The Staffing Agreement Contract is the one that is concluded between a Temporary Employment Company (ETT) and a user company, in order to assign workers from the Temporary Employment Company to the user company, under a series of requirements that dictate the art. 6 of Law 14/1994.
In accordance with art. 15 of the Workers’ Statute, this type of contract between the ETT and the user company is carried out under precepts and conditions as if the user company was going to enter into a temporary contract directly with the worker.
Who participates in the Staffing Agreement Contract and how is it formalized?
This contract is a commercial agreement between two companies, it is formalized between the ETT and the user company meeting the following roles:
- ETT: A Company that makes workers available to the user company on a temporary basis.
- User company: The one that goes to the ETT to benefit from the transfer of workers.
During the employment contract, there would be a third party who is the worker. Here, they will not formalize the contract directly with the company for which they will work but will do so with the ETT.
The Staffing Agreement Contract is formalized in writing and in an official form. If it is not done in this way, it will be understood that it will be for an indefinite period.
What information should it contain?
The contract for making temporary service workers available must contain:
- ETT data: Authorization number, tax identification number, and account codes for Social Security contributions.
- User company data: Tax identification number, account codes for Social Security contributions.
- Specific causes that justify the hiring, according to the provisions of Art. 11 and 15 of the Workers’ Statute.
- Contract period.
- Place or work center where the employee will carry out his activity.
- Worker’s salary compensation.
- Contract price.
- Position to be occupied by the worker, activity to be carried out, and required qualification.
- Measures adopted by the company to comply with regulations on health and safety at work, according to Royal Decree 216/1999 on minimum health and safety provisions in temporary employment companies.
- Information on facilities and equipment of the user company, both common and individual.
- Collective agreements of application, if applicable.
When can a Staffing Agreement Contract be concluded?
This Staffing Agreement Contract can be carried out in the following cases:
- For the development of a work or service of a specific duration.
- When market circumstances require it, for example in case of excess tasks, accumulation of orders, etc.
- To replace workers whose position has been reserved, as long as the identity of the replaced employee and the reasons for the leave are specified.
- When a position needs to be filled temporarily while selection processes are carried out.
- For the celebration of training or internship contracts.
When can a Staffing Agreement Contract NOT be concluded?
This Staffing Agreement Contract cannot be entered into when:
- If the user company hires temporary agency workers to replace employees on strike.
- When it comes to hiring workers destined to occupy a high-risk position for health or safety. For example, jobs that involve exposure to radiation or high levels of toxicity, carcinogens, or biological agents are dangerous to the worker.
- If the company has already written off the jobs due to unfair dismissal, in the twelve months prior to hiring.
- If the contract seeks to assign workers to other temporary employment companies.
Is the seniority of the workers taken into account?
The jobs performed through hiring by a temporary employment company count towards the seniority of the worker, just as it would if the contract had been formalized between the company and the employee.
The calculation of seniority must go back to the date of the first hire, regardless of whether this occurred through ETT or directly with the company. Seniority is computed to calculate three-year terms, severance pay, internal promotion, unemployment benefits or subsidies, etc.
On the other hand, trial periods can be set when formalizing a Staffing Agreement Contract as long as it is mutually agreed upon between the two parties, within the limits set by law.
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