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1 December, 18:49

As a pensioner A staffing firm provides landscaping services for clients on an ongoing basis. The staffing firm selects and pays the workers, provides health insurance, and withholds taxes. The firm provides the equipment and supplies necessary to do the work. It also supervises the workers on the clients premises. Client A reserves the right to direct the staffing-firm workers to perform particular tasks at particular times or in a specified manner, although it does not generally exercise that authority. Client A evaluates the quality of the workers' performance and regularly reports its findings to the firm. It can require the firm to remove a worker from the job assignment if it is dissatisfied. Who is the employer of the workers? Why?

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  1. 1 December, 19:58
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    Facts of the case:

    A client of a staffing company has hired the employees to conduct its business activities. The workers are hired, paid and offered with other benefits by the firm. The firm also supervises the employees and provides necessary inputs to accomplish the job. The client has right to direct the staffing firm workers to perform the task according to their needs. However this right is not frequently exercised by the client.

    An employer has an accessibility to hire or procure the human asset in direct or indirect manner in the present case, it the indirect hiring of the employee through staffing firm.

    When an employee work for a staffing company, he or she gets paid and provided with a right to complain about the client regarding its manner of possessing clients, unethical contractual salaries etc.

    In the present scenario, it not clear whether the employee is hired on contractual basis. If the employees are hired for contractual basis, the staffing firm would be the employer of the workers in the case of terminating them. If the employees were hired for permanent position, then the employees were terminated by the client itself as the client would be the employer of workers.
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