Definition and classification
Contingent workforce means the totality of a company's external workers who are not permanently employed – for example temporary workers, freelancers and contractors for work. It is the deliberately flexible counterpart to the fixed permanent workforce.
Different legal rules apply depending on the form: for staff leasing the AÜG, for a Werkvertrag the law on contracts for work, and for freelancers the distinction from False self-employment.
Why is the contingent workforce growing in importance?
The skills shortage, seasonal peaks and the wish for more flexibility mean companies cover a growing part of their work through external people. That increases the need to manage this group just as professionally as the permanent workforce – through a VMSthat brings requirements, contracts, Time tracking and Compliance together centrally.