Why Contracting is the New Solution in the Fractional Job Market
Flexibility for companies in an uncertain environment
Rapid fill for temporary projects
If you are currently a part of the offshore industry, fortunately for you, you are in high demand worldwide. Companies need maritime specialists to fill in for workers who were taken out of the workforce due to COVID-19. Temporary projects can be an opportunity for workers to get a foot in the door and in the process an opportunity for permanent work. If a new project comes onboard, the organization needs to hire people quickly to take on the workload. Because the timeline is urgent, they are most likely to hire the people who meet all their requirements. This presents an opportunity for the contractor to shop his talents to other companies and help build skills and further their career.
Relieve liability of permanent employees (Layoffs)
This past year has been unexpected for people in the Oil and Gas industry due to COVID. Many people have been laid off and are continuing to look for employment. Contracting could be a way for employers to have employees working to offset if unexpected circumstances were to arise. With contracting, it makes both parties aware of what terms are agreed on and lessens the burden of what could happen if an employee were on a permanent offer.
Better Fit: Companies and Employees
Try before you buy (company)
Contract assignments can also turn into permanent positions. Today, many employers are still hesitant to add permanent staff, because of the risk of the hire not being a good fit for the organization or if the market will bring uncertainties. Companies can “try before they buy” if they hire an employee on a contract basis and then convert that position to a permanent role. If the market picks back up and the organization sees strong performance, they are extremely likely to offer a candidate a permanent position.
Chance to expand network and expose to great opportunity (employee)
Job seekers who choose contract work expand their networks, expose themselves to greater opportunities, and build their resumes, which are advantages in any job market. Many organizations are in the state of “cautious optimism” about the market these days. They are willing to take a small step to relive their employees by hiring temporary workers but are hesitant to take that leap in making them permanent hires. This business climate makes it a more opportune time for people to consider contract assignments. With this the contractor can pick and choose which jobs he will prefer to do and get experience for other opportunities in their industry and likely have a better chance securing a permanent job.
Contractor advantages
Higher wages
Compensation is typically higher for contractors because they are paid by the hour as opposed to a set salary. If the job requires overtime, that time is then compensated, unlike the same hours for a salaried employee.
Allows employee to pick and choose job while continuing to search for permanent work
Contracting also provides some income while being unemployed and gives the person the flexibility to continue looking for a permanent job. It can alleviate some of the pressure of finding a permanent position if the money is not an issue. People would have the luxury of finding the right position, not just any position.
By Matt Fuhrman
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