Contingent staffing has been in the spotlight since the pandemic-related layoffs and supply chain issues highlighted the need for flexible staffing solutions.
With remote work becoming more standard and the gig economy expanding, employers are exploring new strategies to find the talent they need. Remote contingent staffing provides quick access to specialized talent without the higher risks associated with full-time hires in uncertain times.
What is Contingent Staffing?
Traditional contingent staffing involves temporary workers who supplement a company's permanent staff for a set period. These workers are employed by staffing agencies, which handle their hiring, management, and payment, although some agencies provide benefits like healthcare and 401(k) plans. This model is used for roles with a clear end date and is not intended for long-term employment.
What is Remote Contingent Staffing?
Remote contingent staffing refers to engaging contingent workers who operate from remote locations. Unlike traditional, on-site contingent staffing models, the shift toward remote work—accelerated by the pandemic and improving remote technologies—has enabled organizations to adopt remote contingent staffing more seamlessly.
Businesses that have transitioned to remote operations or introduced global offices are now better positioned to integrate remote talent effectively. Staffing agencies have likewise evolved, expanding their capabilities to source and deliver qualified remote professionals from a global talent pool.
Organizations choose remote contingent staffing to help build a future-ready workforce because it offers increased flexibility, access to a broader talent pool, and cost savings.
How Do Companies Use Remote Contingent Staffing?
Companies traditionally turned to contingent staffing agencies for short-term workforce surges, such as retailers needing more clerks during the holiday shopping season or agricultural businesses requiring extra hands at harvest time. These are jobs that require specific skills, which are easily acquired and do not involve subjective decision-making on the part of the employee, and there is no expectation of long-term employment.
New models of contingent staffing are emerging that offer teams of knowledge workers for higher-skill roles, suitable for both short- and long-term assignments. Remote contingent staffing supplements internal teams with specialized skills and experience that the company chooses not to hire or develop in-house.
Why Do Companies Use Remote Contingent Staffing?
Historically, companies relied on contingent staffing to provide labor for temporary jobs that last for a limited period. Examples include:
- Seasonal work
- Filling in for employees on leave
- Work for a short-term project
Remote contingent staffing develops a durable, adaptable workforce capable of:
- Help them focus on core competencies
- Access skills that are hard to find in local markets
- Maintain the ability to scale up and scale back as needed
- Lower the risk of committing to full-time employees
- Lower costs by accessing employees from remote regions
What is the Difference Between Gig Work and Remote Contingent Staffing?
Gig work performed by freelancers with specialized skills, such as software development or graphic design, is often not viewed as contingent, since these workers are usually hired individually and on a project basis.
Remote contingent staffing can enhance and expand teams, with engagements lasting longer and even becoming permanent. However, gig marketplaces are unable to provide large groups of workers or manage them collectively as teams. Hiring contingent workers one by one would be inefficient and cumbersome.
What is the Difference Between Outsourcing and Remote Contingent Staffing?
Outsourcing generally refers to a process or project permanently transferred to offshore suppliers. However, the distinction between outsourcing and contingent staffing becomes less clear with remote contingent staffing, particularly when staffing agencies provide contingent workers from offshore markets.
The key difference between remote contingent staffing and outsourcing is that traditional outsourcing involves handing over an entire project or process to another company without direct interaction with the company's employees. Common functions outsourced include:
- Manufacturing
- Call centers
- IT services
With remote contingent staffing, the contingent workers are embedded within the companies' teams and work directly with their full-time coworkers from a remote location for indefinite periods.
To the outsider, contingent staffing isn't visible; the contingent workers appear just like permanent employees. Examples include:
- Software developers
- Executive assistants
- HR administration
What is the Difference Between a Temporary Agency and Remote Managed Contingent Staffing?
Temporary (or Temp) agencies primarily fill short-term roles caused by leaves, illness, or vacations. Typically, they focus on clerical or manual jobs where skills are straightforward to qualify for. Similar to gig marketplaces, temporary agencies often struggle to expand rapidly to support long-term team growth. However, they might be suitable for local events, such as banquets, or similar roles typically handled by traditional staffing agencies.
What Should I Look for in a Remote Contingent Staffing Service?
There are two types of remote contingent staffing services: managed and unmanaged.
In a managed service, the provider acts as both a consultant and a manager. They recruit, train, and oversee workers on your behalf, often acting as an employer of record to manage payroll, compliance, and benefits. The provider also quality checks the employees' work, and they become partners in helping you achieve your business and talent objectives. Managers collaborate with you on both short-term and long-term staffing needs, striving to maximize the workload for contingent staff. To your business, these staff members work alongside your internal team just like any other employees.
In an unmanaged service, the provider assembles a list of independent contractors, matching them based on skills and experience to meet your business requirements. You will be responsible for interviewing, selecting, training, and supervising the staff. The level of support provided by the staffing service can vary greatly.
What are the Benefits of Remote Contingent Staffing for the Staff?
