The Staffing Edge Blog

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How Workforce Compliance Errors Can Cause Major Trouble

Posted by Ray Gonder

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Feb 21, 2018 9:00:00 AM

How_Workforce_Compliance_Errors_Can_Cause_Major_Trouble.jpgRules are important to businesses all over the world. Without governing regulations, the Canadian marketplace would be in shambles. Rules help to keep companies running fairly and honestly, benefitting both business owners and employees.

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With rules come great responsibilities (and even greater penalties). Make sure you understand and follow all workforce compliance regulations. If not, it could mean the end of your business.


WSIB

As a staffing agency, it’s important for you to ensure your clients are abiding by workforce compliance before you begin placing candidates there. One of these areas is in accordance with the Workplace Safety and Insurance Board.

If a candidate you placed is injured on the job and you could’ve identified your client’s WSIB discrepancies ahead of time, you may be held responsible for the injury. To avoid this situation altogether, it’s essential you take the necessary precautions ahead of time to prevent workplace injuries. You can confirm this by:

  1. Clearly identifying the worker’s roles and responsibilities,
  2. Confirming the candidate has the proper training or scheduling necessary orientation and training for them, and
  3. Reviewing your client’s workplace policies and procedures.

It’s crucial that, before you place any candidate, they have thoroughly reviewed their role, the workplace manual and rules, and the workplace harassment, violence, and health and safety policies.


Misclassification

Placing a new candidate, or changing the duties of an existing worker, raises that dreaded question—are they an employee or an independent contractor? Far too few people know the difference between the two, and a workplace compliance mistake of this magnitude (no matter how unknowingly committed), could mean serious trouble for your company.

Misclassification may not seem like a big deal, but it is considered tax fraud and a punishable offence. Since employers are only required to deduct EI, CPP, and tax deductions for employees, some companies try to pass off their employees as independent contractors to avoid paying the requirements and administrative hassles of payroll.

How can you tell the difference between the two kinds of workers? Thankfully, the government has released a four-point system to determine the status of a worker and prevent worker misclassification.

  1. If the employer has control over the project, the worker is an employee.
  2. If the worker stands to make a profit or loss, the worker is an independent contractor.
  3. If the worker has no control over where and when the project is done, the worker is an employee.
  4. If the worker must provide their own tools, the worker is an independent contractor.

Still unsure how to properly classify workers to abide by workforce compliance regulations? This is one mistake you can’t risk making. If you still require further explanation, a back office solutions provider can assist you with your workforce compliance questions.


Diversity

Why is diversity essential in the workplace? Because it’s 2018.

Creating equal opportunities is a fundamental building block in Canada’s identity. In 1995, Canada implemented the Employment Equity Act. This act aims to create equal employment opportunities for four designated groups:

  1. Women,
  2. Visible minorities,
  3. Indigenous Canadians, and
  4. Individuals with disabilities.

In this act, Canadian employers and staffing agencies are responsible for eliminating obstacles that may inhibit these four groups from entering the workforce.

Acts of discrimination in the workplace are strictly prohibited under the Canadian Charter of Rights and Freedoms.

If your business is reported to be disobeying the Employment Equity Act and Canadian Charter of Rights and Freedoms, you will be assigned an employment equity compliance review officer who will perform a compliance audit of your company.

Your company may be fined up to $10,000 for a single workforce compliance violation and up to $50,000 for multiple violations.

These are just some of the examples of how workforce compliance errors can cause you major trouble.


Everything You Need to Know about Starting a Successful Staffing Firm

Topics: Back Office Service Provider

Can Your Firm Benefit from These 7 Back Office Support Services?

Posted by Shannon Dowdall

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Feb 19, 2018 9:00:00 AM

Can_Your_Firm_Benefit_From_These_7_Back_Office_Support_Services.jpgYou could be holding your staffing agency back from success. Why? You’re hesitant to recognize the benefits of partnering with a back office solutions provider.

Whatever your reasons, whether you think you can manage on your own or you’re trying to cut back on costs, you’re making a grave mistake. With all the benefits that accompany back office support, you could be costing your firm a great deal of time and money by avoiding this hassle-free option to relieve yourself of some of the day-to-day stresses of managing a staffing agency.

