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Tem*orar+ wor, and human resources management- issues. challenges and res*onses
1ewcastle 0usiness #chool. !niversit+ of 1ewcastle. 2allaghan. (ustralia

Tem*orar+ wor, and 6'7

/ohn 0urgess /ulia 2onnell

?A @

1ewcastle
(bstract

raduate #chool of 0usiness. !niversit+ of 1ewcastle. 2allaghan. (ustralia

3ur*ose 4 The *ur*ose of this *a*er is to introduce the s*ecial issue volume that examines a range of concerns. challenges and res*onses relating to tem*orar+ wor,ers and human resource management 56'78. $esign/methodolog+/a**roach 4 The *a*er highlights eight ,e+ research 9uestions and describes the structure of the issue. The various articles investigate six main areas- the rationale for using tem*orar+ wor,ers rather than *ermanent wor,ers: factors determining t+*es of tem*orar+ wor, arrangements: the rationale for tem* wor,ers entering into tem*orar+ em*lo+ment: the nature and extent of the relationshi* between T;(s and user firms: the relationshi* between em*lo+ment regulations and an organisation<s labour use *atterns of tem*orar+ wor,ers and the 6' challenges associated with ongoing and extensive use of tem*orar+ wor,ers. =indings 4 =indings varied according to the main focus of each *a*er. %t is evident. however. that no one *ers*ective. *ublic *olic+ or organisational strateg+ is li,el+ to fit all situations in relation to tem*orar+ wor, and 6'7. 7an+ differences exist in the s,ill levels of tem* wor,ers. their demogra*hic characteristics and reasons for underta,ing tem* wor,. )i,ewise. as *ointed out b+ man+ of the authors included in this volume. there are also differences within user firms with regard to their reasons for em*lo+ing tem*s. &riginalit+/value 4 There is a *aucit+ of literature examining tem*orar+ wor, and 6'7 and this issue endeavours to fill that ga* and ma+ *rom*t further research. >e+words Tem*orar+ wor,ers. 6uman resource management. )abour. "m*lo+ment. !nited >ingdom. (ustralia 3a*er t+*e )iterature review

%ntroduction 'esearch ga*s in relation to tem*orar+ wor, and 6'7 are *articularl+ acute given that during the ?@@0s it was a**arentl+ the most ra*idl+ growing form of at+*ical em*lo+ment in the "uro*ean !nion 5#torrie. A00A8 and in (ustralia 50urgess and 2onnell. A004a8. &ne of the driving forces for this increase in tem*orar+ wor,ing has been the demand from user firms and the abilit+ to su**l+ from tem*orar+ wor,
The authors would li,e to than, the referees of the articles and the "ditor of 3ersonnel 'eview for their su**ort. The+ would also li,e to than, >ate =lint for organiBing corres*ondence and underta,ing the editing and formatting that was necessar+ to *roduce this s*ecial issue.

3ersonnel 'eview Col. 3D 1o. A. A006 **. ?A@-?40 q "merald rou* 3ublishing )imited 0048-3486 $&% ?0.??08/004834806?064DE86

