Alpha Contractor Management is a Service that allows our Clients to manage their Direct Contractors in a cohesive and intelligent manner. Our service is aimed at those clients who want one or more of the following:
- Online management of contractor resources. In many large organisations the management of direct contractors is often very loose with almost no-one knowing how many, how much they are costing, when they are supposed to be finishing.
- Reduced Risk of Employment Status changes. Multiple parties are interested in the status of long term direct contractors. IRD has a pecuniary interest in whether they are liable for PAYE for instance and have conducted audits from time to time. The Ministry of Business Innovation and Employment has an interest in whether such people should be receiving standard employment benefits, such as statutory leave provisions.
- Improved Health & Safety Management. There are requirements on all parties involved in the workplace to take care of the people working there and companies can no longer contract out of a duty of care for contractors.
- Better Insurance Compliance. Currently many organisations specify minimum requirements for PL and PI insurance. However direct contractor cover is frequently missing, or renewal status is not followed up, or sometimes ignored.
- Happier Contractors. The disconnect between core organisation functions such as procurement and finance have often failed to pay on-hire resources in a timely manner, which leads to disenchantment at the beginning of the working relationship. We not only pay the contractors on time, they are able to take advantage of Alpha's contractor payroll capability which provides wraparound PAYE payment with allowable deductions.
Key components of Alpha’s offering include:
- A single signon for hiring managers to review all associated assignments, timesheets, start and end dates, departmental information, health& safety information, project QC’s, project schedules and job approvals
- A definitive Payment schedule for the Contractor that is not dependant on when Alpha is paid by the client
- Online summary reporting for company and departmental approvers and administrators (eg procurement, HR)
- Visibility of budgets, drawdowns against PO’s, remaining balances
- A comprehensive and compliant Health and Safety system
- The ability to "Payroll" all contractors, whether direct or sourced by Alpha.
The Process
Hiring managers typically initiate the process by deciding that a particular contractor would be suitable for a project role and sending the contact details of the contractor to Alpha. We make contact and enrol the contractor into Alpha's systems, including an introduction to principles of Health & Safety, set up a contractual arrangement that mirrors the client requirement, and create the engagement within Alpha's systems.
We make much of the information relating to the engagement visible to the hiring manager through our Jobs Online Client portal, and to the contractor through the Candidate Portal. Timesheets, H&S induction information, PO's and cost to date all become available to the hiring manager as the engagement progresses.
The contractor is given the option of invoicing Alpha with a Tax Invoice on a monthly basis, or taking up our Payroll service as a self employed contractor. In the latter case we can calculate the PAYE, Kiwisaver and allowable deductions for the contractor and pay the relevant amounts as dictated by legislation. This service is available to all direct and Alpha sourced contractors and is often taken up by those new to contracting, or who want to make sure that their obligations to IRD are taken care of. Read More...
Current Service Uptake
Alpha's Contractor Management Service is growing very fast. Our offering is comprehensive and supported by dedicated resources. We are working with some of New Zealand's largest Public and Private sector clients, usually in an exclusive arrangement which is extremely cost effective.