Managing Contingent Labor Spend in Volatile Markets
In this presentation, Marrena Anderson and Kim Neisen discuss the pandemic’s impact on contingent labor. They cover aspects of remote workforces and the continued rise of the gig economy. Marrena & Kim review Gartner’s survey of HR workers in depth and highlight that 32% of companies are replacing full-time employees with contingent workers as a cost-saving measure*
They also compare the following pricing models and when to use each:
1. Max bill rate
2. Markup on pay rate
3. Open bill rate
4. Fixed rate by job title / geography
Next, examined, are the best practices for contingent labor savings, the importance of standardizing supplier contracts and the benefit of closely managing overtime to control costs.
Finally, they explore improving supplier performance via the 10 most common KPIs measured by the benchmarking study’s respondents.
*Gartner Survey of 800 HR Workers, June 2020