Contract, gig and temporary roles have mainly been viewed as the province of blue-collar, frontline and creative workers. However, there is a burgeoning trend of recent college graduates and highly experienced, well-credentialed workers getting stuck in a cycle of short-term, contract roles.
The Gig Economy Is Booming
Freelancers are now a major force in the United States workforce. Management consulting firm McKinsey reported on the growth of freelancers in its recent American Opportunity Survey (AOS). The survey found that 36% of respondents, representing nearly 60 million Americans, self-identified as independent workers. By 2028, the number of U.S. gig workers is expected to surpass 90.1 million.
The Change In The Way People Work
According to the Wall Street Journal, professionals have found they can earn six figures when they enter the gig economy. In addition to more money, many U.S. professionals crave the flexibility and control gig work gives them over their schedules.
In Upwork’s Freelance Forward: 2021 survey of 6,000 working Americans, nearly 80% of the respondents said autonomy over their schedule was a key driver in pursuing gig work. Seventy-three percent listed location flexibility as another added benefit. Freelancing also gives them the discretion to pursue more meaningful work.
However, for some contract workers, gig work is not a choice. These are the only types of roles that are offered to them. And for each short-term gig they take, it becomes increasingly harder for these folks to gain full-time employment. Contract roles piled onto the rèsumè accumulate into a mountain that can feel impossible to climb.
In hiring, companies demand job stability. Human resources and hiring managers want a person who has demonstrated loyalty by staying with a company for a substantial amount of time—around five to 10 years.
The Bias Against People Stuck In Contract Roles
When a hiring manager gets hold of a rèsumè that contains several job changes and short-term roles, some will outright take a pass on the candidate. Others, highly skeptical, drill deeply into discovering why the job hunter kept moving around to new opportunities. They’ll say, “I don’t feel comfortable hiring a person who moves around so much. They’re too jumpy. Based on their track record, they’ll just leave us after a year or two.” The hiring manager will also question why the candidate couldn’t secure a full-time, permanent role.
It’s victim blaming and shaming. Hiring personnel have a bias that there must be a problem or issue that prohibits them from holding onto a job.
Instead of empathetically discussing the job switches with the job seeker, managers leap to the conclusion that the person isn’t an “A” player and that’s why they keep moving. Their contention is the contractor doesn’t perform up to standards—resulting in being told their services are no longer required—or leaves of their own accord. The reality is that many of them are unfortunately caught in a perpetual cycle of temporary contract roles.
A Toll Is Taken On Their Mental And Financial Health
This wreaks havoc on their mental health, emotional well-being and finances. The gig worker never knows when they’ll be told their contract is over.
For example, Apple recently informed 100 contract recruiters that they would be let go, as there won’t be much hiring going on at the tech giant. The recruiters were onboarded when the economy and job market still looked strong with continued growth ahead. Once inflation raged, fears of a recession took hold and the Federal Reserve Bank raised interest rates, businesses tightened their belts and cut costs. One of the first groups to be let go were the contractors.
No one blinks at this, as businesses see contract workers as dispensable. They are not offered health benefits, vacation or sick days. If a person loses their gig, it could take months to find a new contract. For some, it’s a life filled with struggle, going from one assignment to another and harboring hopes of landing a permanent job one day.
Source: Forbes
