Even as freelancers are reshaping workforce strategies, their rise doesn’t necessarily threaten full-time roles. “It complements them,” said Kelly Monahan, managing director of the Upwork Research Institute.
In a study released in October, Upwork found that 85% of top-performing companies — which it labels “work innovators” — view freelancers as vital, with 91% planning to expand their use over the next year. Only 71% of non top-performing companies see freelancers as critical to success, Monahan said.
While cost savings, such as not paying benefits, could sometimes be a factor in hiring freelancers, it is not the primary driver of freelance hiring, according to Monahan.“Businesses prioritize freelancers for their agility and specialized expertise, which enable them to scale resources up or down as needed and address skill gaps effectively,” she said.
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