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You have so much to benefit from with these seven back office support services. Why wait?


1. Expertise on the True North Strong and Free

Taking the leap to expand business into Canada is a big decision not to be taken lightly. While the United States and Canada share some similarities, the differences between the two countries are still great.

Navigating the Canadian legal system and economy is hard enough for people who have lived in the country their whole lives. As such, if you’re considering branching out into Canada, taking on new clients, and sourcing Canadian candidates, it’s in your best interest to seek out back office support.

A Canadian expert can advise you on all the ins and outs of business within Canada, to help you hit the ground running with your new business venture.


2. Payroll Administration

Are you constantly confused how to calculate EI and payroll taxes? And how does the whole paid vacation thing work? If you agree with these two statements, your staffing agency can certainly benefit from a back office support services provider.

By handing over your payroll administration responsibilities, you’ll never have to worry again whether your employees are being paid properly—the answer will always be… Yes!


3. Compliance

From WSIB standards to classification, there’s a lot to comply with. So much so that it can seem altogether overwhelming at the best of times. A back office support provider will help you effectively manage and navigate the ever-changing legal system. You can focus on recruiting while your back office partner focuses on compliance.


4. Financing

If your business has gone through some hardships over the past couple months, your employees and placed candidates still need to be paid. Financing back office support gives you the option of having a third party pay your employees and candidates. This eliminates the fear of not having enough money in the bank come payday.

Both your employees and the CRA will thank you!


5. HR

Pursuing a career in recruiting means you’re dealing with candidates day-in and day-out. While you might think this makes you the perfect person to hire your own employees, you’re often too close to the cause to make unbiased decisions. Using a back office solutions provider gives you the perfect opportunity to have another agency hire on your behalf. Let them deal with the hiring and firing, along with many other human resources tasks.

You know better than anyone the importance of hiring a recruiter, why aren’t you following your own advice?


6. Technology

An effective CRM and ATS can make or break a staffing agency. These programs help you manage your clients and candidates in an effective way to help you maximize efficiency. One of the best back office support services you can take advantage of is software that can make your job so much easier. You can never be too organized.


7. Vendor Referrals

One of the frequently overlooked benefits of partnering with a back office solutions provider is the ability to benefit from its ties in the industry. Through preferred vendor referrals, your company can save money with various other businesses, simply through your back office partnership.

Who doesn’t love saving money on common expenses for all staffing agencies? From marketing to insurance, saving money just got easier.


Things You Need to Know When Starting a Temp Staffing AgencyThings You Need to Know When Starting a Temp Staffing Agency

Topics: Back Office Service Provider

Why Some Staffing Firms Resist Asking for Back Office Support

Posted by Corinne Camara

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Feb 16, 2018 9:00:00 AM

Why_Some_Staffing_Firms_Resist_Asking_for_Back_Office_Support.jpgYour staffing firm is really starting to take off! You’ve nearly doubled your list of candidates, have picked up several big-ticket clients, and have enough experience in the field to start competitively raising your rates. You feel really good about your business, and yet, something is amiss.

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You’re spending all your time working on the back office tasks, which feel like they are increasing at an exponential rate. You’re, spending less and less time out on the front lines, drumming up more business. You know you can grow your organization into something great—if only you had the time.

You’ve heard about some back office support firms, but you’ve always been wary of the idea. Turning over important parts of your business to strangers? What if things start to go wrong? Still, business is booming, and now just might be the time to take the chance...

Here are some reasons why staffing firms resist asking for back office support, and why it’s time you considered it for your business.


No Time to Learn!

Often, the main reason getting support has been put off is because the person in charge has no time to do the research and ask the questions. The small tasks are piling up faster than they can be managed. Even though it would only take a few minutes to get a sense of how a back office support could help, that’s precious time that needs to be used elsewhere.

The only answer to this quandary is to take the plunge! Give up some time on your “administrative day” to do the research and take back your week to dedicate to growing your company.


The Cost

What’s the point of making more money if you just have to pay it out to a support service that manages the administrative details that come with making more money? Better to stay small and self-manageable, right?

