Small Businesses Slow Hiring and Turn to Independent Contractors

Small geschftslebenes Slow Hiring and Turn to Independent Contractors Credit John Schulte/Shutterstock Small geschftliches miteinanderes are relying on independent contractors mora each year. In fact, the growth rate of independent contractors significantly outpaces that of small business hiring, meaning employers seemingly prefer to bring in outside consultants and freelancers rather than hire full-time employees.According to Paychex, the growth rate of independent contractors peaked in August 2017 at 11 percent growth year over year. That number has since declined to 5 percent year-over-year growth in August 2018, but leise far exceeds the less than 1 percent year-over-year growth small business hiring has seen since 2013.Much has been made about the growth of the gig economy, a colloquial term for the rise of temporary and freelance workers. Independent contractors clearly have capitalized on the shifting marketplace and the new normal of temporary wor k arrangements, but are they right for your small business?Heres a look at the advantages and disadvantages of working with independent contractors as well as what you should consider before deciding to work with one.The advantages of hiring independent contractorsWhy are independent contractors so popular amongst small businesses? They offer a few unique advantages over full-time employees that make them attractive to business owners. These include the flexibility an independent contractor offers to the business as well as the reduced overhead costs of working with a contractor compared to hiring a full-time employee.FlexibilityOne of the biggest advantages of working with independent contractors is the flexibility they offer to your business. You can contract with them as needed and only repeatedly use the contractors that deliver quality work. They offer small businesses access to top talent that might otherwise be inaccessible to them in a competitive labor market.Independent co ntractors can be a mora flexible resource vorkaufsrecht for new and evolving businesses, said Nicholas Daukas, managing partner of KardasLarson.In a fast-paced environment, it pays to have a stable of people on call for one-off projects or short-term work arrangements. If business picks up, independent contractors can pick up the slack. If you sign a big client, you can bring on trusted independent contractors to help.As the pace of change has accelerated due to technological development, companies have seen the need to have more dynamic and flexible work models, said Carlos Casteln, managing director of The Navio Group. Independent contractors have grown in popularity as a response to the dynamic market needs and the need for companies to access top talent on a project or short-term basis.Reduced labor costsOne of the biggest appeals of working with independent contractors is the reduction in labor costs it affords a small business. When budgets are tight but work still needs to be done, expanding the full-time team could be a costly proposition. Independent contractors can fill the void without demanding an excessive and repeated cost to the business.Hiring independent contractors over full-time employees means reduced overhead costs, said Gary Nealon, serial entrepreneur and president of Nealon Solutions.Full-time employees naturally cost more in wages week in and week out, whereas independent contractors require a one-time cost per project. Employers also must cover their share of the Social Security and Medicare taxes for a full-time employee, whereas they do elend for independent contractors.For many small businesses, full-time employees also represent benefits costs, including pricey healthcare insurance benefits. For small businesses working on a tight budget, avoiding these costs and parting ways once the project is finished make independent contractors an attractive option.The drawbacks of hiring independent contractorsIndependent contractors also co me with certain risks of which employers should be wary. Independent contractors represent themselves at the end of the day, so you need to be sure they are reliable, trustworthy and effective, especially when they are working remotely.Managing remote workersYou might already have some remote full-time workers that either come into the office occasionally or telecommute entirely. However, managing a remote independent contractor is a bit different. With full-time employees, the odds are high that they are focused only on the work youve assigned them. Independent contractors, on the other hand, almost certainly have other clients.Most contractors will work remotely, and you may not have their full attention, as they are more than likely working with other clients and companies, Nealon said.Consider requesting that independent contractors install some sort of employee monitoring software, which typically has a freelance mode suitable for remote contracted workers. That way, you can ac curately measure time and hold independent contractors accountable for the work they perform for your business.Editors note Looking for employee monitoring software for your business? Fill out the below questionnaire to have our vendor partners contact you about your needs.Loss of workplace cultureWorkplace culture is often seen as an intangible and, as such, is easily put on the back burner in favor of the balance sheet. However, workplace culture and a reliable core team are essential elements in a successful small business.Although costs are greater, employees are important culturally for an organization, Daukas said. They promote retention and teamwork.Not only do you lose the benefits of establishing a positive workplace culture and developing the loyalty of a cohesive team, but you also risk the sudden loss