The employment contract clearly defines performance expectations.
The employment contract serves as a binding document between the worker – temporary or permanent – and the employer, referring to the type of work and the conditions inherent to it. In this way, both the employer and the employee understand the terms of the employment contract. In the case of a temporary employment contract, the employer will state in the contract that the employee is only a limited type of worker, with a certain period of time to work for that specific employer. The temporary employment contract, like any other contract, has the important purpose of listing all the expectations and duties of the two parties in the contract.
An employment agency is a company dedicated to matching employers with vacant positions with potential employees.
In the case of a temporary employment contract, the agreement may be between the employer and the employee, or it may be between the employer and the labor supplier, in this case an employment agency. Most of the time, companies that don’t want to worry about finding temp workers simply hire the services of temp agencies with the understanding that the employment agency will provide the company with the specific type of human capital required by the company. In this type of situation, the employment agency will provide the necessary paperwork and contracts for the employee to sign and will also serve as a sort of intermediary in the relationship between the employer and the employee.
For example, the temp agency will inform the employee about the duties required for the job, including time to report to work, type of job, hours and benefits. Any salary payments to the employee will be handled by the employment agency, a process that generally involves charging the employer significantly more than the amount paid to the employee. Whatever the case, the employer considers the worker provided by the agency to be a temporary worker and the contract between them is a temporary employment contract.
A permanent employee and a temporary employee generally have similar expectations in terms of basic pay and treatment. This means that the temporary employee, in most cases, will earn the same money as a permanent employee in that position would. The only difference would be that such an employee could not be subject to any vested interests in terms of expectations of bonuses and other types of entitlements that accrue to permanent employees by virtue of their longevity on the job.