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agencies 5T;(s8. The most fre9uentl+ cited reason for user firm demand for tem*orar+ wor,ers has been the labour flexibilit+ it *rovides 52arre and Till++. ?@@8: 2onnell and 0urgess. A00A: $%'. A00?: onos. ?@@E8. 6ence. T;(s become *urve+ors of flexibilit+ and 6' Fbro,ersG. fre9uentl+ underta,ing the 6' roles that were *reviousl+ conducted Fin-houseG such as recruitment and selection. *a+roll. a**raisal and training. Tem*orar+ wor, is an omnibus term that covers several different forms of em*lo+ment arrangement including fixed term em*lo+ment. on call em*lo+ment 5wor,ers called in to an organisation as and when re9uired8 and tem*orar+ agenc+ em*lo+ment 52am*bell and 0urgess. A00?8. The forms and t+*es of tem*orar+ em*lo+ment var+ across countries and industries according to em*lo+ment regulations and labour use needs and strategies 50urgess and 2onnell. A004a: &"2$. A00A8. &ne feature of tem*orar+ em*lo+ment that is evident from the *a*ers in this issue is that. on average. tem*orar+ wor,ers remain detached from an ongoing relationshi* with the organisation where the+ wor,. This detachment can extend to factors associated with a lac, of an+ access to training. career develo*ment. em*lo+ment benefits and organisational identification 50enda*udi et al.. A0038. %t is also conceivable that this detachment can be ongoing. with Flong-termG tem*orar+ arrangements evident within some organisations 4 referred to as F*ermatem*sG b+ 2ole 5?@@@8. 'ecent cases illustrate that *ermatem*s are. however. fighting for their rights 52ole. ?@@@8 with the 7icrosoft lawsuit just one exam*le of a com*an+ being forced to im*rove wor, benefits for their tem*orar+ staff. The 7icrosoft 2or*oration was ordered to *a+ !#H@E million to settle a long-standing lawsuit b+ thousands of tem*orar+ wor,ers who claimed the+ were denied benefits at the software giant whereb+ long-term wor,ers were hired through tem* agencies so it could allegedl+ avoid *a+ing *ensions. health care and stoc, o*tions 5The 1ation. A0008. The rationale for utilising tem*orar+ as o**osed to *ermanent em*lo+ees is one of the ,e+ issues ex*lored in this issue. "vidence suggests that the reasons are varied and involve both short-term and ad hoc strategies through to long-term and carefull+ *lanned strategies 5see #tanworth and $ru,er. this issue8. #imilarl+. the conse9uences of tem*orar+ em*lo+ment can be considered from a number of *ers*ectives 4 that of the wor,ers. the em*lo+ing organisation and the labour mar,et. The majorit+ of the articles in this issue assess the case of agenc+ wor,ing. involving a three *art+ em*lo+ment relationshi* whereb+ the agenc+ intermediates between the wor,er and the user firm. This intermediar+ arrangement generates ambiguit+ regarding the em*lo+ment relationshi* and conse9uentl+. it is not overl+ clear who bears the res*onsibilit+ of an em*lo+er and where the commitment and lo+alt+ of the agenc+ wor,er lies. This is one of the regulator+ issues that differs in its a**lication and im*act across countries in terms of defining the em*lo+ment relationshi*. and determining em*lo+ment rights and res*onsibilities 50urgess and 2onnell. A004a8. 7ost T;(s offer a range of human resource services. 'eferred to as external 6'7 *roviders. 7edcof and 1eedham 5?@@88 refer to T;( growth as being driven b+ outsourcing. the contingenc+ wor,force and inter-organisational alliances. 3ec, and Theodore 5?@@88 stress this develo*ment in their stud+ of tem*orar+ wor, agencies in 2hicago arguing that man+ agencies are doing far more than delivering Fwarm bodiesG b+ moving into long-term. human-resource-based functions. &rganisations such as

(decco. one of the largest tem*orar+ *roviders in the world 5alongside man*ower8. o*erate on a *rinci*al of Fone-sto* sho**ingG for an+ ,ind of tem* staffing. This a**roach led a human relations executive to comment F(decco are acting more li,e a consultant than just a *eo*le factor+G 5#ansoni. ?@@E8. 3ositive outcomes arising from tem*orar+ em*lo+ment are that- it can im*rove job matching within the labour mar,et. reduce job search time and ex*enses. and offer a transition to *ermanent em*lo+ment 5&"2$. A00?8. 1onetheless. there are *otential dangers associated with ex*anding the relative siBe of the tem*orar+ wor,force. such as exclusion from standard em*lo+ment benefits and from an organisation<s internal labour mar,et 5including training and career *aths8. job and wage insecurit+ and segregation into a c+cle of contingenc+ em*lo+ment arrangements 50urgess and 2onnell. A004bb8. ;hile these as*ects of tem*orar+ em*lo+ment are im*ortant. the focus for this collection is on the im*lications for the organisations contracting tem*orar+ labour services and whether these are intermediated via an agenc+ or arranged through a direct em*lo+ment contract. The ,e+ research 9uestions =rom the organisational or labour user *ers*ective. there are a number of core 9uestions that are addressed in this issue in relation to tem*orar+ wor, and 6'7 concerning the'I?. 'ationale for using tem*orar+ wor,ers rather than *ermanent wor,ers. ;hat are the advantages and disadvantagesJ (re decisions concerning tem*orar+ em*lo+ment strategic and long-term. or short-term and reactiveJ 'IA. =actors determining t+*e of tem*orar+ arrangement. %n *articular. wh+ use agenc+ em*lo+ment as o**osed to short-term direct em*lo+ment arrangements such as fixed term contract em*lo+mentJ 'I3. 'ationale for tem* wor,ers entering into tem*orar+ em*lo+ment arrangementsJ %s tem* wor, a *reference. is it related to an absence of o**ortunities related to *ermanent em*lo+ment or. is it seen as having the *otential to move into *ermanent em*lo+ment arrangementsJ 'I4. 1ature and extent of the relationshi* between T;(s and user firmsJ ;hat t+*e of services are *rovided b+ agenciesJ %s it a strategic *artnershi* or. is it an occasional at-call transactional relationshi* between the T;( and the client organisationJ 'ID. 'elationshi* between em*lo+ment regulations and the organisation<s labour use *atterns of tem*orar+ wor,ersJ %n *articular. are tem*s a means of avoiding regulations concerning *ermanent wor,ers. avoiding trade unions or even disci*lining *ermanent wor,ers. or is the use of tem*s com*lementar+ and su**ortive to an established internal labour mar,et of *ermanent wor,ersJ 'I6. ;hat are the 6' challenges associated with ongoing and extensive use of tem*orar+ wor,ersJ 2an such wor,ers be committed and where *roduct 9ualit+ and organisational re*utation is im*ortant. can the+ be sustained through a tem*orar+ wor,forceJ $ru,er 5A00A8 challenges the notion that

