Turning this Trend into a Labor Strategy
Businesses are already reeling, and tired, from two years of a pandemic that required nimble, innovative solutions. But with new challenges, come new strategies. Alexander Bant, chief of finance research at Gartner said, “Companies are taking steps to cut costs and improve efficiency after many of them relied more on boosting prices in recent quarters to offset inflation and bolster their bottom lines.
While companies navigate the snarls in global supply chains, higher commodity prices and a tight labor market, many “are starting to compile a list of levers they can pull,” he said. While most companies haven’t adopted large-scale cost-cutting plans yet, many are sketching out any potential savings they could reap.
One cost-savings measure more businesses are leaning into is the gig economy—and for good reason. As more and more people gravitate to gig work to earn extra—companies have a unique opportunity to tap into this growing labor pool. By doing so, it enables them to not only meet ongoing labor demands—but they’re able to do so without the costly overhead and turnover that comes with traditional employment.
“Gig” workers will be an increasingly important part of the workforce this year, as the arrangement gives businesses the flexibility to staff and up-down to meet fluctuations in demand, said Steve Hatfield, Global Future of Work Leader at Deloitte.
“Businesses have a lot of incentives to embrace this trend. Companies are finding that many roles that were long assumed to require workers can be permanently redefined or broken up to accommodate contractors. An option that makes the employer’s job even easier—providing a reliable workforce without the overhead costs.”
Curious how gig could benefit your company? Talk to our team today.