how to manage contingent workers for maximum business success.

A reliable and well-managed contingent workforce can help keep your business efficient and agile. This is especially true for industries like manufacturing and logistics, where quickly adapting to seasonal shifts and changing client demands is key to hitting your business objectives.

These days, more business owners see the benefits of bringing in contingent workers — whether independent contractors, temporary employees or consultants. In fact, a recent McKinsey report found that contingent workers now make up 36 percent of the U.S. workforce. And Canada isn’t far behind, with more companies leaning on flexible labour to strengthen their workforce strategy.

why use contingent workers?

A strategic approach to contingent talent management offers several advantages, such as:

• Cost efficiency
• Addressing skill gaps in the workforce
• Meeting project-based or seasonal needs
• Accessing niche expertise not available in-house
• Providing agility in responding to rapid market changes

Given the potential value of a well-managed, flexible workforce, it’s important to assess whether your current processes align with your business’s evolving needs. Below are key questions to guide your strategy.

is your contingent workforce program aligned with your business?

To manage contingent workers effectively, you need a solution tailored specifically to your organization's unique needs. A one-size-fits-all approach won't cut it, especially if your company is rapidly expanding into new markets or scaling up quickly. In those cases, you need a workforce strategy that offers flexibility while keeping an eye on cost efficiency.

are you using too many staffing agencies?

Working with a bunch of staffing agencies might seem like a good idea, but it can quickly get complicated. That’s because every staffing agency needs to be vetted and monitored, which takes time and eats up resources. By narrowing your vendor list to just a few trusted partners, you can streamline operations, boost efficiency and stay focused on what really matters — your key business priorities.

are overtime costs draining your budget?

If your overtime costs run high, that’s a clear sign that something’s off with your workforce management. If you don’t tackle it, it could take a serious toll on your bottom line. One way to fix this is by teaming up with an on-site workforce partner who can help business owners plan smarter shift patterns and forecast HR needs. Focusing on automation can also make a big difference by improving scheduling and keeping those overtime expenses in check.

how many people are involved in hiring?

In big organizations, it’s pretty common for multiple departments to have a say in hiring contingent workers. Collaboration is great, but when too many people get involved, it can cause confusion, create skill gaps and slow things down. That’s why it’s so important to clearly define everyone’s role, so each department knows exactly what it’s responsible for. This way, the hiring and onboarding process stays smooth and hassle-free.

can you attract the contingent workers you need?

Finding and retaining the right talent is one of the biggest challenges facing employers today. With independent contractors and other flexible workers in high demand, businesses need a competitive strategy to stand out. Use resources like the 2025 Randstad Salary Guide to benchmark competitive salaries, perks and benefits. Closing skill gaps through a clear recruitment plan will also strengthen your overall workforce strategy.

are you aware of the risks?

Contingent workers bring a lot of benefits, but there are some risks to watch out for — especially when it comes to legal compliance. If flexible staff get misclassified as traditional employees, it can lead to serious legal and financial trouble. That’s why working with a trusted partner, like Randstad Inhouse Services, can make a big difference. They’ll help ensure everything stays compliant and reduce the chance of costly mistakes.

Taking a strategic approach to how you manage contingent workers isn’t just about avoiding risks — it’s also about unlocking new opportunities. Whether it’s cutting overtime costs, closing skill gaps or aligning your workforce with key business objectives, a well-thought-out strategy delivers value across the board.