The Rise of Flexible Staffing in India

India’s Flexi-workforce growth stands at 54%, and the demand is expected to grow in the coming years. The outbreak of COVID-19 has contributed significantly to the apparent shift toward adapting to the flexible working environment. Flexible staffing allows businesses to adjust their workforce to the demand. It can be an excellent strategy to utilise talent while reducing labour wage costs. Let us understand more and find out the critical reasons behind the popularity of this trend.

Flexibility for Employers and Employees

Contractual jobs add flexibility and make it easier for the employer and the employees. For instance, most large organisations are looking to cut costs owing to unpredictable and uncertain situations. Contrastingly, startups have limited budgets and will require good talent only to reach the next stage of growth. Flexible or temporary staffing is an effective way to reduce the risk of these instances. Flexible staffing can be beneficial for both employers as well as employees.

Businesses go through uncertain and unpredictable situations. Companies may hire contractual staff to save on expenses in situations like this. Contrastingly, candidates who are studying, travel often or prefer a remote working environment can consider applying for such roles.

Industries which hire a Flexible Workforce

The trend of contractual hiring is on the rise, and many industries have accepted it. Various sectors hire contract workers, from technology to communication and trade. Gone are the days when employees used to work from 9 to 5 within fixed schedules. Many companies and employees are embracing the trend of flexible work schedules and operating according to their productivity hours. E-commerce, administrative, healthcare, IT, warehousing, and transportation are common industries where people work flexible hours.

While some companies hire flexible workers for specialised roles, there are various companies that hire contract workers for junior roles such as delivery executive, data entry assistant, or office assistant. The contracts and the overall tenure may vary from industry to industry and depend entirely on your skills. Many companies prefer hiring consultants on a contractual basis to evaluate and check their way of working. Check the renowned and credible portals to find the right opportunities for you. Register on our website and keep a tab on the latest openings.

Reports back the Data

Various reports and statistics further prove the trend’s popularity in India and all over the world. According to Society for Human Resource Management (SHRM), 55% of employees mention that flexibility is an essential factor which helps them maintain a healthy work-life balance.

Qualtrics, an American experience management company, reveals that more than 60% of employees prefer flexible working. The staffing industry added more than 2 lakh contractual workers in 2021-22. The report by Indian Staffing Federation (ISF) highlights the trends followed in sectors such as e-commerce, FMCG, manufacturing, retail, and logistics.

How Does it Help Organisations?

Flexi working and contractual hiring can provide a host of benefits to organisations. Whether you need to hire talent for a short-term project or you need a replacement for an employee who is on a break, contractual hiring can be highly beneficial. Here are some of how it may add value to an organisation.

Saves Time and Cost of Recruitment

Hiring a full-time employee can be a time-consuming and expensive process. As an owner, you will have to conduct a background verification check of the employee before hiring for a permanent position. On the other hand, flexible staffing will allow you to maintain a contract for a short period. While you should also consider doing a quick background verification of the contractual employee, you will not have to overspend your time doing that. The role will be for a short time, and you will certainly have the power to end the contract if the candidate is found misbehaving or violating the laws of the contract.

Gives a Competitive Advantage

Companies can hire experienced, flexible employees to gain a competitive edge and make their name in the market. The rigid staffing structure will provide you with more control over the employees. When you require an experienced professional, you may consider hiring a consultant on a freelance or contractual basis. Consider limiting the hours they dedicate to the work to reduce the wage. This way, you will also have experienced professionals in the workforce without impacting the organisation’s overall expenses.

Contrastingly, when you plan on hiring a full-time consultant, you will have to provide them with various other facilities and better pay facilities. This can be extremely expensive and will not be a viable strategy for startups.

Shorter Notice Periods

The owners will have complete control over the tenure period of the employees. The contracts are short-term, and the employees will only have to work until the project finishes or reaches its deadline. You may even have the authority to end the contract if the project finishes early. It will help you avoid breaking the budget and pay only for your use. For instance, if you do not need them, you can simply end the contract and reconnect with them later.

