Businesses are using contractors more now than any point in recent memory, and a tight labor market means that’s likely to continue — despite increased scrutiny from regulators.found payments to contractors have increased 23% over the last two years, and the ratio of contractors to full-time employees has grown 63% since 2019 — from about one in 10 to nearly one in five.
Meanwhile U.S.-based contractors are on the hunt for flexibility, with 50% of them saying they wanted location and hour flexibility, while 32% said they wanted to choose what they worked on. Just 16% said they were contracting because they couldn't find a full-time job. She said the contracting survey shows the pandemic pushed people to re-arrange their lives, whether it was for flexibility, or to learn new skills or because they opted out of full-time employment in favor of caretaking or childcare.
Wilkie said many contractors might be picking up extra work on the side as a form of upskilling or job training, and employers should take note.
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