What are the benefits of employees leasing?

Employee leasing is a type of business strategy that includes a client company transferring certain employees to another company, which in turn rents the same employees back to the subscription client. Although this approach is somewhat similar to the use of the employment agency for employment slightly in terms of the duration of the time when employees are rented to the client. It is usually planned that the arrangement will be more or less permanent, while the change can be made at any time for employment agency. For employees leasing they have a number of advantages, most of which are financially. This is the responsibility of the leasing company itself, because these employees are associated with the company and not with the client. By transferring these clients to the leasing company and then rents them back, client releases sources that would otherwise be spent on providing sick days, holiday time and health insurance, among other things, common benefits.

Another reason for using an agreement on employee leasing is to avoid the need to collect and pay taxes for the persons involved. Given that these employees are technically employed by a leasing company and not a subscription by a client, the company is responsible for the management of the payroll, the treatment of deducts and reporting activities and paying taxes to the relevant tax agencies. This will save the subscription to the client a large amount of time and resources in terms of maintenance of accounting books.

The third advantage of using employees leasing is that if a leased employee is sick or otherwise unable to report to work, the liability of the leasing company is to provide a temporary compensation. This means preceding the client does not have to pay overtime to another employee to cover basic tasks or ask his employees to double and take care of what the rented employee would normally manage. By providing this advantage, it helps to access employees leasing to ensure thatbusiness was as usual, even if the rented employee will not be able to get for one or two days.

Although it is true that employees leasing usually requires a payment of a leasing company that is greater than a salary or wage that would otherwise be paid to this employee, savings in terms of packages and time spent on accounting processes easily compensate for this difference and allow the client to actually save money in the long run. Using a leasing strategy for various functions such as wages and general accounting, human resources or even risk prevention and loss of duties involved in the direct employment of this individual. The final result is that both companies benefit from the agreement, while the rented employee knows that if the assignment ends at once, there is a great chance that the leasing company will find more or less permanent position with another client as quickly as possible.