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tem*orar+ em*lo+ees can develo* commitment to the organisation the+ are contracted to. The *roductivit+ of *eo*le. he argues. de*ends not onl+ on how and where wor,ers are *laced. but also on who manages and motivates them 4 an area the tem*orar+ agenc+ has no control over. 'IE. 'elationshi* between tem*s and the *ermanent wor,forceJ (re the+ divided or integratedJ !nder what conditions are each of these scenarios li,el+ to occurJ ;hat *ressures and tensions are *resent within an organisation where there is an extensive tem*orar+ wor,force wor,ing alongside a *ermanent wor,forceJ 'I8. #ector demand for tem*s. (re some sectors and organisations more *rone to the use of tem*orar+ wor,ersJ ;hat *roduct or labour mar,et factors generate this need for tem*sJ %n relation to the above it is clear that the nature of tem* wor, and the tem*orar+ wor,force itself has changed and continues to change over time. =irst. changes are occurring in the breadth of activities *erformed b+ tem* wor,ers. Tem*s used to be contracted to underta,e low-s,illed. clerical *ositions but are now just as li,el+ to be found in the *rofessional and technical occu*ations 56i**le and #tewart. ?@@68 or in the teaching 5see 0r+son and 0lac,well in this issue8 or nursing *rofessions. #econd. the utilisation of tem*s was once considered to be a Fsto*-ga*G while *ermanent em*lo+ees were ill or on holida+. 1ow. there is evidence that firms are using tem*s as *art of their com*etitive strateg+ to im*rove bottom lines and avoid unfair dismissal claims if em*lo+ees have to be laid off 52onnell and 0urgess. A00A8. !BBi and 0arness 5?@@88 re*ort. that reorganisation and technolog+ is aimed at the resha*ing of *ermanent jobs so that contingent wor,ers who can Fcom*lete the full se9uence of a *ermanent jobG are substituted easil+ for *ermanent wor,ers. leading to claims that organisations are shedding *ermanent jobs and hiring in agenc+ wor,ers 5;or,ers &nline. A0038. The structure of the issue This collection concerns studies underta,en in two countries- the !> and (ustralia. 0oth are light regulators of tem*orar+ and agenc+ wor,. although the !> is moving towards more extensive regulations 4 largel+ in res*onse to recent "! directives 5see article b+ 0iggs et al.8. (ll of the articles com*rise national studies with the exce*tion of the contribution b+ 0r+son and 0lac,well. The articles b+ =orde and #later. and 0iggs et al. draw on national 0ritish databases to *rovide insights into the reasons wh+ user firms em*lo+ tem*orar+ wor,ers. the characteristics of tem*orar+ wor,ers and tem*orar+ jobs and the im*act of recent em*lo+ment regulations on the incidence of tem*orar+ em*lo+ment. #tanworth and $ru,er utilise case anal+sis to examine the client firms of agenc+ wor,ers in the !> in order to determine the nature of tem*orar+ wor, and labour use strategies influencing tem*orar+ agenc+ labour use. 6all utilises both national em*lo+ment estimates and surve+s of the tem* industr+ to assess the nature of tem*orar+ wor, in (ustralia. while 0r+son and 0lac,well use structured case studies to examine the use of tem*orar+ wor,ers in the !> higher education sector. =orde and #later draw on three !> national surve+s 4 the )abour =orce #urve+. the ?@@8 ;or,*lace "m*lo+ee 'elations #urve+. and the A000 surve+ of ;or,ing in

