The Legislative Bill no. 4330/2004 setting forth provisions on contracts of performance of services to third parties and employment relations resulting therefrom is currently pending at the House of Representatives.

According to the legislative bill, outsourcing is admitted for any activity of the contracting company.

The legislative bill sets out that no employment relationship is created between the client and the workers or members of the service provider companies in this type of hiring. However, the client is secondarily liable for the labour obligations relative to the period in which the performance of services occurs, being reserved thereto to seek recourse against the company that provides the service.

The  third-party service provider that subcontracts another company to perform the service is jointly and severally liable for the labor obligations undertaken by the subcontracted company. The bill also defines that client must also be responsible for ensuring the safety and occupational health conditions of the workers while these latter remain at client ´s service and facilities, or a at a  location designated thereby.

The Legislative Bill was also pending at the Commissions for Economic Development, Industry and Commerce (CDEIC);  Labour, Administration and Public Service (CTASP) and on Constitution and Justice, and Citizenship (CCJC), having received several amendments, as well as having been created  a clean bill  for the legislative bill  by the Reporting Deputy.

After being voted at the Constitution and Justice, and Citizenship Commission (CCJC) the legislative bill will be referred to the House of Representatives plenary session to be voted.