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My friend from Europe explained that this is how companies get around labor laws (for example, laws that restrict the number of hours a given employee can work)
by president 8y ago
My friend from Europe explained that this is how companies get around labor laws (for example, laws that restrict the number of hours a given employee can work). Companies essentially hire contractors who are paid higher wages which results in fewer actual positions hired by the company. Now there are fewer positions hired directly by the employer so in-effect, the labor laws haven't impacted much. At least that's how he explained it to me.
- falcor84 8y agoI don't understand. What you're describing is individual contracting, no? The comment above described contracting a company with employees. These employees would than drop be bound by the labor laws.
- president 8y agoTo my understanding it happens with both individual as well as company based contracting. Unsure which is more prevalant though.