and treatment of contract workers.
While most staffing agencies uphold the highest business professionalism, occasionally a firm will find itself facing allegations of wrongdoing. Keeping up to date with changing policies and litigation is essential for the success of your client’s temporary staffing firm, as is obtaining a comprehensive Temporary Staffing Agency Insurance plan.
At World Wide Specialty Programs we are the leading source for Staffing Industry Insurance. Our wide array of products and industry expertise ensure that you can offer your clients complete coverage for all their hiring, HR and recruiting business needs. We offer full Staffing Professional Liability, Staffing Employment Practices and more coverage options to ensure that your clients are protected from any complications and risks they may face. For more information about any of our offerings, please call today at (877) 256-0468.