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0ritain. !sing multivariate anal+sis the+ interrogate the data sets to examine the Tem*orar+ nature of agenc+ jobs. labour use strategies behind agenc+ use and the ex*eriences of and agenc+ wor,ers. %n *articular. the+ are interested in whether agenc+ jobs are associated with Fnew econom+G wor, where tem* agenc+ wor,ers are mobile. in demand. and building a career out of tem*ing 5(lbert and 0radle+. ?@@E8 4 or whether the+ are insecure. low s,illed and in *recarious jobs 5(llen and 6enr+. ?@@68. =orde and #later also consider the client firms using agenc+ labour. their characteristics and motivations and the im*lications for 6'7 arising from the em*lo+ment of tem*s. =rom their anal+sis. =orde and #later advise that there is little evidence of Fnew econom+ wor,G. Their findings indicate that em*lo+ers< use of agenc+ wor,ers is related to *ressures on labour costs. *robabl+ driven b+ short-term considerations. =orde and #later<s stud+ highlighted relativel+ high levels of dissatisfaction amongst tem* agenc+ wor,ers in relation to the content of the wor, underta,en and the limited sco*e for using their initiative. 3erha*s unsur*risingl+. the+ also found significant differences in the commitment levels of agenc+ tem*s com*ared to other wor,ers. &verall. the stud+ *aints a *icture of agenc+ wor,ing in 0ritain. which is *recarious. com*rises low 9ualit+ wor, and is associated with *oor outcomes for tem* agenc+ wor,ers. This stud+ also suggests that the use of agenc+ wor,ers has a negative im*act on organisational outcomes and *erformance associated with outcomes that conflict with generall+ acce*ted human resource management goals. 6all examines tem* agenc+ em*lo+ment in (ustralia. noting its high densit+ in com*arison with other &"2$ economies. =irst. he examines the industr+ and occu*ational distribution of agenc+ em*lo+ment. before considering secondar+ data on the reasons for client use. %n relation to a national em*lo+ment surve+. 6all finds that agenc+ wor,ers are less satisfied than *ermanent wor,ers across a range of criteria. %n common with =orde and #later 5this issue8. 6all concludes that the use of tem* agenc+ wor,ers is not com*atible with 6' strategies that *romote high commitment and high *erformance wor, s+stems. >e+ findings from this *a*er are that although tem*s ma+ well *rovide flexibilit+ for client firms. agenc+ wor,ers do not re*ort high levels of satisfaction with their flexibilit+ and abilit+ to manage wor, and non-wor, commitments. 7oreover. the+ re*ort high levels of job instabilit+. There is also little evidence that tem*orar+ wor, agencies are succeeding in more efficientl+ matching s,ills to job re9uirements. %n fact. 6all contends that agenc+ wor,ers are actuall+ less li,el+ than direct em*lo+ees to re*ort good utilisation of their s,ills. (s such. 6all concludes that agenc+ wor, *resents a significant challenge to the 6' function given the aims of *romoting high involvement and high *erformance wor, *ractices 5'amsa+ et al.. A0008. #tanworth and $ru,er underta,e ?A case studies of client organisations that em*lo+ tem* agenc+ wor,ers. The authors develo* a t+*olog+ to examine labour use strategies com*rising- either ad hoc/*lanned su**lementation or ad hoc/*lanned substitution strategies in relation to tem*orar+ staffing. Their research highlights the diversit+ and com*lexit+ of labour use strategies. These are reflected in a number of factors including- the use of tem*s as a *ermanent buffer against uncertaint+ in a c+clical industr+. to reduce costs in the face of ongoing budget controls and the use of tem*s in one industr+ where there were ongoing s,illed staff shortages. #tanworth and $ru,er re*ort that strategies for labour use can sometimes be im*osed b+ head offices and contested between 6' and line managers. %n some cases. the+ re*ort that T;(s

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offered a range of 6' services to client firms in addition to tem*orar+ labour. This generall+ occurred as a result of long-term. strategic relationshi*s leading the authors to conclude that the use of agenc+ tem*s re*resents a challenge to the integrit+ of the internal labour mar,et and to internalised and autonomous 6' functions. #tanworth and $ru,er<s research also revealed a growing trend towards the ado*tion of mar,et-led solutions to diverse resourcing *roblems. The case firms tended to react to *eriods of turbulence b+ ta,ing on more tem*orar+ labour. and. in some cases. boundaries between FcoreG and F*eri*her+G were redrawn. usuall+ shrin,ing the former and enlarging the latter. %n the next article 0iggs et al. examine the im*act of an extension of regulations over tem*orar+ em*lo+ment in the !> on the extent of tem*orar+ em*lo+ment. #*ecificall+. the authors assess the im*act of the =ixed Term "m*lo+ees 'egulation 5A00A8 and the 2onduct of "m*lo+ment (gencies and "m*lo+ment 0usinesses 'egulations 5A0038 on this sector. The+ draw on information from A4 )abour =orce #urve+s in conjunction with longitudinal studies and interview data from agencies and tem*orar+ wor,ers. (nal+sis of the data demonstrated firstl+. that as a result of legislation. the utilisation of tem*orar+ wor,ers had declined in the labour force in real terms b+ A4 *er cent with utilisation of agenc+ wor,ers declining b+ ?? *er cent. #econdl+. 0iggs et al. found that more tem*orar+ wor,ers had become *ermanent *ost-legislation 5AE *er cent8 com*ared with *re-legislation 5AA *er cent8. iven that the 2onduct of "m*lo+ment (gencies and "m*lo+ment 0usinesses 'egulations is relativel+ new legislation the authors also examine how these regulator+ changes are ex*ected to im*act on the wor,*lace and client firms labour use strategies. To date. the+ conclude that. *ost-legislation. tem*s are a less attractive o*tion for user firms. (ccordingl+. the+ *redict that the *ressure for flexibilit+ adjustments is li,el+ to be transferred to *ermanent wor,ers within internal labour mar,ets. 0r+son and 0lac,well *resent the onl+ industr+ stud+ in the issue. The+ examine the use of tem*orar+ wor,ers in the !> higher education sector 5where the densit+ of tem*orar+ em*lo+ment is over D0 *er cent8 reviewing the evidence from five case studies in relation to labour use strategies. (lthough the *redominant hiring route is through direct and on call contract wor,ers. there is evidence of some agenc+ use in the sector 5note 4 one of the case studies outlined in the #tanworth and $ru,er article involves a higher education *rovider8. The 0r+son and 0lac,well article highlights two contrasting strategies associated with tem*orar+ labour use 4 integration versus differentiation. The authors describe how each strateg+ could be *ursued both b+ 6' divisions and de*artmental managers. $ifferentiation can generate flexibilit+ but can also com*romise 9ualit+ and commitment. whereas integration ma+ reduce flexibilit+ but also reduce the ris,s associated with differentiation. %n common with 0iggs et al. 5this issue8 0r+son and 0lac,well re*ort that in order to com*l+ with new regulations man+ 6' divisions are moving towards an integrationist a**roach.

