Day Rate vs Contract labour benefits

4 Replies

I have seen very simple project be run up way over budget due to day laborers not wanting to complete the project in fear of not having work. Are there ANY benefits whatsoever to employing day laborers over contracted laborers? I think not, but I may be missing some perspective. I visited mexico last year, and was surprised to see the number of day rate laborers employed for small builds. Is there a reason they would do this?

Day laborers are cheap and poorly educated or trained managers see cheapness as a sole advantage.

Also day laborers are easy to put your hands on without prior planning. 

They are simply there for a helping hand when you are short. If you don’t tell them what to do and a timeline or fire them if they don’t meet them, then there lies your issue. We have a handful of on-call W2s aka Day Rate Labors. And we are a construct company, so obviously it works.

Be careful.  As a former builder,  I found many day laborers claim to be an expert at every trade just to work.   Also, many worked purposefully slow to extend hours.  If you hire them often, find a few that are good and get their direct phone number.  My preference was to hire licensed contractors and let them deal with the day laborers they needed.   You think you're saving money hiring on the cheap, but slower and lower quality work costs money, too, in the long run. 

We do the same. We use a labor pool sourcing company when we need extra hands... pick things up and put them down type work. Never trust them with anything more complicated than a shovel.

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