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Pay parity laws encourage companies to realign their workforce

Regulatory and Compliance

The rise of pay parity laws have made it more important than ever for employers and staffers to ensure that pay rates and benefits are consistent among Full Time Employees (FTE) and contingent workers. Pay parity or “equal treatment” laws have been enacted in more than 30 countries, including the UK, the EU member states, India and Taiwan. These laws require temporary workers to be treated equally to FTEs who perform the same or similar work, according to Google’s internal guidance on the laws. The U.S. does not have these protections. 

This can be challenging for employers and staffing agencies alike, however, it is the responsibility of both the employer and the staffing agency to ensure that pay rates and other benefits are equitable. Vendor Management Software (VMS) is designed to help companies keep track of their contingent workforce to achieve regulatory and compliance requirements for successful total talent management.

The emphasis of regulatory and compliance is only going to become more common as more laws like the pay parity laws are added, meaning it is time to take action and get a handle on your contingent workforce now!

Read more about pay parity laws in this article by the Guardian.

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