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The gig economy has witnessed a significant rise in recent years, transforming the way businesses operate and hire talent. As gig economy workers become an integral part of the workforce, organizations have had to adapt their hiring practices to meet the evolving needs of this flexible labor market.
Below, 18 Forbes Human Resources Council members share how the emergence of gig economy workers has impacted hiring practices and delve into the valuable lessons learned by industry professionals in their quest to find the right match. From reevaluating job descriptions and qualifications to embracing remote work and implementing effective screening processes, employers share their experiences and insights on navigating the gig economy to attract top talent.
1. Gig Workers Spark Discussions On Inclusion Policies And Programs
The emergence of gig economy workers has impacted our hiring practices, in that it's sparked intentional discussions around inclusive policies, practices, programs and benefits, as well as the importance of succession planning and knowledge sharing. Overall, we're learning to honor the entrepreneurial spirit, by providing flexibility, autonomy and development opportunities. - Domonique Revere, Ph.D., Adjaye Associates
2. Gig Workers Bring Increased Control For Employers And Employees
The gig economy has brought with it increased control for employers and employees alike. Employers have a greater ability to vet talent on low-risk projects before putting them into critical assignments and employees have greater freedom to take on best-fit activities. Along the way, employers can assemble a tiered project-ready workforce that they can deploy if and when appropriate. - Gregory Pontrelli, Lausanne Business Solutions
3. Gig Workers Are A Positive Addition To A Team
When it comes to my organization, I love those with an entrepreneurial mindset. I don't see anything wrong with hiring those who moonlight in other roles (as long as it doesn't interfere with their roles and confidentiality). I want an employee to be excited about their role here and be passionate about their hobbies. I see the gig economy as an added plus and not a detractor for employers. - Nakisha Dixon, Vercara
4. Gig Workers Bring Value But Can Harm Reputation
While gig workers can add value to a company with little or no onboarding or ramp-up time, they can also damage a company’s reputation or employer brand just like any bad hire. Therefore, employers who utilize gig workers must remember to carefully interview and screen candidates before hiring. Though long-term culture fit may not be an issue, protecting the organization’s reputation and brand is. - John Feldmann, Insperity
5. The Gig Economy Is Beneficial To The Bottom Line
Financially, for the company, the "gig" economy is beneficial to the bottom line. The soft costs of a full-time employee are often ignored. The crucial impact is that neither the company nor the freelancer understands the independent contractor status. It is all wonderful until the freelancer is disgruntled and can prove the company has treated them like an employee. It is crucial to know the law. - Patricia Sharkey, Sharkey HR Consulting, LLC
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6. Gig Workers Still Need To Believe In Company Values
I hire many gig workers and have learned that they still need to understand and believe in the company's mission, vision and values. The same essential "soft" skills we look for in a full-time employee are what we look for in a contractor, including flexibility and communication style. And, of course, we request references and work samples as we would with a direct or permanent hire. - Cyndy Trivella, TalentCulture
7. The Gig Economy Has Shifted The Employer-Employee Relationship
The gig economy has forever shifted the employer-employee relationship. For those that embrace it, it has given employers greater access to specialized skills. Gig workers often possess niche skills or expertise that may fill a temporary void but are not needed long-term, and while the long-term effects on the labor market are still unfolding, there is an added value when tapped into correctly. - JacLyn Pagnotta, Rose Associates Inc.
8. The Gig Economy Is A Key Challenge For Organizations With Large Workforces
This is a key challenge and critical success factor for organizations with huge workforces and attrition rates over 40%. To stay operational and profitable, thousands of employees are hired weekly with annual hiring budgets of up to $1 billion, aiming to source, recruit and onboard candidates with a process as simple as a few clicks and time to onboard, ranging from 30 minutes to a week. - Siddharth Sharma, JP Morgan Chase & Co.
9. The Gig Economy Has Leveled The Playing Field For Small Businesses
The gig economy was the first hit that work from home was not only a way to do business, but also a highly effective way to do business. It's become a way to expand your business quickly and maintain a quality product that was once thought to only be available to large corporations. I believe it leveled the playing field for small businesses to come in fighting. - Jessica Wallen, Marten Law
10. The Gig Economy Allows Companies To Scale Up Or Down
With the rise of platforms and apps that connect individuals with temporary, flexible work opportunities, the traditional employer-employee relationship has been transformed. Companies now have the ability to tap into a pool of on-demand workers who can be engaged for specific projects or tasks. This flexibility allows organizations to scale their workforce up or down as needed. - Britton Bloch, Navy Federal
11. The Gig Economy Offers An On-Demand Talent Pool
Independent contractors present a way to pursue ambitious, short-term projects or people with very specific skill sets without the need to justify the financial commitment and responsibilities of hiring a full-time employee. Companies that hire the best talent from around the world, regardless of full-time or freelance status, create a long-term contract talent pool they can tap into as needed. - Bjorn Reynolds, Safeguard Global
12. The Gig Economy Places Diversity, Equity And Inclusion Front And Center
When it comes to hiring practices, the emergence of the gig economy has placed diversity, equity and inclusion front and center. In terms of finding the right match, there is no silver-bullet approach. However, being mindful of others' differences and preferences, setting ground rules and communicating clearly and transparently can work wonders. - Gianna Driver, Exabeam
13. The Gig Economy Connects Employers With A Pipeline Of Talent Via Digital Platforms
We focus on adaptability, skills and project-based expertise. This shift has led us to invest in diverse talent pools and use digital platforms to connect with potential candidates. By emphasizing clear expectations, communication and skill alignment, we ensure an optimal match between our organization and gig workers, fostering productive and mutually beneficial relationships. - Joseph Soares, IBPROM Corp.
14. Gig Workers Provide Immediate Value
Gig workers add value to organizations by being able to quickly jump into a company and provide immediate value. We have hired more contractors than before but still conduct interviews with them to ensure they are a fit for the organization, even if they are here for the short term. Businesses need to be clear with their goals and communicate effectively with gig workers for success. - Erin ImHof, CertiK
15. Gig Workers Should Be Reliable, Flexible And Efficient
Gig workers should be reliable, flexible and efficient. Businesses first need to identify which roles on their team might be suited to a gig worker who takes on part-time work. From there, they can identify candidates who have previous experience managing more than one position or strong time management skills. Gig workers are often short-term, so culture fit is less of a key factor. - Niki Jorgensen, Insperity
16. Gig Workers Offer Agility
We've learned to value adaptability, clear communication and results over traditional markers of cultural fit. We appreciate the diverse experience gig workers bring and the agility they offer, helping us navigate fluctuating business needs more efficiently as we seek to sustain our business post-Covid. - Marcus Bryant, Second Harvest of Silicon Valley
17. The Gig Economy Focuses On Task-Focused Projects
We've embraced the remote and freelance world by structuring the firm around special projects and hiring significantly more freelancers on a task-focused project level. The gig economy has made our firm faster and more agile. - Nick Frey, Avomind
18. Workplace Culture Matters In Both Gig And Traditional Economies
In addition to finding people with the skills and experience to be successful in the gig, you want to find people who share your beliefs. Workplace culture is just as crucial in the gig economy as in a traditional or non-gig environment. Therefore, when entering the marketplace for gig talent, intentionally focus on finding talented people who align with your company's mission and values. - Will Gaines, Super Store Industries
