Contingent workforce

Most companies have a workforce made up of traditional employees. However, the use of alternative workers is a popular option for many employers for a variety of reasons. When conducting a job analysis, companies may want to consider if alternative staffing options would be a good fit for their business needs.
The terms “contingent workforce” and “contingent worker” refer to non-permanent or provisional employees. Examples of contingent workers include:
- Temporary workers (temps)
- Independent contractors
- Service contractors
- Seasonal workers
- Leased employees
- Freelancers
- Consultants
- Independent professionals
- Temporary contract workers
- Self-employed workers
- Outsourced employees
Contingent workers make up a large segment of the overall U.S. workforce. Many workers enjoy the flexibility and independence of contingent employment, often preferring it to permanent employment.
Although having a contingent workforce offers employers advantages in terms of flexibility with staffing and employment cost savings, hiring contingent workers can also expose employers to certain risks. To minimize liability, companies must understand the rules and regulations regarding temporary employees and familiarize themselves with the distinctions between traditional employees and contingent workers.
Depending on the classification of the worker and a variety of other factors, such as who supervises the worker on a daily basis, there are numerous laws and regulations that companies must consider.
