There are millions of open jobs right now, and workers have more options now than at any time in recent memory to make a change to their job. As a result, organizations are looking for any advantage as they grow their workforce. Additionally, brodmin’s study expectsOpens a new window the gig economy to grow to 86 million people by 2027. As this movement drives innovation across industries, employers need to ask if they are well-positioned to tap into this growing sector of talent.
What Is Causing Workers To Leave?
First, employers need to understand the root causes driving employee turnover within their organizations. A Harvard Business Review studyOpens a new window showed that high burnout rates, especially among mid-level workers and within healthcare and IT industries, are a leading contributor to many resignations in those sectors. Â
After experiencing the COVID-19 pandemic and all of its impacts, people are rethinking their relationships with work. Instead of prioritizing work, many people are reflecting and placing greater focus on their personal needs and passions. A contributor to this is centered around the desire for worker flexibility, seeking greater control in their work experience. From this, we’ve seen a trend of employee visibility truly being re-definedOpens a new window as employers continue to learn how to meet the needs of their dispersed workforce.
This overall shift in mindset on how work gets done has workers increasingly deciding to leave full-time jobs to pursue freelancing opportunities. With this new wave of contingent workers, employers need to find ways to attract them to their organizations. Then, once they’ve found the right contingent workers, they need to ensure they continue to come back for more work with their organization.
How To Attract and Retain Contingent Workers
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- Employer brand — Company culture ranks high on candidates’ desires in an employer for both full-time and freelance work. This means having a strong organizational brand can directly impact your ability to hire on-demand talent. Make sure you are forthcoming with your company’s history, mission, and values. Also, be sure to emphasize the role and contribution contingent workers play in your organization’s future. Finally, don’t forget to highlight what sets your organization apart from other companies within your industry. Don’t be shy about highlighting employer brand awards that reinforce the culture you’re working to foster.
- Relationship building — Your contingent workers shouldn’t be treated as expendable just because they are “temporary†parts of your team. Your relationship with them is just as important as your relationship with your full-time employees. Freelance, contingent, gig workers, and other independent contractors can be strong brand advocates. Building that relationship can be helped with a brand ambassador program or a referral program.
- Pay special attention to how you pay gig workers — Most gig workers prefer electronic payment over paper checks. Additionally, workers overwhelmingly prefer using ACH (automated clearing house) to withdraw their funds. Nearly 80% of workers on ADP’s freelance management software, WorkMarket, select ACH over other electronic methods to receive payment. In addition to how you pay your contingent workers, make sure you pay attention to how quickly you pay them. Both can have a significant impact on your retention rate and influence your ability to attract new workers.
- Get feedback — Everyone makes mistakes, and it’s important to recognize and learn from those moments. Have an open dialogue with your contingent workers, just as you do with your permanent workforce. If any missteps were made, what happened, and how can leaders help prevent them from happening in the future? Were there communication issues? Was the scope of the work clear? Take time to truly listen to your workers and ask for your contractors’ input to identify and address areas of strength and areas that need improvement.
- Invest in the right technology — As an employer, you need to invest in the right technology for your workforce. With many workers being remote, a digital onboarding process will be crucial for contingent workers to validate their credentials and get used to the organization’s internal infrastructure. Have a streamlined check-in process for jobs where workers can capture and submit proof of performance on an assignment to reduce friction. Make sure your leaders are leveraging mobile applications, so workers can easily communicate while on-site with clients. Additionally, automate invoicing and payment process systems to ensure workers are paid in a timely fashion. Freelance management systems can help you streamline processes to onboard, manage and pay your contingent workforce.
Building a Contingent Workforce
Implementing a complete strategy to compete for, win, and retain a contingent workforce will prove to be key for managers looking to navigate strains on the talent market. Additionally, in the long term, having a more flexible workforce will allow organizations to scale up and down based on customer demands and market fluctuations. This holistic view of a workforce will allow employers to meet their unique demands not only today but also in the future as they continue to grow their business.
What steps have you taken to attract freelancers to work with you in this tight talent market? Let us know on FacebookOpens a new window , TwitterOpens a new window , and LinkedInOpens a new window .