To have control over your schedule and timings, have time to build new skills and experience, and not be committed to the same job and the same company for a long time - are some of the highlights of contract jobs. If you are still unsure if you should opt for a contract job or wait till you find a full-time job, read on to know the benefits contract jobs present.
Contract jobs are job opportunities provided by staffing agencies for their clients for a short period on specific projects. The staffing agencies recruit people based on the requirements of the clients. Once the recruitment of candidates is over, they charge a commission from the clients. Clients pay the salary to the staffing agencies. The contract employees get their salary from the agency. They pay the wages to employees after their tax deduction every month.
Contract-to-hire jobs are similar to contract jobs, but at the end of the contract, the employees get an opportunity to become full-time employees or get a permanent position in the company.
Benefits of contract jobs
Contract jobs are a part of the gig economy. The gig economy includes contract workers, freelancers, and temp workers. The gig economy will flourish in 2021 and stay here even after the pandemic is gone. According to a recent survey by Monster, 92% of the participants believed it is the best time to look into the gig economy. Let us dig in deeper and understand some benefits of contract jobs.
Flexible work schedule
Some contract jobs offer the flexibility of work schedule. You decide when you work. Not every contract job work alike. It highly depends upon the nature of the work and the nature of the business.
Increase skills and experience at the same time
A contract job is a short-term position. So, a contract employee can hop around different companies and learn other skills and experience.
Different companies and different industries
A contract employee knows the different ways of how a company functions. He also knows the difference in the functioning of industries. It is a major plus point in his resume.
Larger professional network
A contract employee can work in a minimum of two to three companies in a year, depending upon the contract. It allows him to maintain a larger professional network.
Test of Company culture
Contract employees have the advantage of test and experience the culture of the company without any long-term commitment. If he feels good about the company, he will wish to apply for the full-time position.
A contract employee can work different jobs until he finds the right one to pick up as his career. It also gives him knowledge about the job and the career prospects he can choose later.
Drawbacks of contract jobs
No Job Security
There is no job security for contract jobs. The companies can terminate the contract employees without any advance information.
Contract employees never have employee benefits from the company. In most companies, full-time employees enjoy all the benefits as they are associated with the company permanently. Few sick leaves and holiday pay entitlements are provided to contract employees.
Search for a new job in a short period
Once the contract gets over, the contract employee should start searching for a new job. He should continue the process until he gets a permanent position.
A short period of learning
If you are a contract employee, your superior wants you to learn the new software tools and new skills in a very short period. You should be able to grasp the skills quickly.
Should I take up contract jobs in 2021?
Yes. There are more merits of contract jobs compared to the demerits. As per the current scenario, the companies are struggling to get back to normal functioning. Hence, it is advisable not to have a long-term commitment with companies. Contract employees have the full freedom to quit the company even before their contract ends. Most companies also prefer contract employees as their pay is less compared to full-time employees. They need not spend more on the benefits of contract employees. Hence, it is economical for companies also to go for contract employees.