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Temp Agency Agreement Template for United States

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Key Requirements PROMPT example:

Temp Agency Agreement

"I need a Temp Agency Agreement for my manufacturing company that will allow us to hire seasonal workers during peak periods, with specific provisions for safety training and the option to convert temporary workers to permanent employees after 6 months; planning to implement this by March 2025."

Document background
The Temp Agency Agreement serves as the foundational document governing the relationship between staffing agencies and businesses requiring temporary workforce solutions. This contract type is essential in today's dynamic business environment where companies need flexible staffing solutions while ensuring compliance with U.S. federal and state employment regulations. The agreement addresses crucial elements including worker classification, liability allocation, insurance requirements, payment terms, and conversion fees for permanent hiring. It's particularly relevant given the increasing reliance on temporary staffing across various industries and the complex regulatory framework surrounding employment in the United States.
Suggested Sections

1. Parties: Identification of the temp agency and the client company

2. Background: Context of the agreement and purpose of the temporary staffing arrangement

3. Definitions: Key terms used throughout the agreement including 'Temporary Workers', 'Services', 'Assignment', etc.

4. Services: Detailed description of temporary staffing services to be provided, including recruitment, screening, and placement processes

5. Payment Terms: Fee structure, invoicing, payment conditions, and markup rates

6. Term and Termination: Duration of agreement and termination provisions, including notice periods

7. Compliance with Laws: Obligations regarding employment laws, regulations, and statutory requirements

8. Insurance and Indemnification: Insurance requirements and indemnification provisions for both parties

9. Confidentiality: Protection of confidential information and trade secrets

10. General Provisions: Standard boilerplate clauses including notices, amendments, governing law, etc.

Optional Sections

1. Direct Hire Provisions: Terms and conditions for converting temporary workers to permanent employees, including conversion fees

2. Volume Commitments: Minimum staffing requirements or guarantees for large-scale arrangements

3. Performance Metrics: KPIs and service level agreements for complex staffing arrangements

4. International Staffing Provisions: Additional terms for cross-border staffing arrangements

5. Benefits Administration: Terms regarding management of employee benefits, if applicable

Suggested Schedules

1. Schedule A - Fee Schedule: Detailed breakdown of all fees, charges, and markup rates

2. Schedule B - Service Level Agreement: Specific performance metrics, standards, and reporting requirements

3. Schedule C - Required Forms: Standard forms for timesheet submission, worker requests, and other administrative documents

4. Schedule D - Insurance Requirements: Detailed insurance coverage requirements and minimum coverage amounts

5. Schedule E - Background Check Requirements: Specific screening and verification requirements for temporary workers

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Clauses

































Industries

Fair Labor Standards Act (FLSA): Federal law governing minimum wage, overtime pay, record-keeping requirements, and child labor restrictions for temporary workers

Immigration Reform and Control Act (IRCA): Federal requirements for employment eligibility verification including I-9 requirements and legal work status verification

Title VII of the Civil Rights Act: Federal anti-discrimination laws and equal employment opportunity requirements applicable to temporary staffing arrangements

Americans with Disabilities Act (ADA): Federal law requiring reasonable accommodations and prohibiting discrimination against individuals with disabilities in temporary employment

Family and Medical Leave Act (FMLA): Federal regulations governing leave entitlements and job protection requirements for eligible employees

IRS Guidelines: Federal tax regulations concerning worker classification and tax withholding requirements for temporary employees

Employee Retirement Income Security Act (ERISA): Federal law governing benefits administration and pension requirements in employment relationships

State Labor Laws: State-specific regulations governing minimum wage, overtime, break times, and paid sick leave requirements

State Workers' Compensation Laws: State-specific insurance requirements and coverage obligations for workplace injuries

State Unemployment Insurance: State-specific requirements for unemployment insurance contributions and reporting obligations

Staffing Industry Regulations: Industry-specific requirements including licensing, bonding, and insurance requirements that vary by state

Occupational Safety and Health Act (OSHA): Federal workplace safety requirements, training obligations, and record-keeping requirements

State Privacy Laws: State-specific requirements for data protection and confidentiality obligations in employment relationships

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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