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What is Contingent Staffing?

Contingent staffing refers to an organization hiring temporary workers on a casual basis to supplement their workforce.

In today's world, most organizations adopt several different ways of staffing their company. From traditional inhouse employees and Managed Staffing Providers (MSPs) to independent freelancers and temp workers, there are many different staffing solutions available to help you run your company in the best way possible.

In this post we're going to dive into exactly what contingent staffing is, as well as its benefits and disadvantages.

What is contingent staffing?

Contingent staff are the temporary workers an organization hires to strengthen the workforce. Also known as freelancers, independent contractors or temporary contract workers, contingent staff are very popular for businesses with fluctuating seasonal demand, such as call centres and department stores.

Most firms hire temp workers through an established contingent staffing agency. The staff work under a contract for a specified period of time or until the completion of a definitive project.

What are the pros of contingent staffing?

  • Gain access to talent you can't get any other way — Through contingent employment, you can work with experts in their field who have other commitments. Whether they want to work on their own business or enjoy more leisure time, being open to temp workers provides you with more access to better talent.
  • Increased flexibility — Contingent staffing allows companies to hire more people when they need them and adjust their workforce when business is slow, all without the HR hassle of hiring and firing paperwork.
  • More cost-effective — As temporary workers aren't employees of the company, you don't have to budget for benefits such as sick pay, vacation time, etc. Contingent staff members are responsible for their own taxes, too.
  • No need for training — Contingent workers are masters of their niches. You don't need to waste time, money or resources on training people inhouse, you can simply hire a contingent expert who already knows their stuff.

What are the cons of continent staffing?

  • Lack of commitment — When working with contingent workers, they're less likely to be as committed to the organization as inhouse staff. This could lead to low productivity levels.
  • Difficulty integrating — Core employees may feel threatened by the presence of contingent staff and not welcome them into company culture. Because of this team collaboration could be difficult.
  • High turnover — Contingent employees have a higher turnover rate than core employees. This means you may spend a lot of time and resources regularly hunting for new temp workers.
Contingent staffing is a successful solution for many firms that need to increase and decrease their workforce on a regular basis. While this employment strategy can provide you with expert knowledge, enhanced flexibility and lower spending, it can also create a few issues. If you're considering adopting this method of adding to your workforce, consider the disadvantages and how you'll overcome them before you make your decision.

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