In Vietnam, the agency labour has appeared since 2001 and developed quite strongly in localities with many businesses such as Hanoi, Ho Chi Minh City, Dong Nai ... However, until the Labor Code in 2012 was adopted, this type of service just became officially recognized in our country. So what is a labour agency and what advantages that businesses can get from using this kind of services? Please find it out in Navigos Search today’s article.
Overview of the agency labour and it’s services
What is agency labour?
Agency labour is one kind of HR outsourcing provider that connects suitable employees with businesses seeking labour. Unlike recruitment firms that completely find and replace candidates successful after the recruitment process, the labour agency provides businesses with suitable employees on a ‘labour-hire’ arrangement.
This means the workers who the labour agency provided to the business either for short term or long term positions are not employees of the business clients. The employees are hired out to them.
When working at the business clients, the employees that are promoted by the labour agency will work just like regular employees. But the direct employer-employee relationship still remains under the labour agency control.
When businesses come to choose agency labour?
If your business has varying and short-term employees’ needs, asking for help from a labour agency would be a good choice until the present time. Using a labour agency will help businesses reduce recruitment costs and human management time. Besides business that uses agency labour can touch into the large talent pool who have enough trained and skilled to fit with any kind of business culture.
Common advantages make businesses consider working with a labour agency
Outsourcing agency labour employees helps businesses reduce management costs, the workload of the HR department such as recruiting new people, training and remaining the talent while ensuring competitive advantage and maintaining a good working environment for employees. The challenges and difficulties that encourage businesses to be flexible and come up with HR outsourcing to survive and thrive in the context of today's economy. Below are some advantages that make businesses consider working with a labour agency.
Quickly have qualified staff to replace those who are absent for a period of time due to sickness, leave, maternity or disability, sudden departure or unexpected demand. Businesses that want to expand and develop products but still want to keep the lowest staffing capacity, or businesses that are in the labour shortage but have short-term projects, seasonal, peak seasons to produce products/services that need a large number of employees.
Flexible in the strategy of using employees with many fluctuations in staff increase or decrease.
Reduce the load of recruiting jobs and other labour management and procedures.
Minimize and reduce salaries and management costs.
Reduce recruitment and training costs.
Reduce financial risks and obligations related to employees.
Through the recruitment and training of employees at the request of customers, a labour agency provides outsourced labour supply services to sign labour contracts with employees and then appoint employees to work for customers as part of their workforce for the contracted time. The agency labour will maintain the relationship between the employer and the employee. These services will be suitable for businesses that need employees but want to keep free of HR activities, reduce the cost of hiring, maintaining and can focus on core activities. In Navigos Search, we help businesses with executive search and RPO services. To be consulted by Navigos Search, a leading executive search firm in Vietnam, please feel free to get in touch with us by filling the form in the contact page or visit us on floor 20, e.town Central Tower, 11 Doan Van Bo, Ward 12, District 4, Ho Chi Minh.