More than 60% of large local recruiters’ revenues – Adecco, Lugera, Professional service agency, and Aims Capital – derive from staff leasing services, company representatives say.
For Adecco, the world’s biggest recruitment service provider, employee leasing accounts for 80% of the 23.2 million euros turnover for 2008, while gross profit margin reaches 70%. Projections for first quarter 2009 indicate a significant reduction in staff leasing demand, said the recruiter.
The local subsidiary of Dutch-based Lugera & Makler, Romania’s second biggest player, booked 18.5 million euro turnover, where the staff leasing accounts for 70%. For this service, Lugera recorded a gross profit margin of roughly 10% in 2008.
For Aims Human Capital, where the aggregate turnover of its divisions (Aims Human Capital Romania, Aims Timisoara and Aims Services) stands in the range of 6.5 million euros in 2008, the leasing division grabbed a slice of 60%. In contrast with the similar period of last year, the first quarter of 2009 has seen an 8% increase in employee leasing demand, as Mihaela Perianu, managing director of Aims commented.
By definition, the “rented” employee is recruited by a professional employer organization. Practically, the staff leasing providers are those who “lend” employees to work for a company on an open-ended basis. For many companies – especially multinationals – staff leasing is an attractive solution when they need workers for additional activities or when their permanent workers are on vacation.
As the Labor Code states, a temporary employment contract meet the same conditions as a no-fixed term contract, imposing the same financial liabilities both to employer and employee.
Professional Services Agency, who offers staff leasing services posted 7 million euros turnover, largely driven by the personnel leasing operations, acco
