Temporary Workers

Nevada HR

Good morning everyone! I heard some years ago that we could only use a "Temp" for six months before we had to make a decision to hire them as a regular employee or dismiss them or lay them off for a period of time (two pay periods?)before we brought them back. I can't seem to find anything written on the subject. Is anyone familiar with this law? Thanks!

WOT

I work for a temp agency (as H. R. Mgr.)in Texas and know of no Fed law with a 6 month limit for temps. Probably what you may be hearing, is the potential that some of them may become eligible for an employers pension plan, or other benefit that may be time based - depending upon the degree of control the assigned employer exercises. Here in Texas we have some temps that have worked for the same employer for 3 years or more - so you might check your Nevada regs to if there's something to the hearsay.

Dutch2

I agree with WOT. I was also wondering if you were possibly thinking of the minimum amount of time that a temp. can work for you before their employer, the Temp Agency, will allow them to be hired by the company where they have been working as a temp. Although six months seems a bit long. Around here this waiting time is usually 90 to 120 days or you can pay them as you would a head-hunter, a certian percentage of their first years wages to hire them right away.

System

The temp agency needs to be careful that long term assignments are not viewed as "employee leasing" arrangements, and in many states, you must be licensed as a PEO or leasing company to engage in those practices. As already pointed out, the other issue is eligiblity for pension and other benefts covered under ERISA. Temps can be specifically excluded, but that needs to be explained in the plan documents.

Open1

Unless you have a set project with an expected completion date, extended periods of time using temps beyond 60-90 days could be viewed as an attempt to avoid providing benefits, discriminate, etc.

At one employer we automatically converted the employee from temp status to regular after 90 days when they became eligible for bennies. A wise employer, IHMO.

Nevada HR

Thanks everyone for your replies. You were right on the money...it had to do with the public employer's pension plan. And even though we considered this employee a "temp" she could fall into the part-time category because we worked her 38 hours a week (don't ask me why). So she's eligible for annual leave and holidays, retroed back to the date of hire.