Gig workers, freelancers, side hustlers – contract workers go by many names. In the US, every third person does freelance work. The US Labor Bureau has no exact data on how many are exclusively contract workers and how many are employees doing some side hustling, but this is becoming a workforce to be reckoned with at any rate. So much so that you, as a boss, are wondering whether to get your projects done in-house or get some external help. Below are the pros and cons of each, in brief.
Employee – Pros
Somebody whom you’re paying a salary and benefits regularly is likely to be more loyal to you than a contract worker would. They are likely to work more and harder and provide better-quality work.
Employee – Cons
Sometimes, you just can’t get everything done in-house. All your employees say they’re working on something else. They work slowly and deadlines are missed.
Contract Worker – Pros
Hiring a freelancer for a project who is an expert in their field guarantees high efficiency and adherence to deadlines. If you’re looking for a freelancer, sites like Upwork are a great place to start. They have excellent freelancers and an escrow-based payment method that offers employers security.
Contract Worker – Cons
You can’t rely on a contract worker beyond one or several projects that they’ve accepted. They get the job done and they want their money. Also, they’re not always available – or willing – to make changes to the work, especially if you refuse to pay extra.
Our Final Say
So what’s best for your company? Ultimately, it depends on the type of project and deadline. If it is complex and specialized and the deadline is tight to boot, you might be better off with a contract worker. You also save a lot on taxes and benefits this way because you don’t pay your contract workers health or retirement insurance as you do employees.