Contingent workers benefit from managed remote staffing services, which provide secure, long-term employment with benefits and opportunities for growth. These remote roles attract workers in areas with limited local job opportunities. Many prefer working with a U.S.-based team to foster relationships and acquire new skills, as opposed to traditional outsourcing jobs, such as call centers, where they often remain anonymous and undervalued by companies.
What Should I Look for in Remote Contingent Staffing Services?
There are many factors to consider when engaging a remote contingent staffing service.
- Working Hours and Availability: It’s important to be aware of contingent staff working hours, especially if the service involves offshore workers. Also, consider how the service manages absences or departures. Many managed service providers train backup staff on your processes, allowing them to step in when a team member is sick, on vacation, or leaves.
- You Need to Understand the Training Requirements: The level of training required for contingent workers significantly impacts how quickly your team benefits from your investment in productivity. Ideally, you should seek trained staffing that requires minimal foundational training, though this varies depending on the work being delegated. For specialized tasks, investing in training is necessary because finding staff with prior experience in your tools and processes can be difficult. Engaging a managed service provider can ensure the team is well-trained and prepared to contribute from day one.
- You Need to Estimate Management Requirements: Just like in-house staff, contingent workers need oversight. Whether you hire independent contractors or use a managed service, the manager can be you or someone from the staffing firm. Although independent contractors might seem less costly, you are solely responsible for managing them. It's important to consider your managers' time too, as answering small questions, coaching, and engagement take time, which could make the cost worth it. Managed remote staffing services assign a dedicated account manager who ensures your tasks are completed correctly and on schedule. When you want to assign new projects or adjust performance expectations, just send a quick message, and they will handle it, allowing you to focus on what matters most.
- Security and Privacy: Whenever you bring in external workers to support your organization, security risks are involved. The level of the security challenge depends on various factors, including:
- The tools and systems that contingent workers must access.
- The number of contingent workers who access your IT systems and platforms.
- Access to sensitive employee and customer information.
- Device capability and security.
- IT security policies and software that workers use.
- NDA, confidentiality, and other security protections are provided by the staffing company.
- The need to comply with regulations like GDPR and HIPAA.
Some factors depend on the type of work you outsource. You should also consider the security protocols of contractors. Contract contingent workers often use their personal computers and home networks, and they may not take steps to protect their devices from intrusion or theft. Managed service providers reduce the risk for their clients by using secure buildings, networks, company devices, and enterprise-grade IT security measures.
Managing the Workforce of the Future
According to researchers at Ardent Partners, 62% of enterprise leaders view contingent labor as essential to their overall workforce. This was true even before the pandemic.
As hiring processes become more strained, all options are now considered. The rules for employees and companies are evolving, and organizations have to consider what a future-ready workforce looks like. Remote contingent staffing provides a quick and cost-effective way for businesses to acquire the necessary skills at the right moment. Managed services enable companies to scale their staffing levels without the need to develop internal recruitment, hiring, training, and management resources.
Flexibility Amid Uncertainty
In uncertain economic times, businesses have to keep flexibility top of mind. The post-COVID era has demonstrated that flexibility is crucial to a company's ability to survive and thrive in uncertain times.
Flexibility has become essential in workforce solutions, with all forms of contingent work allowing companies to easily adjust their workforce size with minimal disruption. Service providers add value by helping companies assess their current staffing, identify gaps, and source the needed resources efficiently.
Building Future Business Capacity
The push-pull of talent shortage and supply chain issues in the early 2020s has exposed the shortcomings of "just in time" manufacturing. Maintaining lean inventories of raw materials, components, and staff can threaten growth and hinder a company's capacity to recover.
Regarding the workforce, companies need a mix of full-time, part-time, temporary, and permanent employees. They strive to remain flexible, adjusting operations as needed.
Remote Contingent Staffing Case Study: Managed Virtual Assistant Service
Prialto, based in Portland, Oregon, offers a managed virtual assistant service. We hire, train, and oversee offshore virtual assistants, forming teams for U.S. businesses. While technology was thought to make executive assistants unnecessary, losing these assistants has significantly harmed executive productivity. Additionally, few companies possess the internal resources to hire, train, and manage admin teams. Tasks handled by Prialto virtual assistants include:
- Scheduling meetings
- Planning and booking travel
- Filing expense report
- Preparing documents
- Data entry
- Invoicing and payment processing
The service is fractional—few executives need a full-time assistant. Studies show that executives spend approximately 16 hours a week on day-to-day tasks that divert their attention from strategic work that advances the business. Prialto assistants take on those tasks, giving executives back those 16 hours, and trained backup assistants ensure continuity. Most assistants stay with an executive for 18 months or more. It is a long-term, remote contingent staffing role that provides businesses with access to specialized talent quickly and cost-effectively. The assistants can advance within the company and become managers, trainers, or hold other leadership positions.
A Prialto assistant can integrate into your team to elevate your processes. See how it works.
