The Star this morning has reported on the plight of immigrants working through temp agencies. It should be no surprise that take home pay for such workers are a pittance when factoring in day care costs, taxes and the “pimp”. I have a client who introduced me to this label which I actually find quite fitting. Ryerson University will be reporting on these “middle men” in an upcoming report. When I lived in Vancouver for a time, I was registered with about five agencies. I’d get on the phone in the morning to see what was happening and mostly get the cold shoulder. One particular agency was responsible for the majority of my hours. One occasion led to a respectable full time job where I was able to make an impact. In fact, this position launched my “reworked career”. This should be what “temping” is all about. A worker should be in transition while pursuing a focused primary career goal. It should not be a way of life.
In Canada, we pay too much income tax. Employers are also burdened by payroll taxes which tempt them to temp out situations which arise in their business as opposed to binding themselves to legacy like costs. It makes business sense. It also reduces the burden placed on an “HR department”. Unfortunately, socialist government models impede the capitalist instinct. Workers are less inclined to promote themselves directly to employers and employers are less inclined to make commitments to workers. Ryerson will be releasing a “study” but I can espouse with confidence that one doesn’t need a PHD in economics to deduct the street level ramifications of the market condition for temps. When business can’t compete with public sector salaries and pension plans, it will look to the market for ways and means to obtain non-payroll help. Alternatively, it will close up shop or find a more business friendly jurisdiction.