A co-employment relationship is one in which two employers jointly employ an individual. In this arrangement, each employer is responsible for a portion of the employee’s wages and benefits. This type of arrangement is often used when an employee is simultaneously employed by two companies, such as when a staffing agency places an employee at a client company.
Co-employment is an employer relationship in which two or more employers jointly employ an individual. In a co-employment relationship, the employers share certain responsibilities for the employee. The most common examples of co-employment relationships are when a staffing agency supplies workers to a client company, or when a company uses a professional employer organization (PEO) to outsource HR functions.
There are a few key things to know about co-employment relationships:
There are many advantages to co-employment relationships, for both the employers and the employees. For employers, co-employment can provide increased flexibility in staffing, access to a larger pool of potential employees, and cost savings from shared HR functions. For employees, co-employment can provide increased job security, access to benefits and protections from both employers, and the ability to build a career with multiple employers.
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