of an independent contractor. That can spell disaster if you rely on them for a large amount of work.There is always the qualifikation for them to jump ship easily for anot her company, Nealon said.A new contract or changing circumstances can end a contractors availability forever. You dont want to put yourself in a situation where you have no regular team to fall back on in the event a contractor cuts ties or becomes unavailable for an extended period. A reliable base of employees that are always available to perform is critical to your businesss continued success.Varying degrees of quality in workIf you are not highly familiar with an independent contractors work, you could find yourself with lower-quality results than you expect. Moreover, you must trust independent contractors to deliver their work in a timely manner otherwise, youll be on the hook for missing clients deadlines.One key thing to do to avoid a eignung downside is to be clear on expectations in terms of the deliverables, Casteln said. Communication and check-ins with the contractor will minimize the potential downside risk.In addition to clearly articulating (ideally in writing) your expectations for an independent contractor, you should require them to produce examples of their previous work. While these are likely going to be cherry-picked examples that showcase the best of their portfolio, it will at least give you an idea of the contractors capabilities.Once you develop a working relationship with an independent contractor that you trust, its important to keep them engaged by periodically offering them additional work. That way, you wont have to forge new relationships every time you need to bring in an outside worker.What to consider before hiring an independent contractorBefore deciding whether to partner with an independent contractor or to hire a full-time employee, you should ask yourself several questions. Understanding the advantages and disadvantages of an independent contractor, as well as your businesss unique situation, is key to making the right decision. Before bringing on an independent contractor, ask yourselfIs this role a vital part of my co mpany?Could my business meet demand if this worker left suddenly?Am I comfortable managing a remote worker?Does this worker fit the regulatory definition of an independent contractor?Can I trust a contractor to deliver quality work in a timely manner?Working with independent contractors requires a great deal of trust. Ideally, you have seen examples of a contractors work if youve not already worked with them firsthand. For certain projects or busy seasons, independent contractors could offer a huge benefit to small businesses at a manageable cost.However, entrepreneurs should not so readily shirk the benefits that come with a stable of reliable and loyal full-time employees. Every business is different, but finding the right blend of contractors and full-time employees for your company can help balance the pros and cons of both, and make your business nimble and effective in an evermore fast-paced environment. Adam C. Uzialko Adam C. Uzialko, a New Jersey native, graduated from Rutgers University in 2014 with a degree in Political Science and Journalism & Media Studies. In addition to his full-time position at Business News Daily and Business.com, Adam freelances for a variety of outlets. An indispensable ally of the feline race, Adam is owned by four lovely cats. 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How to Show a Promotion on Your Resume (Examples) - Jobscan Blog

How to Show a Promotion on Your Resume (Examples) - Jobscan BlogPosted on November 11, 2019December 16, 2019 by Paige Doepke Wondering how to show a promotion or multiple jobs within the saatkorn company on your resume? The short answer theres more than one way. How you format promotions on your resume depends largely on your specific job history, current goals, and the experience you want to emphasize.Here are three different ways of formatting promotions on your resume, whether youve had a few very similar positions at the same company, very different positions or just a whole lot of jobs over many decades.ListresumepromotionsviastackedentryA stacked entry is when you create one entry encompassing your entire employment at one company, stacking each position below a single heading.This option makes the most sense if the positions you held at a company shared common skills and responsibilities.How to set it up After the company name and location,list each job title, one on top of th e next, with corresponding dates. Always format dates on a resume in reverse chronological order with the most recent position at the top.Beneath the entire entry, you can list all accomplishments youve achieved at the company.ATS Tip We tried out stacked entry in Lever ATS, and we found that while the ATS put all skills and responsibilities beneath the earlier, more junior position. This format is elend ideal for an ATS-optimized resume.Show multiple positions or promotions using separate entriesSeparate entries are formatted the same way you would typically format different jobs at separate companies.If you held positions with varied responsibilities and accomplished notably different achievements, separate entries for each role are appropriate. This option allows you to detail your promotions and career progression without deemphasizing your first jobs within the company.One benefit to separate entries is that its is more likely to be accurately parsed into a digital applicant pr ofile within an applicant tracking system. How to set it up List the varying positions beneath separate headings, including the comany name as well as location, job title and dates for each entry.Because many employers are wary of job seekers they perceive as job-hopping, its a good