CATALYST Issue 4 | Page 35

D Catalyst | Dexterity Managing the realities of a contingent workforce How can organisations get the best out of contingent workers, while balancing the need for business flexibility with ethical employment practices? I n 1989, Charles Handy published his book The Age of Unreason, in which he introduced his concept of the shamrock organisation, an organisational structure based on three leaves: an employed core supported by what we might now call a contingent workforce of outside contractors and part-time help. The point of the shamrock organisation was – and still is – to provide flexibility in times of change. At the time, Handy saw that this flexibility was a positive, not only for companies but for employees too, offering an attractive alternative to more traditional organisational hierarchies. Fast forward 30 years, and the world of the gig economy feels very different indeed. While many workers thrive as freelancers and contractors – research suggests that 70% of freelancers work for themselves by choice – the picture is less rosy for those with little choice but to accept work which offers scant job security and fewer of the benefits associated with traditional employment relationships. As technology and larger-scale changes to the labour market continue to transform organisational structures and cultures, contingent workers are simply becoming a fact of business life – with all that implies, for both good and bad. It’s an employment trend with plenty of potential for complication and conflict. At the extreme, it seems we’ve lost sight of the reciprocity that once underpinned workplace social contracts, that the balance has tipped firmly towards maximum economic flexibility for employers, while social protections for employees lag behind. It’s a situation that can create not just individual stress and misery, but also threaten wider economic and social wellbeing and sustainability. Few of us want to be that kind of employer. And while there are broader issues at play, with regulation across the globe struggling to keep up with the pace of change, this is still a live issue that has to be managed on the ground today. At the other end of the spectrum, companies are having to compete for much-needed skills often provided by freelancers and contractors who value the flexibility and autonomy of working for themselves and can command remuneration commensurate with such sought-after expertise. So how can organisations make the most of the crucial skills that contingent workers offer? And how can we balance the need for business flexibility with employment practices that are demonstrably fair and workable? Issue 4 - 2020 35