Normally Contracted to work for a business for a standard 35 - 40 hours.
Reasons: Demand provides scope to employ people full time. customers prefer to deal with one single individual throughout a standard working week.
Benefits: Beome proficient in carrying out jobs more quickly. More experienced - more able to handle queries/unusual aspects.
Drawbacks: NOt fully utilised during off-peak times. Receive full range of employment rights - less flexibility, extra costs.
Contracted to work for a business for less then standard 35 - 40 hours per week.
Reasons: Insuffiecient work to employ someon on full-time basis.
Benefits: Flexibility to meet flutuations in demand - maximise capacity utilisation; easier reruitment - wider choice - attract workers unabe to work full-time. For employee: alleviates stress in balancing home life/work commitments - an result in better job satisfaction, higher morale. Lower absenteeism, larbour turnover - helping to maximise productivity, performance, profitibility.
Drawbacks: Extra recruitent, training, admin costs - but offset by potential benefits.
Contracted to work for an indefinite period of time.
Reasons: Job required indefinitely in the forseeable future ; emmployee known to have the skills, qualifications, experience required.
Benefits: More motivated/comitted.
Drawbacks: More rights - less flexibility, extra costs.
Contracted to work for a short period of time (under a year).
Reasons: Cover seasonal peaks in demand. Fulfi special projects. Cover short term staff shortages. Uncertainty about the future volume of business or capability of the individual.
Benefits: Flexibilty to cope with demand. Cover for staff at short notice (extra labour hours/skills required) less rights regarding dissmisal, redundancy, maternity/paternity leave, sick leave, holiday pay.
Drawbacks: Can prove more expensive than other method. Induction/training and admin costs. Also temporary staff may be less motivated/committed.
Using Consultants & Advisors
Independent contractor: self employed individual/business, paid for undertaking a service and works under a contact for employees. Business termed as a client rather than an employer. Usually control hours they work and the timing, tools and methods used to complete tasks. Deal with own income tax payments and NI contributions.
Consultant (or advisor): An inividual, usually an expert. Provides professional advise to business in return for a fee. They may be self employed or employees of another business.
Benefits: Readily available expertise to fulfil specialist tasks requiring skills employees' lack that can be brought in at short notice to come with demand. No responsibiltity for deducting tax or NI. Not vicariously liable for contrators' actions.
Drawbacks: Can be more expensive. Negative affect on employee morale - if paid more for similar work. Less control over work - time, methods etc. May lack motivation/commitment of permanent employees. Hidden costs eg. parking, telephone.