Agency Employment
Labor law recognizes, in addition to the classic legal relationship between an employee and an employer, also so-called agency employment. In this legal relationship, the employer is the agency, which assigns its employee to the so-called "user" for compensation. The employee is contractually bound to the staffing agency (employment agency), which pays the employee’s wages. However, the employee performs their work at the user’s workplace, where they are temporarily assigned.
Agency Employment
Only registered employment agencies, which hold all the necessary legal authorizations, can provide agency employment. Job placement is a regulated activity and is subject to strict supervision in terms of compliance with labor law obligations. Compliance with all legal provisions is monitored by labor inspectorates, as well as other competent authorities overseeing the activities of the employment agency.
The employment agency must also comply with rules related to the employment of foreign nationals. Failure to meet these obligations will result in sanctions related to the illegal employment of foreigners (without a work permit and/or visa). It is important to note that residence in the Czech Republic for the purpose of employment by an employer can only be granted to non-EU residents on the basis of a work permit (with certain exceptions, such as the exceptional situation in Ukraine).
Parties Involved in Agency Employment and Its Specifics
The most significant distinguishing element from the usual relationship between an employee and an employer is the tripartite legal regime. Agency employment introduces a plurality of legal relationships at the following levels:
Employment Agency / Agency Employee
Employment Agency / User of Agency Employment
User of Agency Employment / Employee of the Employment Agency
This structure is accompanied by many legal issues related to agency employment. Each of these parties has its own unique legal status. This naturally relates to their actions toward others and the various issues commonly encountered in labor law relationships (e.g., workplace accidents, occupational diseases, etc.).
The Relationship Between the Employee and the Employment Agency
The user enters into a contract with the staffing agency, based on which agency employees are assigned to the user’s workplace. These employees then perform their duties according to the user’s instructions and requirements, in collaboration with the user’s permanent employees. The user assigns employees according to their education and qualifications. However, the user is responsible for paying the remuneration for the employee’s services directly to the employment agency. The employment agency then pays the employee their salary based on the agreed contract.
Agency employment is associated with the shared responsibility of the user for ensuring proper performance of agency employment. If you are working as an agency employee, the user is obligated to ensure equal treatment conditions and meet all requirements for the proper execution of this type of employment.
The Relationship Between the User of Agency Employment and the Employment Agency Employee
An agency employee is sent to the user’s workplace to perform the prescribed work according to the user’s instructions and requirements. The working conditions, as well as the remuneration for the work and the treatment by the staffing agency and the user, must be comparable to the permanent employees of the user (their own employees). If equal pay for equal work is not ensured, the employee may demand the payment of the difference. Additionally, the employee may contact the labor inspectorate. Both the user and the employment agency will then receive fines. It should also be noted that the employment agency should provide the employee with the necessary work tools and protective equipment. Furthermore, the agency employee should be distinguishable from the user’s permanent employees.
Know Your Rights as an Employee
Agency employment is a widely used concept, helping employers to compensate for insufficient staff in their own ranks. From a legal perspective, it is more complicated to set up relationships between the user, the employment agency, and the agency employee. Shared responsibility between the employment agency and the user can often be a significant problem in practice. However, it is important to remember that as an agency employee, you have the right to equal treatment and protection against discrimination – such as in the case of equal pay.
Do you have any questions regarding agency employment? Contact us through our form, and we will help you.
Confused by the jungle of labor law relationships?
Follow us on social media, including Instagram, Facebook, LinkedIn,, where we share advice, useful information, and news from the world of labor law in a simple and understandable manner. Don’t hesitate to contact us anytime.
We will now take you through a short questionnaire, inviting you to complete a few questions and finally asking you to provide supporting documents.
In the event of a workplace accident, the damage is often not limited to personal injury. Damaged watches, broken mobile phones, or destroyed clothing can impose an additional financial burden in what is already a complex situation. As an employee, you have the right to compensation for damage to your personal belongings in connection with a workplace injury—and in this article, we will explain how to effectively assert this right.
Workplace Injury and Permanent Consequences as an Impact on Employee Health. What Are the Claims for Workplace Injury Compensation? More in Our Article.
Workplace injuries can affect an employee's life not only in terms of health but also financially, with consequences that extend over a longer time horizon. The result may be a prolonged impairment of the employee's work capacity. Initially, the employee operates under the regime of temporary incapacity for work.
Workplace accidents present not only a health risk but also a financial burden for employees. In cases of long-term sickness, employees often rely on sickness benefits, which, however, do not cover the full salary they were receiving from their employer before the workplace accident. If you are injured at work, you are entitled to compensation for lost earnings, which should cover the difference between the sickness benefits you are receiving and the amount you would typically earn from your employer if the accident had not occurred.
O vaše práva zaměstnance se stará Advokátní kancelář Ing. Mgr. Ladislav Šmarda, se sídlem v Olomouci a Praze, ČAK 18060
,
Sign up for our newsletter
