Why Do We Need Staffing Agencies in 2021?

While the gig economy continues to pick up steam, people may think that staffing agencies are losing relevance. They would be mistaken. Staffing agencies still have a great deal to provide for those who prefer to work in the gig-based ecosystem.

The gig economy has seen a massive upswing as of late. With countless new ways for anybody to add streams of supplemental income via apps like Uber, Lyft, GrubHub, Postmates, Wolt, or even more advanced services like graphic design, content creation, and building websites through Fiverr or Upwork, the 2020’s are primed to be the decade of the gig economy worker. As the industry has evolved so rapidly, there have actually been major legislative moves meant to mitigate the power being harnessed by these gig platforms and how we define employees and contractors. With that in mind, one glaring question comes into play: why do we need staffing agencies anymore? 

This article goes over key reasons for staffing agencies within the gig economy workforce and what they have been doing (and can continue doing) to stay relevant in today’s evolving workforce. 

More Opportunities

Recruiting prospective employees to your staffing agency gives them a whole range of benefits, one of which is providing them with opportunities they couldn’t have found elsewhere. While gig economy apps do provide total flexibility for gig working enthusiasts, they also provide only a one-dimensional experience with little to no room for mobility. Staffing agencies, on the other hand, have a variety of employers that solicit their services, meaning employees can develop a far more diverse skill set amongst varying workplaces. On top of that, workers don’t have to sacrifice any semblance of flexibility when going through staffing agencies: they still have the power to select their preferred hours and to even turn down a shift if it doesn’t fit with their schedule or serve their interests. Staffing agencies would be wise to communicate this message in great detail to prospective recruits as part of their outreach strategy. 

Stability

There is a ton of upside to joining the gig economy: independence, the ability to create your own schedule, working on your own terms, not taking on jobs or projects that don’t serve you, and so much more. But there’s always another side to it. One of the biggest struggles for those in the gig economy is the general lack of stability and reliability. There’s always the lingering question as to where the next gig is coming from, adding a lot of stress for workers. This is where staffing agencies step into the fray. Not only is there a constant funnel of job options through staffing agencies, but they also often provide workers with temp to full time positions, assuming there is a mutual benefit between the employer and employee.

There is no obligation for commitment with most gig-based jobs through staffing agencies, so workers have the flexibility they desire while knowing that there is another gig coming. As a staffing agency, it’s important to always pursue your prospective employees with that in mind. You can give them more opportunities than they are likely to find on their own, and often with larger companies that can offer them better compensation.     

Understanding

Staffing agencies have an intricate knowledge and understanding of their respective local marketplace. It is their job to understand employer needs and then to position and place as many of their employees with the right openings as possible. This is their bread and butter. Not only do prospective gig workers have the edge when it comes to finding more available shifts throughout a given week, but thanks to the support of a staffing agency, they can worry less about receiving an unjust compensation for their work. Agencies have a thorough understanding of the going market rate for a given industry and how to make sure their constituents are given due compensation when considering their skills and experience. 

What’s the Next Move?

The gig economy is a wonderful transformation for the labor marketplace. Tens of millions of workers around the world have found the means to add streams of income through sundry mobile applications, giving them a new level of flexibility and freedom in choosing when and where to work. However, these apps aren’t without their problems, and certainly don’t render staffing agencies irrelevant. For those seeking a level of mobility, stability, and compensation commensurate with their actual skills and experience, they are better off going through staffing agencies. Adopting new technologies and marketing methods from within staffing agencies gives them the upper hand. They provide prospective gig economy workers with a vast array of opportunities to diversify their skillsets. They grant a comforting level of stability so gig economy workers aren’t constantly in the “where’s my next check coming from?” vortex. They give workers peace of mind by understanding their worth and making sure they get due compensation for their work. All staffing agencies need to do is strongly market these advantages!

Further Reading