Cell phones didn’t eradicate telephone calls, but when did you last use a rotary phone?
While companies continue to tighten their belts, lay people off, and cut full-time positions, the gig economy is growing. As a result, contractors and companies are finding the flexible talent model to be a sustainable approach to the current employment landscape.
In turn, freelance marketplaces have become an increasingly popular way for flexible talent to find work and for businesses to access talent. These platforms connect freelancers with clients looking for specific skills or services, and they’re changing the way we think about employment. The gig economy is profoundly affecting the global workforce, and freelance marketplaces are becoming commonplace in the toolkit of hiring managers and contract workers.
Freelancers: Flexibility and Control
One of the most significant impacts of the move toward contract employment is the increased flexibility and control that it offers to freelancers. These platforms allow freelancers to choose when and where to work and take on as many or as few projects as they wish. This freedom enables freelance talent to work on projects that align with their skills and interests, increase their happiness, and earn as much or more than they would in a traditional 9-to-5 job – often in fewer hours worked per week.
Businesses: Access to Global Talent
Another impact of the gig economy on the global workforce is the increased access to a worldwide pool of talent. With freelancers from all over the world available on gig-based marketplace platforms, businesses can find the best talent for the job, regardless of location. This is especially useful for companies that need to access specific skills or expertise that may not be available on their core team or even in their zip code.
Critics: Leads to Job Loss
Some critics express concerns that the gig economy could lead to job loss. They contend that as more businesses turn to these platforms to hire talent, it could reduce headcount through terminations for conventional employees. But it’s important to note that freelance marketplaces also offer opportunities for businesses to access a global network of experts, which could lead to expedited solutions to business problems leading to faster company growth and, ultimately, increased job creation for full-time, core employees.
Hiring Managers: Good Talent vs. Gold Watch
Gone are the days when employees get hired and stay until they earn a pension, a plaque, and a gold watch. Companies will still have full-time core employees focused on the business. However, the core team will enrich their department or project with highly skilled, hyper-focused, short-term contract workers. Companies are increasingly turning to talent marketplaces to find those gig workers.
In much the same way that mobile phones replaced the rotary dial, the impact of the gig economy and freelance marketplaces on the global workforce is significant. Both sides of the equation want easier, more flexible hiring with more options for their careers and their teams. Marketplaces are increasing flexibility and career management for freelancers and providing global access to skills and experts for businesses. Workers will continue to bring value and skills to organizations, but the way hiring happens is shifting.
Chris is the President of FlexTal. He brings 20+ years of experience in Customer Success, UI/UX, design, and marketing – including time within start-ups, agencies, and enterprise orgs. Chris has also served as a University adjunct professor in Advertising & Public Relations for several years.
