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The gig economy and its effects on the Staffing Industry

By definition, a gig economy is a work environment where a company uses technology to reach prospective employees or short-term contract workers to fill temporary positions or perform tasks that usually doesn’t take a long time to perform. Sounds weird? Well think of ridesharing app Uber and you’ll get what we mean. Aside from Uber other companies that operate within the gig economy industry include Upwork, Snagajob, Amazon Flex, Etsy and the list goes on.

Upwork connects web developers and IT professionals looking for work with companies who are looking to hire for short-term projects. Snagajob is an app you can use to find anything from day labor jobs to positions with big companies. Amazon Flex is the Amazon’s version of Uber, where the company uses regular folks who own cars to make deliveries to customers who order products off their website, and Etsy is a marketplace people use to sell handmade items, vintage products, and other creative goods. There are hundreds of many more out there. If you a Smartphone then you have access to the hundreds of companies that post want ads through these apps.

“The trend toward a gig economy has begun. A study by Intuit predicted that by 2020, 40 percent of American workers would be independent contractors. There are a number of forces behind the rise in short-term jobs. For one thing, in this digital age, the workforce is increasingly mobile and work can increasingly be done from anywhere, so that job and location are decoupled. That means that freelancers can select among temporary jobs and projects around the world, while employers can select the best individuals for specific projects from a larger pool than that available in any given area,” Tech Target reported.

The staffing agencies were the ones who have traditionally matched these types of workers with employers. Not only did staffing agencies find people jobs they also acted as trusted professionals who provided prospective employees with guidance, training, and extensive career knowledge in their particular field.

Staffing firms typically offer free training to their candidates,” says CEO of RMG Staffing Ricardo Michelangeli. “Whether it’s brushing up on Microsoft Office applications or advice on resume preparation. We at RMG to that and much, much more!”

Staffing agencies doing much much more for their candidates is what continues to separate the industry from the gig economy, and it’s the same reason why great companies continue to rely on us for exceptionally skilled workers instead of resorting to apps. In addition, agencies can help candidates through any shift in the current job market and help candidates adjust to those changes.

Technology will continue to evolve and we as human beings will continue to do our best to keep up. Experts admit that the gig economy will continue to grow and evolve and we should also expect to see various levels of instability. The Staffing industry has been here since the beginning of the Industrial Revolution and so in other words, we’re not going anywhere.