Final answer:
A staffing company's lack of an active role with a temporary employee can lead to non-compliance with health and safety laws, decreased job performance, and higher frictional unemployment. These factors can result in OSHA violations and reduced opportunities for the temporary worker to secure permanent employment.
Step-by-step explanation:
If a staffing company fails to take an active role with a temporary employee on a long-term indefinite assignment, several risks could arise. Firstly, there could be non-compliance with workplace health and safety requirements. Staffing agencies and host employers share joint accountability for ensuring the safety and health of temporary workers. Without active involvement, the staffing company may be unaware of the working conditions and cannot guarantee the temporary employee's safety, leading to potential OSHA violations and legal implications for both the staffing company and the host employer.
Furthermore, the lack of ongoing support can affect the temporary employee's job satisfaction and performance, hindering their chances of turning the temp job into a stepping-stone to permanent employment. This inaction could subsequently result in higher frictional unemployment, negating the benefits that temp agencies usually provide in reducing the natural rate of unemployment. Additionally, the absence of an active role might lead to miscommunication regarding the expectations and responsibilities during the trial period, potentially compounding the risk of hiring a 'lemon' and increasing turnover rates.