Flexible staffing solutions for challenging times

Companies increasingly want to staff projects with on-demand and agile STEM skills.

Micro view of a fingerprint on a camera lens with purple and orange hues

Due to tough economic times, larger companies are increasingly hiring high-level STEM expertise on a contract basis. Most are striving to align with key global megatrends such as digitalization and must continue to follow existing strategies to stay ahead of the competition in fiercely competitive markets.

These megatrends, which also include the future of work, research-led healthcare and decarbonization, mean that while larger companies are postponing some projects to re-evaluate, they retain a laser focus on long-term goals. They know they must hire contractors for strategic work programmes at a time when smaller companies are coming under pressure to reduce their workforces.

But it’s not just major strategic projects where contractors are making their value felt. They are also being used to fill STEM skills gaps at a time when companies are wary of hiring full-time staff. Our colleagues in the DACH and UK&I region, for example, report continued high demand for contractors in sectors like logistics, life sciences and engineering.

It’s not just major strategic projects where contractors are making their value felt. They are also being used to fill STEM skills gaps at a time when companies are wary of hiring full-time staff.

This demand has so far meant that employers are prepared to keep rates stable despite the difficult economic conditions. Some imagine that paying the best rate will inevitably bring them the best contract talent but that isn’t necessarily the case. It can be hard to recruit if a project doesn’t capture the contractor’s imagination because STEM professionals want to work on interesting projects with the latest equipment to increase their value in the long term.

Benefits of flexible staffing solutions

Most organisations were already pivoting towards greater use of contract staff before recent events plunged the global economy into difficult territory. While the global outlook seems bleak, employers have options when it comes to hiring. They can hire sought-after specialists in STEM with the exact skills they need for a limited time while streamlining costs because they don’t have to pay for social security or agree exit terms.

The rapid pace of workplace change has also encouraged companies to use more contractors. While permanent staff are needed for a small number of strategic STEM positions, companies often avoid hiring large numbers whose expertise may no longer be needed in a few short years. Why hire 200 permanent Java developers, for example, if they may only be needed for two or three years? If the company moves away from Java, all of those people would need to be retrained, so better to hire them as contractors.

Suppose a company implements SAP but after a few years decides to return to Oracle. Those employees with SAP expertise would no longer be required and would present a dilemma for the company. Either they would have to be let go or re-trained. This scenario is encouraging more companies to cover their STEM needs with flexible contract staff.

Changing demographics have also fueled the trend towards greater use of contract staff because employers see it as a way of retaining skills as our ageing society begins to see large numbers of people leaving the workforce. While this presents a risk to employers, many of these people are open to returning to work on a contract basis after retiring.

Changing demographics have also fueled the trend towards greater use of contract staff because employers see it as a way of retaining skills as our ageing society begins to see large numbers of people leaving the workforce.

The growing need for contractors means that many companies are turning to strategic recruitment partners who have a deep understanding of their specific needs and wide networks of contract staff who can meet their requirements. This smooths the process of hiring on-demand STEM expertise and ensures they always have the right people when they need them. Find out more about how our house of specialists recruitment brands can help you today.

Discover how we can help you today

Read more from the Resilient Skills: Power of STEM series

Micro-credentialing: the future of work and learning for employees?
09 February 2023

Micro-credentialing: the future of work and learning for employees?

The value of micro-credentials for workers and organisations

Will the rise of contracting continue?
07 February 2023

Will the rise of contracting continue?

Our research shows that contracting continues to grow in popularity, but will temporary roles soon outnumber permanent ones? Explore what...

ESG during a recession – why should employers still care?
02 February 2023

ESG during a recession – why should employers still care?

SThree’s Director of Purpose and Inclusion, Gemma Branney, shares her views on why ESG becomes even more important during economically to...

How contractors can thrive in a recession
24 January 2023

How contractors can thrive in a recession

A new generation of STEM professionals are turning their backs on permanent positions as contracting becomes more popular. Find out why...

STEM re-skilling will ‘open doors’ for job seekers
19 January 2023

STEM re-skilling will ‘open doors’ for job seekers

The rapid growth of new technologies means new skills are required for future jobs, and STEM can be the answer. Find out more

STEM professionals are well placed to ride out recessions
17 January 2023

STEM professionals are well placed to ride out recessions

During severe economic downturns, employees with STEMs skills are likely to enjoy better job security than those without them. Discover more