Why do companies work with freelancers? Expertise is one cause

February 21, 2024

One of many essential causes firms work with freelancers is the flexibility to rent an individual with distinctive expertise, in line with a report by Photo voltaic Workers, a supplier of agent-of-record providers.

It discovered 68% of companies cited the flexibility to rent an individual with distinctive expertise as a essential cause for working with freelancers. Different essential causes included decrease hiring and labor prices, 61%; higher outcomes, 47%; and that time-to-hire isn’t an element, 43%.

Nonetheless, 93.5% of companies mentioned competitors for expert freelancers has intensified over the past two years.

Amongst different findings:

• Greater than half of companies surveyed, 51%, cited discovering the best expertise as a ache level when working with freelancers. Different ache factors have been expertise administration, 18%; onboarding, 18%; and measuring efficiency, 10%.
• Fifty-seven % of companies used each native and worldwide freelancers, 14% used solely worldwide, 19% used solely native and 10% didn’t use freelancers.
• Two-thirds of companies, 66%, say they’ve run into misclassification issues whereas working with worldwide freelancers that has affected their enterprise. As well as, 22% mentioned they’ve run into difficulties, however these difficulties haven’t affected enterprise. Twelve % mentioned they hadn’t run into difficulties.

The survey included 400 HR professionals.