Discuss some of the considerations involved in deciding whether or not to hire contingent workers

Answer 1

When an organization decides to use contingent workers for a project, it should recognize the trade-off it is making between completing a single project quickly and cheaply versus developing people within its own organization. If the project requires unique skills that are probably not necessary for future projects, there may be little reason to invest the additional time and costs required to develop those skills in full- time employees.
If a particular project requires only temporary help and the workers will not be needed for future projects, the use of contingent workers is a good approach. In such a situation, using contingent workers avoids the need to hire new employees and then fire them when staffing needs decrease.
Organizations should think twice about using contingent workers when the workers are likely to learn corporate processes and strategies that are key to the company's success. It is next to impossible to control contingent workers from passing on such information to subsequent employers. This can be damaging if the worker's next employer is a key competitor.