Contingent workforce is basically classified into freelancers, independent contractors, consultants, or other outsourced and non-permanent workers who are hired on a project basis. They work on site or remotely. However, they are not simply temp workers this discounts the high-value nature and complexity of today’s contingent workforce.
Contingent workforce are highly skilled experts in their fields.These workers are hired to complete specified tasks under a statement of work basis. Once the project is finish, they leave, though they may be called back when another project comes. As such, they are not employees of a company and the business owner has no responsibility to provide continuous work on a permanent basis to these kind of workers. There is another added benefit of the contingent workforce is that their increased flexibility.
When an more work arises or a sudden urgent project comes up, a contingent worker can be hired to perform the extra work. But once business slows down again, the business owner is not stuck paying a salary for a worker that isn’t vital to the organization, which is especially important in a fragile economy. There is no need to lay off workers when you have a contingent workforce.