=indings from the issue ;hile this issue *rovides some clear answers to the ,e+ research 9uestions. it is e9uivocal on some and leaves others unanswered. The main findings from the articles included in this issue are summarised as follows.

!tilisation of tem*s Tem*s are used for a variet+ of reasons from the traditional role of filling labour shortages. through to strategic motives relating to the accommodation of *roduct mar,et uncertaint+. The case studies of #tanworth and $ru,er reveal the diversit+ and com*lexit+ of labour use strategies and the fact that. in some cases. control is not being exercised within organisations b+ 6' or line managers but are being im*osed b+ external head offices or because of government budget directives. 1ature of the tem* wor,force The configuration between different forms of tem*orar+ and contingent em*lo+ment is still an issue that re9uires further investigation. Tem*orar+ agenc+ em*lo+ment is utilised where there are s,ill shortages or where there is a need to manage ongoing ris,s and contingencies associated with *roduct mar,et uncertaint+. The higher education case stud+ revealed a high use of direct contract em*lo+ment where casuals and *ost graduate students were used as an ongoing Freserve arm+G to cover for the fluctuations in teaching demand and to meet the im*osed budget guidelines emanating from government directives. 7otivations for entering into tem*orar+ wor, These are varied. although =orde and #later 5this issue8 ma,e it clear that man+ tem*s are not high s,illed ,nowledge wor,ers that exercise control over *lacements 5also see 6all this issue8. ;hile highl+-s,illed. ,nowledge wor,ers do o*erate in the tem* agenc+ mar,et. in the main the+ are relativel+ low s,illed. in low *a+ing occu*ations and suffer from job and income insecurit+. "xam*les are also *rovided of long-term tem*ing arrangements 5see #tanworth and $ru,er. this issue8 and there is evidence that regulator+ changes can move tem*s into *ermanent em*lo+ment arrangements 50iggs et al.. this issue8. 'elationshi*s between tem* em*lo+ment agencies and user firms Tem* em*lo+ment agencies offer a range of services and. in some instances. the+ enter into long-term strategic alliances with client users 5#tanworth and $ru,er. this issue8. These strategic alliances allow for the clients to reduce ris,s associated with *roduct mar,et uncertaint+ and labour mar,et *roblems such as s,ill shortages. The services offered can range from recruitment through to training and *a+roll management. )abour use *atterns "m*lo+ment regulations in the !> have had an im*act at the aggregate level 5see 0iggs et al.. this issue8 and have also *la+ed a *art in sha*ing labour use *atterns 5see 0r+son and 0lac,well. this issue8. 'elationshi*s between the use of tem*s and *ermanent wor,ers within the same organisation remain com*lex with tighter regulations over tem*orar+ em*lo+ment contracts having the *otential for greater *ressure on *ermanent wor,ers 50r+son and 0lac,well. this issue8. 2hallenges and contradictions 6' challenges deriving from the use of tem*s remain considerable. 0+ their ver+ nature. tem*s are marginalised from the internal labour mar,et and. as such. their commitment and identit+ with the user organisation remains uncertain. 0oth 6all 5this