For some, sure, that’s probably a viable option. But even small staffing firms will grow with time, and without the administrative support, you may end up in the same situation—and find your company unable to go on.

Besides, the cost of hiring back office support is never going to be more than the time they give back in freedom to chase new leads and develop your business. And when that new business requires more admin support—you’ve already got it!


Fearful of Handing over Control

Most often, admin support is really about the money. Chasing invoices and paying your employees—those two tasks alone can eat up all your time. But handing them over to a third party feels like giving the keys to your house to a stranger.

Any quality back office support solutions provider knows this feeling well and can ease your concerns. These are skilled organizations, well-versed in the ever-changing realm of governmental policies and market fluctuations. They know how to be flexible. In the end, it’s worth it to give them your trust and gain access to their expertise for a chance to compete with the biggest staffing firms.


I’ve Got My Own Technology...

If your staffing agency has been around for a while, odds are you have your own technology to help you manage your administrative tasks. You’re able to stay on top of everything that needs to be done and everything runs smoothly.

With the help of a back office support provider, however, you’re ready for when things don’t run smoothly. You can keep ahead of the curve when it comes to new technology, and you will always be leading.

There are many reasons staffing firms avoid using back office support providers; however, if your agency can overcome these concerns, worries, and time-sucks, you’ll find that your business not only grows but positively booms!


Starting a Staffing Agency

Topics: Back Office Service Provider

3 Ways Back Office Service Providers Increase Staffing Agencies’ Productivity

Posted by Anna Mastrandrea

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Feb 14, 2018 9:00:00 AM

3_Ways_Back_Office_Service_Providers_Increase_Staffing_Agencies_Productivity.jpgWith the new year’s hiring season under way, staffing agencies need to kick-start their productivity. One of the best ways to optimize productivity levels is to tighten up your agency’s best practices. With every new year, you should be reviewing your best practices and replacing outdated strategies to ensure your recruiters can do their best work.

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One sure-fire way to improve several of your staffing agencies’ best practices that affect productivity is to secure a relationship with a back office service provider that specializes in helping agencies streamline their daily operations. Curious about how exactly such providers can accomplish this?

Check out below for three significant ways back office service providers increase your productivity by employing specialized expertise and technology in your agency.


1. Reducing Admin Busywork

Administration is arguably the most ungainly portion of staffing agencies’ responsibilities. All of the day-to-day drudgery such as payroll, compliance, and bookkeeping is integral to your operations. At the same time, all these admin tasks are a massive drain on your core business responsibilities like sourcing promising candidates and placing them with your clients quickly.

Considering that just sourcing candidates alone is one of the top challenges agencies are facing this year, you need to save and maximize your salespeople’s time. If your agency is growing fast, then it’s imperative you seek back office support. Otherwise, you’ll find your agency practically drowning in paperwork.

When you outsource your admin tasks to a service provider that employs admin experts and develops cutting-edge software to automate time-consuming processes, your productivity will begin to climb. One of your best practices for 2018 should be to minimize busywork.


2. Keeping Payroll and Financing in Check

Whether you’re a new agency or not, we can all agree that making sure payroll is processed on time and according to the right rates is important. A lot of time and effort will go to waste arguing with candidates if payroll is mishandled or withheld because there’s no financing infrastructure in place to ensure your agency and your talent are taken care of.

Back office service providers offer a range of tools to help you keep payroll accurate and on time, every time. A service provider will give you the ability to run credit checks on prospects, making certain you’re making the right decisions regarding clients. Providers also offer payroll financing, offering a bank account with receivables insurance that will help you pay all workers according to your schedule. All branded invoices, government remittances, and collections are handled by the provider as well.

The result is no more headaches and split focus about whether you’re balancing the books. Once you have your payroll and capital in order, you’ll be ready to unlock a lucrative revenue stream with contract staffing.


3. Optimizing Your Ongoing Compliance Measures

As of April 1, 2017, onward to March 31 of this year, the Ontario Ministry of Labour is conducting its annual round of workplace inspection blitzes. Such blitzes in recent years have been uncovering an increasing number of non-compliant bosses who have been failing employment standards and failing to pay their workers.

