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Recruitment

The rise of the contingent workforce – Will that continue post COVID?

It is without a doubt fair to say that the world is currently a different place to what we knew only 2-3 months ago.

In general, most global economies were doing well, unemployment levels were relatively low, and organisations had the capital to invest in key projects, especially within the ICT sector. Fast forward to today and with the global outbreak of COVID 19 we all find ourselves living in an entirely different world and we are likely to feel the effects for generations to come.

 

Like most in our professional of choice, Recruitment Services, we have seen a downturn in the Australian job market due with;

  • many projects being paused/hibernated and some stopped entirely,
  • organisations having to let their contingent workforces go and,
  • in some cases, a high % of permanent employees having to take paid leave, reduced hours, been stood down, or have had their role become redundant.

 

Seek.com report that job ads were down 33.9% in April and I would expect a similar number in May and potentially June, but I 100% believe Australian is better placed than a lot of other countries and global economies to get the workforce kick-started and back up and running again, but I’m sure the majority of us are wondering what will that look like? Pre COVID, the number in Australia for a contingent workforce was estimated at 25%-30% (2019) of the total workforce, but that was expected to rise closer to 40% by end of 2020.

 

With the ease of restrictions and people getting back into the workforce I was keen to see what peoples thoughts were;

  • Will we see more contingent workforce opportunities with organisations having a headcount freeze on permanent hires?
  • Or due to cost & budget cuts will organisations look to rely less on contractors?
  • What do you see as the pros & cons of hiring independent contractors vs employees?

 

As always, I really welcome your thoughts and feedback.

 

Embarking on an upcoming program of work in the Dynamics 365 domain?? Feel free to get in touch to understand how the team at Digital & Virtual Monk International can help support resourcing your project, being able to provide skilled contingent workers/contractors or full-time employees from a database of over 3000 ANZ based professionals.

 

 

by Craig Radford – Director, Monk and Specialist Dynamics 365 / Power Platform Recruiter

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