As an entrepreneur in the hospitality, events, or retail sector, you are constantly looking for ways to optimize your margins. Labor costs are often the largest and most complex variable. Negotiating purchase prices and optimizing operational flows are low-hanging fruit, but do you also look critically at the way you contract your flexible personnel?
Here lies a hidden cost item that, without you realizing it, can erode your profitability. The wrong contract choice easily costs Belgian companies up to 6% of their total wage budget.
The strategic dilemma: administrative convenience versus direct cost
Every business owner with a flexible workforce knows the trade-off:
1. Temporary contracts
The path of least administrative resistance. You outsource the entire payroll administration and legal risks. It's simple, fast and flexible.
Advantages: Simple and fast, flexible, no administrative burden, legal risks covered.
Disadvantages: High margin from temp agency, cost up to 6% higher, less control over personnel, dependency on external party.
But this convenience comes with a considerable price tag. The coefficients of temp agencies contain a margin that weighs heavily on your bottom line.
2. Direct contracts (via social secretariat)
The financially most attractive option. You only pay the real wage cost and contributions, without the extra margin of an intermediary.
Advantages: Lowest cost, full control, direct relationship with personnel, no intermediary margins.
Disadvantages: Complex administration, legal risks, Dimona declarations, contract management.
This can be significantly cheaper, but it brings a mountain of administration: correct Dimona declarations, contract drafting, risk of errors and the corresponding fines.
Most companies choose out of habit or convenience for one of the two, or use an unstructured mix. Both approaches leave money on the table. What if this choice was no longer a dilemma, but a strategic, data-driven decision?
Intelligent contract optimization: a new lever for profitability
This is exactly where Skedle's "Intelligent Contract Optimization" brings about a revolution. We treat the contract form not as an administrative formality, but as a crucial optimization variable, just like the planning itself.
Our software analyzes the unique work pattern of each employee within your planning. Does someone frequently work short shifts? Then a direct contract might be more advantageous. Is it a one-time peak? Then the administrative simplicity of temp work might be the better choice.
Skedle does this proactively. Before you even approve the planning, the system suggests the most cost-effective contract form for each employee. The result is a perfect balance between the lowest cost and the least administrative burden.
The proof is in your numbers
This is not a theoretical calculation. The real power of Skedle is that it completely adapts to your reality. You enter the specific rates and coefficients of your own temp partners and your social secretariat once.
The software then calculates the exact break-even point. It shows you in black and white: "For this employee, you save β¬X this week by switching from temp to a direct contract," or vice versa. The decision becomes purely financial and objective.
The impact: a direct saving of 6% on your labor costs
Our data, based on real customer scenarios, shows an average saving that can reach up to 6% of the total labor cost. Do the math yourself.
What does 6% mean for your business?
With an annual labor cost of β¬500,000, 6% savings means
β¬30,000 per year
or β¬2,500 per month
That's not an operational efficiency gain, that's pure profit that flows directly to your bottom line. Money you can invest in growth, innovation, or a stronger financial buffer.
Conclusion: the new frontier of cost optimization
Smarter contracting is the new, untapped frontier of cost optimization. It requires no compromises on personnel or service level. It only requires the right technology that automates strategic decisions for you.
Are you ready to activate this lever?
Discover how Skedle can automate your contract optimization and protect your margin.