Here’s why freelancers are in great demand

After startups, freelancers have caught the fancy of large corporates.
According to a survey, 20% of the freelance talent demand is driven by corporate biggies. As expected, 50% of the total on-demand workers comes from the startup space, finds the survey by Flexing It — an online marketplace for skilled and curated independent workforce — exclusively shared with TOI.
“With the world becoming networked, organisations of any size and scale can attract the best talent from across the globe.Startups can put a cap on crucial overheads with the help of independent specialists, while there is a growing need for large companies to adopt flexibility/flexible engagement models as a core strategy to retain high-performing talent,” said Flexing It CEO Chandrika Pasricha. Flexing It mapped 1,500 companies registered on its platform.

Pharma major Dr Reddy’s Laboratories has partnered with several organizations for project-based interns and consultants. “Gone are the days when job security and compensation were the only two things that mattered. Today, our younger workforce seeks challenging work environments, opportunities for accelerated growth, holistic learning and flexibility,” said Namrata Gill, VP (HR), Dr Reddy’s.
Organisations are breaking traditional boundaries of talent acquisition to engage a remote workforce as the so-called gig economy, driven by on-demand freelancers, gains traction in India. This not only fills an urgent skill gap but is also cost-effective. Professionals too are turning to freelancing for flexibility and building a portfolio of careers, while maintaining a work-life balance.
“For companies looking at fulfilling an urgent business need, such as a new product launch or fund-raise, flexibility enables them to take professionals for short bursts who do the job without adding to the company’s permanent costs,” said Pasricha.
The current economic climate of slow growth and uncertainty has aided acceptance of non-traditional modes of employment. “In an environment of job cuts and budget freezes, employers are looking for consultants and part-time resources to help fill key roles,” said Pasricha.
The tenure of engagement for an average freelance resource across key industries too has gone up. Over 50% of the projects posted are for more than six months. According to the survey, marketing tops the list of key portfolios attracting freelancers, followed by IT, strategy & business development, creative & HR.
“People are moving away from permanent staffing and are looking at flexi work forces — not necessarily temporary but project-based work,” said Pankaj Bansal, co-founder of HR management outsourcing company PeopleStrong.
Apart from Flexing It, global freelancing platform Upwork, marketplace for digital services Fiverr and ad website for freelance work PeoplePerHour have come out with apps and other personal technology designed to match companies with the right talent.
Rajat Tulli of merchandising brand Happily Unmarried said they hire senior people on flexi-time and use their expertise to lead their fully employed teams. “We have created options where we work on Sundays and other holidays if the senior resource is only available that day,” said Tulli.
According to a World Bank report, the market size for online freelancing is expected to grow to $4.4 billion in 2016 and almost two-thirds of workers come from the US (top contributor), India and the Philippines.
For Bengaluru-based startup Mubble, it is the demand for specific skill sets that has pushed its CEO Ashwin Ramaswamy to hire people on a contract basis. About 10% of his workforce is hired on a temporary basis. At Paytm, over 30% of the workforce is contractual employees, which was not the case two years ago.
With the rise of the millennial workforce and fast-paced changes in business, a contractual arrangement even appeals to the needs of the Gen Now.