Which of the following, if true, strengthens Greeley's position that full-time, permanent positions be created?

Question

A) In the last few years, there has been an overall decline in the use of contingent workers among most fields of business.
B) The skills required for the positions are no different from the skills presently held by Greeley & Gatsby's full-time employees.
C) Recent surveys of financial advisors working on a contingent basis showed that very few intended to stay with the company past the end of their contract.
D) Greeley & Gatsby recently invested in vendor management software that allows the firm direct access to staffing services without relying on a placement service.
E) The hiring of contingent workers often has a negative impact on morale among full-time workers at the same location.

Answer 1

Answer: C
Explanation: C) A common drawback of contingent labor is that workers generate very little loyalty or desire to work up through the company. So Choice C is correct: while Greeley & Gatsby might be able to expand its portfolio quickly, this gain is unlikely to be accompanied by an increase in productive full-time employees. A global trend such as mentioned in Choice A may mean little if the reasons for the decline are not clearly understood and made relevant to the present situation. Choice B might be a consideration if Greeley & Gatsby intended to reassign advisors from its existing workforce, but this is not the case, so the point instead favors Gatsby's position: that the firm would not sacrifice quality by relying on contingency. Likewise, Choice D would be a factor making the hiring of contract staff easier and less costly for the firm. Choice E appears to argue against hiring contingent workers, but in this case, the contingent workers would not be employed at Greeley & Gatsby's existing locations alongside its full-time employees, so the point is moot.