Hiring Short-Term Locum Workers with Benefits: Can They Transition to Permanent Roles?

Dear HR professionals, is it possible to hire workers for 2 to 3 months as locums with statutory benefits? After that, if necessary, can we transition them to permanent employees? Thank you.

Understanding Locum Employees

Conceptually, locum employees are stand-ins engaged for a short duration until the regular employee returns, and hence they cannot be planned to be made regular. Instead of locum, you could consider appointing them on a temporary basis and, if found fit, offer them a regular position with probation followed by confirmation in case of satisfactory service.

Dear KK, thank you for your valuable response. For these temporary employees, can we provide an offer letter and statutory benefits? Is it possible?

Thank you.

Yes, that is possible, though not necessary; indeed, it will show it to be a genuine arrangement.

Good morning! I am glad to hear about the same. So, which designation can we provide them in the offer letter? For example, "You will be designated as a Worker" on a temporary basis for 2 months. Is it fine?

Thank you.

Dear colleague,

There is no concept of a worker employed as a 'Locum'. If anything, it has to be on a temporary/fixed-period appointment basis.

If appointed for three months at a stretch, the major statutory benefits will include ESI, PF, earned leave encashment, and bonus after completion of the financial year and if worked for 30 days.

The designation will have to be based on the category, i.e., mazdoor/helper, fitter, operator, etc., as per skill level and prevailing in the organization for other workers.

Most importantly, it is crucial to clearly include, inter alia, a clause in the appointment letter that this appointment is purely on a temporary basis for a period of ---- months and will automatically come to an end on the last date of the appointed period.

Regards,

Vinayak Nagarkar

HR and Employee Relations Consultant