Many blitzes also catch newer staffing agencies by surprise as well, because Canadian provincial and federal legislation and regulations are constantly evolving. As of November, for example, the Fair Workplaces, Better Jobs Act has brought several updates to wages, standards, and laws.

Back office service providers are experts in Canadian compliance and will act as advisors who will keep you up to date on the latest changes to legislation and regulations. They also offer a guarantee that, in the rare chance that there are any misclassified independent contractors, they will assume financial responsibility for audits or penalties.

Your agency needs to focus on what it does best: sourcing and providing top talent. Outsource the tasks that weigh down your core business, and watch it grow with ease.


Competing with the BIG multi-national agencies?

Topics: Back Office Service Provider

What Major Changes Are in Store Now That Ontario Passed Bill 148?

Posted by Karen McMullen

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Feb 12, 2018 9:00:00 AM

What-Major-Changes-Are-in-Store-Now-That-Ontario-Passed-Bill-148---compressor.jpgBill 148 was passed on November 22nd bringing many changes to the Employment Standards Act effective January 1st, 2018. Also referred to as the Fair Workplaces, Better Jobs Act, 2017, this piece of Ontario legislation means big changes for Canadian companies and employees alike. 

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Learn how these changes will alter the Ontario staffing industry moving forward, and how you and your clients will be affected. 

Minimum Wage

The minimum wage increased to $14.00 per hour on January 1, 2018, and will increase to $15 per hour on January 1, 2019. The general minimum wage will then continue annual increases at the rate of inflation.   

Paid Personal Emergency Leave

All temporary workers who have been on assignment longer than one week are now entitled to two paid emergency days in a calendar year, for medical emergencies relating to the worker themselves or defined family members. Previously, the paid personal emergency leave was limited to workplaces with 50 or more employees. 

Temporary workers are also entitled to eight unpaid days of leave, for a total of 10 days per calendar year. While employers may request evidence reasonable in the circumstances from their employees to qualify for the leave, Bill 148 incorporated changes whereby employers can no longer require a letter from a certified health practitioner. 

Staffing agencies must be prepared to handle and track these changes and rights for their assignment employees.  Discussions with clients are needed to determine the costs associated with these new benefits and ensure master service agreements are updated accordingly.  

Does your staffing agency need helping managing all the changes associated with Bill 148? At The Staffing Edge, we have updated our systems to manage tracking of personal emergency leave days and billing options to clients. Let us help with the ever-changing legislation.

Statutory Holiday Pay

The statutory holiday pay calculation also changed effective Jan 1, 2018. The calculation is now based on the number of days worked in the pay period immediately preceding the statutory holiday. Most temporary workers will now receive a full day’s pay for public holiday payment under the new calculation method. Statutory holiday pay will be payable to everyone who works the week before the holiday or the week of the holiday. 

All staffing agencies will need to review current master service agreements with clients and discuss new changes and how the new costs will be distributed. The Staffing Edge has updated systems to streamline calculation of statutory holiday pay due to assignment workers under the new calculation.

Assignment Termination

The new legislation also affects assignment employees whose assignments need to be ended.   If you’ve committed to a temporary employee that their assignment will last longer than three months, but then have to end their assignment before the three months is complete, workers will be entitled to one week’s notice of their assignment ending.

It’s important to understand assignment duration and to clearly communicate with all temporary employees what you know about the assignment duration. Staffing agencies should be working with their clients to ensure they provide working notice where possible or have another placement immediately available to offer the assignment workers.   

Equal Pay for Equal Work

The equal pay for equal work clause, to take effect on April 1st, 2018, ensures that Assignment Employees are entitled to receive equal pay for “equal work,” meaning work that is substantially the same, requiring the same skill, effort and responsibility and performed under similar working conditions in the same establishment. This extends to all employees, including full-time, temporary, seasonal, casual, and part-time workers.

There are exceptions for differences in the rate of pay based on seniority, merit, systems that measure quantity or quality of production, and other reasons not based on the gender of a worker, such as, for example, skill-based differences.

