Table of Contents
Employees are at Risk
Alternative Staffing: Criticism
Alternative staffing is a good fit for me?
Many companies have adopted alternative staffing as a way to cut costs. Alternative staffing involves the hiring of people as needed, usually under short-term contracts.
Alternative staffing strategies can be defined as an employer-employee relationship that is not traditional in-house, full-time, long term employment. They aren’t necessarily new, but employers and employees are increasingly embracing them because of their many advantages. Employers have the ability to adapt to changing business conditions while still protecting the job security, morale, and livelihood of their full-time staff. The way the world’s brightest engineers, scientists, and technicians are finding their next job has changed dramatically according to staffing industry insiders. Many scientists are leaving their permanent jobs to become free agents and leave full-time positions. David W. Green, editor at Managing the Modern Labouratory, cites research that shows science professionals find contract positions allow them the flexibility and freedom to advance their careers at their own pace. As free agents, they can learn skills in the areas that matter to them and collaborate with employers who are best suited to their work. Employers can enjoy a better life balance by being free agents.
A market recovery can cause the labour market to become more tight, making it difficult for companies to find qualified staff. A company may find it difficult to find the right resources to fulfill their goals or commitments.
Alternate staffing can result in higher turnover. However, these individuals and companies are less loyal than those who employ them. Temporary staff can be replaced quickly by better offers if they are not available.
Employees are at Risk
Alternative staffing options offer little job security and employees can find new work quickly. A market downturn can make it difficult to find a replacement job when there is a large labour pool.
Employers must pay for medical insurance, which can result in significant increase in costs.
Alternative Staffing: Criticism
Employee organizations (i.e. Unions and many other employee organizations, i.e. This is particularly true when it comes to companies with less skilled labor.
This is an area that is more popular with skilled professionals. For example, many accountants, lawyers and finance experts appreciate the flexibility offered by alternative work environments. They are more likely to earn a higher salary, but they can still afford to work fewer hours than those earning close the minimum wage.
So, is alternative staffing the right choice for you? Both individuals as well as companies must carefully consider the potential risks and benefits before deciding whether an alternative solution to their staffing needs is worthwhile. While this may work for some, others might find the risks too much.
ANGALORE, India: IBM is India’s biggest spender for IT contract workforce recruitment. Its spend is almost twice as high as the next largest. According to estimates, the New York-based technology company invests more than $150 million each year to hire contract IT personnel. This amounts to over 15% of its total workforce.
Cisco, Microsoft, Accenture and Microsoft each spend more than $80 millions on maintaining large data centers.
