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Experience with retaining contractors?
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Experience with retaining contractors?
Discuss workforce management, performance management, retention, communication, motivation, contributing to business results and other topics.
I am stumped on a situation, not sure if this is even the right board for this.
I work for a company that uses independent contractors heavily to work on projects. We have a pretty good base contr
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Forums » Topic Forums » General Forum » Experience with retaining contractors?
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Experience with retaining contractors?
posted at 4/20/2010 11:20 AM EDT
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Posts: 2
First: 4/20/2010 Last: 4/21/2010 |
I am stumped on a situation, not sure if this is even the right board for this.
I work for a company that uses independent contractors heavily to work on projects. We have a pretty good base contract that we use and are very cognizant of ensuring that the line does not get blurred between employees and contractors. My problem is the company has of late been wanting to put some of these people on retainer to keep them from taking knowledge they have gained while working for us and going to a competitor. The CFO here is adamant that we cannot put these people on retainers which I'm not sure why but he feels very strongly against the idea. My question is, does anyone have experience with retaining contract staff and if so, how did you set it up with them? Any help would be most appreciated! |
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Experience with retaining contractors?
posted at 4/20/2010 12:11 PM EDT
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Posts: 562
First: 11/12/2009 Last: 9/14/2011 |
I'm with your CFO on this one. Retainers get to be an administrative burden and an unnecessary expense.
Do you have your contractors sign non-disclosure agreements? Confidentiality agreements? I think these are pretty standard solutions to your problem. |
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Experience with retaining contractors?
posted at 4/21/2010 4:07 AM EDT
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Posts: 2
First: 4/20/2010 Last: 4/21/2010 |
We have solid contract language that they sign which protects our intellectual property. The president of the company is just set on this idea of getting these guys committed to us and available if when we need them. |
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Experience with retaining contractors?
posted at 4/21/2010 6:12 AM EDT
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Posts: 1103
First: 3/16/2007 Last: 8/19/2011 |
I am intrigued by the idea of a retainer for IC's but am curious as to whether or not it results in the company exerting too much control over the IC and the result being they are no longer IC's. |
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Experience with retaining contractors?
posted at 4/21/2010 11:12 AM EDT
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Posts: 2146
First: 2/15/2006 Last: 9/14/2011 |
I agree with HRPro's hesitation about control....it is my understanding that one of the key ingredients of the EE vs IC debate is whether that IC has the right to work for whoever and whenever they want.
For example in Texas, one of the criteria is: "An Employee often continues to work for the same employer month after month or year after year. An Independent Contractor is usually hired to do one job of limited or indefinite duration and has NO EXPECTATION OF CONTINUING WORK." (Sorry not shouting just want to emphasize). To me, a retainer means that there is expectation of continuing work. "An Employee ordinarily works for one employer at a time and may be prohibited from joining a competitor. An Independent Contractor often works for more than one client or firm at the same time and is NOT SUBJECT to a non-competition rule." is the other rule I am thinking of that would make this questionable. You really get into sticky issues when you try to exert control over the relationship. If you want the loyalty and ability and availability of these workers, you really need to consider making them employees. |
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Experience with retaining contractors?
posted at 6/11/2010 8:30 PM EDT
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Posts: 6
First: 6/11/2010 Last: 6/11/2010 |
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