Checklist to keep contingency workers from developing employee status

• Do not request a specific contingency employee.

• Do not provide an agency with names of employees that should not be referred for contingency work.

• Avoid having contingency workers work in the same area, do the same tasks and be supervised by the same staff as regular employees.

• Do not use the same procedures and equipment for payment of time for contingency and regular workers.

  1. Do not have supervisors review timecards in the same manner for both groups or use the same time recording procedures, such as the same time clock, for each group.

• Do not allow contingency workers to become a significant source of your applicants for employment. Require that contingency workers who wish to work for your company apply as any other applicant and complete all steps in the recruiting and hiring process.

• Treat contingency workers with respect and dignity. Individuals who mistreat contingency workers may be personally liable for their actions and may also cause their employer to be liable. Since joint employer status is often decided after the fact by a court or other third party, it makes sense to treat all contingent workers fairly and without discrimination.

• Discuss the issue of coemployment with any agency you wish to do business with in order to devise safeguards for your company, such as providing onsite supervision.

• If the agency does not provide all acceptable workers, consider terminating that relationship and hiring another agency as opposed to making employment decisions based on the performance of individual contingency workers.

• Try to avoid retaining any contract worker for a long period of time. While there is no fixed time frame, the longer the relationship, the more likely that a third party will find that a true employment relationship has developed.

• Avoid as much as possible the contact and interaction of contract and regular employees. Never include contract employees in any employee benefit such as a company picnic or similar social event.

• If you employ an independent contractor, have a written contract that specifies issues of control and status of the worker.