Last week, nextSource reached out to over 5,400 legislators, industry analysts and professional association members to advocate for greater protections and benefits for Temporary Workers – including contract laborers, independent contractors and other freelancers – and for the staffing industry at large.
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It is estimated that nearly one-third of America’s labor force is comprised of temporary workers. Each year, America’s staffing agencies hire 16 million temporary employees for their client companies, then employ those individuals as W-2 employees for the length of the client assignment. In addition, the Department of Labor reports that more than 10 million independent contractors also contribute to our economy. Temporary workers, once thought of as day laborers who only fill clerical and light industrial positions, today also deliver a wide range of professional and executive capabilities and skills. For many, engagements last for more than a year.
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During periods of contraction, these temporary workers are often the first to lose employment. And, as economic conditions improve, companies initially turn first to contingent workers in order to rapidly ramp up while maintaining needed business agility. Although they play a critical role in economic recovery, most legislation is based on the traditional notion that the vast majority of American workers are “permanent employees”, excluding contingent workers from employment benefits and protections. While the recently enacted CARES Act does provide unemployment benefits for temporary workers, there is no indication that inclusion will extend beyond the current crisis.
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