Contract Work No Longer Just a Path to Direct Employment

(Editor’s Note: This is the next in a series of guest blog posts about contract staffing, courtesy of Top Echelon Contracting, the recruiter’s back-office solution.  Similar posts will appear in future issues of The Pinnacle Newsletter Blog.)

Debbie FledderjohannThe myth that workers only become contractors to obtain a direct hire position has been officially debunked by a recent Randstad study.

Over 2,000 employed adults were surveyed for the Randstad Workforce360 Study. The study found that 78% of the temporary/contract workers surveyed felt their experience was positive.  In fact, many have chosen contract work over direct hire positions for the following reasons:

  • Schedule flexibility (selected by 31% of respondents)
  • Better pay (28%)
  • More control over career (21%)

Of the temporary/contract workers surveyed, 86% reported that their level of job satisfaction was very good or excellent, compared to 73% of permanent/direct hire employees.  In addition, 54% of the contractors strongly agreed with the statement, “I am paid what I’m worth.” Only 42% of direct hires stated the same.

In addition, the survey found that one-third of contractors occupy high-level positions. This relates to a trend Top Echelon® Contracting has reported on numerous times called executive temping.

One of the biggest reasons recruiters don’t offer contract staffing is that they’re afraid they won’t be able to find candidates.  This study shows that candidates’ attitudes toward contract staffing have changed dramatically.  Contract positions are no longer the jobs they take because a direct position is not available. More and more, candidates are choosing contract positions over traditional employment.

The only way you’ll know if your candidates are willing to work as contractors is to ask them.  You may be surprised by how many would prefer the option to work on contract.

And if you run your contractors through TEC’s back-office, they’ll be happy to know that they’ll be offered a full menu of benefits, including healthcare insurance offered through Anthem Blue Cross and Blue Shield.  This is in addition to a weekly paycheck with the option of direct deposit.


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