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Temporary workers, or temps, are employees hired to fill in for absent employees or
to fill temporary staffing gaps. An employer may hire a temp directly. However,
temporary employees often work for placement agencies rather than the companies
for which they perform the work. Thus, if they earn benefits, it's typically the
placement agency that pays for them. The agency also pays temps' salaries and
withholds their taxes. According to FindLaw, companies pay temporary agencies 15 to
30 percent more than the temporary employee earns.
Leased Employee