6 Trends Shaping the Contingent Workforce | 2020 was a chaotic year that shut many people into their homes and turned entire workforces into remote workers. While the pandemic put a lot of challenges in front of HR teams, it also opened many doors for contingent workers.
Work tasks still need to be done, but companies are giving employees more time and opportunities to address personal issues during business hours. This new trend showed great results when it comes to keeping workers happy and engaged even when we include the fact that everyone is working from a different location. Patience and collaboration are also encouraged since they keep people safe and happy in these troubling times. The bright future of remote work created many opportunities for contingent workers. Plus, since contingent workers are often the first to go when a company needs to make cuts, many parts of the world have pools of talented people ready to go back to work and provide results. If you want to know more about contingent worker trends, here’s what to expect from 2021:
Most companies and their HR departments are trying to be as agile as possible in the future so their definition of the workforce is expected to become very fluid. Of course, companies are embracing work-from-home individuals and hybrid work options, but they will also adopt a full mix for work hours from full-time to part-time and contingent and everything in between. According to some research, more than 30% of companies are planning to replace some full-time employees with contingent workers. The level of fluidity of the HR team during recruitment and retention of workers will determine how successful a company will be in the future.
Around 70% of managers and executives are planning to hire more contingent workers both during and after the pandemic. Demand for talented workers is high and companies can’t expect to fill their workforce with only the local employees. To satisfy their talent needs, HR teams will start looking for global talent. Global hiring has many benefits—quick sourcing of candidates, access to the best experts, hiring people from regions with low employment costs, etc.
In 2021, companies can find top-tier workers, especially when using proper recruitment strategies such as talent pools. A talent pool is a list of suitable job candidates and might fit your company and provide it with quality results. Thanks to such pools, firms can find good employees, reduce hiring costs and make the recruitment process fast and smooth.
It’s not a surprise that technology will stay a vital part of the employment process. Remote working tools like Zoom and others will continue to bring success to the contingent workforce. However, HR leaders will have to make some updates to policies regarding tech use. Also, the future of contingent work will most likely rely on close monitoring of various metrics that allow tracking of employee spend and productivity. Luckily, companies like trusted CXC Global Europe provide users with a streamlined approach to contingent workforce management. The user can get a clear overview of all stages of a contingent worker’s contract—this is only possible with technology. Additionally, digital tools will be crucial for training remote workers and contingent workers in 2021 so they can hit the ground running when they find employment.
Emphasis on work/life balance
Many companies are adopting worker perks like flexible time off as more and more employees want better work/life balance. Many contingent workers are going even further by quitting their regular jobs to become independent contractors in search of better flexibility and control over their lives. In 2021, we can expect even more talent to leave their traditional jobs and try their hand at becoming freelancers.
A few years ago, contingent, remote and other independent workers made up about 30% of the workforce in the US. Today, this number is closer to 40% and it will only continue to grow. Since the independent workforce is growing, it will soon stop being perceived as fringe or part of a subculture. Independent contractors all over the world will become mainstream and get more representation. Companies that don’t employ contingent workers will need to update their workforce views and start taking advantage of this cost-effective business tactic.
2021 and beyond will be years of adapting to new normal instead of going back to our previous lives. HR experts will have to update their expectations in order to bring top talent into their companies. Companies that choose to hire a contingent workforce will come across a goldmine of talent ready to make their business bloom.