Businesses Are Hiring Freelancers at Higher Rates, Here’s Why

Why are freelancers being hired at higher rates during the pandemic? Flexibility.

Millions of workers turned virtual, the economy more competitive, and the future is uncertain. So flexibility is key. If flexibility is key, then there’s no doubt that freelancers and temporary workers are the answer.

Freelancing was already on the rise before the pandemic, especially among younger generations. In-fact there have been a number of predictions that within this year, there will be more millennials in freelance than in traditional workforce positions.

And according to a recent Upwork study, over two million Americans have started freelancing in the past year. That has increased the proportion of the freelance workforce to 36%.

Now that there are more freelancers on the market, there’s actually more work as businesses recognize the benefits of temporary workers.

Here are some reasons businesses are hiring freelancers more:

  1. Freelancers Allow Flexibility
  2. Freelancers are Cost Effective
  3. Freelancers Can Provide Specific, Eco Expertise

Freelancers Allow Flexibility

From the business owner perspective, being able to hire freelancers only when you need them is a true bonus that not only makes work life easier. (And is easier on the bank account as well.) Plus, you can work with a freelancer on a project by project basis.

Caroline Aistrop, founder of Green Spark Marketing, said hiring freelancers leads to better client satisfaction since they have specific expertise.

“I have social media experts, graphic designers, website builders, which means I can just pick and mix as the job requires,” she said. “This makes running a business easier because I don’t have to worry about paying all those employees regularly. It also makes things more flexible; you can tailor to what the client needs. You don’t stuff what the client does into your teams. rather, you adapt to the client.”

Freelancers are Cost-Effective

Hiring permanent employees is expensive. In the UK, costs to employee someone formally include:

  1. Employee  National Insurance Contributions (NICs)
  2. Auto-enrollment Pensions
  3. Equipment
  4. Holiday Pay
  5. Sick Pay

Etc.!

It is said that just hiring some can cost 1-2 times the salary of that person. Of course, this just isn’t realistic for small businesses.

Now for a lot of people, hiring full-time employees is the dream because you want to provide for others. But many freelancers actually enjoy not being enrolled permanently at one company, and prefer the flexibility of being an independent contractor just as much as employers do!

Photo Courtesy of: Vox

Freelancers can Provide Specific, Eco Expertise

The saying goes – green for the planet, gold for your business! Hiring experts who already share your values is key to building a successful and eco-friendly brand.

Let’s say you need your website hosted. You could hire a large corporation to do so, and then ask about their green initiatives, only to be met with vague corporate jargon.

Alternatively, hiring a freelancer, who, for example, specializes in green hosting, will give you the expertise and emotional passion you need to support the brand’s values you’ve already built your business on.

In-fact, if you want to hear more about eco-opportunities for your digital, green business, check out our blog, 3 Low Cost Ways Your Digital Business can Go Eco.

Overall, the freelance economy wasn’t created by Covid-19, it was just accelerated by it. And I believe it’s a trend that’s here to stay.

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