What defines a "leased worker" in relation to employees?

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The definition of a "leased worker" revolves around the nature of their employment relationship, particularly in relation to a staffing agency. A leased worker is typically someone who is contracted through a staffing agency, which means that the agency employs the worker and then assigns them to another business to perform tasks. This arrangement allows the client company to obtain labor without taking on the liabilities associated with direct employment.

The significance of this definition is that while the staffing agency holds the worker's employment status, the worker performs their duties under the guidance and direction of the client company. This structure is particularly common in industries that require flexibility in workforce management, such as seasonal work or short-term projects.

In contrast, self-employed individuals, temporary workers without benefits, or independent contractors operate under different frameworks of employment. Self-employed individuals manage their businesses, while temporary workers might still have a connection to traditional employment roles that may include varying levels of benefits. Independent contractors, while they may have formal contracts, maintain autonomy over their work and typically do not have the same employer-employee relationship that leased workers have through staffing agencies.

Thus, identifying a leased worker specifically as a worker contracted through a staffing agency clarifies their unique status within employment classifications.

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