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Labor: Temporary staffing and PEOs

Understanding who is the "real" employer for workers' compensation purposes

Employers that have decided to supplement their workforce with temporary or permanent workers must be aware of the nature of the assignment and their responsibilities under their state’s workers’ compensation laws and policies. There are five basic staffing arrangements:

1. Temporary Services. This is the oldest and most frequently used of the staffing arrangements. The employer retains a staffing company to provide its workers for a defined period. These positions may be needed for a high-volume project or result from a current employee taking an extended leave. The arrangement is contractual and at no time is the temporary staff member an employee of the contracting employer.

Contributing Author

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Cheryl Wilke

Cheryl Wilke is a partner in the Ft. Lauderdale office of Hinshaw & Culbertson and focuses her practice in the representation of employers in...

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