Loaning Your Helper Out To Your Sub-contractors

Mike Finley

Before I had a helper I used to offer my help off and on to my sub-contractors if they wanted it and if I was in a situation where I could give it.

Now that I use a helper on the job site I'm considering offering them him if they would like him and the situation is available. Economically it makes sense, plumber charges $90 an hour, helper costs me $22, if he shaves a hour off the job that's a net savings, plus the subs happy to have a free helper.

Good, bad? What's the down side here?

dougchips

Mike, I've known people that "rent" their semi-skilled helpers out. They paid the helper $10 an hour and rent them out for $15. I have "shared" helpers in the past and the system use to work great. If I only needed a helper 2-3 days a week, my friends would use them on the other days. Sort of a time share program.

Mike Finley

Oops, I didn't do well saying what I meant.

I'm talking about on my job site. Electrician shows up, tell the helper to help out John with anything he needs, tell the electrician the Bill the helper is available to him to give him a hand. That kind of thing.

Now just reading this as I type it I see how screwed up this could get pretty quickly.

mdshunk

Sounds like a great idea. By your math, it seems like it would shave off a little time. If was on your job, and I was offered a heper, I'd figure out a way to put him to work on your job.

The risk might be your helper liking that sub (personally) more than you, or the sub's trade more than yours, and him jumping ship to go to work for that sub. Likewise, your sub may find that your helper works well with him, and he may try to shanghai your helper.

ruskent

I do not know how ethical this is with the IRS. However, i would highly recommened doing this. It will open your helpers eyes to so alot more.

When i worked for a GC i basicly just worked with subs. I'd routinetly work with the excavators, masons, framers, roofers, siders, tile guys, trim etc. I learned so much in such a short amound of time. I now know a decent amount about alot of trades. It was honestly the best experience i ever had working for someone.

Matt

mdshunk

It would be perfectly legal. The employee still works for Mike on Mike's payroll. Mike is justt letting that sub be his helper's boss for the day.

Large companies routinely sub out certain departmental management functions to third parties, and those contracted managers direct the work of regular company employees. This proposal is no different.

Ed the Roofer

First, Union or Open Shop? Legit question and has consequences.

Secondly, would the plumber, or his firm like the opportunity to decrease their hours being billed out at $ 90.00. Just wondering out loud.

Thirdly, loyalty belongs to the guy with the continuous paycheck. Would the opportunity arise for your guy to abandon ship on you? Just wondering out loud once again.

Ed

I did it when I first started my business, and was the kettle ground man for another company, but they also had to rent my truck and kettle per diem.

ch0mpie

My old boss used to do this with me. I loved it and learned alot.

plazaman

Bronx, NY here too!

What kind of projects going on?

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fredbuilt

I wish my boss would do this. It would give me a chance to learn more. If you treat the the guys that work for you well I don't think they would jump ship, and if there the type of person that would do that to you they would end up screwing you later. Sorry if that sounds blunt but it was the only way I could think of writing it.

dwest

My old employer used to loan me out to other companys he was freinds with when they needed help and on more than once was i offered jobs by those other companys for better pay the whole nine yards not once did i ever entertain the idea of going to work for any of them. I had my loyalty to whom i worked for not because he was the person who taught me but because of the years i spent workin for him and the respect i had for him even though the better money seems like a good deal doesnt mean the grass is always greener on the other side and since you burnt that bridge with the last guy theres no getting back what ya had

Mike Finley

Hey, Boonville NY!

How many times have you been to the Boonville Woodsman Field Days?

My old stopping grounds. My wife's parents and lots of friends had camps up on Kayuta Lake too. Lot of good times up there.

ruskent

I got a good story about when i was loaded out. I was working for contractor A. Contractor A would sometimes loan me to his friend Contractor B to do demo the like.

In the mean time Contractor B builds my friends parents a new house. I did not know he was the builder. I offer to do some landscaping for my friends parents on the weekends for 25 an hour. All is good.

Friends parents tell there builder (B) that they have a kid doing some landscaping for 25 an hour. Contractor B says "Oh i got this kid that works for me, i'll do you a favor and send him here to do the work. I only pay him 12 bucks an hour, i'll save you some money"

After they started chatting for awhile, you can guess what happened next.

Matt

dwest

Hey Mike I think your missing out there getting better every year Me and my daughter go every year we never miss it she loves the lumberjack comp. And neither of us can help checking out all the new equipment

rservices

You mite want to consider your workmans comp.
I have a parttimer, who was being loaned to anouther contractor and when he got hurt it went to the primary employer. The primary employer never saw a dime of the job, but it hit his WC

Second Look

Oh, that's a really good point, especially if the loaned worker is doing work that isn't covered by the WC policy. That could be a legal/financial disaster just waiting to happen.

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TempestV

I'm in this situation right now, and it seems to work pretty good- I go where I'm needed most and work with who ever is in charge there. I do know that one of the subs I was working with was considering trying to hire me directly though, so there might be some truth to what you were saying about that.

Bob Kovacs

As was mentioned above, it depends on if the subs are really going to cut you a break on the price just because you sent a johnny-jump-and-fecth-it their way. If the sub is billing you hourly then it makes sense if your guy is reducing the total # of hours the sub is on the job. If it's fixed rate, I'd think the subs would look at it a bit differently- especially if they didn't ask for the help, or if they didn't know about this arrangement ahead of time.

Bob

tcleve4911

Workmen's Comp Injuries !!!! Be Careful " Loaning " employees

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ruskent

As long as you just loan your worker to subs on your own jobs you shouldn't have any workers comp proablems if he got hurt. I am sure most of you have your helpers listed under "construction laborer" or something along those lines.

Most likely your helper would be just laboring for the sub. Carrying supplies to the work area, mixing thin set, cleanning up behind them, holding the laser stick for the excavator, etc.

Now if you loan your helper to your good friend who is also a GC, you might have some proablems if he gets hurt.