Back to the Fold
Transitioning former employees into contingent workers
By Eric H. Rumbaugh, Kelly Rourke and Charlie Stevens
Faced with the ever-growing need for workforce flexibility and just-in-time delivery of worker skill sets, employers have increasingly been moving parts of their traditional employee workforce into a contingent workforce. Many retirees, down-sized employees, and people who just want freedom and flexibility are increasingly opting to work as contingents, even for the companies that most recently employed them. If done correctly, these "alumni" worker arrangements can benefit both the employer and the individual. To realize all potential benefits of this transition, employers must ensure that they continue to comply with applicable employment, labor, and tax laws, and that they properly classify their workforce. This article outlines the issues that employers should consider when transitioning to a contingent workforce. ...