Cheap employment agencies? Read this before you sign a contract
- dariakalenikova
- 6 days ago
- 3 min read
The daily challenges of optimising production costs are a reality for many companies. Efficiency is becoming a key element of success. More and more offers from temporary employment agencies are appearing on the market - some of them tempting with extremely attractive prices that often seem too good to be true.
The question is: where does this “opportunity” come from? And more importantly - what is its actual cost to your business?
The anatomy of an “attractive” offer - what to look out for?
When one offer is significantly cheaper than another, it is worth pausing for a moment to look at its mechanisms. Often the lower price is not due to innovation but to... a creative approach to commitments.
What might a suspiciously low rate indicate?
Non-standard billing models. Instead of a clear invoice for man-hours worked, complex constructs are emerging that may attempt to circumvent certain public charges.
‘Flexible’ approach to contributions and taxes. A partner who employs aggressive tax optimisation may generate savings, but at the same time creates risks that do not remain with the partner alone.
Questionable form of employment of employees. The use of contracts that do not fully correspond to the nature of the work performed is a common practice aimed at cutting costs. For the employee, this means less stability and for you, a ticking bomb.
How do agency “savings” become your problem?
Working with a temporary employment agency is not simply a supplier-client relationship. The law treats it as a partnership with shared responsibility. This is a key word that many managers forget until it is too late.
What does this mean in practice?
Financial risk and joint and several liability. Imagine the situation: the agency you are working with is not paying the due Social Security contributions for the employees posted to you. Do you think this is its problem? Unfortunately not. In the event of an audit, it is your company as the user-employer that may be obliged to pay these arrears with interest. This is known as joint and several liability. ‘Price bargain’ suddenly turns into an acute, unplanned expense.
Operational risk - paralysis of work. An inspection from the State Labour Inspectorate, the Social Insurance Institution or the Border Guard at your plant is not standard procedure. It is a line stoppage, questioning of employees, a nervous atmosphere and chaos. Every hour of downtime is a real financial loss and a threat to on-time delivery. Are your KPIs ready for this?
Image risk - a stain on reputation. In today's labour market, reputation is currency. Information about employment irregularities, even if they are due to agency action, hits your image as an employer directly. Good employees, both permanent and temporary, choose stable and trustworthy workplaces.
Partnership, not just a service
Choosing an employment agency is a strategic decision. It's choosing a partner that takes some responsibility for your business, rather than just providing “hands on” work.
What characterises a reliable partner?
Transparency: Openly communicates the cost structure. You know what you are paying for - legal employment, timely contributions, security and peace of mind.
Stability: Ensures employees are treated fairly. Such people are more motivated, loyal and less likely to turnover, which translates into smoothness in your processes.
Safety: Works 100% in compliance, protecting you from legal, financial and reputational risks. Gives you the confidence to focus on your work and not on putting out fires.
At Flowline, we believe that true optimisation is not about looking for shortcuts, but about building processes that are efficient and safe in the long term.
The lowest price on paper too often turns out to be the highest one in reality.
Would you like to talk about how to effectively and safely manage temporary staff in your company?
Get in touch with us. We are happy to share our knowledge and experience.
