We can all appreciate finding a simple answer to a complex problem – and some large users of temporary and contract labor believe they have discovered a panacea for co-employment liabilities; namely instituting length-of-stay policies. The theory being that if you push temporary workers out the door after a specific time period, say six months or a year, then you enjoy relief from the risk that they might be found to be your employees and thus eligible for fringe benefits you only intended for your regular employees.

There is no arguing that some level of co-employment liability rests with every end-user into whose offices temporary and contract labor are sent to perform their work. The client does exert control over their facility, their staff and their managers who interact with contingent workers. They are expected to provide direction regarding the tasks that temporary labor is brought in to perform.

We have seen many organizations minimize co-employment risk with a strong dose of common sense and consistent process management without applying artificial limits to contingent assignment limits which can be almost impossible to enforce. The question this white paper explores is, “Do such policies work, and if not, what does?”

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