Dive Brief:
- Senior financial executives worldwide plan to increase their companies’ workforce in the year ahead, albeit at a slower pace than in previous years, according to a global survey of 870 C-suite finance leaders by American Express and Institutional Investor Thought Leadership Studio.
- To meet their staffing needs, more than half of companies say they're likely to expand their use of temporary and part-time workers and just less than half plan to “on-shore” jobs, by moving positions from overseas to domestic locations.
- Overall, respondents (55%) see the use of contractors, freelancers and temporary workers as an important part of their employment strategy, but not central to it.
Dive Insight:
Hiring is up, but employers remain cautious about the future. Instead of boosting wages, they're offering better benefits, increased flexibility and professional development opportunities.
And instead of staffing up with full-time employees, they intend to continue relying on part-time employees and independent contractors. In fact, a recent study by MBO Partners predicted that independent contractors will make up 60% of the workforce by 2027.
A separate study from LinkedIn suggests that it's not just unskilled work that contractors are performing. Results from Flexible Working: A Career and Lifestyle Pathway show that many are in their mid-to-late careers and tend to move into seniority positions a year earlier than their employee counterparts.
While critics cite a lack of stability for these workers, some report that they prefer it, especially those just entering the workforce, as well as those nearing retirement.
