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Compliance for the external workforce

Compliance decides whether working with external workforce is legally safe. This entry explains the term, the main risks and how compliance can be automated.

Key facts
  • Complying with statutory, collectively agreed and contractual requirements.
  • For the external workforce above all the AÜG, social security and occupational safety.
  • The responsibility lies with the provider and the client company.
  • Most effective through continuous, automated checking.

Definition and classification

Compliance means complying with all statutory, collectively agreed and contractual requirements. For the external workforce this concerns above all the AÜG, social security, occupational safety and checking providers' records.

Compliance is not a one-off check but a continuous state: licenses, records and deadlines change constantly and have to be monitored on an ongoing basis.

What compliance risks are there with an external workforce?

The central risks include Secondary liability for social security contributions, exceeding the maximum assignment period, breaches of Equal Pay and False self-employment and concealed staff leasing. Breaches can lead to fines, back payments and the loss of the license.

How do you automate external workforce compliance?

Manual checks on paper and in spreadsheets are error-prone and only ever a snapshot. Effective compliance checks licenses, Records and deadlines continuously and warns automatically before something expires. Pactos takes that on as a neutral third party – with a daily check of the temporary staffing license and automated requests for clearance certificates.

Frequently asked questions

Who is liable for compliance breaches with an external workforce?

Both the staffing provider and the client company; the latter is liable on a secondary basis for social security contributions that go unpaid.

Is a one-off check of providers enough?

No. Licenses and records can expire or be withdrawn at any time – continuous monitoring is needed.

What is the difference between compliance and an audit?

Compliance is the state of conforming to the rules; an audit is the check of whether that state is met. The two belong together.

Related terms

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