The gig economy continues to play a huge role in the U.S. labor market, but data shows that some contingent workers might be beginning to settle down. Looking for greater stability and benefits, some freelancers, contractors and temps are considering full-time opportunities. Companies are also eager to lock down top talent into permanent roles, rather than lose them to the competition.
Data from the U.S. Department of Labor (DOL) Bureau of Labor Statistics (BLS) shows a 111,000 decline in temp workers in April 2021 alone. Combined data from Moody’s and the DOL indicates the same trend, coupled with an increase of 1.3 million full-time workers, from February to April.
However, “it’s too early to declare that a longer-term shift from contingent to permanent workers is underway,” says Michael Smith, global CEO of Randstad Sourceright.
Most of the gig workers who are making the switch to permanent work are doing so because the employer is accommodating. That includes offering remote work and flexible hours, along with competitive pay and benefits. For workers that need to be onsite, signing bonus and other incentives are helping to make hires.
Read more about the shifting labor market trends in USA Today. You can also get your exclusive copy of the Q2 issue of Talent Trends Quarterly, “The rise of the agile workforce,” to see why a holistic, data-driven approach to workforce planning is essential.
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