Staffing agencies will need to work with clients to develop clear job descriptions for assignment employees.  Where clients’ full-time employees have different responsibilities and skills required in the work they do, these need to be clearly stated in their job descriptions also. This will help to determine if there are differences in the roles assigned to temporary workers vs full-time employees. 

Staffing agencies will need to educate clients that temporary workers will be able to request a review of their wages if they believe there to be a disparity. All clients will then have to work in cooperation to respond to these requests.

Is your staffing agency struggling to keep up with managing and tracking all the changes of Bill 148? Do you need help with managing all the back office pieces of the legislation? Let The Staffing Edge help your agency stay compliant and support continued growth by providing you the tools you need to succeed.

Competing with the BIG multi-national agencies?

Topics: Staffing Industry

The Solution to Staffing Agencies’ Biggest Challenges

Posted by Karen McMullen

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Feb 9, 2018 9:00:00 AM

The_Solution_to_Staffing_Agencies_Biggest_Challenges.jpgYou’re faced with new challenges every day in the staffing industry. From changing recruitment processes to competing with the big firms, some challenges may be an easy fix while there are others that may take up a great deal of your time. Thankfully, there are back office solutions providers that can provide the solution to staffing agencies’ biggest challenges.

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What kind of challenges are we talking about? Reflect on your day-to-day operations, and it’s likely that you’ve encountered major problems with these obstacles.


Financing

If you’re a staffing agency manager or owner, have you ever worried that there won’t be enough money in your bank account come payday? Whether a big client hasn’t paid their bill or you ran into an unforeseen expense that needed to be paid right away, there are many different factors that could leave you up a creek without a paddle come payday.

Not only does this reflect negatively on your company, it can also land you in some hot legal waters. The last thing you need is your employees looking for other places to work and taking legal action to acquire their paycheques—paycheques they’ve worked hard on your behalf to acquire.

When you outsource your financing to a back office solutions provider, you never have to worry about encountering this challenge ever again. A back office solutions provider will pay your employees from their bank account and pursue collections from stubborn clients on your behalf, all without you having to lift a finger. You’ll be invoiced directly from the provider, allowing you to pay your bill on your own time.


Compliance

In the staffing industry, there are so many rules and regulations that must be followed. Legally, it can be exhausting keeping up with all the latest developments. How can you effectively navigate one of staffing agencies’ biggest challenges? The answer is always to trust a back office solutions provider.

As legal compliance experts, back office solutions providers can advise you on all compliance matters related to the staffing industry. Wondering how to properly classify a temporary worker? Or what about safety training for your placed candidates, does that fall under your umbrella of authority and liability? With a compliance expert on your side, you get answers to these tough questions that could make or break the reliability of your company.

Can you really risk not partnering with a compliance expert? It’s always better to be safe than sorry!


Payroll

Payroll is a very specific process that needs to be completed accurately every time. If not, you could be audited by the CRA for tax evasion. Penalties for improper tax deductions can include hefty fines or even jail time.

As one of staffing agencies’ biggest challenges, payroll is also time consuming, especially if you don’t know what you’re doing. Avoid all the fuss by outsourcing your payroll—an easy solution. With a back office solutions provider completing your payroll-related tasks, you are guaranteed that everything is done properly. Not only does it relieve some of the stress of your job, but it will also provide you with some much-needed free time to get back to focusing on recruiting.


One Solution. One Back Office Solutions Provider

It’s clear that the majority of staffing agencies’ biggest challenges can be solved with the help of a back office solutions provider. They’re efficient, equipped with expert knowledge, and let you focus on your core business.

Still not convinced? Get in contact with a provider today and see how your business can benefit from back office solutions.


Competing with the BIG multi-national agencies?

Topics: Back Office Service Provider

3 Ways Back Office Solutions Will Power Your Company’s Growth

Posted by Chelsea Henry

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Feb 7, 2018 9:00:00 AM

3-Ways-Back-Office-Solutions-Will-Power-Your-Company’s-Growth---compressor.jpgIf you’re a keen entrepreneur, business growth is no doubt on your agenda. Whether new or old, your business has the potential to unlock exciting new revenue streams and promote growth—you just need the right plan. A detailed strategy will allow you to approach the growth strategically and compete with the big dogs in the staffing industry

If you’re not sure where to start planning for your company’s growth, the first step should always be to utilize the services of a back office solutions provider. Here’s why.

