For Contractors

For Clients

Engagement Options

Piecework

Recruitment/Selection

What Clients Say

Legal Authority

Engagement of your workforce through TCS; removes Award and other industrial restrictions, and can provide for piecework, or payment by results. Provides a motivated workforce, simplifies administration and paperwork and lets you focus on your customers.

Employment Options

There are three alternative methods of labour engagement available to business today including

Direct employment
(utilising the Award, Enterprise Agreement or individual Australian Workplace Agreements),
engaging staff through a labour hire company
(the workers being employees of the labour hire company)
or utilising independent contractors through a licensed Odco agency.

TCS is one of the licensed Odco

agencies offering the latter option, utilising the modern system of labour supply, being performed by independent contractors engaged through the Odco

system.

Critical legal points applicable with the TCS Hiring Agreement & Agreement to Contract

They are commercial contracts (contracts for service) - therefore not employment contracts subject to industrial laws and regulation,
there is no relationship between the client and the contractor - thus preventing the workers being deemed employees of the client.

Three parties exist - the independent contractor, the agency, and the business/organisation.
The contractor has a contract with the agency to supply work services.
The agency supplies the contractor to the business on a daily basis.
The business has the right to direct the work.
The business pays the agency one fee.
The agency pays the contractor and administers all statutory administrative obligations.
The system is voluntary by all parties.
No employer - employee relationship exists.
No contractual relationship between the business and independent contractor.
IRC and unions do not have jurisdiction.
No award constraints or unfair dismissal.

This is the fundamental result of the High Court decision in Odco vs. BWIU . This decision has been upheld in numerous cases since then, including blue collar workers (Australian Meat Industry Employees' Union v Australian Independent Contractors Agency and Another [2004] NSWIRComm 238, unreported, Harrison DP, 19/08/2004),and white collar professions (Advanced Workplace Solutions Pty Ltd v Kangan Batman TAFE ),

see Legal Authority for other legal references

Once converted to the TCS system, Clients consistently show great surprise in the cost savings achieved by the elimination of these often underestimated miscellaneous costs.

The utilisation of the Odco

engagement model is comparatively cost effective with direct employment, and significantly cheaper than utilising labour hire to supply these personnel.

AWA's are a legitimate industrial tool but, as they are still employees, the usual employment rules will apply together with the possibility of union intervention.

Traditional Employment

Based on our extensive experience in industry, we have estimated a miscellaneous cost of around 8% where firms employ workers directly. This cost includes:

Direct Payroll Costs including weekly clerical and processing costs
Bank File Charges
Accountancy charges
Upgrade and maintenance of expensive payroll software
Non-contingent liabilities
Clerical and administrative costs associated with recruitment and selection (i.e. advertising, interviewing, applicant screening, reference checking, and processing and submission of Tax Declarations, and Superannuation applications)
Clerical and administrative costs associated with general remuneration queries, entitlement queries as well as payroll deductions including union fees, child support payments, Centrelink payments, Taxation and Superannuation payments and payments associated with Garnishee directions
Future unforeseen and unbudgeted costs such as redundancy/severance pay
Exposure to upward fluctuations in Workers Compensation and Public Liability premiums (i.e. the contractors, by providing their own Sickness and Accident and Public Liability policies effectively bear the risk of premium fluctuations)