November 20, 2009, Newsletter Issue #16: Top Reasons for Using Contract Employees

Tip of the Week

Especially during uncertain times and fluctuating economies, businesses appreciate the advantages that IT recruitment services offer. A survey sponsored by Staffing Industry Analysts (SIA), a research and analysis firm covering the contingent workforce, confirms this conviction. The study highlights the top three reasons organizations use contingent workers. The most prevalent and popular usage of contract workers is to fill in on a temporary basis to meet company needs to gain specialized skill sets or additional manpower for non-seasonal, special projects. Fifty-three percent of companies that regularly use contract employees cited this motive. In addition, twenty-six percent of organizations stated that they use contract employees to fill in for permanent workers. While they would prefer to hire regular, full-time personnel, for some reason or another, they are unable to find a match that fits their needs. So as they continue their search, they use the contract employee as a substitute until an acceptable alternative can be found. Lastly, the SIA research found that twenty-one percent of companies utilize contingent workers to meet seasonal needs.

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