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HRO TODAY March 2014

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[ 46 ] HRO TODAY MAGAZINE | MARCH 2014 ACA Ready? Lean on your MSP provider to navigate the pending risk and cost increases associated with managing your contingent labor. By Audrey Roth Managed Services Programs The contingent workforce equation typically includes staffing firms, managed services programs (MSP), and technology, like vendor management systems. Adding to an already complex dynamic is the Affordable Care Act (ACA), which is causing worker classifications to change. Maintaining compliance and adhering to new regulations of the ACA is a focus of many organizations. Providing help is the American Staffing Association (ASA). In their October report, Best Practices for Business and Contractual Relationships Between Staffing Firms, Managed Service Providers, Vendor Management System Providers, and Clients, the organization outlines the role each one plays. From the report: "Staffing firms, MSPs, and VMS providers are not insurers—they should not be expected to cover risks beyond those inherent in their respective businesses. For staffing firms, such risks include (i) those related to being an employer, such as payment of wages and benefits, payroll taxes, etc.; and (ii) liability for client loss or damage caused by the staffing firm's failure to properly screen or otherwise qualify the assigned employee for the job. For MSPs/VMS providers, such risks include those arising from the management of the procurement process." The question then becomes: How is the relationship between MSPs and their clients going to change? The needs of the companies will vary depending on their requirements, and how they fulfill them. "We expect to conduct these evaluations with our individual suppliers because the ACA will impact each of the suppliers differently, based on their mix of business, current state, and other factors," says Janice Weiner, vice president of global MSP services at Staff Management, provider of workforce

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