In a year as tumultuous as 2020, employee engagement can be key to building a successful business. Improving your employee engagement results in employees who are more committed to their jobs, will do their best even when the manager is not watching, and are willing to go the extra mile. Simply put, engaged employees lead to better business outcomes.
In case you needed more convincing, overall, companies with high employee engagement are 21% more profitable. This means that in the years ahead, the most successful organizations will be those who make employee engagement central to their business strategy.
This past year has shown us all just how important flexibility is in the workplace. Rigid schedules are a thing of the past for most companies, and relying on only full-time 9-5 workers is too. Now, most companies have a blended workforce consisting of some full-time, some part-time, and some freelance.
Many companies are still relying on multiple solutions for their workforce needs that aren’t integrated with each other. From paper schedules to excel spreadsheets, this lack of technology prevents any kind of true flexibility from happening. If managers need to use one resource to manage their budgets, one for scheduling talent and yet another for paying their talent, there is no way that efficient and timely staffing can happen.
Over the past year, companies of all sizes continue to work with more and more freelancers to help them run their business across all types of job functions, diverse skill sets, and departments. If fact, in 2020 there were 64.8 million freelancers in the US. By 2027, that number is expected to hit 86.5 million, accounting for more than half of the total US workforce. But hiring, onboarding, and managing freelancers is a whole different ball game than overseeing your full-time employees.
What we’ve witnessed in recent years is a dramatic shift from traditional 9-5 full-time employment to more freelancing, part-time, and contract roles. This change is driven by both sides: employees, who want flexibility and freedom to be their own boss and employers, who see the benefits of being able to tap into talent for work exactly when and where it is needed.
We all may be familiar with a freelancer who works for a company on a one-off project basis – someone you hire from a talent platform, assign a project, and their work for you is done. Instead, these past few years have seen the rise of a new type of freelancer, a Permalancer. This is a category of workers somewhere between a freelancer and a full-time employee. Unlike traditional freelancing, they have ongoing contracts rather than piecemeal work and function for companies in more like a consultant role.
The flexible workforce is growing quickly and forcing companies both big and small to adjust their strategy for hiring, onboarding, managing, and assigning on-going work to these important and valuable workers. If you currently use freelancers or are looking to work with freelancers this year, you’re going to come across a whole new set of challenges when it comes to onboarding, classifying, and paying this team.
Hiring, overseeing, and managing a flexible team is very different than the day-to-day management of traditional, 9-5 employees. Full-time employees tend to have set schedules and salaries and are, more likely than not, located in the same place as the rest of your team. Freelancers are exactly the opposite. They work on constantly changing projects and timelines with a lack of face-to-face supervision.
The shift to a more flexible, remote workforce has been happening throughout the past couple of years, but 2020 and COVID have caused a huge acceleration in this trend. In recent years, many companies have allowed more employees to work from home. In 2018, a U.S. Census Bureau survey found that just 5.3 percent of Americans worked from home full time. That number in 2020? 42%. Taking it even one step further, the pandemic lockdowns have shown businesses that their workers don’t all need to be in the same place at the same time in order to get the job done. Not only are they working from home, now they are working from just about anywhere.
Jobs are changing, and in the new world of 2021, the needs of businesses are quickly evolving. As part of that evolution, workers that are used to an 8:00 a.m. to 5:00 p.m. schedule are going the freelance route.
With more than 59 million Americans performing freelance work last year, we at AllWork are getting one question more often than any other: What’s the difference between an independent contractor and an employee? Employees receive a W-2 as their tax paperwork, and independent contractors receive a 1099. But those forms carry more weight than you might think.
TULA Skincare is a successful, DTC native, social-first skincare company that creates clean, effective, top-ranked skincare products featuring Probiotics & Superfoods. They have built a fast-growing business in a crowded space by tapping into social media and gained traction as a top Prestige Skincare brand at Ulta with a growing and loyal following.
As the VP of Global Sales & Education, Amanda Domaleczny leads their high-performing retail sales, events, and education teams for several retailers including ULTA, Nordstrom, and Dermstore. Previously at Korres and Drybar, Amanda is a passionate beauty industry leader in the retail and education space.