The gig economy is defined as “a free market system in which temporary positions are common and organizations contract with independent workers for short-term engagements.” In recent years, the U.S Labor Market has seen an influx of workers shifting towards the gig economy. Its flexibility and autonomy has attracted many millennials and Generation Z’ers. Today, around 30-40 percent of workers are independent workers or freelancers and this is only expected to grow. For this reason, many companies are thinking about how to avoid losing employees to the gig world.
With the entrance of the millennials into the workforce, job-hopping has become increasingly popular. Millennials tend to change jobs several times throughout their working lives. Therefore, causing the gig economy to become an evolution of that trend. Below are three ways to attract and retain employees during the gig economy era:
Company Culture
One of the major benefits of working in the gig economy is the freedom associated with working independently. The ability to choose your own hours as well as work outside of a traditional office environment is appealing to employees and potential candidates.
This fact has led many organizations to implement a remote work policy. According to TalentLMS, 66 percent of companies allow their employees to occasionally work remotely while 16 percent are considered fully remote. Offering work flexibility to employees can increase the chances of retaining talent.
However, remote work options may not be feasible for all organizations, but there are many ways to promote a healthy work-life balance. One way to achieve this is by encouraging employees to create a flexible work arrangement. A flexible work environment allows employees to space out their weekly hour requirement however they choose (10 hours on Monday, 6 hours on Tuesday, etc.). This allows employees to complete their professional obligations while enjoying their time outside of work.
Offer a competitive benefits package
While there are many perks of working in the gig economy, one of the biggest advantages of a traditional work environment is the benefits that come along with it. Health insurance is one of the most vital benefits that freelance work does not offer.
Individual health insurance costs are significantly higher than getting insurance through an employer. An employer chooses the healthcare plan and pays a portion of the premium. This helps employees save a lot of money.
In addition to health insurance, a traditional work environment can provide employees many other benefits. Some additional benefits include paid time off (PTO) and retirement benefits. A trick to avoid losing employees to the gig economy is by offering a competitive benefits package that makes it hard for them to resist.
Invest in training and development
Training and development is an essential part of helping employees grow. An employee who receives the necessary training often experiences improved job performance. When done correctly, training and development can not only help an employee grow in their career but can also boost productivity throughout the company.
One way to attract employees is by creating an engaging professional environment. By providing employees opportunities for growth and development, it can increase employee satisfaction.
To learn more about what attracts job candidates, check out our blog on What Gen Z Looks for in an Employer and Why!
Recent Comments