Because contingent workers give an organization greater flexibility to manage workforce needs, non-permanent labor has become a popular alternative for many companies.
Today, 32% of the average company’s workforce falls under the contingent or contract-based category. This number is expected to rise to 45% by the end of 2017 (According to a study by Ardent Partners). With so many employers realizing the value of hiring independent contract workers, having the proper skills to manage such workers is beneficial.
6 Tips for Managing Non-Permanent Labor Successfully
While you independent contract workers are not eligible for the same benefits as your core staff, allowing them access to park in the same lot, enjoy access to employee purchase discounts, or even including them in your business and social events promotes harmony between your full-time employees and contingent workers. Encouraging all team members to build relationships increases morale and productivity among all employees.
Inform on corporate culture
Make the contingent worker feel more at home by familiarizing him or her with your corporate culture. This includes providing an overview of your mission, values, expectations and offering any training designed to help build a unified work environment.
Non-permanent workers are often overlooked when it comes to feedback and employee evaluation, however, giving and receiving feedback should be a priority. Conducting employee evaluations or relaying the status of a project establishes open communication. This will benefit the employer and employee both in the event that you rehire him or her for another project in the future.
Clearly define benefits
It's common for benefit plans to specifically exclude contingent employees. Creating a separate orientation and handbook for contingent workers helps them feel like a part of the team while clearly defining which benefits they’re eligible for and which they aren’t. Having written documentation also avoids any confusion and mixed messages when providing this information verbally.
Agree on schedule expectations in advance
If an employee may occasionally have an inconsistent schedule (you may need them to work an extra day or an extra hour, here or there) tell them in advance. There are many reasons for someone to be within the contingent workforce and those reasons could restrain their schedule. Coming to a complete understanding of what the job demands will avoid any confusion in the long-run.
Do not misreport
The fines and back taxes associated with misreporting can be tremendous. Mitigate that risk by hiring a contingent worker through a third-party staffing agency. These types of staffing agencies will employ the worker as a W2 worker avoiding the risk of misreporting on your end.
Solutions for Temporary Labor
When you employ independent workers, you have a lot more risk and liability to consider than you do with permanent full-time employees. Partnering with a staffing agency can make a world of different for you and your contingent workers.
CoVest Talent Exchange
The CoVest Talent Exchange is a collaborative group MSP/VMS solution for temporary labor and contract employees that is powered by HCMWorks. The solution is technology enabled through the usage of VMS, which operates as a cloud-based software and a single point for reporting and talent requisition.
- Members can bring their own staffing partners or leverage the preferred relationships created by CoVest and HCM
- Single portal for all temporary labor needs
- Cloud based software with no implementation needed (and no implementation cost)
- Flexible reporting capabilities
Click image below to download white paper: