Managing Contractors of Clients as Master Service Partner (MSP) or as Master Service Agreement (MSA)
Reduce Contract Labour Liabilities from Clients
To reduce the manpower liabilities, at present most companies outsourced the manpower to different third-party agencies and contractors, and local vendors. But, does outsourcing reduce companies’ liabilities?. As per the Contract Labour (R&A) Act in India, in case the contractor default paying labour payment or statutory compliances, the liability shift to the principal employer i.e. the company itself. Appointing a MSA, MSP partner to is a smart solutions to reinfence the liabilities for any company. The purpose of the MSA, MSP usually to ensure contractor payments, compliance, hiring, grivance management and efficiency improvements. Following are the areas where we, HRadvisors4u helping our clients as MSA, MSP :-
- Enable a Exclusive CLM Toos to manage hiring, payroll, compliance to contract closure
- Contract Labour Grievance Register & Satisfaction Survey to minimize ERIR Risk
- Efficiency Improvement by increase of availability & Productivity
- Manpower Cost Optimization by engaging different employment models
To ensure the best utilization of the contract labours, the principal employers i.e. the management of the companies always require to involve directly into the daily affairs of the contractors. This reduces the efficiency of the management and also incurs additional costs. The engagement of MSA, MSP only reduces the company's liabilities towards contract labours, it also help to improve the productivity and satisfaction of management employees.