CoEmployment

Co-employment occurs when two or more companies share responsibility for the same employee or group of employees. This often happens in situations like staffing agencies or outsourced services, where the employee is technically hired by one company (the staffing agency) but works for another (the client company). In co-employment, both parties have obligations, such as complying with labor laws and managing benefits. This arrangement allows businesses to access a larger talent pool while sharing costs and administrative duties related to employment, but it also requires clear agreements to avoid confusion over responsibilities and rights.