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Employers ignore rise of gig-economy at their risk

gig economy

Employers must recognise the rise of the gig-economy – and implement strategic workforce planning strategies to reflect this shift. That is the advice from global talent acquisition and management specialist, Alexander Mann Solutions.

The recommendation in response to data from Mercer’s 2017 Global Talent Trends Study, which found that despite the fact that the majority of full-time employees (77%) said they would consider working on a contingent or contract basis, both the C-suite and HR leaders reported that they do not expect the gig-economy to have a major impact on their own business in the next two years.

According to figures from the Office for National Statistics, over the last decade the number of self-employed workers in the UK has surged from 3.8 million to nearly 4.7 million. The figure has risen by 174,000 in the last year alone with 15% of the entire UK workforce now self-employed.

Commenting on the findings, Lisa Forrest, Global Head of Internal Talent Acquisition, at Alexander Mann Solutions, said;

“As Mercer’s study shows, the disconnect between the intentions of employees and business leaders around the rise of contracting as a career choice is stark. Consequently, organisations which do not recognise the rise of the flexible workforce risk finding themselves in a situation where they are unable to access the skills their business needs to thrive.”

“The rise of the ‘gig-economy’ is encouraging a more ‘Uber-esque’ approach to recruitment – and workforce planning strategies must respond to reflect this. Employers who embrace the rise of the flexible workforce will benefit from being in a position to bring on board specialist skills to help manage demand without the burden of permanent headcount costs. Those who ignore the rise of the gig-economy do so at commercial risk.”

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