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The rise of the contingent workers – engaging, hiring and handling temporary workforce.

The term ‘contingent workers’ describes the group of people who are hired by companies on a temporary basis. This group typically includes freelancers, consultants, temporary contract workers or independent professionals. While the millennial generation is largely the part of this trend, it is spreading across a wider range of skilled professionals.

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The Rise of a Potent Gig Economy

As per a report by US Government Accountability Office, 40% of the US workforce is now part of contingent labor which is divided into two categories – skilled and unskilled.

Why this change in workforce pattern?

Contingent workforce solution is beneficial for both the employers and employees. On one hand, a large number of employees look for more flexibility and independence in his/her profile; they want to be their own boss.

On the other hand, a lot of companies have already embraced this trend. In fact, organizations have considerably elevated their engagement of the contingent workforce so as to reduce permanent labor cost, developing their agility in a significantly changing marketplace and augmenting workplace talent.

Contingent staffing solutions is an efficient way to recruit talent according to the budget and need (as and when needed) of the organization. This is especially good for startups that typically need, slowly or swiftly depending on their requirement.

Is Borderless Workplace The Future?

If we go with Deloitte’s concept of Open Talent Economy Continuum, borderless workplaces will be the future. According to the report, every workforce will have a balanced amalgamation of full-time, part-time, freelance, and contractual workers.

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Contingent Workforce Management Solutions

Earlier, organizations (irrespective of their size and business) would hire temporary or contractual workers to supplement their permanent workforce. However, over the past few years, a major shift has been witnessed in the work sphere – the role of contingent staff has increased considerably. Today, contingent workers are viewed as a way to build a slender team that can deliver quick and cost-effective solutions to clients. A good staffing company like Infojini follows contingent workforce management best practices to spot and recruit the most qualified temp candidates for your business.

Benefits of Contingent Workers

Scalability and flexibility are the two most important benefits of hiring a contingent workforce. Having a robust team of talented people can help companies deal with business challenges. Below are some of the common yet important benefits of hiring contract employees.

• Faster time-to-fill – It accelerates your time-to-fill a particular position. Additionally, it can also help a company create a top quality talent pipeline for them.
• Cost-effective solution – Affordability is one of the biggest advantages of hiring a contingent workforce. Since these employees are contractual or temporary in nature, a company is not liable to give them paid holidays, health insurance, and other benefits of a permanent employee. This saves the cost significantly.
• Test future hires – This is indeed a great way to test future hires for technical capabilities, interpersonal skills, cultural fit, and overall acuity. It helps you check whether the contingent resource fits into your company’s culture.
• Pre-screened and evaluated – If a company is hiring the contingent workforce from a staffing firm, be rest assured that the candidates will be pre-screened and well trained for short-term projects. A professional staffing company in the USA usually tests, and provides a full report of every candidate’s score on different tests (assessments) done by the firm.
• Reduced work for the HR department – By choosing the professional staffing services USA companies can reduce the burden on their in-house recruiting team. A good staffing firm typically takes care of the hiring, onboarding, paying and laying off). So, the time saved on performing these tasks can be utilized to explore bigger and better opportunities.

The Closing Note,

The fruitful benefits of hiring contract employees can’t be overlooked. However, whether to choose a contingent or permanent workforce depends on the business needs. Companies should gauge their internal needs and what’s the right approach to address those needs.

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