A well-stocked pantry and frequent praises can make an employee happy. But no amount of snacks or "good job" can replace money.

For many, especially low-wage workers, having a healthy renumeration is key to happiness but many companies employ such workers through agencies. And we know what happens when agencies are involved.

1. Hiring through agencies depresses the already low wages even further

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Of course, every (almost) employer wants to get the most by paying the least. Agencies not only give bosses competitive quotes, they also have ready manpower. It seems to be rosy for the higher-ups but what about the low wage workers?

These agencies will always find it increasingly difficult to up low wage workers' salaries because of the competitive tender market. Who loses out when agencies retain that competitive edge? That's right. The industrious cleaners keeping your office toilet spotless, the pest busters busting their backs to keep your environment rat-free and the friendly security guards who screen visitors.

While NTUC's Progressive Wage Model for cleaners (and we heard that security guards are next) is a good start, we are sure employers can do more.

2. Plus, workers don't get the same benefits as full-time staff...

Number of leave days, bonuses and other welfare will probably go out of the window too. Remember, it's not just lowest quote; it's also about longer hours and fewer benefits. All these mean extra savings for the agencies.

3. ...which includes a lack of training opportunities

No training means a lack of motivation and plants the thought of inertia. If workers have no opportunities to upgrade themselves, they will be stuck with a low pay with no end in sight. Why would any employers want to reward workers with a significant salary increment for doing the same job level all year round?

4. All these will lead to a low morale workplace...

Nobody likes to work in an environment where your colleagues are forever complaining about long hours, no opportunities and lousy pay. Just imagine having to clean toilets for hours on end with your Company Sergeant Major nagging you non-stop. Yeah, you get the drift.

5. ...which will lead to a high turnover rate.

And this will bring us home to the first point. The employers, with just a few mouse clicks away, can call for a tender again. And, more or less, it's a same old story.

Yes, it might be more tedious hiring directly. And it might be true that it will cost more. But if hiring directly can make workers happy and, in turn, make it a better environment for workers to stay and improve themselves, it beats the cost savings of a fresh tender hands down.

It is a vicious cycle. If the employers don't stop it.

Top photo from here.

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