Contingent Workers
The traditional employee/employer model is in a state of constant transformation. In the latest edition of Horizons, Eversheds Sutherland’s Diane Gilhooley takes a look at the opportunities, risks and challenges facing employers addressing the growing importance of the contingent workforce.
The global contingent workforce has been driven by demand, with both businesses and workers enjoying the flexibility it affords. However, the use of contingent workers can pose challenges for businesses, unions, workers and regulators. As business models change and the numbers of freelancers, contractors, consultants, temporary agency, on-demand and gig workers grow, strains on the traditional employer-employee model can sometimes be played out in litigation, protest and regulatory change.
All employers using contingent workers globally, not just gig employers, need to be aware of these new developments as the risks arising from misclassifying non-permanent workers, particularly the self-employed, are evolving. That said, the compelling benefits to employers and workers of mutually acceptable flexibility means that these developments are likely to deepen rather than diminish over time.
