Managing Contingent Workforce | CXC Asia

Don’t overlook these critical factors when managing your contingent workforce

In the new post-COVID world of work, contingent workforce management is emerging as an important issue for many businesses all over the world.


So many companies are now incorporating contingent workers into the fold to take advantage of all the extra benefits they can bring to a business. For example, they give you added flexibility. You can expand or contract your workforce according to workloads or a changing environment; something you can’t do with employees. They also provide quick access to expertise, enabling you to upskill fast to meet new challenges on a project by project basis. Plus you can upsize or downsize as required.

Best of all, hiring contingent workers is also cost effective. It’s generally much cheaper to employ a contractor than a full time employee.

But without the proper and specialized management of contingent workers, companies can easily find themselves in a maze, wasting time and money on inefficient, and sometimes even illegal practices.

Contingent Workforce Management is different

That’s why it’s always important to understand that your contingent workers are quite different to 9 – 5 permanent employees. In so many ways. As temporary staff, their contractual arrangements, benefits, entitlements and payroll processes will probably be quite different to your permanent employees.

In addition, you need to be aware of any classification, compliance and legal issues that may be associated with their employment, as well as onboarding, health and safety awareness, and more.

Then you need to keep in mind the more your contingent workforce grows, the more complicated the management of them becomes. Simply because as numbers grow, so does complexity.

If you’re an employer, it is essential that you identify – from Day One – who is an employee and who is not. For they are indeed very different kettles of fish.*

Managing contractors, especially if you engage them in large numbers, can be a complex undertaking. Ensuring they are competent, properly classified, compliant and insured is just the start.

If you’re caught short the risks are huge. Not just in terms of significant financial penalties and insurance pay-outs, but also in regard to reputational damage and contractual risk if they are working on anything that could affect client contracts, for example.

On the other hand, if you treat contractor compliance as a fundamental of your business and invest in it properly, you can benefit significantly from reduced operating costs, less hassles, a boost in productivity, an increase in contractor retention as well as an enhanced employer brand.

That’s a big upside. Along with risk mitigation and less stress, it’s also the reason why so many smart businesses choose to partner with an experienced contractor management solutions company.

Partner with an expert in managing contingent workers

Bringing the management of your contingent workers into one centralized location can streamline administration, whilst an automated process will help cut out errors and mismatched payment and hiring tactics across your organization; saving time and money.

In-the-know companies wanting to move quickly to a healthy state of contingent worker management are increasingly turning to proven outsourced solutions by engaging with an experienced Managed Service Provider (MSP) like CXC.

In addition to experience and know-how, an MSP will also ensure you also have access to specialised technologies – called a vendor management system (VMS) – to support sourcing, acquisition, management and payment of your contingent workforce, all within one centralized database.

Choose the Contingent Workforce Management model that suits you

When you partner with an MSP like CXC, you can also choose the service model that suits your business and your budget. Opt for a traditional, end-to-end or bundled solution that includes a full suite of technologies and services if you simply want to outsource your contingent workforce management program in toto – leaving you to focus on your day to day business priorities – or benefit from only the services you need by unbundling it and choosing only the solution offering(s) you require.

Regardless of which model you choose, your system will incorporate performance measurement software to ensure you are getting the most out of your contingent workforce.

Most important of all, it will ensure you are fully compliant.

At CXC Global, we are fully aware of the critical importance of compliance management and that’s why it forms a key part of the MSP services we offer. CXC Comply, our Global Contractor Vetting and Compliance Technology Platform is specially designed to assist with all the complex classification issues involved with engaging contractors.

By any measure, employing and managing staff can be complex and challenging, especially if not managed properly. Taking full account of all the critical factors involved will help you build a better business.

To learn more about how CXC Global can help you manage your contingent workforce, don’t hesitate to contact us today on




* Fish kettles are long, ellipse-shaped saucepans that have been used since the 17th century in the UK to poach fish, especially large fish like whole salmon. The expression itself dates from the late 19th century and is used to denote an awkward, difficult, or bad situation. Precisely what can happen if you don’t manage your contingent workforce well.