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1. More Time to Focus on More Important Tasks

Recruitment is demanding and stressful. Not only are you focusing on recruiting clients and candidates, but you’re also juggling compliance, training, payroll, contract administration, and so much more. That doesn’t leave you with much time to focus on your core business. Luckily, there are back office solutions that can help alleviate your administrative tasks and let you focus on what you actually entered the staffing industry to do—recruit. 

Not only are you juggling a million different tasks, but you’re expected to complete those tasks in record timing. Now, more than ever, clients are expecting qualified candidates to be produced almost instantaneously. With more time to focus on recruiting, you’ll be able to dedicate the majority of your efforts to talent hunting, allowing you to meet faster turnaround time expectations. Maximized efficiency keeps your clients happy and increases your chances of gaining a return client—outsourcing is a win-win.

2. Greater Organization

If you don’t have an updated applicant tracking system, sifting through candidates can be a timely and tedious process. High-quality back office solutions providers will provide you with access to propriety software, which will make tracking and searching your applicant pool significantly easier.

In addition, you will also have access to a client relationship management system will help you organize and keep track of your communications. Nothing is worse than asking your client the same question over and over again because you haven’t properly stored the information. With a client relationship management system, you can keep track of all your client communications and information. This will allow you to come off as professional in every correspondence you have, improving your client relationship and paving the way for future business transactions.

3. Expansion

Expansion is a natural part of business. If you’re looking to grow your staffing agency and enter the Canadian market, the best plan of attack is to start with a back office solutions provider.

Setting up shop in a new country can be extremely difficult. The first step is to establish an administrative presence, then apply to the government for a business number. The paperwork is lengthy and confusing to understand. If you’re not already familiar with the process, it can be an absolute nightmare.

Once you’ve established your company, you then have to worry about Canadian taxes, payroll legislation, and simply navigating the Canadian landscape. It’s a lot to manage, and if you’re already busy with getting a new company off the ground, managing these additional tasks can be exhausting.

When you access back office solutions services, you’re not only gaining the compliance expertise of individuals who have been in the industry for years, but you’re also helping to properly establish your company in a positive light. Canadians are a rare breed—do you know how to appeal to the average consumer? If you haven’t already dedicated hours to mastering the current economic landscape, your business could wind up being a flop. Always do your research, which starts with finding a back office solutions provider.

Competing with the BIG multi-national agencies?

Topics: Back Office Service Provider

5 Top Back Office Services for Staffing Agencies in Canada

Posted by Mai Dowdie

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Feb 5, 2018 9:00:00 AM

5-Top-Back-Office-Services-for-Staffing-Agencies-in-Canada---compressor.jpgToo often, the workload can be overwhelming when you own a staffing agency. You want to dedicate more of your hours to recruiting, but you always seem to get caught up in administrative tasks—sound familiar? Fortunately, there are back office services for staffing agencies that can provide you with the solutions you need.

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How can your staffing agency benefit from a back office solutions provider? Keep reading to discover which tasks you can outsource.

1. HR Administration

As a recruiter, you know that HR is so much more than just hiring employees. HR-related back office services for staffing agencies can include anything from WHIMS training to employment contracts. Your main priority should be recruiting top-quality candidates for your clients, not worrying about the administrative tasks that come with each new hire.

Instead, get the best of both worlds by outsourcing your HR administration to a back office solutions provider.

2. Invoicing & Collections

When communicating with your clients, you want all correspondence to be carried out with the utmost professionalism, concurrent with your staffing agency’s corporate branding.

When work becomes busy, many companies have a habit of neglecting their invoicing and completing it in a hurry, which can lead to mistakes and an overall sloppy presentation.

Outsourcing your invoicing to a back office solutions provider ensures a presentable, error-free invoice every time, helping to situate your company positively in the minds of your clients.

