The Center for a Changing

Workforce
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Are Good Jobs Compatible with a
Contingent Workforce?
The Center for a Changing
Workforce
The Center for a Changing
Workforce
2
What is the Changing
Workforce?
Nonstandard or alternative work
arrangements:
temporary
contract
leased
on-call
independent contractors
part-time
The Center for a Changing
Workforce
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How big is the Changing
Workforce?
25 million part-time workers
10 million independent
contractors
1.2 million temp agency workers
800,000 contract workers
Totals 25% of workforceover 30
million workers.
The Center for a Changing
Workforce
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Nonstandard employment is
growing
Staffing firm employment grew 230%
1990-2007 to 2.6 million.
Staffing firms projected to add 3/4
million new jobs 2006-2016.
Contingent workforce has become a
cushion for rest of workforce
growing first in expansions, cut first
in recessions.
Temps Become Permatemps
Contingentmeaning short
duration, but many workers are
permatemps
34% of temp agency employees
on same assignment for more
than one year.

The Center for a Changing
Workforce
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Job Quality: Comparing
Temp to Regular Jobs
Wage 1/3 average median
income ($20,000 vs. $60,000)
8% have employer insurance vs.
56% of regular workers
4% are covered by employer
pension vs. 48% of regular
workers
Not eligible for other benefits:
paid leave, childcare, etc.


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Workforce
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Do Temp Workers Prefer
Temp Jobs?
56% of temp workers
would prefer regular
employment.
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Workforce
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Why employers use
nonstandard workers
More flexibility
Reduce costs
Less responsibility for
employees
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Workforce
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Workforce
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COMFORCE has helped some clients cut labor costs by as much as 50%.
Your Costs without Comforce:
Your Savings with Comforce:
How Payrolling is
Sold to Employers:
The Center for a Changing
Workforce
10
Kelly Services less than 1%
Insured?
In 2002, Kelly Services had
approximately 500,000 US
employees.
Kellys ERISA reports for 2002
claim a total of 3,606 insurance
participants.
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Workforce
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Employer strategies to create a
2-tier workforce
Payrolling employees through staffing
firms (called temp, contract, leased)
Short-term temporary employees.
Mislabeled independent contractors.
Moving to a part-time workforce.
Outsourcing and insourcing
Contingent work and
Warehousing
Use temp agencies and other
staffing firms for payrolling.
Some use Vendor-on-Premise
(VOP) strategies
Flexibility and cost savings

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Workforce
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Goods Movement Workforce:
different models
Port drivers as independent
contractors.
Warehouse workers temp
workforce.
Delivery services Fed Exs
independent contractors
Retail workforce part-time
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Workforce
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The Center for a Changing
Workforce
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Wal-Marts Part-time
Army
1/3 part-time workforce
400,000 employees
Defined as working less than 35
hours a week
12 months wait for insurance
coverage and no family
coverage
Key Legal Concepts
Common law employees whos
the real employer?
Joint employer status there
can be two or more employers
for legal purposes
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Workforce
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Workforce
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Federal Policy Options
Increase access to employer-
provided insurance.
NLRB Action to allow joint
employer status.
Examine ERISA policies on
benefit plans.
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Workforce
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State Policy Options
Employer health care responsibility
legislation.
Modify state laws to limit temporary
employment.
State crackdown on workers comp and
unemployment scams.
Living wage legislation.
Public subsidy/investment labor
standards.
Warehouse work doesnt have
to mean bad jobs
Industry has been hiddentime
to bring it into the open.
Tools: workplace organizing,
coalition-building, policy work,
and legal challenges.
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Workforce
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