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Relying extensively on temp labor is just short sighted and unethical on so many levels. You spread terrible morale throughout your workforce and create high worker disengagement and even active disengagement, you have high turnover and keep loosing institutional knowledge, your company looks despicable and develops a bad reputation, as I mentioned the legality is eventually going to be addressed. You basically have a workforce that has no stake in the company and doesn't give a crap about it. They may not be openly malcontent but you can be assured that is what is in their mind.
The last place I worked was a permatemp house. Half their team including their actual employees quit, morale their was terrible, it is very damaging to the profession as the net is flooded with people like me advising people not to persue science as a career and the prospective students see the job ads wanting to pay $12 an hour. It is just toxic.
Permatemps in the professional workforce do lead to a demoralized, disconnected workforce. It makes perfect sense in production, where many corps experience wild seasonality (I've seen 70% of annual volume in 6 months; 30% in other 6, so logically you use temps to ramp up, and staff enough to deal with the 30% off half year). But these same corps experience little difference in workflow in the office, as the office is planning for the boom 6 months during the offseason. For that reason, professional permatemps en masse do demoralize IMO the entire office. Corps who use too many, inevitably I have seen, experience more involuntary professional turnover on positions they do not want to permatemp. They deserve those results, too.
For that reason, professional permatemps en masse do demoralize IMO the entire office. Corps who use too many, inevitably I have seen, experience more involuntary professional turnover on positions they do not want to permatemp. They deserve those results, too.
I definitely saw that at my last job, At least half the department quit on them [several of which were employees] and the place was a morale disaster.
This happened in a company I worked right out of collage. They hired a new manager and she made everyone's lives so miserable they all end up quitting. We end up with bunch of temps who could care less with was happening with the company. I was the most senior and last to walk out. She is still there.
Corporations have more responsibilities than to simply make money
Other than obeying all laws and regulations, no they don't.
But I wouldn't advise permatemps on positions requiring education and substantial training, as while it is legal, the issue becomes diminished long-term returns to the corp.
Temp labor is going to be a real growth area in the years to come. I have family and friends in both engineering and IT. Lots of 3 and 6 months contracts wages can be good or bad depending on projects and city ect. They are temps just better paid temps. As years pass you will see more and more use of permatemps contract workers for higher end white collar work. They will use even more old school temps in the future. For your middle and lower end white collar work Kelly services manpower and the like. Business wants just in time labor that is the way things are going. They do not want the cost of long term workers. So you will see a small group of full timers with contract workers temps with all kinds of skill sets. Full time workers will make up a much smaller part of the labor market then they do now. It will take some years but it will happen.
Temp labor is going to be a real growth area in the years to come. I have family and friends in both engineering and IT. Lots of 3 and 6 months contracts wages can be good or bad depending on projects and city ect. They are temps just better paid temps. As years pass you will see more and more use of permatemps contract workers for higher end white collar work. They will use even more old school temps in the future. For your middle and lower end white collar work Kelly services manpower and the like. Business wants just in time labor that is the way things are going. They do not want the cost of long term workers. So you will see a small group of full timers with contract workers temps with all kinds of skill sets. Full time workers will make up a much smaller part of the labor market then they do now. It will take some years but it will happen.
The question is will the govt step in and put some guidelines in place. The one good thing about the ACA is at least the agencies will have to provide acceptable health insurance.
Also do companies want to keep losing institutional knowledge and have high turnoever, not to mention a staff that really has no reason to give a crap about the company.
Companies use to care about things like institutional knowledge. Making sure their technology was not stolen looking after your customer. These are all things of the past it is only about this quarter's profit nothing else. The CEO will be long gone before worker turnover become an issue. He got his big payday that was all he was worried about. The shareholders got their gains this quarter. Wall street is always happy when you cut labor cost. Long term years down the road nobody cares. I mean they have flooded sciences with temps. All the while crying for more visa workers so they can flood it even more. To top it all off the government saying they want more STEM grads so they can drive wages even lower. Mark my word this will happen. Now these are people with skills in theory will need for good of the nation. So what do you think will happen to everyone else? Business wants cheaper labor much cheaper in most cases. Temps are great for all the jobs you can not offshore. The government will do nothing they are bought and paid for by big business both parties. Americans could care less if 70% of jobs end up part time temp or contract. As long as it is not their job. They are special they have skills. It will never happen to them.
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