Still places in job market for contract workers

Dear Money Lady,

Before COVID, I was always working as an engineering contractor for various businesses, but I have been unemployed for two years. I was one of the first ones to go because I was not a full-time employee. I am back working, but I wonder if businesses will ever want contractors agai Dave

They definitely will; just give it some time.

It is predicted that in 2022 we will see a shift in the Canadian workforce. Before COVID, the labour market had changed immensely from one that was characterized by stable or permanent employment to a gig economy of temporary or contracted employment where an on-demand, freelance or contingent workforce was the norm.

In labour, a gig can be defined as any type of job with a short or uncertain duration. This type of staffing model was on the rise from 2016 to 2020, allowing organizations to fill skills gaps by hiring on temporary and on-demand staff. This was not like the old temp jobs of the past, but rather short- or long-term contracts for various skill levels.

From blue-collar, light industrial workers to highly skilled IT, engineering, accounting and HR professionals, these temporary employees were more likely to be called contingent workers, independent contractors, consultants or freelance workers. Regardless of the title, the gig economy in Canada that once proved to be a massively growing sector now, due to COVID, has been flattened.

But there is some good news. In the last three months, we have seen a major upswing of the gig sector. Many freelancers are eager to get back to work now that we see pent-up demand as COVID restrictions loosen their grip. Even those with full-time, permanent employment are finding that they, too, are working like gig contractors of the past.

Businesses have accepted that most of their employees can work from home. Many are finding that the flexibility and choice about when, where and how to work gives them greater job satisfaction. They see the appeal of the old-style gig economy, and many full-timers don’t want to go back to work. Why bother spending two hours commuting five days a week when you can get more done sitting in your pajamas at your kitchen table?

It is projected that there are a lot more changes to come with business and that this gig economy will become bigger than before. Companies realize that they can get more out of their employees when they work from home, and reducing their real estate footprint lowers overhead costs. Highpriced office leases are not being renewed, and highly skilled professionals are pursuing project-based careers, with or without full-time employment.

One thing that has been constant is highly evolving technology, now allowing people to do their jobs from anywhere. People value their autonomy and want more control. It is becoming a trend in our culture to want flexibility in our working lives. We seem to be changing our view and wanting to work to live instead of the PRE-COVID way of living to work.

Good luck and best wishes.

Chris Ibbotson writes a financial advice column, regularly speaks at bank advice events and is a frequent guest speaker for client focused retirement seminars coordinated by local financial institutions. She provides personalized investment and lending advice to clients with a focus on wealth building, estate planning and tax minimization.