Staffing Industry Trends: Rise of “As-Needed” Employment
When the American economy took a hit, so did many other parts in the world, and labor markets everywhere had to make similar staffing adjustments. One of the most rapidly growing trends in employment world has been has been the rise of “zero-hour” contracts. This staffing solution has been especially popular in the UK, where roughly 1.4 million employees operate on zero-hours contracts. That means that over 10 percent of Britain’s working population is employed on an as-needed basis. In many sectors, such as recreation and hospitality, around 50 percent of employees are employed this way. While these contracts reflect the instability in a rebounding economy, they have also created opportunities for economic growth and labor specialization and self-employment as a freelance or independent contractor.
Similar trends can be seen in the American staffing industry. While contracting and project based hiring has been a common practice in various industries, specifically in art related fields, the traditional office-based corporate structure has been relatively slow to adopt a hire-for-project mentality. During the recession however, the need for staffing cutbacks and budget revisions caused a shift in the way many businesses operate. The majority of industries are becoming heavily reliant on outsourced, temporary and contract workers. As such, staffing firms and agencies have become many of the most successful business ventures to rise out of the American recession, vastly improving employment rates for the American workforce.
One of the main reasons contract and project based employment is so popular is due to the flexibility it provides employers and employees. In a fast moving economy, workforce flexibility can lower business operation costs thus giving businesses a competitive advantage to ensure their survival and increase their chances of success. Contract and as-needed employment situations can also afford workers the flexibility to work on multiple projects simultaneously to better develop and diversify their talents and skills.
World Wide Specialty Programs has dedicated the last 50 years to developing an intimate understanding of the staffing industry and the risks firms face through the course of their operation. We develop business insurance solutions that address the ever evolving needs of staffing firms to help businesses keep up with the latest employment trends, legislation and practice. From protecting against liability disputes to on the job injuries we offer the most comprehensive and innovative Staffing Industry Insurance available to ensure the security of any operation. To find out how we help solve your staffing insurance needs, give us a call today at (877) 256-0468.