In the face of tightened budgets, fast-paced projects, and high demand for skilled engineers, many companies are turning to contingent hiring as a solution, but not all employers fully understand the common facts and misconceptions associated with it. Here are some facts and myths about hiring contingent engineers:
MYTH: Contingent Engineers lack commitment.
FACT: The number of short-duration contract jobs on a resume may lead to the perception that Contingent engineers lack commitment. Often the opposite is true. Many Engineers will take a contract job to gain exposure to a new industry, technology, and skills. Other engineers are eager to work on more diverse projects. Oftentimes, when Contingent Engineers find a good fit technically and culturally, they tend to stay on with the employer as an FTE.
Contingent contracts attract engineers based on what they offer that full-time employment cannot. Some engineers prefer contingent contracts to gain exposure and experience; others prefer a higher hourly rate; and some are senior engineers who prefer the flexibility of working on diverse projects.
Engineers sometimes prefer contingent contracts to test the waters and ensure their compatibility with the company, its culture, team dynamics, and the nature of the work.
MYTH: Contingent Engineers are less skilled.
FACT: On the contrary. Many Contingent Engineers are highly skilled and are expected to hit the ground running with little or no training. This is why they are mostly called on to fill emergency vacancies on short-term projects with tight deadlines.
Currently, there are over 400 Indeed job postings that are looking for engineering subject matter experts. These engineers are brought in to provide specialized technical consultation or assistance for projects on a contingent setup.
MYTH: Contingent Engineers are only suitable for the short term.
FACT: While contingent engineers are often brought in for short-term projects, their suitability for permanent roles is not limited solely by their temporary status. A survey revealed that 35% of contract workers received permanent job offers from their clients, and 66% of those who were offered, accepted.
Many companies utilize “contract-to-hire strategies” as a strategic approach to evaluating potential employees before making long-term commitments in giving out permanent roles. If a candidate proves to be an excellent fit by meeting specific criteria and performance standards, companies have the flexibility to convert them into permanent employees.
BENEFITS OF HIRING CONTINGENT ENGINEERS:
- Contingent Hiring brings flexibility.
- Scalable workforce based on headcount demand: Companies can easily scale up or down their workforce by bringing in contingent engineers as needed to meet economic, seasonal, or project-based staffing needs.
- Specialized expertise: Companies can hire contingent engineers with niche skill sets, industry backgrounds, or tool knowledge to address specific needs or project challenges.
- Duration based on project demand: Companies can bring in contingent engineers for the duration of a project or until it is completed. The workforce can be adjusted or extended based on new project requirements.
- Contingent Hiring saves money.
- Recruitment expenses: Staffing firms that offer contingent hiring typically handle the hiring process and administrative tasks like payroll, taxes, HR, and recruitment. With an average cost per hire amounting to $4,700, contingent hiring reduces a company’s expenses typically associated with traditional recruitment methods.
- Overhead expenses: Overhead costs associated with full-time employees, such as benefits, healthcare, paid time off, and other employee-related expenses, are reduced as these benefits are typically not the company’s responsibility when hiring a contingent worker.
- Training and Labor Expenses: Companies can have specialized talent on demand rather than paying for this expertise year-round. It lessens the need for extensive training programs or the costs of maintaining a full-time workforce.
- Contingent Hiring mitigates risks.
- Contingent hiring using staffing firms provides smooth transitions as they assist with workforce changes, especially at the end of contracts, extensions, and replacements. Contingent hiring mitigates risks associated with skills or cultural mismatches and allows quick separation which further reduces hiring risks.
DATA:
US Contingent workers are increasing at a 64.8% rate and are predicted to reach a whopping 90.1% by 2028. Currently, contingent workers already account for 40% of the US workforce and a survey indicates that 83% of global executives are using more contingent labor for their business needs.
A staffing firm that is well-versed in the complexities of contingent work can dispel any misconceptions about engaging contingent engineers and navigate the right hiring strategy for these specialized talents.
Connect with a SoloPoint Solutions staffing expert today to explore how our tailored contingent staffing solutions can help you save costs, mitigate risks, and build a flexible workforce.