Advantages and disadvantages of labor dispatch

Advantages and disadvantages of labor dispatch are as follows:

Benefits:

1, high flexibility: labor dispatch allows employers to flexibly adjust the number of employees and working hours as needed, without taking the risk of layoffs or recruitment.

2. Cost reduction: The dispatching company is responsible for paying the wages and benefits of employees, and the employer only needs to pay the service fee to the dispatching company, which can reduce the labor cost of the employer.

3. Optimize human resources: Employers can flexibly adjust the number and skills of employees according to business needs, while dispatching companies can provide professionals in different fields to meet the needs of enterprises.

4. Avoidance of risks: Employers can avoid some legal risks by sending companies to handle labor disputes and work-related injuries of employees.

Disadvantages:

1, lack of stability: Labor dispatch employees sign contracts with dispatch companies instead of directly signing contracts with employers, which makes employees lack stability in their future work arrangements.

2. Loyalty is difficult to cultivate: because employees do not work directly for employers, their loyalty to the enterprise may be low, which will affect the construction of corporate culture and the stability of the workforce.

3. Potential communication barriers: Due to the lack of direct communication between employees and employers, there may be problems such as poor information transmission and misunderstanding.

4. Unclear legal responsibility: In the process of labor dispatch, sometimes the responsibility between the employer and the dispatching company is unclear, which leads to an increase in legal risks.

The difference between labor dispatch and labor outsourcing;

1. Different applicable laws: labor contract law applies to labor dispatch, and civil code applies to labor outsourcing.

2. The responsible subjects of labor management are different: the employees of the labor dispatch unit must work according to the labor organization form and working time arrangement determined by the employing unit. In labor outsourcing, the contracting enterprise does not directly manage the employees of the labor contracting unit, and its work organization form and working hours are determined by the labor contracting unit itself.

3. Different expense settlement methods: labor outsourcing is generally settled according to the pre-determined labor unit price and the workload completed by the labor contractor, and the contracting object is generally "things". Labor dispatch is generally based on the time and cost of dispatch, and the expenses are settled according to the number of people dispatched as agreed. The object of contract is generally "person".

4. Different legal consequences: in labor dispatch, if the dispatched workers are damaged, the labor dispatch unit and the employing unit need to bear joint and several liability for compensation according to the Labor Contract Law. In labor outsourcing, the contracting unit and the contractor assume rights and obligations according to their contracts, and the contracting unit is basically not responsible for the employees of the contractor.