The U.S. construction industry is projected to grow at a CAGR of 4.9% within the next three years. From the projection, the industry will likely reach $1,804.8 billion by 2023. The number of workers in the sector will be overwhelmingly high.

If you have a construction project, you’ll always be torn whether to hire employees or subcontractors. Several factors go into deciding the right team.

Are you wondering how to find the best hire for your home remodel project in Omaha? Here are the benefits of hiring employees over subcontractors.

Hiring Employees Vs. Contractors

Before delving into why you need to hire employees over subcontractors, it is crucial to understand the classification. Once you know how each category plays out, you’ll be able to establish what works for you.

An employee refers to a permanent member of a company, who receives the treatment outlined by the state and federal wage and labor laws. The employee will be under a specific company’s payroll, among other benefits. The terms of payment are on salary based.

Conversely, subcontracting is where you source talent from an agency. The employment terms are on a contractual basis, meaning it’s temporary.

The United States Internal Revenue Service has outlined several guidelines on when to classify a hire as an independent contractor or employee. Primarily, the category depends on the independence and control the hired person retains.

Benefits of Hiring Employees Over Subcontractors

Is your home getting too small necessitating room addition? Or do you need to remodel your bathroom or kitchen? It’s only reasonable for you to consider an option that gives you the most benefits.

Employees can prove more resourceful than subcontractors when hiring. Here are some of the reasons employees are arguably the right option;

1. Company Culture 

Company culture comprises of the behaviors and attitudes of an organization and its employees. You’ll know the company’s culture based on the values the people hold, the interaction, and resultant decision-making. Company culture is often cultivated over time.

Through the company culture, employees will enjoy their work since their values and needs will be consistent with their employers. The resultant productivity is enviable! Hiring an employee for your construction project means that you’ll relish the benefits emanating from the company culture.

Employers usually have training and orientation to embed the company culture on the employees’ minds. Once you work with a company that values integrity and commitment, you’ll be sure that your construction project will be handled with the utmost importance. Unlike subcontractors, who aren’t bound by any company culture, employees are bound with values that will be a resource to you.

2. Worker Control

Workers’ control is one of the primary reasons people choose employees over subcontractors. With employees, a company is at liberty to have rules on how one ought to work. Employers can have employees’ requirements, such as customer service and the performance of specific tasks.

Independent contractors are autonomous. Just as the name suggests, they are independent in how they work. They can reject or accept a task as they wish.

Companies mindful of their customers’ experience often consider employees. If you have an oncoming project, hiring employees is more likely to have desirable results since they have rules guiding their operation. You can talk to employees to ensure that the work is moving at the pace you prefer.

3. Flexibility 

Hiring the right contractor has significant benefits for your construction project. If you desire flexibility with schedules, employees are the best bet. An employer has control of employees, which allows them to change the workload as they deem best.

It is easier to adjust an employee’s assignments or tasks. For subcontractors, a company has to renegotiate the contract. The process is quite complex, which can result in delayed goals.

With construction, a client might have last-minute changes. A permanent workforce can incorporate the modifications without hurting the progress. Besides, it will be easier to hit the deadlines accurately!

4. Long-Term Commitment

A long-term commitment to employees is one of the reasons you might want to consider employees over subcontractors. Workers are a company’s long-term investment. It’s not surprising for employers to spend resources training and equipping their employees with the right set of skills.

Workers in a company understand all the internal processes of an organization. Over time, they know how to go about a project for the satisfaction of the client. They remain loyal most of the time since they stand to benefit as the company grows.

If you’re considering a home renovation in Omaha, hiring employees will guarantee you unmatched results. Besides, you’ll know where to get similar services in the future, especially if you need touch-ups.

5. Legal Compliance 

For payments above $600 to a subcontractor, employers use Form 1099-MISC. Besides this legal requirement, the Internal Revenue Service in the U.S. has outlined several rules on how to go about things when working with subcontractors. Unlike with employees, subcontractors have some requirements that can put an employer in unending legal battles.

Subcontractors are more likely to sue an employer than permanent employees. It’s not surprising for subcontractors to file a lawsuit against a homeowner. It would be best to hire employees to lower the risk of lawsuits.

The written rules guiding employees are presented from day one. Besides, it is easier to have a sit-down with employees in case of a misunderstanding. If you want a seamless process, working with employees is arguably the best approach.

Choosing Employees Over Subcontractors Has Its Benefits

Homeowners who need an upgrade in their homes have a choice of hiring an independent contractor or an employee from a company. Your choice will determine the experience you’ll have throughout the project. The choice of employees over subcontractors has significant benefits that you can’t afford to ignore.

While at it, ensure that you work with employees from a reliable company. You need to vet each construction company you identify to ensure that you settle for the best.

If you’re in Omaha and Nebraska’s surrounding areas, your search for remodeling contractors ends here! Royal Construction Company has a team of qualified contractors to upgrade your home. Contact us today for any home renovation or remodeling project.

5750 South 77th Street
Ralston, NE 68127

Phone: (402) 739-8167

Monday - Saturday: 8AM-6PM
Sunday: Closed

Locally owned & operated here in Omaha.

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