Employment Types

As mentioned in our previous blog post, we are currently facing a transforming landscape of the workforce. Full-time salaried jobs are decreasing. According to NPR, 1 in 5 jobs in America is held by a worker under contract, and it is expected that within a decade contractors and freelancers could make up half of the American workforce.

Here is a list of some types of employment that are changing our work environment:

  • Full-time contracts are the most common employment type. These contracts are for permanent positions working around 40 hours per week. Workers get paid a salary or hourly wage and allow holidays off, personal time off, vacations and parental leave.
  • Part-time contracts are very similar to full-time contracts; however, workers work for less hours a week and have a more flexible schedule.
  • Fixed-term contracts are for a specific amount of time and usually are based on a certain project being done. Workers get same benefits as permanent contracts and are likely to be extended to a permanent contract.
  • Temporary contracts are similar to fixed-term contracts; however, they are usually not expected to become permanent employees.
  • Temp agency workers are hired by staffing agencies and are also usually paid by the staffing agencies. The agencies are responsible for the worker’s benefits. This employment can eventually lead to a permanent position.
  • Freelance/contractor employees are basically self-employed and are responsible for their own benefits. They manage their own schedule and only work for a set amount of time or until a project is completed.

So why is employment becoming more flexible? The Millennial Effect states that millennial employees want a job that allows them to better manage their work-life balance. Employees also want opportunities to expand and work on various projects. Additionally, technological advances make it easier for employees to work remotely or handle multiple tasks at once. Therefore, these employers save resources such as office space, time and money. It is a win-win scenario for both employees and employers.

Join us at World Future Forum for more research findings and best practices on Workforce Skills & Demands!