Employing people (2) Lesson aims: To know the external people that could get involved in a business To understand the drawbacks and difficulties of employing people

Starter (3 minutes): What are the disadvantages/probl ems of employing people? What is a consultant?

Recap Why might a new business need to employ people? What are the differences between full and part-time employees? What are the differences between permanent and temporary employees? What is an agency worker? What is job-sharing?

More types of employee used in small businesses There are several more ways in which entrepreneurs can employ people and for different reasons; Self-employed freelance Contractors Zero-hours contracts Consultants

Other types… Self employed freelance – People who work for themselves you can hire Contractors – Other businesses you can get to work for you on specialist areas Zero hours contract workers – ‘On call’ people who can work for you at short notice at each others’ convenience

Consultants/advisers Consultants can give valuable advice to new businesses. They will often have specialist knowledge and/or experience of running a business, and can help with issues such as finance, I.T., marketing and business law. However, they tend to come at a high cost.

Disadvantages of employing people  Cost – New businesses tend to try and minimise outgoings.  Employment law – Lots of legislation to comply with.  Management – May not have the skills.  Absences – Especially as small number of employees.

Practice exercise, p. 111 – Q. 6-7

Homework Reading – Chapter 10, p Haywood Associates, p.112. In for Friday.

So… What is a freelance worker? What is a contractor? What is a zero hours contract worker? What is a consultant? Advantages? Disadvantages? What are the disadvantages and problems of employing people?