The gig economy is getting a bounce as a result of Covid-19, according to a survey from Sigmar Recruitment.

Most companies plan on hiring more contingent labour in order to deal with the extended market turbulence, with the survey showing that 900 out of the 1,000 firms surveyed are more likely to hire temps or contractors than before the pandemic.

Director Barry Rudden (pictured) commented: “This may signify a fundamental shift in how workforces will be constituted moving forward, as employers are wary of future market shocks. While demand has rebounded since March, companies just don’t know how the market will react to a possible second wave of infections, topped with Brexit fears, so there are still challenges ahead for organisations and as a result they are hesitant to commit to permanent hires.”

One third of  companies surveyed said it was likely or highly likely that they would increase the percentage of temp or contract staff they already engage.

The companies, surveyed at HR manager/director level, expect that requirements for temp or contract talent to be highest in IT, engineering and life sciences, accountancy and HR, along with office and admin roles.

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“This is the norm in early stages of an extended recovery. Seeing this trend emerge at polar ends of the labour market is indicative of a new K-shaped labour market," Rudden added. “When viewed in parallel with the explosion of the gig economy in the last decade, we now see increasing demand for temporary or contract workers in most white-collar industries, not just the traditional area of office/administration roles.”

Among 3,500 job candidates, the survey found that the majority are now more likely to consider temp or contract work. Four out of five said they would be more likely to consider temp or contract work if they were offered flexibility, such as remote working.