Once the invoice goes out, you then have to ensure the client pays the bill. If you’re already busy, you definitely don’t have the time to chase down your clients. A back office solutions provider will act as a collections agent on your behalf, getting you the money you’ve earned.

3. Payroll

One of the most commonly used back office services for staffing agencies is outsourced payroll. If you’re unfamiliar with payroll practices, it can seem like a whole other world. Does it make your head spin just thinking about tax deductions and vacation time? You’re not alone; many people find the payroll process overwhelming and confusing.

While payroll may be difficult to manage, there is also little to no room for error, which makes the process that much more challenging. Your temp workers need to be paid on time in the right amount every time, or you could end up in serious trouble—effective payroll management is key in this area. If you’re not willing to take the risk, this is one of the back office services for staffing agencies you don’t want to miss out on.

4. Compliance

Mastering the Canadian legislative requirements necessary for staffing firms isn’t something you can learn in one day. It comes from years of industry experience, coupled with an insatiable thirst for knowledge. While you likely don’t have the time or the energy to know all the ins and outs of all the relevant Canadian laws applicable to the staffing industry, you can always turn to a back office solutions provider for assistance.

Working with compliance experts, you never have to worry about crossing into grey legal territory and risking the wellbeing and reputation of your business.

5. Industry-Leading Technology

In today’s tech-obsessed professional landscape, it’s important to stay on top of software that can improve your daily processes. The best back office solutions providers will offer access to software solutions that can save you time and money.

Some of the programs you can benefit from are applicant tracking systems and client relationship management systems, which will help you organize your recruiting processes and allow for faster turnaround time.

With all that you have to benefit from back office services for staffing agencies, why wouldn’t you consider outsourcing?

Things You Need to Know When Starting a Temp Staffing Agency

Topics: Back Office Service Provider

5 Must-Know Staffing Industry Trends for 2018

Posted by Corinne Camara

|

Feb 2, 2018 9:00:00 AM

5-Must-Know-Staffing-Industry-Trends-for-2018---compressor.jpgSo far, 2018 is off to a great start. While you might be feeling comfortable now, one thing you know about the staffing industry is that it’s constantly changing. In the upcoming months, you’re likely to see some changes to recruiting, the candidate market, and more.

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How will the most popular staffing industry trends change the game? Keep reading to find out how your agency can stay ahead of the trends and make 2018 your year!

1. Independent Contractors on the Rise

There are many perks of working as an independent contractor. From setting your own hours to working in your sweatpants, many people have begun to favour this lifestyle over the convention nine-to-five workday. In fact, 69 percent of workers prefer to work as independent contractors.

As a staffing agency owner, it’s more important than ever that you master how to differentiate between independent contractors and employees. You’ll also need to learn how to properly set up payroll for any independent contractors you place—no tax, EI, or CPP deductions necessary.

If you’re still not 100-percent sure how to go about classifying and paying independent contractors, don’t worry, you’re not alone. It’s a common problem among staffing agencies, which is why back office solutions providers are available to help.

2. Mobile-Centric Application Forums

In 2016, 78 percent of millennials searched for jobs from their cellular devices. As mobile becomes the most commonly used device for searching the web, it only makes sense that this would translate into all aspects of internet usage—even applying for jobs.

Of all the staffing industry trends, recruiters will really need to evaluate how they’re attracting top talent. Are you optimizing your recruiting strategies for mobile job applicants? If not, you could be missing out on qualified candidates.

During this first part of 2018, make sure you analyze how you’re appealing to individuals on mobile devices and how you can optimize processes. If you master the art of mobile recruitment, you’re sure to see stellar results throughout the duration of the rest of the year.

3. More Positions in Tech, Physical Labour, and Healthcare

With an increase in technology comes the loss of many jobs. Fewer people are required to work at restaurants with the introduction of the digital server. Likewise, fewer factory and industrial workers are required as more and more assembly lines become automated. Where the demand for workers comes in is for jobs that can’t be automated.

Positions in the tech, physical labour, and healthcare fields will continue to see an increasing demand in 2018. It’s one of the top staffing industry trends to remember. With these positions unable to be completed by machines (yet), they will continue to be in high demand, with employers turning to staffing firms for solutions.

