HomeNewsPortions of British businesses became agency worker reliant
Portions of British businesses became agency worker reliant
April 27, 2019
While the vast majority of firms use agency workers to plug short term gaps, a large minority view them being a core an important part of their business design, in accordance with new research by the Resolution Foundation.
The Resolution Foundation argues how the government should be more conscious of this the main workforce, while firms themselves should rethink their approach in a tight labour market with lower migration.
The past ten years have observed a marked increase of greater than 40% in the agency workforce. Researchers have shown in excess of 800,000 agency workers along the UK. Understanding why firms go for this kind of worker is essential towards wider conversation about a changing playing field of work.
The Resolution Foundation survey reveals that a lot of firms using agency workers do it for traditional reasons for example filling gaps in staffing (46%) or for a last resort (19%). This is certainly in keeping with firms proclaiming that covering holidays and absence was obviously a key basis for using agency workers, which had been cited by 43% of firms as one of their premiere factors behind hiring agency workers.
The Foundation also saw that firms overall avoid agency workers being a cost device, by having an identical 29% believing they’re cheaper or maybe more expensive than direct employees.
However, an important volume of firms (34%) seems to be using agency workers more strategically to fill plenty of posts as possible and particular parts of their workforce.
Firms that will be heavily just a few agency workers were prone to have a strategic approach and firms that have increased their using agency workers nowadays were 1 / 3 more prone to use agency workers strategically.
In tighter labour flip it is unsurprising that one-quarter of firms indicate they decide to boost their using of agency workers over the next several years, and also half be ready to maintain current levels. However, as employee jobs with better rights be more available, and migration levels fall, companies that rely heavily on agency workers needs to rethink their business models urgently.
Lindsay Judge, Senior Policy Analyst on the Resolution Foundation, said:?“Demand for agency workers grew significantly in the last five years C particularly among firms who have used them to be a core section of their business and have absolutely become agency worker reliant. However with up to date data suggesting turn out to be in agency workers has tailed off, such businesses should find that they need to rethink their plans.
“Our survey of firms busts various myths. Agency employees are still used largely like a stop-gap measure. Nevertheless for an important minority of firms, costs, convenience and control all play a crucial part in explaining their reliance upon agency workers. With requirement for staff high, now is the time to your government that you follow through on its a reaction to the Taylor Review and end the abuse of agency workers’ rights.”