The gig economy isn’t new, but it has recently grown in popularity since the onset of the COVID-19 pandemic. By June 2020, almost 7.7 million workers lost their jobs because of the pandemic. This caused many people to pursue gig work as their primary or additional source of income.
So, how does this affect HR Professionals in the modern workplace?
HR Professionals need to adapt to the changes brought by gig workers. More and more workers are looking for short-term projects with higher pay and greater flexibility. As an HR Professional, you need to successfully incorporate gig workers into your company. In this article, we’ll discuss five ways the gig economy is affecting HR:
1. Have a faster recruiting process
The hiring process for gig workers shouldn’t be long and drawn out. Gig workers often jump from one gig to another, so companies need to keep up to compete for top talent. For instance, your sourcing, selecting and onboarding process should only take a few weeks rather than months.
Training, development and performance management usually operate on an annual timeline. It’s essential to make changes to your timeline to accommodate short-term workers. HR Professionals should shift their focus to a more outcome-based approach when it comes to deliverables. Regularly talk about individual and project performance, goals and objectives rather than having annual or semi-annual performance discussions.
The learning goals for your company should also cater to individuals rather than teams. Bite-sized learning programs are more suitable for gig workers instead of yearly training.
2. Identify roles that fit gig workers
More often than not, the number one priority of HR Professionals is attracting and retaining people for the long haul. However, you need to embrace the growth of the gig economy by identifying possible roles within your company that are suitable for gig workers. Evaluate your company and identify existing parts that can adapt to the gig economy. Companies that embrace these changes will become the go-to company for top talent in the long run.
Independent contractors and freelancers often have more innovation, satisfaction and engagement in the projects they take on. The only downside is that gig workers aren’t as committed to the organizations they’re working for since most of them work for five to ten employers at a time.
The lack of commitment in the workplace can be harmful to any company, especially when dealing with confidential matters. Fortunately, you can easily build commitment among gig workers by integrating them into your company. Include them in your company’s Slack and other communication channels or introduce them to your employees. Make it a point to remove any feelings of exclusion. By doing so, you’ll see improvements in teamwork and productivity.
3. Adopt a flexible workplace
Workplace flexibility is no longer a benefit most employees enjoy; it’s now an integral part of the job search for today’s applicants. For many gig workers, having a proper work-life balance is essential, so HR needs to acknowledge these changes.
Potential applicants require workplace flexibility from employers because they know they can get all these and more by doing gig work. Employers and self-employed professionals now realize that they need to offer generous vacation leave, flexible work hours, and work-from-home opportunities to attract and hire top talent.
HR Professionals should stay on top of the demands of the hiring pool, and structure job offers accordingly. This could mean tweaking your benefits plans, adopting telecommuting, and more.
4. Create a welcoming environment
If you’re going to hire gig workers, one of the most significant changes is employee retention. As previously mentioned, many companies prioritize retention, but this isn’t the case for gig workers. Rather than incentivizing them to stay, think about building a workplace environment that encourages them to come back when the need arises.
Create a company culture and employee experience that includes short-term workers. Promote enjoyment and engagement throughout their stay with you so they’ll return the next time you need their services. You can do this by creating an ambassador culture. This means building a fun and positive work environment that gig workers would go out of their way to talk about with their peers.
The goal is to let your gig employees become ambassadors for your company. When this happens, you’ll become a company both gig workers and potential long-term employees want to join.
5. Create an onboarding strategy
Many HR departments make the mistake of skipping the onboarding process for gig workers. Instead of providing performance reviews and background checks, companies often let gig workers work with limited supervision with little to no feedback until they turn in their deliverables. This arrangement can be risky for your business. Keep in mind that even though gig workers aren’t long-term employees, they still represent your brand.
HR Professionals need to create an onboarding strategy that works for gig workers. Don’t skimp on background checks – do the same process even if you’re hiring an independent contractor. Check their criminal history, work history and educational background. The gig worker you hire should be someone you can trust.
For training, you can schedule a video call with the freelancer before they start working. Be sure to clearly communicate your expectation, even if the task or the project is clear-cut. Lastly, encourage open communication and tell them to get in touch with you if they have any questions. It also helps to ask for samples of their work before hiring them to ensure that they have the experience necessary for the project.
A clear onboarding strategy lays the foundation of a successful relationship between the gig worker and the company. This makes it easier for you to enjoy the benefits the gig economy has to offer.
What’s next?
By adopting these changes, your organization will easily become the employer of choice among full-time and gig workers. Hiring freelancers and independent contractors provide new insights, as well as a higher level of company growth.
Be sure to integrate gig workers within your company culture, establish an onboarding strategy, identify roles for gig workers, and adopt a flexible workplace. By doing so, potential applicants can keep your company top of mind when looking for new projects.
Rumzz Bajwa is a digital strategist and content marketer. She enjoys spending time with her family. She loves to go out and experience new moments whenever they came to light. Rumzz discovers satisfaction in investigating new subjects that help to extend her points of view. You can frequently locate her immersed in a good book or out searching for a new experience