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issue8. and =orde and #later 5this issue8 raise 9uestions concerning the effectiveness of using tem*s in the context of high *erformance wor, s+stems. 6all also ma,es the *oint that as much as 6' managers might li,e to regard the management of wor,ers su**lied b+ an agenc+ as not being their *roblem. the+ are li,el+ to be as,ed to manage the *otential organisational damage that could flow from the *resence of insecure. uncommitted and distrustful tem*orar+ agenc+ wor,ers. %ntegration versus se*aration %ntegration versus se*aration strategies for utilisation of tem*s within internal labour mar,ets were investigated b+ 0r+son and 0lac,well 5this issue8. The+ highlighted the tensions and *roblems associated with both strategies and whether the form of tem*ing 5*ermanent versus casual. versus agenc+8 can overcome the fundamental division that remains between *ermanent and tem* wor,ers. ;hat factors influence the utilisation of tem*orar+ labourJ Tem*orar+ wor, is im*ortant for man+ organisations that cannot recruit s,illed labour. that are facing *roduct mar,et instabilit+. are engaged in an organisational restructure or have to meet im*osed external directives regarding *a+roll or em*lo+ee de*lo+ment. =orde and #later 5this issue8 found that. as ex*ected. the *ublic sector. traditionall+ a large user of tem*orar+ staff. were facing increasing budget uncertainties. *rivatisation and continued contracting-out of services 4 all factors that encouraged the use of tem* agenc+ labour 5T!2. A00A: 2onle+. A00A8. The+ also found some evidence to su**ort the *resence of a relationshi* between com*etition in the *roduct mar,et and the use of agenc+ labour. #*ecificall+ organisations that described the mar,et for their main *roduct and service as FinternationalG 5rather than national. regional or local8 were significantl+ more li,el+ to be users of agenc+ labour. =urther research issues This issue is limited *rimaril+ to national reviews relating to the !> and (ustralia. 6ence. the richness of divergent ex*erience across countries and industries are not ca*tured. %t is clear. however. that the consciousness of 6' *ractitioners and academics has been raised regarding the use of tem*orar+. fragmented and often external. wor,ing arrangements. The tem*orar+ agenc+ industr+ is growing and is increasingl+ becoming internationalised 53ec, and Theodore. A004: #ansoni. ?@@E: #chellhardt. ?@@E8. %t offers an arra+ of services that can. in the extreme. su**lant traditional and internalised 6' functions. Therefore. this issue offers an entreK e into a range of further research issues that await ex*loration. These include. ;hat governs the labour use of different fragmented em*lo+ment arrangements from casuals. contract and agenc+ wor,ers. %t is clear that in the !> higher education sector there is heav+ de*endenc+ on tem*s. +et there is relativel+ minor use of agencies. ;h+ do agencies *redominate in some sectors while direct em*lo+ment arrangements o*erate in othersJ . ;hat role and effectiveness of regulations in limiting tem*orar+ em*lo+ment or in configuring the com*osition of em*lo+mentJ 0iggs et al. outline the trend towards more extensive regulation in the !>. a trend re*eated in "uro*e 5$e 'u+ter. A0048. %n (ustralia. the regulations are more fragmented and largel+

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concerned with assigning em*lo+ee res*onsibilities 5occu*ational. health and safet+8 50urgess and 2onnell. A004b8. The 9uestion is that if tem*orar+ em*lo+ment and agenc+ em*lo+ment is more tightl+ regulated over such issues as the length and turnover of contracts. access to em*lo+ment rights and benefits. whether this will lead to a substitution of *ermanent wor,ers for tem*s. or whether this will lead to greater use of other forms of externalised and contingent labour use such as outsourcing and the use of inde*endent contractorsJ =or 6'7 there are sources of conflict. tensions and contradictions associated with the use of tem*s. #ome forms of control are enhanced 5e.g. costs. labour disci*line. exclude unions8 while other objectives are com*romised. such as commitment. The use of agenc+ wor,ers can bring savings in job matching but also com*romise the integrit+ and even existence of 6' branches. (s the issue has demonstrated. the organisational d+namics can see 6' divisions at odds with head offices and internal line managers over the use of tem*orar+ wor,ers. 6ow these facture lines and internal contradictions are negotiated and resolved remains an ongoing area of research. The strategic uses of tem*s are man+ and varied. as highlighted b+ #tanworth and $ru,er 5this issue8. )abour use strategies can range from the short-term and ad hoc through to the long-term and strategic. %ndeed. different strategies are often *resent within the same industr+. and in some cases. within the same organisation. ;hat factors are associated with the different labour use strategies and how do strategies develo*J #*ecificall+. where does a labour use strateg+ originate. is it *art of a cor*orate *lan. is it a res*onse to financial re*ortingJ The agenc+ industr+ itself offers extensive o**ortunities for further research. The develo*ment and growth of the industr+ in the !#( has been re*orted b+ 3ec, and Theodore 5A0048. !nder what conditions has the industr+ grown and develo*ed. and what determines the range of services offered and their relationshi* with client organisationsJ %s growth more related to *ublic sector restructuring 5*rivatisation. contracting out. hard budget rules8 as o**osed to fundamental changes in the *rivate sectorJ ;ith the growth in the industr+ is it su**orting traditional tem*ing functions or is it offering a *ortfolio of services 5see 6all. this issue. and $ru,er and #tanworth. this issue8 across all industries and occu*ationsJ %s agenc+ wor, a manifestation of the globalisation of labour services and the emergence of *ortfolio and ,nowledge wor,ers 50ec,. ?@@A8 within a future of wor, scenarioJ The evidence in this issue *oints towards the dominance of the uns,illed and low *aid. hardl+ in ,ee*ing with this scenario. $o ,nowledge wor,ers wish to *ursue agenc+ wor, that. while offering *otential advantages. also. as indicated in the issue. has man+ disadvantagesJ