4. Diversity Continues to Rise

As in past years, gender and ethnicity are still major influential factors to consider in workplace diversity. However, there are elements of diversity that are gaining more momentum. Fourteen percent of companies are placing more emphasis on hiring members of the LGBT community. They’re also concerned with tackling the issue of ageism in 2018.

5. AI All the Way

AI is helping to automate up to 75 percent of the recruitment process. You read that right, 75 percent. Of all the staffing industry trends, AI is ready to shake up the marketplace when it comes to efficiency.

AI has the ability to focus on candidate skill level over unconscious biases. It will also help to reduce time sourcing, keep you organized, and help analyze big data. Sounds perfect, right?

With all these changes in store for 2018, we’re excited to see how the staffing industry will evolve to meet these staffing industry trends.

 

Topics: Staffing Industry

How Independent Contractor Misclassification Can Cost You

Posted by Corinne Camara

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Jan 31, 2018 9:00:00 AM

How_Independent_Contractor_Misclassification_Can_Cost_You.jpgMany Canadians have come to see the benefits of self-employment. From managing their own schedules to the ability to make a profit, it’s a welcome change from the typical nine-to-five lifestyle. It is expected that, by 2020, 45 percent of Canadians will be self-employed. When it comes to employee classification, the Canadian market will see an influx of independent contractors and a decrease in the typical employee.

With more independent contractors entering the workforce, it’s important for staffing agencies to understand how to classify these workers. How do they differ from employees? Independent contractor misclassification is a big deal and could land you in serious legal and financial trouble.

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What’s the Difference between an Independent Contractor and an Employee?

In the simplest terms, independent contractors work for themselves on their own account, whereas employees work for a business. There’s no one single thing that classifies an individual as either an independent contractor or an employee. Rather, multiple determinates are considered during the classification process. If you’re worried about independent contractor misclassification, ask yourself these five questions:

  1. Does the business have control over the worker, i.e., when and where the work is done?
  2. Does the worker maintain any form of financial risk?
  3. Can the worker take on other jobs?
  4. Does the worker need to provide their own tools or equipment?
  5. Can the worker subcontract the work?

If you answered yes to any one of these questions, the worker is likely an independent contractor.


Canadian Revenue Agency

Every pay period, businesses are required to withhold a certain amount of an employee’s pay to contribute to taxes, CPP, and EI. However, these remittances are not paid if the worker is an independent contractor.

If you’ve misclassified your temporary workers, whether on purpose or by error, you will have to pay all outstanding taxes to the CRA, in addition to the employee and employer’s portion of the unpaid EI and CPP premiums.

Also, the consequences of your actions will lead to additional penalties, which can include interest between 10 and 20 percent, fines, and even jail time.


Workplace Safety and Insurance Board

If a worker is misclassified as an independent contractor and they are injured on the job, they won’t be covered by the WSIB. If this employee brings the matter to court, your agency may be found guilty of a provincial offense and subject to a formal investigation. You will then have to pay all outstanding premiums with interest and could be facing even more daunting fines.


Wrongful Dismissal

A wrongful dismissal is classified as the termination of employment without sufficient notice of termination or payment in lieu of notice. While “dismissing” an independent contractor is as easy as not renewing your contract, dismissing an employee requires notice and/or severance pay.

If an employee you’ve classified as an independent contractor files a wrongful dismissal suit claiming they were, in fact, an employee, you could be sued for not providing adequate notice of termination. If found guilty, you could be required to pay severance and wrongful dismissal damages to this individual, on top of hefty legal fees and a fine to the government.


Is It Worth the Risk?

Are you willing to let your business suffer because of your inability to properly classify workers? Classification can be confusing and messy, yet the consequences of independent contractor misclassification are severe.

If you’re ready to avoid independent contractor misclassification altogether, outsourcing your classification is the perfect solution for you. Let the back office solutions experts take over and you won’t have to worry about being liable for misclassifying another independent contractor ever again.


Things You Need to Know When Starting a Temp Staffing Agency

Topics: Worker Classification

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