Fixed-term employment or contract staffing: which is better under the labour codes?
Short answer
Fixed-term employment puts the worker on your own payroll for a set period, with the same wages and benefits as permanent staff and gratuity after one year. Contract staffing keeps the worker on the agency payroll, with the agency handling wages, compliance and replacements. Choose fixed-term for skilled roles you manage; choose contract staffing for volume.
Side-by-side comparison
| Point | Fixed-term employment | Contract staffing |
|---|---|---|
| Whose payroll | Yours | The agency's |
| Benefits | Same as permanent staff doing the same work | Statutory benefits paid by the agency |
| Gratuity | After one year of service | Agency's liability, billed to you |
| Replacement if someone leaves | You recruit again | The agency replaces under the contract |
| Licence issues | None for the arrangement itself | Contractor licence at 50 or more workers |
| Fits | Projects of 6-24 months needing skilled people | Volume roles, seasonal peaks, high churn |
Can I combine both?
Yes. Many employers hire supervisors and skilled operators on fixed-term contracts and run helpers and packers through contract staffing. Lifeline Crew can recruit fixed-term hires through permanent placement, so they join your payroll, and supply the volume roles on contract.