Avoid Bad Hiring

An extensive interview test may help evaluate and gauge the skills. However, working with an employee on a day-to-day basis can be different. You might have a different thought process, and there are chances that the employee will have another way of looking at things. Therefore, offering them a contractual role makes sense before making them permanent. It will give you enough time to understand whether the employee will be able to make the adjustments and whether the work is in alignment with the requirements or not.

Under flexible staffing, you may hire employees for remote roles, part-time, contractual and contract-to-hire. Take your time to understand the employees’ capabilities and then come up with a judgment. Hiring for a three or six-month flexible role will provide you with enough time to test the employee’s skill sets.

Cater to Fluctuating Market

The market fluctuates now and then. In case of a crisis and disastrous situation, you may have no other option than downsizing. You can seamlessly cater to fluctuating markets when you leverage flexible staffing solutions. You may be able to upsize or downsize according to the demands. If you are in a growing phase, you can consider hiring more experienced professionals or consultants for assistance. The flexible staffing model may even be recommended when you are in the decline phase, as it will help cut unnecessary expenses.

Better Talent, Less Legal Formalities

Employers get access to better talent and have fewer legal formalities. With the Flexi hiring approach, you may consider hiring specialists who can look after the overall task completion. Besides, you will not have to adhere to the tax complications, and there will be lesser legal formalities involved in the process. Companies can even post the requirement for specialists or consultants within the field. Businesses mostly have budget constraints and are unable to hire experienced professionals. In these situations, flexible staffing could be the solution as it may help reduce the duration the employee will serve.

Improves Retention

Employees are the key stakeholders and contribute significantly to the success and development of the organisation. However, retaining the right talent can be a big challenge for the organisation and management. It is necessary to adopt sustainable HR practices and improve employee satisfaction to retain employees. Hiring contractual and flexible employees can help prevent the load from the full-time employees. 

This provides the core team members to focus on complex and challenging tasks related to the business. A dynamic mix of full-time and highly-skilled temporary employees can benefit the organisation. It will make the core members of the team more valued and respected.

How Can it be Beneficial for Professionals?

Flexible staffing is not only beneficial for employers; it can be highly beneficial for employees. Flexible staffing is an excellent opportunity that allows the employees to sign-up with several clients and earns a handsome amount of money. The flexible staff and employees must adhere to the company’s obligations and policies. Companies either pay monthly or once the project is completed. Hence, one should discuss this with the employer or agency. Let us understand some of the effective ways it can benefit potential employees.

Higher Pay

Contrary to popular belief, flexible workers get higher compensation for the work done than permanent employees. Flexible workers are even allowed to work with several employers simultaneously, increasing their chances of generating more revenue. On the other hand, permanent employees must work extra hours and overtime. But Flexible workers have to work for defined hours and receive a better salary. Their specialised skills, relevant industry experience and professional exposure, can further help them to receive a higher package.  

Flexible Work Schedule

Companies worldwide still follow the 9-to-5 working patterns and expect their employees to work on fixed schedules. At the same time, other companies are allowing employees to work flexibly at their convenience. Allowing employees to work flexibly helps them to be productive. Flexible staffing aims at prioritising an employee’s needs. Unlike permanent employees, flexible or contractual employees could be concerned about their daily schedules. Employees may have the opportunity to communicate about the availability of time. 

An employee’s role is crucial in the growth of an organisation. Employees who work during the preferred timings and hours tend to stay more motivated. This can also have an impact on employee retention. Employees who are motivated and satisfied are less likely to leave the organisation. 

Healthy Work-Life Balance

Employees are the key stakeholders that contribute significantly to the organisation’s development. Flexibility is an important aspect that represents the needs of the employees. Companies can provide flexibility to employees in different forms, such as contractual, working time, functional, part-time, and wage flexibility. 

These flexible work schedules allow employees to maintain a healthy work-life balance. The employees may be from diverse backgrounds and may have different requirements in terms of flexibility. While some may prefer a part-time, hybrid, remote contractual role, others may be comfortable with functional flexibility and gaining new skills. 

The importance of employee satisfaction cannot be denied, especially during times of crisis and disastrous situations. Take a look at the needs of the employees and provide them with the flexibility they need for a better work environment. 

