Labour lease activities

The definition of labour leasing according to the Hungarian labour law:

According to the law 193/C. § E:

1. Labour leasing is a process, when the Vendor (or Employer Leasing Company) "leases" or lends the employer he has a contractual relationship with to the client employer for work in exchange for a success fee;
2. Vendor (or Employer Leasing Company): is an employer, who leases the employee he has a contractual relationship with to the client employer and practices the employer’s rights and duties together with the client employer.
3. The client employer: is an employer, who employs the person he "leased" and practices the employer’s rights and duties together with the Vendor.

Using the service of labour leasing the activities at your company are not carried out by the members of your staff but by leased employees.

This way the right of authority and the decision over the work schedule and the qualifications of the employee remains yours, but the organisation, selection, the whole administration process and the responsibility going together with the employment of new staff is taken by our company.

According to the Hungarian practice there are usually three main reasons inducing the companies to use the service of labour leasing. On one hand it is the idea of staff-development induced by improvement, on the other hand the aim to use the already existing labour more optimal and reduce the costs besides the spending on wages.