The founder of Ecademy, a social business network, believes that more companies are shunning permanent staff in favour of freelancers and contractors. Penny Power is an expert in business matters and she has said that this increase in freelance hiring is inevitable while the effects of the recession continue.

She said: “Businesses have hired consultants, suppliers and external advisers for a long time, but there is now a distinct shift toward a ‘networked model’ of resourcing your company rather than an ‘institutional’ one of having employees that work full time, when perhaps their niche skill is only needed for a smaller amount of the week. In a global market, that competes on costs, sourcing suppliers is the only way to keep your business competitive.”

Power’s comments are echoed by those detailed in the recent CBI report that explored a move towards more flexible workforces across all sectors. Power stated that she believes that focus will now be on freelancers’ core skills rather than their previous contracts.

She concluded: “A job is something that gives you security and ties you to the company, but only for as long as your are useful. ‘Work’ on the other hand gives you the freedom to look for the right type of work to suit you and allows you to find many people who may want you to ‘work’ for them as a supplier. Having six clients that you work for in a freelance or consultant capacity is far more secure than having one employer in the current climate,” says Power.

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