What Is Labour Broking
Labour broking particularly within the South African context is really a form of outsourced labour, also known as HR outsourcing. There are really two main sources for labour and short term employment, labour broking and recruitment agencies. While the majority of labour broking focuses mainly on casual or part time labour in both skilled, semi – skilled and the unskilled fields, recruitment in it – self generally focuses on providing candidates for employment in part time, semi – permanent and permanent positions in the semi – skilled and skilled sectors across the board
Another very important difference between labour brokers and recruitment agencies is that, for the most part, labour brokers take care of or are responsible for the majority of labour related aspects as they pertain to the labourer, so on other words, the labour broker will take care of or handle all matters that relates to interviews, job opportunities, the actual job recruitment of the labourers, the human resources side of things, administration as it relates to labour issues, the payroll aspects, transport and so on.
This is completely different to how recruitment agencies operate. Recruitment agencies only deal with the sourcing of potential candidates for various positions but they do not handle any other issues related to labour, the company itself is expected to handle all of those aspects. Essentially both labour brokers and recruitment agencies offer the same basic service that is, providing the labour for a company for a certain period of time. The company will pay either the labour broker a certain fee for sourcing and providing the labour needed to fill a certain position and it is the labour broker who then pays the labourer for the work and not the company.
It is also worth mentioning at this point that the practice of labour broking is currently a source of a great deal of controversy for a number of different reasons. While on the surface the practice of labour broking might make perfect sense and will also seem like a viable and necessary function within an economy where much of the labour pool or work force lies within the semi – skilled and skilled labour markets, there are still a number of abusive practices which characterize much of the labour broking services as a whole.
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