South Africa

6 Best Practices for Managing a Contingent Workforce

Anthony Joss
Managing Executive
BLU
3 mins

By Anthony Joss, Managing Executive at BLU.

Contingent workforces offer the best of all worlds. They can be scaled up or down according to a business’s needs, and their employment rights are well guarded in South Africa, although the risk is held by your contingent labour partner and the best partners ensure all employees are up-to-date in terms of training, onboarding and the latest ways of working.

To make the most of any contingent workforce, however, it is essential for employees to feel like they are part of two teams: the contingent labour partner and the business they are currently working with. Through BLU’s deep industry experience, we have learnt how critical it is to work closely with our clients to achieve this.

Managing a contingent workforce effectively is essential to ensure that your business reaps the benefits while mitigating potential risks. Here are six best practices that your contingent partner should be following.

  1. Clear communication and setting expectations

From the outset, all goals, objectives, and expectations for the project or role should be clearly communicated. When an employee has a clear understanding of their responsibilities, deadlines, and the quality of work expected, it is much easier to ensure that all key performance indicators (KPIs) are being met. Veteran contingent labour employees who specialise in key sectors and positions will quickly adapt to new working environments provided they understand exactly what is expected of them. This is one of the key benefits a contingent workforce partner brings to the table and should not be left to your business or management teams alone. If there are any changes or developments that might impact their quality of work, ensure your labour partner is aware of them to ensure smooth and transparent communications.

  1. Integration with the company culture

Though contingent workers may not be with your company long-term, it’s important for them to feel integrated into the company culture. Many people enjoy contingent employment because they get the opportunity to experience different companies and even industries. However, we always encourage our teams to embrace their current workplace. This includes being involved in team meetings, company events, and any relevant internal communications. Fostering a sense of belonging can lead to increased productivity and engagement and contingent workers who are brought on for projects or busy periods will see how they are adding value and lightening load. On the ground, contingent workers operating side by side with permanent employees are far more successful if permanent staff are educated about the value of contingent labour and encouraged to be inclusive and collaborative.

  1. An effective onboarding process

A structured onboarding process is essential to quickly and efficiently integrate contingent workers into an organisation. This lays the foundation for employees who can immediately add value to the business. The tools, resources and information required to start working effectively are the result of close collaboration between businesses and contingent labour partners. It’s one of the reasons why it is so important to specialise in sectors and industries. Risk mitigation is also achieved through regular training, particularly around health and safety in manufacturing and mining.

  1. Legal compliance and risk management

One of the benefits of working with a reputable contingent labour partner is that they not only understand the legal distinctions between contingent workers and regular employees, but they ensure compliance, which not only mitigates risk, it increases employment opportunities. Central to effectively managing a contingent workforce is ensuring that clear contracts are in place outlining the terms of the engagement, including compensation, duration, responsibilities, and obligations.

  1. Performance management and feedback

The ability to regularly monitor and evaluate the performance of contingent workers is paramount to ensuring that KPIs are met. As with permanent employees, setting goals and providing regular feedback on their performance will boost performance and create a clear roadmap for development. Contingent labour does not mean staying in the same job role or at the same level. If anything, a well-managed contingent workforce can have a far deeper and wider breadth of experience thanks to exposure to different ways of working and sectors. Encouraging contingent workers to provide feedback on their experience can give everyone valuable insights into improving overall contingent and permanent workforce management.

  1. Offboarding and relationship maintenance

Just as onboarding is important, having an organised offboarding process ensures a smooth transition at the end of the engagement. Collect any company property, ensure all tasks are completed and documented, and provide feedback on their performance. Not only does this maintain a positive relationship even after the engagement ends but there will hopefully be a two-way exchange of skills as well. They might be valuable resources for future projects, and a positive experience can also lead to referrals of other skilled contingent workers.

Choosing the right contingent labour partner

Choosing the right agency is crucial in managing a contingent workforce efficiently. A reputable agency can streamline and support various stages of the engagement, adding value in a number of ways, starting with access to qualified talent. Reputable and established contingent labour partners will have a pipeline of pre-screened and qualified talent. This is why placements can be made so quickly.

If you are ready to streamline the process of hiring and managing contingent workers, chat with our team at BLU today.

You may be interested in:

Related articles

Workforce insights delivered!
Sign up now for our weekly newsletter.