gig economy and hr

The gig economy is defined by Google as “a labor market characterized by the prevalence of short-term contracts or freelance work as opposed to permanent jobs.” From Lyft to Amazon, an increase in the number of freelance and contract workers adds new challenges for talent management and it’s vital that HR remains agile in response.  In fact, Adobe’s 2016 “Future of Work” report stated that one in three office workers has more than one job.

With the growing gig economy, here are a few ways Human Resources can respond to the challenges of a growing industry:

Increased Emphasis on Technology

As more workers work remotely, technology has become increasingly valuable to HR experts. From sourcing workers for a job to providing feedback to virtual reality tools for team collaboration, there are countless ways human resources professionals are relying on technology to respond to the needs of their freelance and remote workers. HR’s agility and independence from traditional tools will make all the difference in engaging this new workforce.

Increased Engagement Challenges

Distance makes the heart grow fonder, right? In the case of remote workers, this might not always be true. Engaging employees in their cars, homes, or other locations has proven to be much more challenging than HR anticipated. Agility expert, Nick Horney, says “that HR leaders should think about their workforce more broadly, using a “talent portfolio” that includes traditional and nontraditional employees.” Be cautious of “out of sight, out of mind” syndrome, and continue to focus on the whole of your talent, not just the employees you see on a daily basis.

Increased Evaluation Needs

Along with engagement is also the need for continuous feedback. Gone are the days where an annual performance review was enough. Revamp your performance reviews to fit with your workforce. Again, consider different technologies that can make this process easier. By providing continuous reports on performance and also asking great questions, HR can help these workers feel more engaged, valued and informed whether they’ve been part of the company for a month, a year or a decade.

What are some challenges you’ve faced with a mixed workforce? How are you responding to the gig economy?

About Katie Williamson

Katie Williamson is a Senior Marketing Associate at PerkSpot, providing creative insights and challenging the way we think about the workplace.

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