Lesser Commitment

Unlike permanent employees, flexible staffing gives employees enough freedom to relax and work according to their convenience. The permanent employees will have specific rules, regulations, and codes of conduct that they will have to abide by. Flexible working may be ideal if you want to work with multiple clients or try out new experiences. Moreover, there is a considerable difference between the onboarding process and resignation. Signing up for a flexible role is an excellent way to advance your career and grow professionally without sacrificing your personal time. The employee may have complete authority and can adjust the work schedule, incorporating time for fun activities. 

Test and Experience

Flexible working not only provides employers to test the capabilities of the employees. It gives the employees an equal opportunity to understand the work and company culture. You may have heard good reviews of the company on social media. However, you should not trust everything you see blindly. There are chances that the company’s culture and functioning may differ from your particular team. You could use the opportunity to test and experience the company’s work environment. 

The toxic work culture and environment could negatively affect your physical or mental health. Avoid working with a company that compromises the well-being of the employees. During your contractual period, you should aim to find out the perks and benefits that the company provides. Talk to the employees to find out about the initiatives they have taken for the betterment of their employees. If you are not satisfied, you may avoid working with them. If you are satisfied with the work culture, you could talk to the employer to bring amendments to your contract and convert it into a permanent role. 

Enhance Your Resume and Skills

Students or individuals who want to restart their careers can consider enrolling for flexible work or a contractual role. It will provide you with an opportunity to implement your learnings and skills. On the other hand, you may even consider this when you want to gain skills. You can leverage this short-term opportunity if you plan to learn anything new. It will enhance your skill sets and also assist you in growing professionally. Find the right option that matches your profile and interest areas. 

Who May Choose Flexible Roles?

Flexible hiring can be beneficial for both employers and workers. Employers can use the opportunity to hire talent quickly. While workers may have the flexibility and benefit of scheduling their weeks accordingly. The benefit could also pose a threat or become a limitation as the worker’s earning capacities may be limited. Anyone wanting to gain new skills or explore a new field could sign up for a flexible role. 

You may consider applying for a flexible role if you meet any of the below-mentioned categories: 

• Students – It could be an excellent way to implement and test your learnings. The best thing is it will not collide with your studies, and you can conveniently work part-time. It will not only add to your experience but will help in your personal growth and development. 
• Freshers – Freshers could take contractual or flexible jobs as the starting point to gain some experience. It will also help you discover the professional world and advance your career.
• Military Spouses – Military spouses often move along, creating career obstacles. The work requirements may change from state to state. You will have to stay compliant and follow the work policies of that particular state. Changing the job too often is not suggested as it could create a negative impression in the minds of the recruiter. You can prevent this risk by opting for a flexible remote or contractual, part-time role. You can work from any part of the world and will not require to change your job.
• Women – Most women often leave the labour markets after marriage or motherhood. We agree that these phases can be difficult for a woman. You may find it difficult to handle work and life together. A contractual role will allow you to decide on your working hours. You may work during your productivity hours or when you are free. If travelling is another concern, you may start looking for flexible work-from-home jobs.   
• Single Parents – It could be the best solution for single parents to look after their kids and manage work simultaneously. Many single parents live with the guilt of not having time for their children. A flexible role will help eliminate the guilt and improve your work-life balance. 
• Individuals with Sick Parents – A sick member in the family can affect emotional health. A flexible or contractual remote working environment may provide you with an opportunity to work and look after sick parents. 
• Professionals who want to change career paths – Switching careers is not easy and can be intimidating at any age. Whether in your 30s or 40s, one should be careful while making this decision and critically analyse all the aspects. Making the wrong move or working with the wrong organisation could impact your mindset. Signing up for a contractual role before you plan to switch your career will aid you in making the right decision. It will provide you with an assurance of whether the switch is the right option or not.  

Summing Up 

The number of companies hiring flexible staff is continually increasing to meet the increasing demand in the workplace. People looking for an alternative way to earn or want to switch careers are experimenting with a flexible working environment. We hope our handy guide helps you decide whether it is the right choice or not. Whether looking for talent or work, you can check out our platform to find the right opportunity and grow professionally.