The old economy is no longer affordable and sustainable for mass production and mass consumption. Therefore, the emergence of the new economy – collaborative, sharing, and on-demand economy – is increasingly growing because it focuses on access and flexibility. The on-demand economy or gig economy is here and it has opened doors of new opportunities for everyone who seeks equitable, sustainable and diverse economic development. One of the most important factors of this on-demand economy is the availability of on-demand labor for full-time and part-time hiring.
Today, we will talk about the benefits of on-demand hiring and how it is impacting the global labor market during the current coronavirus pandemic.
So, without further ado let’s dig right in!
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Hiring Full-Time, Part-Time Freelance Employees for Business
Hiring employees is one of the biggest expenses of running a business. According to statistics, around 20% of the total expenditure of business is dedicated to hiring costs. This is a big figure when comparing profit and income with expenses. Therefore, it is important to decide whether hiring an on-demand worker is cost-effective for your business or not. You need to determine whether you need a full-time, part-time or even freelance worker to complete a job that will help you better achieve your business objectives efficiently and cost-effectively.
Now, let’s take a look at the advantages of hiring on-demand staff.
Benefits of Hiring On-Demand Employees
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Quick And Easy Adjustments Workload Fluctuations
Talent acquisition companies and labor agencies can help provide your business with skilled and qualified staff. One of the major reasons why companies give job opportunities to contingent workers on an on-demand basis is that they can replace employee vacancies quickly by hiring talented human resources. Similarly, unexpected business demands (seasonal and peak periods, employee shortage, or special projects) that require immediate staffing can be easily satisfied with on-demand hiring.
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Staffing Flexibility
The flexibility that on-demand work arrangements provide to both employers and employees perfectly complements the challenging needs of today’s business environment. Hiring on-demand staff and offering them good job opportunities allow businesses to offer flexibility and meet their requirements as well. Additionally, flexibility encourages job seekers to better perform at their job and improve their productivity.
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Testing Capability of Workers Without Commitment
Businesses can test the potential of job seekers beforehand whether they are looking for a full-time or part-time on-demand job. Unlike traditional employment procedures where you have to hire an individual based on his past experience and qualifications only to find out after hiring that his performance is poor. Companies hiring on-demand employees can first assign a temporary project to the potential candidate and find out if he has the right skill set and caliber to meet your business needs.
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Save Time And Money
Job search for hiring an on-demand workforce is a lot cheaper than that of traditional hiring. You do not have to waste time and pay for extra hiring costs such as publishing job vacancies, calling candidates for interviews, etc. Contingent workers mostly use online staffing platforms to search for jobs that allow businesses to easily hire without going through the lengthy and exhausting traditional hiring process.
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Access To A Wide Talent Pool
On-demand staffing provides a wide pool of talented and skilled professionals. Every industry can hire workers through on-demand staffing platforms to find both full-time and part-time vacancies. You can choose employees from a wide range of educational backgrounds and work experience.
Impact of On-Demand Hiring on Labor Market during COVID-19
Coronavirus has taken the world by storm and affected thousands of people around the globe. What began as a viral disease in Wuhan, China, just a couple of months ago has become a global pandemic now. The best way to stay safe from this virus is through self-isolation and maintaining good hygiene. We live in an interconnected world today, so going into self-isolation (quarantine) and maintaining social distance has made us realize how hard it is to disconnect from the world around us. COVID-19 has truly set an unprecedented situation for all of us in every field of life.
Our health and personal life are not the only things affected by this coronavirus outbreak – it has also affected the global economy and labor market. Studies conducted at the initial stages of the pandemic projected that a large number of people would lose their jobs due to its effects on the economy. So far it has been reported that a record figure of 3,283,000 people has lost their jobs (Source: Forbes) in the struggling economy during this pandemic. A lot of businesses cannot afford to pay their employees and are filing for unemployment without offering any type of unemployment benefits.
On the flip side, there are employees creating thousands of new jobs to grab the best of the unemployed labor market. Another factor to take into consideration here is that certain industries are facing a sudden increase in demand; these include medicine, grocery, delivery services, hygiene products, etc. The sudden growth and expansion in certain sectors of the economy have created an immediate demand for employees. This is where on-demand staffing comes into play – on-demand staffing platforms are the perfect solution in such times as they allow businesses to hire full-time and part-time employees quickly and easily.
While predictions related to the COVID-19 crisis are quickly coming true and pointing toward a catastrophic decline in employment, on-demand staffing remains a reliable source for both businesses and job seekers.