The gig economy is here to stay
The idea of a gig economy may be a new one, but it has gained immense traction in recent times. It relates to the ever-increasing number of individuals who leverage the relatively new online service brokering or talent platforms, and work in a temporary, contingent, freelance or diversified capacity.
It’s projected that about 57 million (36 percent) people in Canada currently engage in the gig economy. It is believed that more than half (52 percent) of the workforce in Canada will either be gig economy workers or have worked independently at some point in their career by 2023 (Source). Also, one in ten workers in Toronto, Canada, is part of the gig economy. As such, the gig economy is expanding tremendously to shape the future of work.
What does it mean for HR professionals?
The gig economy looks like a lucrative business model; it involves flexible and scalable staffing, lower labor costs, and an enthusiastic workforce that can match work schedules to their lifestyle needs. However, it’s likely to bring about noticeable shifts in modern workplaces, and the role of HR professionals is sure to be impacted. Let’s check out how:
- Identifying gig roles
HR professionals indeed have to continue attracting top talent to fill full-time roles and retain them through adequate compensation packages. But there’s no way they can ignore the expansion of the gig economy. They have to embrace it for capturing valuable talent and thriving in a competitive landscape.
HR professionals will now have to identify various roles and responsibilities that can go the gig route. They have to loop in freelancers and independent contractors to perform certain tasks. Filling up existing or soon-to-be vacancies will demand faster recruitment processes, along with ongoing training and development and performance management practices.
- Create flexible organizations
Gig workers desire work-life balance—something that’s going to throw the limelight on workplace flexibility. Job hunters will prefer to be a part of the gig economy if their employers don’t provide the flexibility they desire. That’s natural because today’s workforce mostly comprises millennials (75 percent of them will make up the global workforce by 2025), and they have varied lifestyle needs.
So, for organizations to attract and retain this massive talent pool, they will have to create a flexible workspace. This is best achieved by offering work-from-home, flex time, vacation packages, or remote telecommuting opportunities. It will all be about faster collaboration and more transparency by leveraging the right technology to appear more lucrative to job applicants.
- Creating onboarding strategies focused on gig workers
Last, but certainly not the least, HR professionals cannot skip onboarding for gig workers. Sadly, most organizations tend to overlook this. They avoid running background checks or providing training and performance reviews. Since gig workers perform under minimal supervision, lack of proper monitoring and performance management can harm the business. As such, HR professionals have to now establish an onboarding strategy that applies not only to their full-time, in-house employees but also to gig workers.
Do you require HR consultancy for your business or fractional HR support? From talent management to change management, ATLED can provide the right assistance.