The Government's proposal to tighten rules relating to temporary agency hiring
The Government has presented two new bills proposing several amendments to the regulations for hiring from staffing companies. The goal is to achieve more permanent and direct employment in a two-party relationship between an employer and employee, thus creating an atmosphere in which employees have more influence over their own working day.
The bills initially propose a general tightening of the right to hire from staffing companies by abolishing the right to hire “when the work is of a temporary nature”. Consequently, companies (employers) can still enter into temporary employment agreements provided the work is of a temporary nature, subject to the statutory provisions for such agreements. The employer can enter into such an agreement directly with the temporary employee in question and not through a staffing company. However, the employer can still hire a temporary employee from a staffing company if the reason is to temporary replace a vacancy (e.g. maternity leave or long term sick leave).
There are two proposed exceptions from this general rule. Hiring of health personnel to ensure proper operation of the health and care service will still be allowed. Additionally, it will be admissible to hire employees with special expertise to carry out advisory and consulting services in a clearly defined project. The bills have further proposed to strengthen the right of temporary work agency workers to become permanent employees in the temporary-work agency by requiring temporary work agencies, pursuant to an agreement with employee representatives, to provide the right to permanent employment after a certain period of time. Furthermore, the Government proposes to establish an approval scheme for temporary work agencies, with expanded documentation requirements for hiring out labour, and stricter sanctions and consequences in the event of breaches. Lastly, the Government has proposed, a total ban on hiring out labor within the construction industry in the Oslo and Viken municipalities.