The Namibian economy has faced ups and downs during the past decade with the current situation being much worse than any in the history of Namibia. However, each cycle of down turn has resulted in resizing of organisations, lay-offs employees, reduced pay checks and change in working hours which all of these have critical implications for today’s workforce.
It is a well-known fact that employees are the most valuable asset to an organisation because their individual performances transform into the overall performance of the organisation, hence goals and objectives of an organisation can be only attained with the support of its employees. The top-performing organisation in Namibia is a contribution of the job satisfaction and suitable working environment for their employees (Deloitte, 2017). The performance of individual employees whom can be permanent or temporary employees within an organisation is manifested in the success of the organisation. The organisation HR personnel plays a big role in hiring a suitable candidate whose behaviour aligns well and can bring skills and expertise to the organisation which includes both permanent and temporary employees.
The use of temporary employees is widely used in all sectors such as manufacturing to services and other occupations, including security officers, construction workers, registered nurses, bankers and information technologists (Wandera, 2011). Temporary employees can be described as any person hired by organisation to provide his or her service and such person is legal employee of the firm for a specific fixed period of time or explicitly stipulated in the employment contract and such employee is easily dismissed when the contract period is expired ( Okafor and Rasak, 2015., Dacilyte and Aranauskaite, 2012).
With the current economic crisis in Namibia, organisations are critically emphasizing on minimizing the operation and other cost (such as hiring expenses). The cost cutting have emerged to affect Organisation hiring behaviours and thus encourage the hiring of employees of temporary basis to minimise and eliminate obligations (The practice of hiring temporary or contract workers is perceived as a cheaper, fast tracking and saving option for most organisation (Wandera, 2011).
Temporary employees provide services to ensure that the organisation operation and services are not disrupted when permanent employees are on long leave such as maternity leaves. This also reduce the hiring cost as the high performing temporary employees can get promoted or become a source of potential future permanent employees. The company may also save a lot of money as temporary employees are not usually provided with benefits such as medical aid and pension funds. This also allow organisations to dismiss or terminate work for non-permanent employees easily (Bernhard-Oettel, 2008).
According to Ongera ; Juma, (2014), temporary employment in the modern workplace is gradually becoming a permanent feature in most of the organisations. Temporary employment may include seasonal, part-time, on-call, day hire, fixed contract workers, casual workers and periodic workers. Temporary employees have a significant impact on the organisation’s performance. The organisation performance is directly related to the performance of individual employees (permanent and temporary).Temporary employment in the workplaces can impact the working condition both positive and negative for themselves and permanent employees alike. Thus, this document intends to study on how the temporary employment impacts the employee performance at Namibia Water Corporation (Namwater).