IMMEDIATE BENEFITS OF OUTSOURCING
Labour outsourcing has become a necessity in South Africa as many industries are held to ransom by organised labour. The mining, transport and agriculture sectors are generally hit hardest by industrial action. According to the Industrial Action Report, South Africa experiences an average of 85 strikes per annum. Their research shows that ±335,000 workers are responsible for 5,2 million working days lost per year. While it makes sense for companies to focus on their core business and outsource their staffing requirements, many remain cynical. As outsourcing is still a new concept in SA, labour broking and its ills are legendary. Outsourcing is a vastly different business model to labour broking. One of the key differences between the two is the type of employment contract workers must sign. Employees appointed by labour brokers are temporary workers assigned to a client for a limited time frame. The employee enjoys no benefits and when the contract expires, so does his employm...