What Are temporary employment agencies?

A temporary services company (known as ESTs) is one that engages the services with third-party beneficiaries to work temporarily in the development of their activities through the work of natural persons directly employed by the company of temporary services, which have regarding the nature of such employer.

No temporary service company can use a name that is misleading or confusion with an existing, when that happens, the competent official of the Ministry of Social Protection shall automatically or upon request, to order the change of name by an administrative act against which the remedies of reinstatement and appeal.

Temporary services company has two months from the execution of the resolution to change the name, on pain of being denied an operating license shall be suspended or, if this has already been granted.

The types of workers with temporary service firms

Employees hired for temporary employment agencies are of two categories: plant workers and workers in mission. The plant workers are those who are active in their own units of temporary employment agencies. Is defined in dependencies, those in which economic activity is exercised by the temporary services company.

Mission workers are those temporary services company sent to the offices of its users to perform the task or service contracted by them.

Users of temporary employment agencies

User is called, any person or entity that hires the services of temporary employment agencies. An added value of this figure is that the user has the power to exercise the power of subordination to the workers on mission, why is empowered to enforce orders regarding the manner, time or amount of work.

However, it should be noted that this authority is exercised pursuant to a delegation of the temporary services company.

Payments must perform temporary services firms

The temporary employment agencies are required to recruit them and pay fiscal contributions and contributions to social security systems in health, pensions and professional risks, according to the laws governing this area. Within ten days of each month, temporary employment agencies must inform the relevant service user on the membership and the payment of contributions to the integral social security system of personal mission that has served for the previous month.

In the event the temporary services company do not provide information or present inconsistencies, the user of the service shall report such fact to the Ministry of Social Protection within five days after the expiration of the deadline.

The omission of this duty will be jointly and severally liable to the user in the payment of relevant contributions, as well as economic and legal consequences arising from the omission, evasion or avoidance.

Any person or authority having knowledge of evasion or avoidance behaviors in the payment of fiscal contributions or comprehensive social security system in the temporary employment agencies must be reported immediately to the Ministry of Social Welfare or the National Health Superintendence , as applicable.