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%n conclusion. we argue that further research is necessar+ concerning how strategic decisions in using tem*orar+ wor,ers are formed and how recent legislation has influenced these *olicies. $ifferences in the use of tem*orar+ wor,ers *re- and *ost-legislation ma+ also be interesting to examine concerning the extent tem*orar+

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wor,ers are used in relation to strategic de*lo+ment versus o*erational necessit+. %t is evident. however. that no one *ers*ective. *ublic *olic+ or organisational strateg+ is li,el+ to fit all situations in relation to tem*orar+ wor, and 6'7. 7an+ differences exist in the s,ill levels of tem* wor,ers. their demogra*hic characteristics and reasons for underta,ing tem* wor,. )i,ewise. as *ointed out b+ man+ of the authors included in this issue. there are also differences within user firms in relation to their reasons for em*lo+ing tem*s. The rise of the tem* services industr+ has triggered interest and debate in the labour mar,et 5#egal and #ullivan. ?@@E8. 1onetheless. to date there have been ver+ few attem*ts to fill the research ga* with reference to tem*orar+ wor, and 6'7. ;e have endeavoured to begin to address that ga* with this issue and are o*timistic that further necessar+ research will follow as the tem* wor, *henomenon continues to grow worldwide.
'eferences (lbert. #. and 0radle+. >. 5?@@E8. 7anaging >nowledge- "x*erts. (gencies and &rganisations. 2ambridge !niversit+ 3ress. 2ambridge. (llen. /. and 6enr+. 1. 5?@@68. F=ragments of industr+ and em*lo+ment- contract service wor, and the shift towards *recarious em*lo+mentG. in 2rom*ton. '.. allie. $. and 3urcell. >. 5"ds8. 2hanging =orms of "m*lo+ment- &rganisations. #,ills and ender. 'outledge. )ondon. 0ec,. !. 5?@@A8. 'is, #ociet+- Towards a 1ew 7odernit+. #age. )ondon. 0enda*udi. C.. 7angum. #.. Tans,+. /. and =isher. 7. 5A0038. F1on-standard em*lo+ment arrangements- a *ro*osed t+*olog+ and *olic+ *lanning framewor,G. 6'. 6uman 'esources 3lanning. Col. A6 1o. ?. **. A4-4?. 0urgess. /. and 2onnell. /. 5A004a8. Tem*orar+ (genc+ "m*lo+ment in (ustralia- The 2hallenges of 'egulation. %%'( (sian 2ongress. #eoul. 0urgess. /. and 2onnell. /. 5A004b8. F%nternational as*ects of tem*orar+ agenc+ em*lo+mentan overviewG. in 0urgess. /. and 2onnell. /. 5"ds8. %nternational 3ers*ectives on Tem*orar+ (genc+ ;or,. 'outledge. )ondon. **. ?-A3. 2am*bell. %. and 0urgess. /. 5A00?8. F( new estimate of casual em*lo+mentJG. (ustralian 0ulletin of )abour. Col. AE 1o. A. **. 8D-?08. 2arre. =. and Till++. 2. 5?@@88. F3art-time and tem*orar+ wor,- flexibilit+ for whomJG. $ollars and #ense. Col. A?D 1o. ?. **. AA-6. 2ole. /. 5?@@@8. F3ermatem*s *ose new challenges for 6'G. 6' =ocus. $ecember. **. E-8. 2onle+. 6. 5A00A8. F( state of insecurit+- tem*orar+ wor, in the *ublic services wor,G. "m*lo+ment and #ociet+. Col. ?6 1o. 4. **. EAD-3E. 2onnell. /. and 0urgess. /. 5A00A8. F%n search of flexibilit+- im*lications for tem*orar+ agenc+ wor,ers and human resource managementG. (ustralian 0ulletin of )abour. Col. A8 1o. 4. **. AEA-83. $e 'u+ter. (. 5A0048. FTem*orar+ agenc+ wor, in the "!- an overviewG. in 0urgess. /. and 2onnell. /. 5"ds8. %nternational 3ers*ectives on Tem*orar+ (genc+ ;or,. 'outledge. )ondon. **. 3E-D3. $%' 5A00?8. )abour 6ire Tas, =orce =inal 'e*ort. $e*artment of %ndustrial 'elations. #+dne+. $ru,er. 3. 5A00A8. FThe+<re not em*lo+ees. the+<re *eo*leG. 6arvard 0usiness 'eview. =ebruar+. **. E0-E.