idea to include a line mentioning your promotion in the section for your most senior role.ATS Tip We tried out separate entries in Lever ATS and found that the ATS parsed the information well and made the positions visually appealing, making each stand out on the resume. This format works well for an ATS-optimized resume.If Youve Been with the Company for 15+ Years Separate Experience SectionIf you have professional experience that dates back more than 15 years, create a separate section labeled Prior Professional Experience to list positions at the same company.This method allows you to demonstrate your career progression while still keeping your resume super concise. With a separate experience section, you can focus your attention (and space) on the most recent years of employment.How to set it up Create a separate section, listing your job titles and the appropriate dates, without the detailed list of accomplishments. You can put this section beneath any recent positions at the same company.If you have particularly notable achievements from this time period, consider highlighting them in a separate achievements section.ATS Tip Lever ATS did not differentiate between the Experience and Prior Professional Experience sections. However, it did place jobs in order of date. This method works fine for ATS and it is worth using since hiring managers may still look at the un-parsed resume. Note the Prior Professional Experience section in this example was formatted as a stacked entry.ATS-Friendly Formatting TipsRegardless of which method works best for you when listing promotions on your resume, your work history section always needs to be as up to code as possible for ATS. Follow these rules below to make sure you can beat those resume robots.Include Month and YearAlways include both the month and year of employment for each positioneven if it makes an employment gemeinsame agrarpolitik more obvious. ATS need all the information they can get to parse length of time correctly.Use Only Standard Bullet PointsBelieve it or not (yes, thats sarcasm) ATS also have a hard time with non-standard bullet points Starts, hearts, diamonds and other types of bullet points can contribute to incorrect parsing by the good ol resume robot.Dont Separate Sections with ColumnsMany ATS have a hard time parsing information from tables and columns, which means important details of employment history could be left out and not make it to the hiring manager. Its best to keep your employment history separated by sections with headings and just not mess with columns and tables at all.How you format your promotions on a resume depends entirely on your unique employment history. From the list ab ove, choose the format that is the best fit for you and use Jobscan to make sure it is ATS optimized.Facebook Commentswpdevar_comment_1 span,wpdevar_comment_1 iframewidth100% important

Job Hoppers - To Hire or Not to Hire - Spark Hire

Job Hoppers - To Hire or Not to Hire - Spark HireRemember the days when it was normal for someone to work for the saatkorn company for 10 or more years? Those days seem to be a fad of the past. Now, it can quite often be difficult to find someone who has held a job for longer than 1 or 2 years.In the past, we would pass over the job hoppers due to risk and the fact that we were able to find other candidates with the skills and solid work history we desired. Things have changed and many hiring managers are wondering if they should be more open to hiring job hoppers in todays talent shortage.Deciding to hire a job hopper is something you must do based on the individual candidate and your instincts. However, when interviewing a job hopper, there are several things that you must consider.What is the job?Believe it or not, many of todays job hoppers are changing jobs frequently because they simply become bored. These job hoppers quite often produce excellent results and have outstanding e mployee reviews, but they just grow tired of doing the same job day after day, feeling a lack of challenge and meaning to their work.When considering a job hopper for your sttte, ask yourself some questions about the position you need to fill.Is it a position that will allow the employee to wear many different hats, continuously learning new tasks?Will the employee have a work day of variety by doing different jobs throughout the day? Is the work challenging?If your job hopper is changing jobs simply due to boredom and lack of challenge, these are all serious items to consider.R.O.I.Take a look at your job hoppers pattern. How often is the job hopper changing jobs every 6 months, every year, every 2 years?If you are thinking about hiring a job hopper, you must prepare for the worst, while expecting the best. Obviously, you would not hire a new employee if you had bad expectations, but if the employee has a history of leaving jobs frequently, it is better for you to be prepared for this and understand that it may happen to you.Think about your R.O.I. or return on investment.How long will it take you to train the new employee and what resources will you be pulling together in order to do so?How long will that employee need to stay with your company in order to justify the training and resources provided upon hire?Why?The most important question you can ask a job hopper is why? Find out why the job hopper left each job.Did they leave for more money, better benefits, boredom, lack of challenge, relocating? Find out as much as you can from the job hopper, then follow up with references in order to confirm.The most important thing you are trying to do here is to ensure that there are no underlying issues with the job hoppers work performance.Have you hired job hoppers before? What has your experience been? Please share in the comments below. Image monkeybusinessimages/BigStock.com