India has second largest number of freelancers in the world (second only to the US) who collectively execute more than 40% of the assignments shared on freelancing platforms across the globe. There is a phenomenal shift in workforce dynamics in India in recent years. This shift is coming both from the supply and demand side. While on one side more and more organizations in general and startups and SMEs in particular are moving towards a core-flex model, where the resources running the core business of the organizations are retained in-house and rest of the work is executed via on-demand talent. On the other hand the resources are finding freelance consulting as a media to achieve work-life balance.
“The engagement of employers with workforce is dramatically changing. Millennial no longer want to work in a 9am to 5pm kind of environment.” says Harshdeep Rapal, the CEO of India’s leading platform for clients to discover and engage with senior freelancers and independent on-demand talent. “Employers are also now more open to seek engagement with freelancers for functions which do not require a full-time employee deployment. This is an interesting and a major shift” he adds.
The trend is in line with the concept of ‘shared-economy’ where resources are shared between multiple parties and used to their full capacity rather than being lying unused for much of their lifetime. A recent survey shows that majority of the organizations can outsource approximately 10-25% of their work. This can be executed either by smaller firms specializing in specific domains or independent freelancers who can be engaged as and when required.
Employee salaries have always been considered as a fixed-cost. The availability of on-demand talent is helping to convert a major chunk of this fixed cost into variable. This helps many companies to plan in a much better fashion than earlier. As the current industry trends show, majority of the business leaders are of the view that freelancers are here to stay. As the industry moves into the future, organizations will be come more and more flexible in nature with the use of on-demand talent.