onos. . 5?@@E8. FThe contest over Lem*lo+er< status in the *ost-war !nited #tates- the case of tem*orar+ hel* firmsG. )aw and #ociet+ 'eview. Col. 3? 1o. ?. **. 8?-??0. 6i**le. #. and #tewart. /. 5?@@68. F"arnings and benefits of contingent and non-core wor,ersG. 7onthl+ )abour 'eview. Col. ??@ 1o. ?0. **. AA-30. 7edcof. /. and 1eedham. 0. 5?@@88. FThe su*ra-organiBational 6'7 s+stemG. 0usiness 6oriBons. Col. 4? 1o. ?. **. 43-D?. 5The8 1ation 5A0008. FTem*s demand a new dealG. available at- www.thenation.com/doc. mhtmlJi M A00003AENc M 4Ns M coo, 5accessed ?6 (ugust A0048. &"2$ 5A00?8. "m*lo+ment &utloo,. &rganisation for "conomic 2o-o*eration and $evelo*ment. 3aris. &"2$ 5A00A8. "m*lo+ment &utloo,. &rganisation for "conomic 2o-o*eration and $evelo*ment. 3aris. 3ec,. /. and Theodore. 1. 5?@@88. FThe business of contingent wor,- growth and restructuring in 2hicago<s tem*orar+ em*lo+ment industr+G. ;or,. "m*lo+ment N #ociet+. Col. ?A 1o. 4. **. 6DD-E4. 3ec,. /. and Theodore. 1. 5A0048. F2+cles of contingenc+- the tem*orar+ staffing industr+ and c+cles of contingenc+ in the !#G. in 0urgess. /. and 2onnell. /. 5"ds8. %nternational 3ers*ectives on Tem*orar+ (genc+ ;or,. 'outledge. )ondon. **. A4-36. 'amsa+. 6.. #cholarios. $. and 6arle+. 0. 5A0008. F"m*lo+ees and high-*erformance wor, s+stems- testing inside the blac, boxG. 0ritish /ournal of %ndustrial 'elations. Col. 38 1o. 4. **. D0?-3A. #ansoni. #. 5?@@E8. F7ove over. man*owerG. =orbes. Col. ?60 1o. ?. **. E4-D. #chellhardt. T. 5?@@E8. FTem*orar+-hel* industr+ now features battle of the giants 4 (decco moves increase *ressure on 7an*ower %nc. and smaller rivalsG. ;all #treet /ournal. 1ovember 6. *. ?. #egal. ). and #ullivan. . 5?@@E8. FThe growth of tem*orar+ services wor,G. /ournal of "conomic 3ers*ectives. Col. ?? 1o. ?. **. ??E-36. #torrie. $. 5A00A8. Tem*orar+ (genc+ ;or, in the "uro*ean !nion. "uro*ean =oundation for the %m*rovement of )iving #tandards and ;or,ing 2onditions. $ublin. T!2 5A00A8. 'ights to (ll- 'es*onses to $T% 2onsultations on "m*lo+ment #tatus. Trade !nion 2ongress. )ondon. !BBi. 0. and 0arness. O. 5?@@88. F2ontingent em*lo+ment in 0ritish establishmentsorganiBational determinants of the use of fixed-term hires and *art-time wor,ersG. #ocial =orces. Col. E6 1o. 3. **. @6E-??08. ;or,ers &nline 5A0038. FTelstra on chargesG. available at- www.wor,ers.labor.net.au 5accessed ? $ecember A0038. =urther reading 7c)eod. $. 5?@@E8. F'is,s from hiring tem*s ma+ have long-term effectsG. 0usiness %nsurance. Col. 3? 1o. ?E. **. 30-?. Tuers. 0. and 6ill. ". 5A00A8. F$o the+ botherJ "m*lo+er training of tem*orar+ wor,ersG. 'eview of #ocial "conom+. Col. 60 1o. 4. **. D43-6E. (bout the authors /ohn 0urgess is $irector of the "m*lo+ment #tudies 2entre at the !niversit+ of 1ewcastle. (ustralia. 6e is joint editor with /ulia 2onnell of %nternational 3ers*ectives on Tem*orar+ (genc+

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"m*lo+ment 5*ublished b+ 'outledge in A0048. 6is research interests are in contingent em*lo+ment. gender and wor,. call centre wor, and wor,*lace bargaining. /ohn 0urgess is the corres*onding author an can be contacted at /ohn.0urgessPnewcastle.edu.au /ulia 2onnell is an (ssociate 3rofessor at the 1ewcastle raduate #chool of 0usiness. !niversit+ of 1ewcastle. (ustralia. 'esearch interests encom*ass wor, and organisational studies. 'ecentl+ *ublished co-edited boo,s 5with /ohn 0urgess8 include- %nternational 3ers*ectives on Tem*orar+ (genc+ ;or, and $evelo*ments in 2all 2entre %ndustr+. (nal+sis. 2hanges and 2hallenges. The same team are also wor,ing on a new boo, 4 The 2hanging 1ature of ;or, in (sia which will be com*leted in A006.

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