China outsourcing agencies

China outsourcing agencies

How to standardize the labor outsourcing industry?

Through the above summary, we can see that there are still many social insurance rights and interests in the employment mode under the current labor outsourcing situation. Therefore, the author suggests to regulate the labor outsourcing industry from the following aspects:

01 Raising the threshold for registered capital of labor China outsourcing agencies

For legal persons or other social organizations engaged in outsourcing services, a high standard of minimum registered capital should be set.

When the rights of laborers are infringed, especially after personal injury, labor disputes are often caused by high compensation fees. Labor service outsourcing units do not bear joint liability when labor dispatch and employer undertake joint and several liability. And the flexible employment model of labor outsourcing has led many outsourcing organizations to start their own business with only one office space.

Under this premise, if there is no guarantee of the legal person's property of the outsourcing organization, once the outsourcing agency runs the roadproblem, it will not be able to investigate the liability of the outsourcing organization. Therefore, it is necessary to increase the minimum registered capital of the outsourcing organization. The scale of the outsourcing project and the number of employees are levied on the margin to ensure the maximum amount of compensation for the labor dispute.

02 Strictly define labor outsourcing service projects

Because the main body of labor outsourcing is rather chaotic, from individual to corporate legal person and social organization can engage in labor outsourcing. Outsourcing projects are also varied. Just for human resources service companies, in addition to human resources job outsourcing such as recruitment outsourcing, file outsourcing, salary and welfare outsourcing, and training development outsourcing, human resources companies are also engaged in production outsourcing and labor dispatch. Other industries, such as consultants, can be described as mixed operations.

However, the essence of labor outsourcing is that the enterprise organizes and utilizes the external superior resources to achieve a management mode that reduces costs and improves efficiency, so that it can exert its core competitiveness. Generally speaking, it is to let professional people do things that they are not good at.

For example, many small and medium-sized enterprises rely on accounting firms for financial management. Similarly, they are also employed as outsourcing workers. It should be that the contracting entity uses its expertise in a certain field to contract projects that the contracting unit is not good at, but the mixed business model is very It is easy to appear big but not fine, but not specific. Therefore, it is necessary to adopt legislation to regulate the industry, and clarify that labor outsourcing is limited to the outsourcing of non-core business or post functions of enterprises, and strictly define the types of outsourcing projects, especially individuals as contracting entities, which are not too much compared with corporate legal persons and other organizations. Many advantageous resources should strictly limit the types of outsourcing projects, and it is strictly prohibited to cross-industry cross-type outsourcing.

03 Strengthening the supervision of the qualifications of labor contracting contractors and employees

Due to the large number of industries covered by labor outsourcing projects, especially for the outsourcing of production projects of labor-intensive enterprises such as manufacturing, contractors should have corresponding contracting qualifications, wage quality and safe production conditions in order to be allowed to engage in contracting operations.

At the same time, an annual contracting system for contracting qualifications should be established. Once the qualification of the contracting unit is revoked by the administrative organ, the enterprise shall terminate the labor outsourcing contract in a timely manner. However, the qualifications of employees in labor outsourcing should also be clearly defined. Since the nature of labor outsourcing is to give full play to the professional advantages of external resources, there should be a clear standard for its professionalism, especially in the financial and IT industries. Labor outsourcing, the professional requirements for employees are relatively high, and must have relevant industry qualifications to be able to carry out labor outsourcing operations.

04 Standardize the way social insurance contributions are paid by labor outsourcing agencies

Article 18 of the Interim Provisions on Labor Dispatch stipulates that: if a labor dispatching unit dispatches laborers across regions, it shall, at the place where the employer is employed, be a worker who is dispatched to participate in social insurance, pay social insurance premiums according to the regulations of the place where the employer is located, and be dispatched to work. Those who enjoy social insurance benefits in accordance with state regulations.

As an independent management, labor service outsourcing organizations can only choose to pay social insurance at the place where the company is registered. Due to the current fragmentation of social insurance policies, various insurance payment and treatment payment standards have led labor outsourcing institutions to engage in economically developed areas. Outsourcing management, the issue of paying social insurance for workers in underdeveloped areas is frequent. Although it has achieved the effect of implicitly reducing the cost of labor, it also harms the interests of workers, and the fairness of social insurance is gone! Therefore, through the improvement of legislation, labor service outsourcing agencies refer to the labor dispatch mode when paying social insurance, and pay for the insurance in accordance with national and local standards in the actual employment location, and enjoy social insurance benefits according to state regulations.

05 Improve the flexible payment mode of social insurance

Due to the diversification of labor outsourcing labor mode, labor outsourcing practitioners have broken the traditional way of working in working hours and activities. Freelance workers have begun to expand their labor service outsourcing as a new form of business.

Compared with the traditional methods of employment, freelancers are more mobile, it is difficult to sign labor contracts, and there is no labor relationship management. The most typical representative is the laborers who work on orders and micro-businesses on the Internet platform. The other category is laborers with strong mobility, represented by express delivery, food delivery, wedding, home improvement and other industries.

The "Opinions on Doing a Good Job of Employment and Entrepreneurship in the Current and Future Periods" promulgated by the State Council in April 2017 proposed that emerging business practitioners cannot sign labor contracts, and can participate in pension and medical insurance as flexible employees, and explore flexible employment. Unemployment and work injury insurance protection methods for personnel.

However, the "Opinions" are only mandatory for new business practitioners to be insured according to the status of flexible employment. It is not mandatory, but from the perspective of the probability of social insurance risks and the full coverage of the social security system, the mandatory characteristics of social insurance should be brought into play. By including all of them in the social insurance system, it is possible to improve the legislation and require individuals to be the mainstay of labor outsourcing, and should participate in pension and medical insurance in accordance with the status of flexible employment.

For laborers engaged in express delivery, food delivery, wedding, and home improvement labor services, in order to protect the rights and interests of work-related injury insurance, the construction industry may participate in the work-related injury insurance model according to the project, and the contractor shall pay the work-related injury insurance for the workers based on the total operating income.