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Construction Employee Leasing Advantages

Apr 4, 2008
In today's market, construction is a continuously growing industry that has come a long way and still has the potential to keep going. It is also a very competitive market, and the head of the company must know where his time is best spent. Ideally the time should be spent overseeing productions, making new business contacts and closing deals to bring in more work. The more work they can bring, the more money comes with it and the stronger their foothold will be as the industry begins to grow. So, for that business owner, how is it that construction employee leasing could be beneficial?

As a construction company, you've pinpointed where your time should be spent, now think about where it is spent. Consider how much time and effort goes into hiring, firing, payroll, payroll taxes, employee benefits, scheduling and all of the other headaches that go along with running any business. Construction employee leasing can help alleviate some of those headaches and leave you to your most important role of ensuring a future for yourself and your company.

Construction employee leasing companies help you, the business owner, in a number of ways.
First, one of the most time consuming tasks for any employer is payroll. Construction employee leasing companies calculate payroll and payroll taxes for you and your company simply writes one check per payroll period to cover everything. They will also take care of the employee W9's and other tax related chores when tax time approaches.

By outsourcing your current employees, you are essentially turning over employment to the construction employee leasing company. They then "lease" the employees back to you for a fee, and the employees generally do not see a pay cut. If anything, it can help your employees because they now have a place to get answers about employee benefits, tax questions and human resource issues. This will be preferable to waiting for the boss (you) who wears entirely too many hats to make time to talk to them. You are a busy person, that doesn't mean that you don't care about your employees.

Another issue that is a particular difficulty for construction employers is unemployment. Construction is a fluctuating business that changes - literally - with the seasons. There are times of year that you don't need the employees you have. Before considering construction leasing, your only real option was to make layoffs and deal with the headache of paying unemployment benefits. Employee leasing takes care of this in two ways. First, you are no longer firing an employee but just ending the lease. The employment company can assist them in finding another job rather than being out of work. They will also handle all of the hassle of paying unemployment benefits if they do become necessary.

Ultimately, the prime benefit of construction employee leasing is the fact that it allows you to run your business rather than spending so much of your time running your employees. On the job, there is essentially no difference because they do still work for you, but on paper you don't have to manage the employment aspects anymore, and that will free up a lot of time for you. You never know, you might even have time for a personal life!
About the Author
Stewart Baker writes for PinnacleOutsourcing.com Pinnacle specializes in offering businesses in the construction industries complete construction employee leasing services. Find out how a construction PEO can lower your HR worries in these industries. Contact them today for AMS staff leasing today.
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