What is a third-party labor contract?

The third-party labor contract is a special form of labor contract, that is, the labor dispatch contract. The employer signs a contract with the dispatching unit, and the dispatching unit provides labor services to the employer.

The third-party labor contract refers to a special form of labor contract in which the employer entrusts the dispatching unit to provide labor services to it. In this kind of contract, the employing unit signs a contract with the dispatching unit, and the dispatching unit provides staff to the employing unit, and the dispatching unit is responsible for paying the wages, insurance and other welfare benefits of the dispatched personnel. In addition, the employer is also responsible for the management and supervision of dispatched personnel. Compared with the traditional ordinary labor contract, there is no direct relationship between the employer and the employee in the third-party labor contract, but the dispatching unit provides services for the employer. Third-party labor contracts are mainly applicable to temporary, unnecessary or auxiliary work, such as exhibition building and seasonal promotion. In order to standardize the signing and performance of third-party labor contracts, China has formulated the Interim Provisions on Labor Dispatch and corresponding laws and regulations, which clearly defines the rights and obligations of employers and dispatching units, and makes relevant provisions on the protection of dispatched workers.

What's the difference between a third-party labor contract and a labor dispatch contract? The third-party labor contract is a kind of labor dispatch contract, and there is not much difference between them in essence. The third-party labor contract emphasizes the cooperative relationship between the employer and the dispatching unit. The employer does not directly employ the dispatched personnel, but provides them with labor services through the dispatching unit. In addition, there can be multiple dispatching units in the third-party labor contract, while the labor dispatch contract usually only involves a single dispatching unit.

The third-party labor contract is a special form of labor contract, and its concrete realization should be implemented according to the Interim Provisions on Labor Dispatch and other provisions. The employing unit and the dispatching unit shall sign a contract in accordance with the provisions, fulfill their respective rights and obligations, and protect the labor rights and interests of the dispatched personnel.

Legal basis:

Article 3 of the Labor Contract Law of People's Republic of China (PRC) shall follow the principles of legality, fairness, equality, voluntariness, consensus, honesty and credibility when concluding a labor contract. The labor contract concluded according to law is binding, and the employer and the employee shall perform the obligations stipulated in the labor contract.