Contracting FAQs for employers

Hiring contractors and temporary staff has become an increasingly popular hiring arrangement for companies of all sizes, fast-tracked by the economic upheaval brought about by the pandemic and the shift to remote work. According to the Michael Page Australia Technology Sentiment report, conducted last year, 40% of surveyed businesses agreed or strongly agreed that hiring temporary or contract employees was likely to play a bigger role post-COVID-19.

If you’re considering hiring contract employees for your business, we’ve answered some of the most frequently asked contracting questions below.

RELATED: Checklist: Is contracting right for your business?

What’s the difference between a contractor and an employee?

Contractors – sometimes called independent contractors or subcontractors – work for themselves and are hired to complete a specific service. Unlike permanent employees, contractors usually negotiate their own fees and working arrangements, and can even work for more than one client at a time.

Whether a contractor is entitled to annual leave, sick leave and superannuation depends on the nature of the work agreement. For example, a person hired on a fixed-term contract is typically considered an employee for the duration of the contract and is usually entitled to the same benefits as other employees. A person who runs their own business and is hired to work on a specific project, while working for other clients at the same time, would generally not be entitled to benefits like leave and superannuation.

Find out more about the differences between employees and contractors here.

How can a contractor help my organisation?

Contract workers provide extra support for your business, relieving overstretched permanent staff, covering a headcount gap, or bringing in specialist expertise for certain tasks. Contractors have the added benefit of costing less than a permanent hire, meaning minimal overheads and risks for your business. You might need:

• An extra pair of hands during busy periods
• Specialist help to manage a major project
• Cover for a permanent employees’ holidays or parental leave
• Somebody to cover a gap while you recruit for a permanent role
• A ‘trial’ for a newly-created role on a contract basis before committing to permanent

Find out more about the benefits of hiring contract workers and getting the right help at the right time.

How do I hire contractors?

Michael Page is a global leader in recruitment, with offices in more than 30 countries. We can source the very best talent for you at very short notice. Our pool of contract workers is highly skilled and ready to start work immediately. In some cases, we can offer same-day turnaround.

Finding a contractor shouldn’t cost you time. Our consultants manage the entire recruitment process so you can focus on running your business. Whether you’re seeking experts for project work or professionals to cover busy periods, our specialist consultants will source the best talent, fast.

How do I pay contractors?

We offer a dedicated payroll service, so you know that your temporary staff will be paid on time and accurately without taking up internal payroll resources. If you have any questions about how we pay temporary employees, please feel free to contact your recruitment consultant or email us.

We have a contracting team dedicated to filling temporary roles. To speak to one of our specialist consultants today, contact us here or email us at enquiries@michaelpage.com.au