Are employment agencies Edmonton area providers dead in the gig economy? Let’s look at the factors that led to this question in the first place and how the rise of the gig economy and freelancing in general are affecting temp agencies.
What is the Gig Economy?
The gig economy refers to the rise of web platforms that link users with service providers. This of sites like Uber and Lyft competing with taxi providers, TaskRabbit for errands, Upwork and Guru.com for everything from web design to content generation. There are start ups trying to create similar platforms for in home doctor’s visits, chefs, maids and a number of other services.
Will the Gig Economy Make Temp Agencies Go Away?
The short answer is: no.
Let’s look at the reasons why in greater detail.
• One Stop Shopping
Temp agencies offer a type of one stop shopping that these disparate gig economy websites don’t. Going to one website for a caregiver for the kids for the holidays, another for a house cleaner, a third for someone to stand in line for tickets – this becomes an inconvenience that decreases the benefit of using gig websites to outsource many personal tasks. This hassle is multiplied for business owners who have to break up projects into many different tasks, shop the crowdsourcing platform for suitable workers, check the quality of the work or rate the service provider and put it all together. This process is repeated for each project, from a new website to those brought in to move the office to the office cleaners.
It is simpler to go to a temp agency, submit a list of all your job requirements and task durations, and let them present a group of qualified, verified people who are already confirmed as available for when you need them. This simplicity makes temp agencies attractive to both small and large businesses.
• Workforce Engagement with Gig Platforms
While the gig economy is easily accessed and readily used by many younger tech savvy individuals, very few of the manual laborers needed for a construction site or factory floor use such websites. It is simpler to walk into a temp agency and say when you can work or the type of work you do. For more information about an Alberta employment or staffing solution visit ManpowerAB.com. They walk over to the job for that day or receive a schedule of assignments for that weak. Temp agencies are already engaged with many people of all skill sets. Whether you need five people to set up an event or ten individuals to unpack a cargo container and repack the items in smaller lots or a dozen assembly workers for a surge in orders, a temporary agency can find people in short order who have the skills you need, many of whom aren’t using gig websites or aren’t served by any existing gig-economy platforms.
• The Gig Economy and the Law
Uber took off in many areas as a rival to taxi cab companies. While users love it, municipalities are suing because they don’t make the money from Uber drivers they do from taxi cab medallions, while not all drivers end up making minimum wage from a day’s work. The gig economy web platforms rely on the independent contractor status of their users, while seeking to set standards of behavior and service and even minimum customer ratings. This has led to a number of lawsuits against sites like Uber for classifying workers as independent contractors instead of employees. While apps for linking drivers and riders have received the lion’s share of attention, sites like Taskrabbit, Guru, Fiverr, Amazon Mturk and others have no guarantee that workers will receive minimum wage for the tasks they take on. Depending on the site, it may not even guarantee payment if the task creator is unhappy with the work.
Temp agencies do charge for their service as middlemen between the worker and the employer. However, they are already in compliance with employment law with regard to hiring, payment and taxes. For employers seeking help, temp agencies avoid the risk of being sued by someone hired through a gig website. Had enough of the world of work? Taking a holiday can be rejuvenating process and employers need to be sensitive to the needs of the often over worked employees. Visit http://www.HawaiiRealEstate.org for a possible get away this winter. For those seeking work, temp agencies typically have a variety of work to fit your schedule and skill-sets without the fear of not getting paid or a low rating on an app that prevents you from being allowed to take on the next client. The employment agencies Edmonton has have been in business for years and aren’t going to disappear tomorrow because of the lawsuits making headlines today.