According to a survey conducted by the American Staffing Association, a large majority of American workers – approximately 78 percent – view the gig economy as a new form of nontraditional work arrangements, despite the concept of “gig” work being around for a long time.According to a survey conducted by the American Staffing Association, a large majority of American workers – approximately 78 percent – view the gig economy as a new form of nontraditional work arrangements, despite the concept of “gig” work being around for a long time.
While the idea of the gig economy may seem too far afield for some professionals, more and more individuals, from millennials to baby boomers, are embracing work that offers part-time, temporary work assignments. Advances in digital technology and this significant shift in the professional sphere have many begging the question – is recruitment dead?
The Gig Economy’s Impact on Recruitment
In no way does the gig economy represent the only way we work in modern society. However, it’s impossible to ignore the significant ways that the gig economy has changed the way in which people work today.
The evolution of digital technology has, over the course of the last few decades, fundamentally changed how recruiters connect with professional talent. Social media innovations have only furthered this trend, to the point where finding work is as easy as adding an app to your mobile device.
This, paired with the increasing use of gig workers over traditional hires, has led companies to take a different approach from the onset when it comes to screening potential hires. Now, employers can focus on:
- Niche skills not typically required on a full-time basis
- Adequately resourcing projects that fall outside of day-to-day work
- Accessing top talent that exists outside of the traditional labor market
- Assess freelancers’ skills and fit with your company culture
Recruiting Challenges in the Gig Economy
While the gig economy poses ripe opportunities for recruitment, its rapid evolution and ever-expanding workforce have posed some challenges for recruitment.
One of the most significant challenges for recruiting in the gig economy is employee churn, or the turnover of staff. Some industry experts have gone so far as to deem it the “single biggest problem” that recruiters face in the gig economy. According to industry estimates, nearly 15 percent of workers leave a job before it starts, and up to 20 percent wind up leaving before the job is complete.
Another primary challenge that can hinder recruitment in the gig economy is the gap between technologies. While gig workers are accounting for a larger portion of the workforce each year, less has been invested in new recruitment technologies. This means that recruiters are lagging behind the technology being embraced by gig workers today – an issue that can only hinder professionals seeking to recruit and retain high-quality talent in the gig economy.
So while recruitment is not really dead, it’s impossible to deny that it has changed – at a fundamental level – thanks to the rise of the gig economy.
Do you work by the gig or engage people by the gig (as I and my team do)? Meet my team.