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You’ve read it before, but the nature of the modern workforce is changing and it’s changing fast. Nowadays, most companies, whether a Fortune 500 firm, a gritty start up, or a mom and pop, will employ third-party contractors to perform any number of essential business tasks.
In many respects, the U.S. is leading the way. The U.S. contractor labor force numbers anywhere between 10 and 20 million workers. And those numbers are growing fast. There are some projections that show that within the decade, the contractor labor force will account for a whole half of the U.S. labor force.
The allure of third-party workers to help host companies maintain their critical production facilities and assets is pretty clear. Host businesses achieve lower internal labor costs, more flexibility, especially without having to directly oversee management.
But companies who think that they can quickly onboard new contractors and easily achieve critical business benefits are living in a fantasy realm. Developing that kind of cooperative, productive, maximally-profitable relationship with a contractor will take plenty of time, effort, and planning. Not looking to put in the effort? Things can get much worse. The cost of a bad contractor relationship, high fines and even jail time for companies whose contractors flout work health and safety regulations.
Even the companies who want to invest in a solid contractor relationship might not have the internal personnel and experience. Good intentions aside, those companies will still risk losing time, money, productivity, and even eroding their core safety culture(s). Don’t compromise your business model. Instead, start building up your contractor relationship management competency by adopting these seven steps:
For those not trained as work health and safety experts, regulations governing the relationship between host business, contractor agency, and contractor can be difficult to comprehend.
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