Integrated solution for managing non-employee workers

Case Study
  • region: Asia
  • industry: Consumer

The Situation

CXC partnered with an international airline based in Hong Kong, flying to over 162 destinations in 42 countries around the world. Currently employing 33,000 people worldwide, it is one of Hong Kong’s biggest employers.

Before engaging CXC, this company required a compliant, cost-effective solution for managing their contingent workforce in the Asia-Pacific region. In addition, they needed to:

  • Improve administrative efficiency across their panel of 30+ recruitment agencies
  • Move to one, standardised contractor agreement for all non-employee workers
  • Improve compliance of non-employee workers, and better manage visas and insurances
  • Reduce risks including co-employment and data exposure

Reduce and better manage spend across the entire non-employee population.
To meet these goals, and better manage their contingent workers into the future, they went to tender in 2011 to source a single payroll provider.

The account team in CXC Global is strong on professional recruitment and HR advisory, highly committed and dedicated.

CXC's Solution

CXC won the tender as the only vendor-neutral provider in the market and implemented an end-to-end Managed Service Program (MSP).

With an on-site team based in Hong Kong, CXC’s solution established an employer-of-record, contractor management outsourcing service for all contractors, regardless of sourcing method.

CXC’s solution includes:

  • Engaging with agencies to ensure efficient running of the recruitment process, including query management
  • On-site recruitment process training for Hiring Managers
  • Monthly reports regarding agency suppliers
  • Liaising with Hiring Managers for upcoming contractor requirements
  • A single point of contact for agencies and Hiring Managers to provide feedback
  • Market intel, industry trends data and insights
  • CV screening and short-listing
  • On-site contractor care and management
  • Actively managing a talent pool via a custom technology tool
  • Tenure management and renewals for non-employee workers

In 2015, CXC was heavily involved in the implementation of a talent pool solution for the hiring of contingent workers. As part of this process, CXC screened CVs using enterprise IT capabilities.

The Results

Today CXC manages over 180 non-employee workers in addition to 17 recruitment suppliers.

The services provided by CXC include management of the recruitment process for contingent workers, which covers shortlisting, interviewing, and on-boarding. As an onsite solution, CXC’s team implements best-practice processes and strategies, for the recruitment, engagement and management of non-employee workers. Additionally, CXC have protected the company from co-employment risk and labour claims by increasing the volume of non-employee hires, through direct sourcing channels.

Other results included:

  • Cost savings of HK $3million per year on recruitment spend
  • Reduction of time-to-hire to five weeks (from offer to start date)
  • 100% successful visa processing within required timeframes
  • Reduced agency margin by 7 to 10%
  • Consistent delivery of market data and insights
  • Boost in candidate quality through CV screening and quality process implementation
  • Vastly improved non-employee workforce program efficiency
  • Elimination of ‘hidden’ or long-term contingent workers.

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