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Why Businesses Shouldn’t Use International Contractors on Temporary Visas

Posted by Aimee Treasure on Sep 23, 2019 4:26:13 PM 1570117509788
Aimee Treasure
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Contractors are the backbone of many industries that require technical and engineering projects. Able to work for weeks or years, temporary contractors have a variety of skills and can therefore deliver a variety of projects around the world.

However, some businesses don’t get the correct visas for their contract workers and instead rely on temporary work permits or questionable visas. This can cause problems both for the project and for the worker.

The most common reasons companies rely on temporary visas include a perception that this is cheaper, quicker, easier and more flexible. In truth, this is more expensive, far more risky and the contractors & clients are carrying most of the risk, whilst an unregistered unregulated agency will be pocketing large fees.

How can businesses get the right visas for their workers?

The Difference Between Temporary And Work Visas

A temporary visa is a document issued to an individual for travel. A work permit is a document secured by a business on behalf of an induvial that works for that business. The work permit is only valid while that individual works for that business. If they leave their job, their new employer will have to secure them a new work permit.

Risks Of Using Contractors Without The Right Visas

Many companies using contract workers on the wrong visas or permits aren’t aware that they’re doing anything wrong. However, using international workers who don’t have the correct work visas risks heavy fines or even prison time, depending on which country the project is based in.

The UAE, for example, will fine both the worker and the company 50,000 AED if an employee is found to be working without the correct permit.

Beyond this, the reputation of any business found to be using incorrect documentation for their contract staff will quickly find their reputation damaged. Contract engineers have strong networks throughout the industry, having worked across many projects with a wide variety of colleagues.

The easiest way for a company to ensure all their contract workers have the correct work permits is to outsource all recruitment needs to an external supplier.

How A Work Permit Can Save Businesses Money

Many businesses opt to get contract staff in on a temporary visa because it saves them money in the short term. However, this line of thinking doesn’t hold up if the business has long term plans in the region.

Hiring permanent workers, instead of contractors, and getting them all the correct permits will ultimately save a company money. The cost of securing accommodation for contract workers vastly outweighs the cost of hiring permanent staff, not to mention the fines if workers are found to be in breach of local labour laws.

How A Recruitment Company Can Help Keep You Compliant

A recruitment company can help you secure the correct work permits for contract workers around the world. By taking on all activities relating to recruitment, relocation, and compliance with labour laws, the recruitment company acts as a single hub for all issues surrounding work on a given project.

A dedicated project manager supplied by the recruitment agency can help keep everything on track, ensure all work permits are in order, and all a consistent pipeline of contractors are available to continue work under any circumstances.

The legal route to contractor visas is as quick and cost effective as temporary visas. A truly professional recruitment company would share in any and all risks, and in many cases would carry more risk than clients; the staff are on the recruitment agency’s visa, and therefore we need to find them work afterwards or pay their notice.

Read more about how you can outsource all your recruitment needs, or learn about what the right to work means, and why it’s so important for international workers to have it.

If you have a project that needs managing, contact VHR workforce solutions today.

Topics: Thought Leadership